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ARTICLE · 13 SEPTEMBER 2016

Court Of Appeal Summaries (September 5 – September 9, 2016)

Blaney McMurtry LLP
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It was in the US Steel CCAA proceeding in which the Court of Appeal agreed with the CCAA judge below that he did not have the jurisdiction under the CCAA to grant the remedy of equitable subordination.

CanadaLitigation, Mediation & Arbitration
John Polyzogopoulos
John Polyzogopoulos
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Hello,

There was only one substantive civil decision released this week. It was in the US Steel CCAA proceeding in which the Court of Appeal agreed with the CCAA judge below that he did not have the jurisdiction under the CCAA to grant the remedy of equitable subordination. However, the court did not go so far as the judge below appeared to do and say that equitable subordination does not exist in Canada. It left that issue to another day, and suggested that a judge under the BIA may have the jurisdiction to grant equitable subordination. This provides another example where the lack of complete concurrence between the CCAA and the BIA could result in "forum shopping" as between Canada's two insolvency statutes.

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