|"The Supreme Court of Canada announced today that it will hear appeals in a trilogy of Ontario securities class action cases: Green v. CIBC, Silver v. IMAX and Celestica v. Millwright Regional Council of Ontario Pension Trust Fund."|
By Mark Gelowitz, Robert Carson ... Osler
Posted Date: February 24, 2014
The purpose of the Securities Act is to protect investors from unfair, improper, or fraudulent practices and to foster fairness, efficiency, and confidence in capital markets. A strict application of Timminco has caused undue prejudice to plaintiffs and retards these aims. The Court of Appeal’s decision in Timminco arose from a vacuum in which the court failed to consider any of the consequences that flowed from its decision.
Directly faced with the consequences of Timminco, the Court of Appeal reversed itself, and set aside its previous interpretation given to the suspension of the limitation period associated with claims made for misrepresentations in respect of shares trading in the secondary market. In so doing, it struck the correct balance between prejudice to plaintiffs, the rights of the defendants, the public interest, and the goals of the act.