Summary

Keywords

Civil procedure — Provisional and interlocutory injunctions — Mareva injunction — Can a Mareva injunction be ordered prior to certification/authorization of a class action, and, if so, pursuant to what provision of law or court power? — If so, can the amount be based on class-wide damages or just on the amount of the plaintiff’s injury? — Can a Mareva injunction be ordered as a form of security, whether based on equity or protecting the judicial process from abuse, even where there is no evidence of active removal or dissipation of assets? — What is the proper amount of weight to be given to each of the four criteria for a Mareva injunction? — Ought there be significant consideration where a defendant suffers negligible or no inconvenience to a Mareva injunction being granted? — Must prior persistent or characterized dishonest behaviour of a defendant relate to their dissipation of assets or can it relate to any past conduct? — What is the standard of proof necessary to succeed at a preliminary stage (provisional or safeguard) of a Mareva injunction? — Can impleaded third parties who are not defendants in the underlying legal proceeding also be ordered to comply with a Mareva injunction?

Summary

Case summaries are prepared by the Office of the Registrar of the Supreme Court of Canada (Law Branch). Please note that summaries are not provided to the Judges of the Court. They are placed on the Court file and website for information purposes only.

(PUBLICATION BAN IN CASE) (CERTAIN INFORMATION NOT AVAILABLE TO THE PUBLIC)

The respondent, Robert Gerald Miller (“Miller”), was the President and CEO of Future Electronics (“Future”) until February 3, 2023. He stepped down after a television program aired in which women alleged that Miller had paid them to engage in sexual relations while they were minors. On February 22, 2023, the applicant S.N. filed a class action authorization application on behalf of alleged victims of Miller. The applicant is claiming $2.5 million in compensatory and punitive damages, and she anticipates at least 50 alleged victims will join the class action and will be claiming similar amounts.

On September 14, 2023, it was reported that Future had been sold to a Taiwanese company and that 100% of the company’s shares would be acquired in an “all cash transaction” which was expected to close in the first half of 2024. On October 23, 2023, the applicant filed a Mareva application, in which she sought an order enjoining the respondents and the interveners from selling and disposing of any of their assets. According to the application, such an order would cease to have effect should the respondents provide security by paying $200 million into the court record.

The Superior Court of Quebec dismissed the application for a Mareva injunction. The Court of Appeal of Quebec dismissed the application for leave to appeal.

Lower Court Rulings