Stephen Nadler

The moving parties (debtors) sought leave to appeal under s. 193(e) of the Bankruptcy and Insolvency Act from an order approving a court-appointed receiver's proposed sale process and list prices for five commercial properties.

The debtors argued the motion judge failed to apply the correct legal test (the Soundair test) and was unduly deferential to the receiver's business judgment.

The Court of Appeal dismissed the motion for leave, finding that the motion judge had implicitly applied the Soundair test, the proposed appeal lacked prima facie merit, did not raise an issue of general importance, and would unduly hinder the progress of the receivership proceedings.

The defendant purchaser brought a motion to stay the plaintiff vendor's civil action in favour of arbitration, relying on the arbitration clause in the Tarion Addendum to their agreement of purchase and sale for a new home.

The plaintiff conceded the existence and scope of the arbitration agreement but argued the court should refuse the stay due to undue delay, waiver, and because the matter was proper for summary judgment.

The court found no waiver or undue delay, noting the action had not progressed significantly past pleadings.

The court also held the case was not proper for summary judgment as it involved disputed facts and issues of anticipatory breach.

The motion to stay the action was granted.

The moving party brought a motion to discharge a certificate of pending litigation (CPL) that was granted to the responding party ex parte.

The court found that the responding party failed to make full and fair disclosure of material facts on the ex parte motion, including provisions in the agreement of purchase and sale prohibiting the registration of a CPL and disavowing any legal or equitable interest in the property.

The court also found that the property was not unique to the responding party, as it was purchased as an investment.

The motion was granted, the CPL was discharged, and costs were awarded to the moving party.