Law360 Canada ( July 2, 2025, 2:48 PM EDT) -- Appeal by appellants from lower court decision finding they were liable to respondents for substantial sums of money for breach of two trusts and from order to pay punitive damages and special costs. The appellants held shares and units in two trusts for the respondents. The appellants were found to have fabricated evidence and denied the existence of the trusts. During the contested proceeding, the court examined disputes arising from two interrelated trusts: the Discounted EVC Units Trust (EVC) and the Unison Trust (Unison). The litigation involved intricate business and investment activities among family members, in which allegations of fraud, misrepresentation and fabricated evidence were raised. In the EVC Action, it was determined that appellant Guang held 50 per cent of the EVC units in trust for respondent Xiaoqin and breached his fiduciary duty by refusing to sell the shares when demanded by Xiaoqin’s husband, respondent Ming. Significant damages were awarded based on the share and value of warrants. In the Unison Action, the judge found that appellant Ping (wife of Guang) owed a fiduciary duty to Xiaoqin and breached the trust when she caused Unison to distribute 420,000 EVC shares to her, 210,000 of which she held in trust for Xiaoqin. Despite her initial denials and baseless claims of forgery, overwhelming evidence compelled Ping to acknowledge the trust’s existence. In awarding punitive damages, the judge found that Ping fabricated claims, agreements and evidence to exact retribution, profiting at the respondents’ expense. He assessed punitive damages against the appellants at $100,000. The appellants contested the enforceability of the trusts and appropriateness of punitive damages....