Alexandra Teodorescu

In the context of CCAA proceedings, the moving party sought an order requiring the Monitor to disclose all information and documents it considered when reviewing proofs of claim submitted by another creditor group.

The moving party intended to use this information at a claims hearing to argue that the claims officer should apply the same standard of proof used by the Monitor.

The court dismissed the motion, finding that the roles of the Monitor and the claims officer under the claims procedure order were fundamentally different, and the request constituted an impermissible collateral attack on that order.

Furthermore, the court noted that comparing claims would result in an unnecessary trial within a trial and risk disclosing confidential lending practices.

The applicant sought court sanction of a plan of compromise and arrangement under the Companies’ Creditors Arrangement Act to resolve extensive litigation arising from the audit of Castor Holdings Ltd. The plan involved contributions from partners, insurers, and related entities totaling approximately $220 million and included third‑party releases.

A creditor group opposed the sanction, arguing that the releases violated Quebec civil law and that the claims process was unfair.

The court rejected these objections, finding the expert evidence unreliable, confirming that federal insolvency law permits third‑party releases notwithstanding provincial law, and concluding the plan was fair and reasonable given overwhelming creditor approval.

The plan was sanctioned.

In a class proceeding concerning a college program that failed to deliver promised professional designations, the court issued an addendum addressing the residual market value of the diploma received by class members.

The court reconsidered supplementary submissions regarding whether the diploma had measurable value independent of the promised designations.

While the plaintiffs argued the diploma had little or no value and the defendant contended it retained full value, the court determined that the diploma had limited residual value based on evidence about employment outcomes, educational background of students, and survey data.

The court concluded that the residual value of the diploma was approximately 15% of the direct costs incurred by class members.

Aggregate damages were therefore fixed at 85% of the direct costs for students who completed the program.