This significant recent decision of the Supreme Court of Canada confirms (i) that a CCAA supervising judg…
This significant recent decision of the Supreme Court of Canada confirms (i) that a CCAA supervising judge enjoys broad discretion and the necessary jurisdiction to prevent a creditor from voting on a plan of arrangement when the creditor is acting for an improper purpose, and (ii) that litigation funding is not intrinsically illegal and that a litigation funding agreement can be approved by the Court as an interim financing in insolvency. The decision establishes third-party litigation funding as a powerful tool in debtor counsels toolkit to maximize recovery for company stakeholders.
Introduction
As the number of corporate i…
Read the full article at: https://iclg.com/briefing/13257-bluberi-key-canadian-insolvency-ruling-affirms-litigation-funding-as-a-tool-for-insolvent-debtors-and-supports-judicial-discretion-in-ccaa-proceedings
