Part XXIII.1 of the Ontario Securities Act, which created a statutory cause of action for misrepresentation available to purchasers of securities on the secondary market (i.e. a stock market), was enacted more than 13 years ago to much fanfare. At that time, few would have predicted that the most troublesome and litigated section in Part XXIII.1 would be the section (s.138.14) that created a seemingly simple three year limitation period after a public company’s alleged misrepresentation was released within which to advance claims. First there was the 2011 Sharma v. Timminco decision which said that, unless leave to proceed under Part XXIII.1 was obtained within the ... [more] Full article