Kyle Behune Plunkett

This endorsement grants the Court-appointed Monitor’s motion for approval of a credit bid process and orderly liquidation plan in the CCAA proceedings of Balboa Inc. and related applicants.

The Court approves the sale agreements, a secondary credit bid process for remaining properties, and an orderly liquidation plan, as well as the Monitor’s reports, activities, and fees.

The stay of proceedings is extended to May 31, 2025.

The decision details the mechanics of the credit bid process, the rationale for the relief, and the Court’s satisfaction that the process is appropriate and fair in the circumstances.

The applicant, BBB Canada Ltd., sought court approval under the Companies' Creditors Arrangement Act (CCAA) for an Omnibus Assignment and Assumption of Leases, FF&E and Trade Fixtures Agreement with DKB Capital.

The motion also requested orders for the assignment of certain leases under section 11.3 of the CCAA and a temporary sealing order for the unredacted agreement.

The court found the marketing process comprehensive, the consideration fair and reasonable, and the agreement beneficial to stakeholders.

The assignments were unopposed.

The court applied the Sherman Estate test for the sealing order and found it appropriate given its limited scope and time.

The motion was granted in its entirety.

The Receiver of a deceased personal injury lawyer's professional corporation brought a motion seeking to impose a 'Sliding Fee Structure' on new counsel who took over the deceased lawyer's client files.

The Receiver argued this was necessary to efficiently realize on the estate's interest in the files.

The court dismissed the request to impose the fee structure, finding it would inappropriately override the clients' statutory rights under the Solicitors Act to receive and assess a bill.

However, the court ordered new counsel to provide the Receiver with 'Determinable Information' about the files to assist the Receiver in rendering accounts, subject to a privilege protocol.

The moving parties brought a motion for leave to appeal the orders of the lower court judge dated March 25, 2021.

The Divisional Court dismissed the motion for leave to appeal and awarded costs to the responding receiver in the fixed amount of $5,000.

SusGlobal Energy Belleville Ltd. brought a motion to reopen a prior motion seeking leave to sue the receiver (BDO) for damages, and to introduce fresh evidence.

The court dismissed the motion, finding that SusGlobal failed to meet the test for introducing fresh evidence as the evidence was available at the original hearing and would not have changed the outcome.

The court also found no miscarriage of justice in refusing to relax the reasonable diligence rule.

The appellant appealed a Notice of Disallowance issued by the trustee in bankruptcy of MF Global Canada Co. The appellant claimed the net positive balance of his futures account either on the day before the bankruptcy or on the date of bankruptcy.

The court dismissed the motion, finding that the decline in the account's value prior to bankruptcy was due to market forces, not a breach by the bankrupt.

Furthermore, the appellant had ignored margin calls exceeding his account balance, and the trustee was entitled to set off the appellant's debt against any amount owed.