R. Treleaven

A non-share corporation operating a mosque and community centre experienced an internal governance dispute among its members, leading to litigation.

After reviewing affidavit evidence and a monitor’s report, the court highlighted corporate governance errors committed by both sides under Canadian corporate law.

The court encouraged the parties to resolve the dispute without judicial determination.

The parties entered into Minutes of Settlement providing for an interim executive committee and future elections.

The court approved the settlement, the monitor’s report and activities, and the monitor’s fees.

A non-share religious corporation experienced an internal governance dispute between competing factions claiming authority over its executive committee.

The applicant sought urgent interim relief including supervision of the organization’s financial affairs pending a scheduled injunction motion.

The court emphasized corporate law principles governing non-share corporations, including transparency, procedural fairness, and adherence to constitutional documents and by-laws.

On consent of the parties, the court appointed an independent monitor under s. 101 of the Courts of Justice Act to oversee the organization’s finances, records, and issuance of charitable tax receipts, and ordered that no membership meetings occur before the upcoming hearing.

The monitor was granted access to records and a limited administrative charge for fees.