Alberta Court of Appeal Overturns Finding that Administrative Penalty Survives Bankruptcy

Photo of Steven LeitlPhoto of Aaron StephensonPhoto of Preston BraschBy Steven Leitl, Aaron Stephenson and Preston Brasch on Posted in Securities regulatory decisions
We earlier blogged here about Alberta Securities Commission v Hennig (Hennig QB) in which a chambers judge held that an administrative penalty levied by the Alberta Securities Commission (ASC) survived an individual’s discharge from personal bankruptcy under ss 178(1)(a) and (e) of the Bankruptcy and Insolvency Act (BIA). This decision was recently overturned by the … Continue reading

Regression Analysis Fails to Save the Day for the Defendant

Photo of Katrina CrockerBy Katrina Crocker on Posted in Other developments, Securities regulatory decisions
On November 2, 2021, the Ontario Divisional Court dismissed a motion for leave to appeal the decision of Justice Morgan, who granted leave to the plaintiff to commence an action under section 138.3 of the Ontario Securities Act (OSA) against Canadian cannabis producer Auxly Cannabis Group Inc. (Auxly). The Plaintiff’s Allegations The plaintiff alleged that … Continue reading

From Textual to Contextual: Court of Appeal Affirms the Scope of ‘Public Corrections’ in Statutory Secondary Market Misrepresentation Claims

Photo of Erika AnschuetzPhoto of Lauren RennieBy Erika Anschuetz and Lauren Rennie on Posted in Other developments, Securities regulatory decisions
In Baldwin v Imperial Metals Corporation, 2021 ONCA 838 (Baldwin), the Ontario Court of Appeal considered the scope of ‘public corrections’ in secondary market misrepresentation claims under Ontario’s Securities Act (the Securities Act) and followed the reasoning of its previous decision this year in Drywall Acoustic Lathing and Insulation, Local 675 Pension fund v Barrick … Continue reading

Not-so “Great Offers”: Hefty Penalties for Entrepreneurs Promoting Cryptoasset Mining Contracts Online

Photo of Sophie MelchersBy Sophie Melchers on Posted in Securities regulatory decisions
At-a-glance In Autorité des marchés financiers c. GO Great Offers Direct Ltd., 2021 QCTMF 57, the Financial Markets Administrative Tribunal (TMF or Tribunal) imposed administrative penalties of $50,000 on each of Martin LeBlanc (LeBlanc) and Johnny Martin (Martin) and issued cease trade order against them, Nuvoo Inc. (Nuvoo) and G.O. Great Offers Direct Ltd. (Great … Continue reading

SEC SPEAKS: Enforcement’s Planned Use of Aggressive Remedies

Photo of Kevin James HarnischPhoto of Linda FuerstPhoto of Ilana Beth SinkinPhoto of Devlin HealeyBy Kevin James Harnisch, Linda Fuerst, Ilana Beth Sinkin and Devlin Healey on Posted in Securities regulatory decisions, Uncategorized
In his remarks at SEC Speaks 2021 on October 13, 2021, the Securities and Exchange Commission’s (“SEC”)’s new Director of Enforcement, Gurbir Grewal, discussed the waning public trust in “our financial markets” and the “near historic lows” of confidence in banks, technology companies, and big business and the SEC’s plan to combat this trend.[1] In … Continue reading

No Stay of Financial Markets Administrative Tribunal Orders Freezing Bank Accounts and Suspending Rights Granted by Registration Pending Appeal

Photo of Sophie MelchersBy Sophie Melchers on Posted in Securities regulatory decisions, Uncategorized
Alteon Senat c. Autorité des marchés financiers, 2021 QCCQ 7090 (CanLII), https://canlii.ca/t/jhnl5 (Available in French only)   No Stay of Financial Markets Administrative Tribunal Orders Freezing Bank Accounts and Suspending Rights Granted by Registration Pending Appeal FACTS After having filed an appeal from orders issued by the Financial Markets Administrative Tribunal (the TMF) freezing their … Continue reading

Ontario Court of Appeal clarifies that the test to continue a freeze order under the Ontario Securities Act has a lower standard than the test for reasonable and probable cause.

Photo of Ted BrookBy Ted Brook on Posted in Other developments
In Qin v. Ontario Securities Commission, 2021 ONCA 165 (“Qin”), the Ontario Court of Appeal considered whether a prior judicial finding that a freeze order under s. 126(5.1) of the Ontario Securities Act was “reasonable and expedient” in the circumstances precluded a party from arguing in a malicious prosecution claim that the Ontario Securities Commission … Continue reading

Alberta Court Finds that Administrative Penalty Survives Bankruptcy: The Sequel

Photo of Steven LeitlPhoto of Aaron StephensonBy Steven Leitl and Aaron Stephenson on Posted in Other developments
In February 2020, we blogged about a then recent decision by Romaine J. of the Court of Queen’s Bench of Alberta relating to the interplay between the personal bankruptcy regime and administrative penalties.  In Alberta Securities Commission v Hennig, 2020 ABQB 48 (Hennig), the Alberta Securities Commission (ASC) levied an administrative penalty against an individual … Continue reading

When you know, you know: Kaynes v BP p.l.c, 2021 ONCA 36 confirms how discoverability operates in fraudulent misrepresentation claims

Photo of Linda FuerstPhoto of Justine SmithBy Linda Fuerst and Justine Smith on Posted in Class actions, Limitation Periods
In Kaynes v BP p.l.c, 2021 ONCA 36, the Ontario Court of Appeal clarified when a claim for fraudulent misrepresentation is discoverable under the Limitations Act, 2002, S.O. 2002, c. 24, Sched. B (Limitations Act), and in what circumstances it is appropriate for a limitation issue to be decided on a Rule. 21.01(1)(a) motion. Facts: … Continue reading
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