Owen J made a factual finding that a particular property (a house in the estate of the taxpayer's father) was purchased for cash consideration by her and her husband, as joint tenants, rather than being devised to her under her father's will. Accordingly, her and her husband's cost of the property was their cash purchase price rather than being deemed by s. 70(5)(b) to be its higher fair market value at the time of their purchase.
Before so concluding, he observed that, under the laws of Ontario, residuary beneficiaries do not acquire an interest in any specific property in the residue of the estate and it is instead the residuary property is vested in the executors. Neither counsel mentioned s. 248(8)(a). See summary under s. 70(5).