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Key points

  • Court does not have jurisdiction to direct detailed assessment of fees agreed by administrators on application of liquidator
  • Administrators can agree solicitors’ fees for work carried out during the administration after they cease holding office
  • The court has no inherent jurisdiction to direct a detailed assessment

The facts

Hello everyone,

The Court of Appeal has released a variety of cases this week dealing with such topics as wrongful dismissal, bankruptcy and insolvency, pensions, real estate, and residential landlord and tenant. The most notable decision by far this week is the Groia v. The Law Society of Upper Canada decision in which the court dismissed the member’s appeal from his conviction for professional misconduct. Apparently, according to the Toronto Star, Mr. Groia will be seeking leave to appeal to the Supreme Court of Canada, so this long-running saga is not over yet.

Key Points

  • Court held notice to scheme creditors (here two weeks) was not sufficient in light of complexity of scheme
  • Court also highlighted deficiencies in supporting documentation

The Facts

Hello everyone,

The Court of Appeal had a busy week and released a number of civil decisions, many of which were procedural in nature – extension of time, leave to appeal, limitation periods, Rule 21. One of these procedural decisions was in the Nortel case, in which the court denied leave to appeal Justice Newbould’s trial decision, apparently bringing the matter substantially closer to a conclusion.

Have a nice weekend.

John Polyzogopoulos

Civil Decisions

Key points

  • Principles applying to exercise of liquidators’ powers are the same as those prior to legislative changes
  • Views of creditors influenced by personal considerations to be disregarded
  • The overriding requirement is for liquidators to exercise their professional judgment in the best interests of creditors

The facts

Hello everyone.

Except for a brief addendum to an order made in a criminal matter, the Court of Appeal only released civil law decisions this week, which is rare. Topics covered included whether or not leave to appeal a vesting order made on a receivership sale under the Bankruptcy and Insolvency Act is required (it is), an ironic case in which a lawyer initially resisted a professional negligence claim for missing a limitation period by arguing the limitation period had been missed (nice try), insurance law and adjournments.

Key Points

  • Test for personal service of bankruptcy petition same as for claim forms
  • Document to be handed to debtor or contents explained and left “with or near” debtor
  • Rule 7.55 can be used to remedy any irregularity in service if necessary

The Facts

Hello again.

Most of the Court of Appeal civil decisions this week were procedural in nature.  Topics included the standard of review of discretionary orders (deference), municipal law, leave to appeal and stays pending appeal in the CCAA context and the consolidation of appeals to the Court of Appeal as of right with Divisional Court appeals requiring leave.

Have a nice weekend.

Table of Contents

Civil Decisions

Pickering (City) v. Slade, 2016 ONCA 133

Key Points

  • Court considers the impact of the Spanish Insolvency Act on guarantees governed by English law
  • Court holds that the liability under the guarantee was not extinguished

The Facts