7 Feb 2025
USCAN Aviation Sales Ltd. v. Mansfield Heliflight Inc.
Background
- In 2008, Mansfield hired USCAN to repair a Bell 412 helicopter.
- Work was halted in February 2009, but USCAN continued repairs.
- Mansfield disputes owing any further payments and seeks the helicopter’s return.
- USCAN claims a possessory lien under the Repair and Storage Lien Act (RSLA).
Motions and Court Findings
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Mansfield’s Motion for Security for Costs ($151,331.80) – Dismissed
- Mansfield argued USCAN lacked Ontario assets to cover costs.
- USCAN claimed a receivable of $430,000 USD but had no other assets.
- Mansfield conceded some payment was owed for pre-2009 labor.
- The court ruled the claim had a reasonable chance of success, making security unjust.
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USCAN’s Motion for Possessory Lien – Granted
- Mansfield admitted pre-2009 work was authorized and unpaid.
- Based on Swan (2024 ONCA 35), the RSLA grants a lien until amounts are determined.
- However, USCAN cannot sell or dispose of the helicopter pending final determination.
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USCAN’s Motion for Mansfield to Post $150,000 Security – Dismissed
- Rule 45.03 applies only when security releases property, not when possession continues.
Final Order
- USCAN retains a possessory lien but cannot dispose of the helicopter.
- No security for costs or additional payment into court required.
- The court urged a quick resolution due to the helicopter’s low value.