Milly Chow

The decision concerns the approval of a reverse vesting order (RVO) in the context of insolvency proceedings under the Companies' Creditors Arrangement Act (CCAA).

The Court-appointed Monitor sought approval for a transaction involving the sale of all shares of the Purchased Companies to North Mill Equipment Finance LLC, the granting of related releases, a sealing order, and an extension of the stay of proceedings.

The court reviewed the necessity and fairness of the RVO structure, the process leading to the transaction, and the impact on stakeholders, ultimately granting the relief sought.

The Monitor, FTI Consulting Canada Inc., brought a motion for an approval and vesting order in respect of the Purchased Assets and the sale thereof to Vault or an affiliate pursuant to the Rifco Asset Purchase Agreement, and for a stay extension order.

The Court approved the Rifco APA and the AVO, finding the process reasonable, the requirements of the Companies' Creditors Arrangement Act satisfied, and the transaction in the best interests of stakeholders.

The stay extension was also granted.

DCL Corporation, an insolvent company under CCAA protection, sought court approval for a stalking horse agreement, bidding procedures for the sale of substantially all its assets, and a sealing order for confidential information.

The motion was unopposed and supported by the Monitor and key creditors.

The court granted the relief, finding the proposed sales process fair, transparent, commercially efficacious, and designed to optimize asset recovery, consistent with established insolvency principles.

The sealing order was also granted, applying the Sherman Estate test, on the basis that it protected important public interests in confidentiality and contractual sanctity.

The Monitor in the Companies' Creditors Arrangement Act (CCAA) proceedings of DCL Corporation brought a motion seeking expanded powers for an orderly wind-down of the Applicant, declarations regarding the Canadian Designated Amount Portion and CCAA Cash Pool, and a declaration that former employees are eligible for Wage Earner Protection Program (WEPP) payments.

The court granted all requested relief, finding the expanded powers necessary due to the absence of company management and consistent with similar cases.

The court also declared former employees eligible for WEPP payments, satisfying the criteria under the WEPP Act and Regulations.