The applicant, an equal shareholder in two companies, sought the urgent appointment of an interim receiver due to a complete breakdown in her relationship with the other equal shareholder.
The companies were deadlocked, in default on a $5.5 million loan, and facing multiple lawsuits.
The Court granted the motion, finding a strong prima facie case of oppression and deadlock, irreparable harm to the companies' assets, and that the balance of convenience favoured a neutral, court-supervised officer to manage the assets pending the final application.
The Court declined to exempt ongoing lawsuits against the companies from the receivership stay at this early stage.
