The representative plaintiffs in a certified class action regarding the Canada Life Canadian Employees' Pension Plan moved for approval of a settlement agreement, a variation of trust, and class counsel fees.
The claims involved the ownership of surplus assets, partial wind-ups, and the payment of plan expenses from the fund.
The settlement provided an estimated $54 million in financial benefits to class members, including surplus distribution and contribution holidays.
The court found the settlement to be fair, reasonable, and in the best interests of the class, noting the legal risks associated with the claims.
The court also approved the variation of the pension trust under the Variation of Trusts Act and the rule in Saunders v. Vautier, distinguishing the Supreme Court's decision in Buschau because the employer supported the variation.
Finally, the court approved class counsel fees of approximately $4.8 million as fair and reasonable given the results achieved and the risks undertaken.
