Coughlan v. The Queen, 2001 DTC 719 (TCC) -- summary under Paragraph 12(1)(x)

Damages received by the taxpayer from a corporation of which he formerly was an officer and shareholder for conspiring to injure his reputation, and damages for failure of the corporation to indemnify him for his legal expenses, were not taxable under s. 12(1)(x). Notwithstanding that Revenue Canada had allowed him in previous years to deduct his litigation expenses, the amounts were received by him in order to protect his reputation and not in the course of earning income from a business or a property. Moreover, the amounts were unequivocally characterized by the Nova Scotia Court of Appeal as damage awards, and as such they were not a reimbursement of the amounts laid out by him to fund his litigation.