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ARTICLE · 28 NOVEMBER 2018

Cy-Près Love: B.C. To Impose Requirements For Charitable Distributions Of Funds From Class Proceedings

Blake, Cassels & Graydon LLP
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On November 19, 2018, the Government of British Columbia introduced Bill 57

CanadaLitigation, Mediation & Arbitration

On November 19, 2018, the Government of British Columbia introduced Bill 57, Attorney General Statutes Amendment Act, 2018 (Bill), in the legislative assembly for first reading. If passed, the Bill will amend the Class Proceedings Act to provide direction on how to allocate undistributed funds at the end of a class action.

Historically, funds that were not distributed to the class were to be applied in any manner that could reasonably be expected to benefit class or subclass members, even though the order does not provide for monetary relief to individual class or subclass members. This is known as a cy-près distribution and such funds were typically provided to a charity.

The Government of British Columbia, in introducing the amendment, noted that one of the fundamental purposes of a class action is to provide access to justice. It further noted that the leading funder of access to justice in British Columbia is the Law Foundation of British Columbia (Law

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