Supreme Court of Canada Weighs in on Plan Deficits and the Fiduciary Duty of Pension Plan Administrators in an Insolvency: Sun Indalex Finance, LLC v. United Steelworkers

INTRODUCTION On February 1, 2013, the Supreme Court of Canada issued its highly anticipated decision in Sun Indalex Finance, LLC v. United Steelworkers, largely overturning the 2011 Ontario Court of Appeal decision. The Supreme Court upheld an expansive definition of the deemed trust under the Ontario Pension Benefits Act (“PBA”) and struck down a constructive…

Supreme Court of Canada Renders Decision in Indalex

Today, the Supreme Court of Canada rendered its long-awaited decision in Sun Indalex Finance, LLC v. United Steelworkers. The decision contains important findings with respect to, among other matters, the fiduciary duties of plan administrators, the reach of the statutory deemed trust provisions of the Ontario Pension Benefits Act, and the priority given to pension…

Raising the Bar – Fifth Edition

“Learn from yesterday, live for today, hope for tomorrow.”                                                                        Albert Einstein Dear Friends, We’re very pleased to bring you the first 2013 edition of Raising the Bar, as our publication hits its second year. In this issue, we shine a light on the law of fiduciary duties. We discuss…

Supreme Court of Canada to Render Indalex Decision on February 1, 2013

The Supreme Court of Canada has announced that it will render its decision in Sun Indalex Finance, LLC et al. v. United Steelworkers et al. (“Indalex“) on Friday, February 1, 2013. The appeal relates to a decision of the Court of Appeal for Ontario that granted “super-priority” to pension funding deficits in a Companies’ Creditors…

Ontario Court of Appeal Revisits Pension and Insolvency Principles: Indalex

INTRODUCTION On April 7, 2011, the Ontario Court of Appeal (the “Court”) released its decision in Re Indalex Limited. In this decision, the Court considers and revisits fundamental and established Canadian pension and insolvency law principles, making this decision required reading for members of pension committees, human resources professionals involved in pension plan administration, and…

Litigation Podcast

The upward trend in employee mobility has caused employers to think more about departing employee litigation. Is that restrictive covenant worth the paper it’s written on? What exactly is a fiduciary duty? Download a discussion between three of our litigators, Ian Dick, Stephen Gleave, and Dan Michaluk, on these timely issues. Download podcast (23MB)