Patricia McLean v. Executive Director of the British Columbia Securities Commission

(British Columbia) (Civil) (By Leave)




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Legislation Interpretation Limitation of Actions Interpretation of ss. 159, 161(6), and 161(6) of the Securities Act, R.S.B.C. 1996, c. 418 Whether the event giving rise to proceedings for the purposes of s. 159 was entering into a settlement agreement in Ontario or the conduct in Ontario giving rise to the settlement agreement.

On September 8, 2008, the appellant entered into a settlement agreement with the Ontario Securities Commission in respect to allegations of acts contrary to the public interest between May 2000 and March 2001. On January 14, 2010, the Executive Director of the British Columbia Securities Commission gave notice to the appellant of an application for an order in the public interest under s. 161(6)(d) of the Securities Act, R.S.B.C. 1996, c. 418. Section 159 of the Securities Act states that action “must not be commenced more than 6 years after the date of the events that give rise to the proceedings”. The appellant provided a written submission in part challenging the application on the basis that the limitation period had expired. No oral hearing was requested or held. The British Columbia Securities Commission issued a public interest order placing restrictions on the appellant.

Lower Court Rulings

May 14, 2010
British Columbia Securities Commission

2010 BCSECCOM 262
Order that until September 8, 2013: applicant shall cease trading in, and be prohibited from purchasing, securities and exchange contracts (with exceptions); any or all of the exemptions set out in the regulations do not apply to the applicant; applicant is prohibited from becoming or acting as a director or officer of a reporting issuer or registrant.
November 10, 2011
Court of Appeal for British Columbia (Vancouver)

CA038196, 2011 BCCA 455
Applicant’s appeal allowed