We have recently profiled conflicting cases (available here and here) dealing with a priority contest between supe
Canada, Insolvency & Restructuring, Litigation, Tax, McCarthy Tétrault LLP, Bankruptcy, Debtor, Excise, Secured creditor, Canada Revenue Agency, Income-Tax Act 1961 (India), Supreme Court of Canada, Federal Court of Appeal (Canada)
The treatment of shareholder and other equity-related claims in the context of insolvency and reorganization proceedings in Canada was initially judge-determined and the case law generally accepted the premise that shareholders were not entitled to share in the assets of an insolvent corporation until after all the ordinary creditors have been paid in full. In 2009 further clarity was brought to the issue by introduction of the “