Here Are Six Important Securities Litigation Cases From 2020 That You Need To Read

Now that we are into 2021, it seems like an ideal time to reflect on six noteworthy securities law cases from the past year. From securities class actions to enforcement of sanctions, we hand-picked five cases from Ontario and British Columbia, plus one U.S. decision, which together highlight some key securities litigation developments in 2020.

Ontario Securities Commission v. Tiffin, 2020 ONCA 217

The Tiffin decision is confirmation from Ontario's highest court of the breadth to the definition of a "security" under the Securities Act (Ontario) (the "Securities Act"), and of the courts' approach to assessing whether a financial instrument is a security. At issue was whether a simple, non-convertible promissory note is a "security" within the meaning of the Securities Act. The Court of Appeal declined to import the "family resemblance" test formulated under U.S. law into Ontario jurisprudence.¹ Instead, the court found the Securities Act employs a "catch and