Douglas Worndl

In a proposed class action for alleged misconduct in the primary and secondary securities market, the defendant corporation was unresponsive to proceedings.

The insurers of the corporation's officers and directors brought a motion on behalf of the corporation to appoint a receiver to defend the claims.

The plaintiffs and other defendants did not oppose the appointment.

The court found it fair, just, and necessary to appoint a receiver and granted the order.

The proposed representative plaintiff in a class proceeding alleged misrepresentations by the defendant, Canadian Solar Inc., in its secondary market disclosure.

The defendant's shares traded only on the NASDAQ exchange, not in Canada.

The defendant appealed a motion judge's finding that it was a 'responsible issuer' under s. 138.1 of the Securities Act.

The Court of Appeal dismissed the appeal, holding that the definition of 'responsible issuer' does not require the issuer's securities to be publicly traded in Canada, provided the issuer has a real and substantial connection to Ontario.