Thomas Gray

In this CCAA proceeding, the court granted multiple orders sought by Hudson's Bay Company and related entities, including approval of lease assignment agreements with YM Inc. and Ivanhoe Cambridge, sealing of confidential bid information, extension of the stay of proceedings to October 31, 2025, and approval of the Monitor's reports and activities.

The court rejected requests for adjournment and conditional distributions, finding the lease monetization process was fair and transparent, and that the proposed transactions represent a positive development for stakeholders.

This endorsement grants an unopposed application by RioCan Real Estate Investment Trust and related entities for the appointment of FTI Consulting Canada Inc. as receiver over the assets of the RioCan-HBC joint venture entities.

The court reviews the legal test for appointing a receiver under the Bankruptcy and Insolvency Act and the Courts of Justice Act, referencing relevant case law and statutory factors.

The receivership is found to be just and convenient in light of the joint venture’s financial distress, the failure of restructuring efforts, and the need to preserve and maximize value for stakeholders.

The order authorizes the receiver to borrow up to $20 million and provides for allocation of costs and a mechanism for secured lenders to terminate the receivership as to their collateral.

The decision addresses motions regarding the appointment of representative counsel for current and former employees and retirees of Hudson’s Bay Company ULC and related entities in ongoing Companies’ Creditors Arrangement Act (CCAA) proceedings.

The Court declined to appoint any of the nominated law firms as representative counsel at this stage, instead appointing the Honourable Herman Wilton-Siegel as an independent third party to evaluate proposals and make a recommendation.

The Court also approved amendments to the Sale and Investment Solicitation Process (SISP) to remove the company’s art and artifact collection from the SISP and to appoint Heffel Gallery Limited to conduct a separate auction for the collection, subject to further court approval of procedures.

The reasons review the legal framework for appointing representative counsel and the importance of balancing stakeholder interests in complex insolvency proceedings.

This decision addresses whether Cushman & Wakefield ULC (C&W), as real estate broker, is entitled to a commission in respect of Stelco’s purchase of the Stakeholders’ limited partnership units and other equity in the Legacy Lands LP, under the Companies’ Creditors Arrangement Act proceedings.

The court finds that C&W is not entitled to a commission, as the relevant brokerage agreements had expired or were never executed for the properties in question, and the transaction at issue was not contemplated by the commission provisions.

The court also dismisses C&W’s alternative claim for unjust enrichment.

This endorsement grants a brief adjournment in the Companies’ Creditors Arrangement Act (CCAA) proceedings involving Hudson’s Bay Company ULC and related entities, following ongoing discussions between the applicants and stakeholders.

The court extends the stay of proceedings, increases the Directors’ Charge, amends the relative priorities of charges, and approves the engagement of Reflect Advisors, LLC as financial advisor.

The court finds the requested relief appropriate, unopposed, and supported by the Monitor, and orders the requested amendments to the Initial Order.

This decision addresses three motions in the receivership of the Bridging Funds: (1) the Receiver’s motion for an interim distribution to unitholders, (2) approval of a settlement with the BlackRock Parties, and (3) the unitholders’ motion for a constructive trust.

The court approved the interim distribution but required a sufficient reserve for the disputed Cerieco claim until its final determination.

The BlackRock settlement was approved.

The constructive trust motion was deferred pending resolution of the Cerieco claim.

The decision provides detailed guidance on the treatment of creditor and unitholder claims in a complex receivership under the Securities Act.

The Thomas Canning Claimants appealed two procedural decisions by the Claims Officer in the Bridging Finance Inc. receivership, which denied their requests for extensive pre-hearing disclosure of documents from the Receiver and examinations of third-party witnesses.

The Claimants argued these denials were procedurally unfair and prioritized expediency over their disclosure rights.

The court dismissed the appeal, finding the Claims Officer's decisions were discretionary case management orders entitled to deference, and that no palpable and overriding error or failure of natural justice occurred.

The court emphasized that receivership claims processes are intended to be expeditious and summary, unlike normal civil litigation.

The applicants, a group of related companies under CCAA protection, sought an Amended and Restated Initial Order at a comeback hearing.

The requested relief included extending the stay of proceedings, increasing the maximum principal amounts for the DIP Facility, Administration Charge, and Directors’ Charge, approving a Key Employee Retention Plan (KERP) with a super priority charge, sealing the KERP summary, and maintaining the status quo of Indiva’s Excise Licence.

The court granted all requested relief, finding it appropriate and necessary for the restructuring process, with no opposition from any party or the Monitor.

The applicants, a group of cannabis companies, sought first-day relief under the Companies' Creditors Arrangement Act (CCAA) due to a severe liquidity crisis and default on senior debt obligations.

The court granted all requested initial orders, including a declaration that the applicants are CCAA companies, the appointment of PricewaterhouseCoopers Inc. (PwC) as Monitor, approval of a Debtor-in-Possession (DIP) facility of up to $900,000, an initial 10-day stay of proceedings, relief from certain securities law requirements, and the granting of administration, DIP lender's, and directors' charges.

The relief was supported by the existing senior secured creditor, SNDL Inc., and the proposed Monitor, PwC.

DGAP Investments Ltd. sought a stay pending leave to appeal an order from the supervising judge in a CCAA proceeding.

The order authorized Stelco Inc. to acquire partnership units in a Land Vehicle, which DGAP argued would obstruct its prior agreement to purchase land from the Land Vehicle.

The Court of Appeal applied the RJR-MacDonald test for a stay, finding that DGAP's case for leave to appeal was weak on the merits, there was no irreparable harm given the supervising judge's measures to protect DGAP's interests, and the balance of convenience favoured dismissing the stay to allow the CCAA proceeding to conclude and benefit aging stakeholders.

The motion for a stay was dismissed, and the leave to appeal motion was expedited.

The SMA 2 Unitholders sought a declaration that substantive consolidation does not apply to Bridging SMA 2 LP and approval for a second interim distribution.

The Receiver and Unitholder Representative Counsel opposed, arguing the motion was premature as various distribution issues, including the full economic impact of consolidation, remained unresolved.

The court dismissed the motion, deferring to the Receiver's position that a determination on substantive consolidation and further distributions was premature given the incomplete factual record and outstanding distribution issues.

In the receivership of the Bridging Funds, the Receiver brought a motion to determine whether unitholders with Potential Statutory Rescission Claims (based on misrepresentations in offering memoranda) or Potential Redemption Claims (based on unfulfilled redemption requests) were entitled to priority over General Unitholder Claims.

The court held that Potential Redemption Claims were not entitled to priority because the redemption requests had not been completed prior to the receivership.

However, the court held that Potential Statutory Rescission Claims were entitled to priority, finding that the statutory right of rescission under s. 130.1(1) of the Securities Act creates a de facto priority and justifies the imposition of a constructive trust over the invested funds.

The Applicants brought an unopposed motion in their CCAA proceedings for an Amended and Restated Initial Order and an order approving a sale and investment solicitation process (SISP).

The court granted the requested relief, extending the stay period, increasing the Directors' and DIP Lenders' Charges, elevating their priority, and relieving the Applicants from incurring further expenses for certain Securities Filings.

The court also approved the SISP, noting appropriate precautions regarding information sharing with the Debenture Trustee.

A request by a litigation counterparty for a specific document preservation order was declined as unnecessary.

The applicants, a group of companies in the cannabis industry, sought an initial order under the Companies' Creditors Arrangement Act (CCAA) due to an urgent liquidity crisis.

The court found that the applicants were debtor companies under the CCAA and granted a stay of proceedings, extending it to certain non-applicant subsidiaries that were highly integrated into the business.

The court also approved a debtor-in-possession (DIP) loan and associated charge to fund operations during the initial 10-day stay.

Additionally, the court granted an administration charge, a directors' charge, authorized certain pre-filing payments, and postponed the ultimate parent company's annual general meeting.

The applicants and respondents, involved in a joint venture for a condominium development, experienced an irrevocable breakdown in their relationship.

Both sides agreed the property should be sold but disagreed on the mechanism: the applicants sought the appointment of a receiver, while the respondents sought a signing officer with limited powers.

The court found it just and convenient to appoint a receiver to conduct the sales process, concluding that a receivership would not stigmatize the property and that the receiver's powers could be appropriately tailored to consider existing offers.