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Corporate Litigation

a journal devoted to litigation involving corporations and their shareholders

 
Volume VIII, No. 2 2006
Highlights

FRANCHISE AGREEMENTS

How Good Faith and Fair Dealing Operate During the Termination of a Dealership Agreement: the BMW Experience
Sébastien Richemont
In 2006, the Quebec Court of Appeal delivered its decision in Automobiles Jalbert Inc. v. BMW Canada Inc., touching on many aspects of the relationship between manufacturer and dealer. As Sébastien Richemont explains, in holding that the duties of good faith and fair dealing cannot be used to modify the right of a party to exercise its contractual right of termination, the Court of Appeal has reaffirmed that in the absence of an express contractual term to the contrary, a commercial relationship can always be terminated when the appropriate notice period is given. The author comments on both the trial and appeal judgments in the case and the effect that these decisions will likely have on disputes regarding the term, termination rights and incentive programs under dealership agreements going forward.

SECURITIES LEGISLATION

Kerr v. Danier Leather Inc. – the Ontario Court of Appeal Gets it Right
Michael E. Barrack, Robert D. Chapman, Eric Gertner, Garth M. Girvan, Edward P. Kerwin
The decision of the Ontario Court of Appeal in Kerr v. Danier Leather Inc. was a significant pronouncement on misstatements in prospectuses in Ontario. In this article, the approach of the Ontario Court of Appeal is analyzed with regard to the obligation to update prospectuses, the effect of implied representations as to reasonableness of the information in prospectuses, the business judgment rule and the differences between "material changes" and "material facts." The authors (Michael Barrack, Robert Chapman, Eric Gertner, Garth Girvan and Edward Kerwin) also place the decision in a broader context in terms of the practical implications for issuers and underwriters in Canada.

ELECTRONIC EVIDENCE

The Current Challenges of Electronic Discovery in Canada
Brian Reny
Since the first e-mail was sent in 1971, the introduction of electronic evidence has changed the nature of the discovery process in Canada. It is imperative for counsel, either internal or external, to recognize the unique characteristics of electronic documents that can complicate their capture and analysis. Failure to understand and properly consider these challenges can lead to an unintended failure to produce relevant evidence or accidental spoliation of evidence. While jurisprudence has helped to shape electronic discovery in America, Canada lacks clear judicial guidance on electronic discovery. Brian Reny explores the current challenges of electronic discovery and offers insight into the future of electronic discovery in Canada.

 

Board

Larry P. Lowenstein
Editor-in-Chief
Osler, Hoskin & Harcourt LLP

Peter Armstrong
KPMG Forensics Inc.

Larry A. Banack
Koskie Minsky

Lyndon A.J. Barnes
Osler, Hoskin & Harcourt LLP

H. Martin Kay, QC
Bennett Jones LLP

Paul H. Le Vay
Stockwoods LLP

F. Paul Morrison
McCarthy Tétrault LLP

Robert S. Russell
Borden Ladner Gervais LLP

William V. Sasso
Sutts, Strosberg LLP

James C. Tory
Torys LLP

James A. Woods
Woods & Partners

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