COURT OF APPEAL FOR ONTARIO
RE:
IN THE MATTER OF THE COMPANIES’ CREDITORS ARRANGEMENT ACT, R.S.C. 1985, c. C-36, AS AMENDED
AND IN THE MATTER OF A PROPOSED PLAN OF COMPROMISE OR ARRANGEMENT WITH RESPECT TO STELCO INC. AND THE OTHER APPLICANTS LISTED ON SCHEDULE “A”
APPLICATION UNDER THE COMPANIES’ CREDITORS ARRANGEMENT ACT, R.S.C. 1985, c. C-36, AS AMENDED
BEFORE:
GOUDGE, SHARPE AND BLAIR JJ.A.
COUNSEL:
Paul G. Macdonald, Andrew J.F. Kent and Brett Harrison
for the appellant, Informal Independent Converts’ Committee
Robert Staley and Alan Gardner
for Senior Debenture Holders
Michael E. Barrack and Geoff R. Hall
for Stelco Inc.
Fred Myers
for Her Majesty the Queen in right of Ontario, Superintendent of Financial Services (Ontario Government)
Kenneth T. Rosenberg
for United Steelworkers of America
Aubrey E. Kauffman
for Tricap Management
Kyla E. M. Mahar
for Ernst & Young Inc. in its capacity as Monitor
Murray Gold
for Salaried Retirees
Heath Whiteley
for Canadian Imperial Bank of Commerce
Steven Bosnick
for United Steel Workers of America Local 5328 and Local 8782
HEARD & ENDORSED:
November 14, 2005
On appeal from the order of Justice James M. Farley of the Superior Court of Justice dated November 10, 2005.
A P P E A L B O O K E N D O R S E M E N T
1In our view, the appellants have not demonstrated a different legal interest from the other unsecured creditors vis-à-vis the debtor nor any basis for setting aside the finding of Farley J. that there are no different practical interests such that the appellants deserve a separate class. We see no legal error or error in principle in his exercise of discretion. Leave is granted but the appeal must be dismissed. Because of the importance of the issue for Ontario practice in this area we propose to expand somewhat on these reasons in due course.