The plaintiff sought leave to assert a statutory cause of action for secondary market misrepresentation under the Securities Act and to certify a class action against SNC-Lavalin and its directors.
The plaintiff alleged that SNC failed to timely disclose a material change when it was informed by the Public Prosecution Service of Canada that it would not be invited to negotiate a remediation agreement regarding criminal charges.
The court dismissed the motions, finding that the communication was not a 'change' in the business, operations, or capital of SNC, and therefore not a 'material change' requiring immediate disclosure.
The court also declined to certify the common law negligent misrepresentation claim, as reliance would be an individual issue and the statutory claim was not viable.
