The appellant, a company based in British Columbia, entered into financing agreements with a Quebec-based company that subsequently went bankrupt.
The respondent trustee in bankruptcy filed a petition in the Quebec Superior Court sitting in bankruptcy to recover assets held by the appellant.
The appellant brought a motion to transfer the proceedings to British Columbia, arguing the Quebec court lacked jurisdiction over the contractual dispute and relying on choice of law clauses.
The Supreme Court of Canada dismissed the appeal, holding that the bankruptcy court had jurisdiction over the dispute as it related to the bankrupt estate, and that the appellant failed to show sufficient cause to transfer the proceedings under the Bankruptcy and Insolvency Act.
