October 22, 2014
Industry Canada Tables Report On BIA/CCAA Review
Industry Canada on October 20, 2014 introduced in Parliament a report regarding the provisions and operation of the Bankruptcy and Insolvency Act (BIA) and the Companies’ Creditors Arrangement Act (CCAA).
This report, entitled Fresh Start: A Review of Canada's Insolvency Laws, reflected the omnibus corporate and commercial submission from the Canadian Association of Insolvency and Restructuring Professionals (CAIRP).
The Industry Canada report is intended to ensure that the BIA and CCAA continue to meet their objectives as key pieces of marketplace framework legislation.
“An efficient, well-functioning insolvency regime is vital to Canada's continued economic prosperity,” Industry Minister James Moore said in a letter accompanying the report.
“Stakeholders told us that Canada's insolvency laws have responded well to the needs of Canadian consumers and businesses, particularly during the recent recession. At the same time, Canada's insolvency laws must evolve to meet the needs of the economy and changes in the global marketplace.”
The review included an examination of academic research and expert commentary, insolvency proceedings and judicial decisions, and domestic and international economic and insolvency trends. It was complemented by a broad outreach effort to an array of key stakeholders, including insolvency practitioners and academics, industry associations such as CAIRP and the Insolvency Institute of Canada, and employee and retiree groups.
CAIRP’s submission was based on research and discussions to identify areas where the legislation can be improved. André Bolduc (BDO, Ottawa) led our Consumer Advocacy Task Force and Jonathan Krieger (GT, Toronto) and Mark Wentzell (GT, Vancouver) headed a joint team made up of our Corporate Practice Committee and our Corporate Advocacy Task Force.
A parliamentary committee review and report stage will occur next. During this time, Industry Canada will continue to reach out to stakeholders, including academics and insolvency experts, and conduct further study and analysis.
Decisions regarding any potential reforms will be made following the parliamentary committee report stage.
A link to the full report can be found on CAIRP’s website: http://www.cairp.ca/insolvency-professionals/professional-development/submissions-to-government
Comments can be sent to CAIRP at email@example.com