Canadian Lawyer

Regional wrap-up Missing deeds in Lac-Mégantic Continued from page 9 authenticate the document as an original without the imprimatur of a court of law. All notaries are obliged by law to keep their records in a fireproof vault or safe that can resist high heat, up to a temperature of 927°C, for a period of one hour. Some documents, like most of those related to real estate transactions, are kept on record in a public registry, which makes it relatively simple to obtain a copy. In cases of private records, i.e. marriage contracts, wills, or mandates of incapacity, Bill 65 states personal copies held by the notary's client, or any other party to the matter, will be considered as the original document. For destroyed deeds where copies are non-existent, notaries' notes, testimonies of involved parties, or any other valid and usable piece of information, in paper form or e-file, will be used to reconstitute the deed. Roy says the task of replacing and reconstituting all pertinent documents will take some time. "It'll take six months to a year to evaluate the situation as to what deeds or documents really need to be reconstituted." "The destruction of notarial deeds represents the loss of a whole aspect of the Lac-Mégantic community history, since notaries' records are silent witnesses to the history of a region. It's also the loss, from a legal point of view, of a precious protection of its citizens' rights. With this legislation, we are giving ourselves more efficient tools to replace and reconstitute the lost documents, in the interest of our fellow citizens," the Justice minister said in a press release. The Chambre des notaires has also set up an office where four people are working full time to retrace, reconstitute, and archive copies of lost deeds. It is a colossal task that will take at least a year to accomplish, according to the Chambre. Yves Morissette, who has filled a number of posts/positions at the Chambre over the years and is now a consultant to the Chambre, has been appointed as special investigator and supervisor of this reconstitution operation. "We have begun the inventory of the documents that are still in good shape. In early November, we called on the public, through local media, to reach the people who could be affected by the situation and to incite them to contact us. It's an unprecedented event. We will do everything we can to reconstitute as many deeds and documents as possible," he said to the Chambre's journal l'Entracte. Should copies of the records be kept at other sites to avoid similar situations in the future? Probably not, thinks Roy, if you weigh the costs and increased risks of confidentiality breaches that would be involved against the minimal likelihood of a comparable event happening again. — Pascal Elie pascalelie636@gmail.com Law society could be on hook for Heydary client compensation M ore than 1,000 former clients of Heydary Hamilton PC are scrambling to manage their files after the law firm's demise, according to the Law Society of Upper Canada. Heydary Hamilton's controversial sole director, Javad Heydary, died in November shortly after leaving the country amid concerns over missing client funds. Two of Heydary's former clients, Samira and Hassan Abuzour, say they're out $3.6 million held in trust for them by Heydary Hamilton. Heydary left Toronto for Iran on Nov. 18 just after a court-imposed deadline to hand over $2.1 of the $3.6 million held in trust for the Abuzours. After Heydary's disappearance, the law society took trusteeship over Heydary Hamilton and is now transferring its client files "in accordance with [the clients'] directions," LSUC spokesman Roy Thomas told Law Times. 10 F e b r uary 2014 www.CANADIAN A LSUC investigatin found more than $2.7 million transferred from Heydary Hamilton's trust account went to paying for the firm's day-to-day operations. The LSUC report to the court also notes money from Heydary Hamilton's general account also went to Red Seal Notary for no apparent service. Heydary was a director and shareholder of the company. "In turn, there were payments from the [Red Seal Notary] account directly to Mr. Heydary personally, which were deposited into his personal account. The total amount transferred in this manner in 2013 is approximately $200,000, although the pattern of these transfers had existed many years prior," the affidavit states. Questions over Heydary's death also remain. Three people who knew Heydary attended his funeral but according to LSUC counsel Nadia Musclow, Heydary's wife's lawyer chose them and arranged for their L a w ye r m a g . c o m viewing of the body. Musclow told the court the three people believed it was Heydary but "had difficulties recognizing his body" because of decomposition. Hassan Abuzour says he saw the body at the funeral and "Maybe him, maybe not." Mark Hayes, now-former co-director of affiliated Heydary firm, Heydary Hayes PC, said he is moving client files to his former firm, Hayes eLaw LLP, where he still maintains partnership. He resigned as codirector of Heydary Hayes PC as soon as the fiasco over missing funds began. "We're carrying on the best we can," he said, noting he is working with the law society to ensure a smooth transition of client work. In November, Michael Cochrane, co-director of Heydary Green PC, told Law Times his firm is separate from Heydary Hamilton and it's "carrying on business as usual." — Yamri Taddese yamri.taddese@thomsonreuters.com

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