Certificate of Pending Litigation Ontario: A Legal Guide

A certificate of pending litigation Ontario is a legal tool used to protect an individual’s interest in a property that is subject to a legal dispute. It prevents the property from being sold, refinanced, or otherwise transferred until the litigation is resolved. This certificate is particularly useful in cases where ownership or financial interests in a property are contested.

What Is a Certificate of Pending Litigation

A CPL is registered against the title of a property, signaling to potential buyers or lenders that there is an ongoing legal claim related to the property. This can make it nearly impossible for the owner to sell or mortgage the property until the dispute is settled in court. The certificate functions similarly to a lien, ensuring that the claimant’s interest in the property is protected.

When Is a CPL Necessary?

A CPL is typically used in cases where a party claims an interest in a property and wants to prevent the owner from selling, mortgaging, or altering the property until the legal dispute is resolved. It is not a claim of ownership itself—but rather a flag that ownership is under dispute.

Common Situations Where CPLs Arise:

• Real estate ownership disputes
• Fraudulent property transfers
• Breach of real estate contracts
• Matrimonial property claims
• Estate litigation involving real property
• Joint venture or business disputes related to property

How to Obtain a CPL

To obtain a CPL, an applicant must demonstrate to the court that they have a triable interest in the property. This means they must show that there is a legitimate legal claim tied to the property. The court does not determine whether the claim will ultimately succeed but only whether there is a valid dispute that warrants the CPL.

To register a certificate of pending litigation Ontario courts require:

• Filing a claim in court involving a legal interest in the property.
• Bringing a motion before the Ontario Superior Court of Justice to request the CPL.
• Demonstrating a genuine claim involving an interest in land (not just a financial or contractual interest).
• Registering the CPL on title with the applicable land registry office if the motion is successful.

Removing a CPL

If a CPL has been placed on a property, the owner may seek to have it removed by:

• Resolving the dispute with the claimant.
• Demonstrating to the court that the CPL is causing undue hardship.
• Depositing the disputed amount with the court until the case is resolved.

What Types of Lawyers Can Help With a CPL in Ontario?

Since CPLs involve complex legal procedures, it is advisable to seek assistance from an experienced civil litigation attorney or a commercial and residential real estate lawyer. These professionals can help:

• Prepare and file the necessary court documents.
• Present a compelling case to the court.
• Ensure compliance with Ontario’s legal requirements.

While real estate lawyers and civil law attorneys are commonly associated with CPL matters, other types of legal professionals may also play a role, depending on the nature of the dispute.

Lawyers Who Commonly Handle CPL-Related Matters

1. Real Estate Litigation Lawyers

These are the primary professionals involved in CPLs, especially when the dispute is tied to the ownership, title, or sale of land—whether residential or commercial. Many litigation firms Toronto specialize in real estate disputes and offer tailored CPL strategies. They help with:

• Filing CPLs to protect ownership claims
• Opposing or discharging improperly filed CPLs
• Navigating land registry and title searches
• Representing clients in real estate court proceedings

2. Civil Litigation Lawyers

Civil litigators often manage CPLs as part of broader disputes where land or property is a key issue. They assist with:

• CPLs linked to fraud, breach of contract, or unjust enrichment
• Multi-party litigation with property interests
• Enforcing equitable claims tied to real estate

If your dispute involves real estate or civil matters in the GTA, working with an experienced litigation lawyer Toronto residents trust can provide a significant strategic advantage.

3. Estate Litigation Lawyers

When inherited property is at stake, an estate litigation attorney can file a CPL to prevent wrongful sale or transfer. This ensures estate assets remain secure during the resolution process. Lawyers can assist in cases involving:

• Contested wills or trusts involving real property
• Disputes between beneficiaries or family members
• Claims of undue influence or improper transfer of estate property
• Applications for equitable relief (e.g., constructive trust)

4. Construction Lawyers

In construction litigation, CPLs are used to protect financial stakes tied to development or building projects. They work alongside construction liens to maintain leverage in payment or contract disputes. A lawyer may help with:

• Property-related disputes tied to development projects
• Claims for unpaid work or materials where land is at issue
• Injunctions involving construction sites or development rights

5. Bankruptcy and Insolvency Lawyers

When a property owner or business faces insolvency, CPLs may be filed to secure assets before they’re liquidated. Conversely, these lawyers also challenge CPLs that interfere with proper creditor distributions. They can:

• File CPLs during creditor disputes involving real estate
• Represent trustees or creditors trying to protect property
• Oppose CPLs filed without a proper legal interest

6. Environmental Lawyers

In cases where land is contaminated or subject to environmental remediation orders, legal disputes may arise over liability or cleanup costs. If ownership or responsibility is contested, a CPL can be used to prevent transfer or sale during litigation. They support:

• Environmental claims tied to contaminated land
• Disputes over development restrictions due to environmental issues
• Securing land pending regulatory investigations or lawsuits

7. Family Lawyers (Matrimonial Property Cases)

In divorce or separation cases, CPLs are often employed to prevent the disposal of matrimonial homes. Family lawyers ensure equitable distribution through tools like CPLs. Lawyers assist with:

• Filing CPLs during divorce proceedings
• Protecting spousal interests in the family home
• Ensuring fair division of real estate assets

8. Commercial or Business Lawyers

In commercial litigation, disputes over shared property, investments, or business assets can warrant CPLs. Many commercial litigators also collaborate with real estate lawyers when land is involved. They may help with:

• Partnership breakups involving shared property
• Commercial real estate investment disputes
• Enforcing shareholder or contractual rights over land

If your case involves business partnerships or corporate disputes tied to land, hiring a lawyer familiar with corporate litigation is essential.

When Should You Contact a Lawyer?

It is important to seek legal counsel as soon as possible when dealing with a property dispute, especially if a CPL might be necessary. Delays in obtaining legal assistance can result in financial losses, legal complications, or unwanted transfers of property. Here are some situations where contacting a lawyer is crucial:

• You Suspect a Property Dispute May Arise – If you anticipate a conflict over ownership or financial interest in a property, consulting a lawyer early can help you understand your rights and legal options.
• A Property Transaction Has Fallen Through – If a seller refuses to transfer a property despite an agreement or a buyer is backing out unjustly, a lawyer can determine if a CPL is warranted.
• You Want to Prevent the Sale or Transfer of a Property – If you have a legitimate claim to a property and wish to stop its sale or refinancing, a lawyer can advise on CPL eligibility and help file the necessary paperwork.
• You Are Facing a CPL Against Your Property – If someone has placed a CPL on your property, a litigations lawyer can help contest the claim, negotiate a settlement, or remove the CPL.
• You Are Involved in a Divorce or Estate Dispute – Estate litigation and family law issues often intersect with CPLs. If ownership rights to a home or inherited property are contested, consulting a family or estate lawyer can prevent unexpected losses.
• Your Business or Financial Interests Are at Risk – If property ownership is tied to a business venture or financial arrangement, seek advice from legal experts in commercial litigation or civil lawyers in Toronto to safeguard your investments.

The sooner you contact legal counsel, the better your chances of protecting your interests and resolving disputes efficiently.

Looking for Litigation Lawyer Near Me

A CPL is a powerful legal tool that protects financial and ownership interests in a property. However, obtaining or removing a CPL requires careful legal navigation, making the guidance of a knowledgeable lawyer essential. Whether you’re safeguarding your rights or working to clear title, having the right legal professional—be it a real estate litigator, a civil lawsuit lawyer, estate litigation attorney, or family law specialist—can make all the difference in navigating Ontario’s real estate legal system. Understanding how a Certificate of Pending Litigation Ontario applies to your case is crucial for securing your interests effectively.

Facing a property dispute? Speak with a qualified litigation lawyer to see if a Certificate of Pending Litigation is right for your case.