The Investment Dealers’ Association found not to owe a duty of care to disgruntled investors
Morgis v. Thomson Kernaghan & Co. (2003), 65 O.R. (3d) 321 (C.A.) In a recent decision, Ontario’s highest Court considered whether liability can be imposed on the Investment Dealers Association of Canada (the “IDA”) for the economic losses sustained by investors in their margin accounts with an IDA member. As a result of sustaining substantial losses in their margin accounts, several investors sued their investment dealer, Thomson Kernaghan & Co. (“Thomson”). Thomson’s IDA membership was subsequently suspended, and it was petitioned into bankruptcy. The investors then sought to add the IDA and certain IDA directors and officers as defendants. The ... [more]
Competition Tribunal orders sale of landfill (again); CWS appeals (again)
Canadian Waste Services has appealed the latest Tribunal decision in its long-running merger case to the Federal Court of Appeal. On June 28, 2004, the Competition Tribunal rejected CWS "change of circumstances" application that sought to rescind the Tribunal’s October 2001, order that it sell the Ridge landfill. The Tribunal made that order after concluding that CWS’ acquisition of the Ridge would substantially lessen and prevent competition. [more]
Withdrawing a bid not “bid-rigging”, court finds
3Com wins nearly US$10 million in two grey marketing fraud cases
3Com, a manufacturer of computer networking equipment and voice over IP telephones, won a total of US$9.9 million in damages in two recent Ontario decisions. On April 29, 2004, Mr Justice Juriansz awarded 3Com US$6.5 in damages against re-seller Zorin International Corp. and its principals, Sam Marotta and Domenic Sicilia for deceit. Earlier, on March 19, 2004, Madam Justice Lang awarded 3Com US$3.4 million in damages against re-seller Intelligent Decisions Inc. (IDI). These are believed to be the largest damage awards ever in grey marketing fraud cases in North America. [more]
Getting Interest Rates Right
In April 2004, the Supreme Court ordered Enbridge Gas Distribution to pay back late payment penalties charged to gas customers that exceeded the limit on interest rates in the Criminal Code. This decision provides a reminder that companies that are not careful in setting interest rates can get into trouble. [more]
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