The appellant, Country Style Realty Limited, underwent CCAA restructuring.
It chose not to repudiate its commercial lease with the respondent landlord, Ivorylane Corporation.
Ivorylane had a pre-CCAA claim for rent arrears but did not receive notice of the claims process and did not file a proof of claim.
After Country Style emerged from CCAA protection, Ivorylane sued for the arrears.
Country Style argued the claim was barred by the CCAA Plan of Compromise.
The Court of Appeal upheld the motion judge's finding that because the lease was not repudiated, the arrears constituted an 'Unaffected Obligation' under the specific terms of the Plan and Sanction Order, and therefore the claim was not compromised or barred.