Ontario Severance

Ivaco Inc., Re

2006 CanLII 34551 (ON CA)Court of Appeal for OntarioDecided

Ivaco Inc. (Re) - Priority of Pension Deemed Trusts

Summary

This is an appeal to the Court of Appeal from orders made by a judge supervising Companies' Creditors Arrangement Act (CCAA) proceedings. The dispute was between employees and retirees in non-union pension plans claiming unpaid contributions under a deemed trust, and financial creditors seeking to petition the insolvent companies into bankruptcy. The motions judge dismissed the Superintendent's motion for immediate payment or segregation of the deemed trust amounts and lifted the CCAA stay to allow the bankruptcy petitions to proceed. The Court of Appeal dismissed the appeal, holding that the motions judge did not err in law or in the exercise of his discretion.

Outcome

appeal dismissed

Key Factors

  • provincial deemed trusts in bankruptcy
  • lifting of ccaa stay
  • fiduciary duties of monitor
  • court jurisdiction to transfer head office

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More Ontario employment decisions from 2006

This summary was written by AI from the published decision and its headnote. It is not an official version of the decision; read the full text on CanLII before relying on it. This is legal information, not legal advice. Ontario Severance is an educational tool. If you are facing a serious employment law matter, consult with a qualified employment lawyer in Ontario.