Case information
Consult our database for details on a Supreme Court of Canada case.
31690
General Motors Acceptance Corporation of Canada Limited v. Royal Bank of Canada
(Newfoundland & Labrador) (Civil) (By Leave)
Docket
Judgments on applications for leave to appeal are rendered by the Court, but are not necessarily unanimous.
| Date | Proceeding | Filed By (if applicable) |
|---|---|---|
| 2007-03-16 | Close file on Leave | |
| 2007-03-16 | Copy of formal judgment sent to Registrar of the Court of Appeal and all parties | |
| 2007-03-16 | Judgment on leave sent to the parties | |
| 2007-03-15 |
Judgment of the Court on the application for leave to appeal, The application for leave to appeal from the judgment of the Supreme Court of Newfoundland and Labrador - Court of Appeal, Number 05/96, 2006 NLCA 45, dated August 28, 2006, is dismissed with costs. Dismissed, with costs |
|
| 2007-02-19 | All materials on application for leave submitted to the Judges, Bi De Abe | |
| 2006-12-05 | Applicant's reply to respondent's argument, Completed on: 2006-12-05 | General Motors Acceptance Corporation of Canada Limited |
| 2006-12-04 | Correspondence received from, H. S. Brown, Q.C. re: enclosing a revised first page of the memorandum of argument, amending paragraph 3 (changes made in all leave books) | General Motors Acceptance Corporation of Canada Limited |
| 2006-11-27 | Respondent's response on the application for leave to appeal, Completed on: 2006-11-27 | Royal Bank of Canada |
| 2006-10-30 | Letter acknowledging receipt of a complete application for leave to appeal | |
| 2006-10-27 | Application for leave to appeal, (original service rec'd. Oct. 30/06), Completed on: 2006-10-27 | General Motors Acceptance Corporation of Canada Limited |
Parties
Please note that in the case of closed files, the “Status” column reflects the status of the parties at the time of the proceedings. For more information about the proceedings and about the dates when the file was open, please consult the docket of the case in question.
Main parties
| Name | Role | Status |
|---|---|---|
| General Motors Acceptance Corporation of Canada Limited | Applicant | Active |
v.
| Name | Role | Status |
|---|---|---|
| Royal Bank of Canada | Respondent | Active |
Counsel
Party: General Motors Acceptance Corporation of Canada Limited
Counsel
Stacey O'Dea
Suite 500, Baine Johnston Centre
10 Fort Williams Place, P.O. Box 5939
St. John's, Newfoundland & Labrador
A1C 5X4
Telephone: (709) 722-8735
FAX: (709) 722-1763
Agent
2600 - 160 Elgin St
P.O. Box 466, Stn "D"
Ottawa, Ontario
K1P 1C3
Telephone: (613) 233-1781
FAX: (613) 788-3433
Email: henry.brown@gowlings.com
Party: Royal Bank of Canada
Counsel
Fortis Building, 11th Floor
139 Water Street, P.O. Box 337
St. John's, Newfoundland & Labrador
A1C 5J9
Telephone: (709) 722-5181
FAX: (709) 722-7521
Email: gmsmith@curtisdaw.nf.ca
Agent
300 - 50 O'Connor Street
Ottawa, Ontario
K1P 6L2
Telephone: (613) 232-7171
FAX: (613) 231-3191
Email: jbeedell@langmichener.ca
Summary
Keywords
None.
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.
Bankruptcy and Insolvency — Procedure — Claims — Priority among secured creditors to proceeds of sale of bankrupt company — What is the legal effect of a subordination agreement between secured creditors on an intervening secured creditor's priority position vis-a-vis the beneficiary of the subordination agreement (this has been referred to in legal literature as a "circular priorities" issue) — What is the legal effect of a priority agreement between two secured creditors covenanting not to subordinate to any third parties on a subsequent subordination agreement between one of the secured creditors and a secured third party when determining priorities as between the three secured parties — What is the extent of the requirement of the appellate court to consider a legal issue argued on appeal and contained in the party's factum and provide adequate reasons for its decision concerning the issue?
At issue is the priority among secured creditors of Hickman Equipment Limited (HEL) to the proceeds of sale ($884,500) from eight units of heavy equipment (three backhoes, three excavators and two loaders) that were owned by HEL. HEL is bankrupt. It had been in the business of selling or leasing heavy equipment, primarily for road construction and forestry. The dispute centres on the legal effect of a subordination agreement between the respondent, Royal Bank of Canada (RBC) and Canadian Imperial Bank of Commerce (CIBC), and how (if at all) this affects priority as between RBC and the applicant, General Motors Acceptance Corporation (GMAC), to the proceeds of sale of the eight units. The Trial Judge held that RBC's subordination agreement with CIBC did not result in it having priority over GMAC. The Court of Appeal allowed the appeal and ordered that the proceeds of sale of the eight units be paid to RBC.
Lower court rulings
Supreme Court of Newfoundland & Labrador, Trial Division
2002 01 T 0352, 2005NLTD122
RBC's application for a determination of its priority entitlement to the proceeds of sale of collateral, dismissed. Proceeds arising from RBC Collateral ordered to be paid to GMAC and GMAC ordered to pay to CIBC the sum owing pursuant to the Priority Agr
Supreme Court of Newfoundland and Labrador - Court of Appeal
05/96, 2006 NLCA 45
Appeal allowed and order of trial judge varied in part: the proceeds of sale ordered to be paid to RBC
Filed documents
The memorandums of argument on an application for leave to appeal will be posted here 30 days after leave to appeal has been granted unless they contain personal information, information that is subject to a publication ban, or any other information that is not part of the public record. You may also obtain copies of the memorandum by filling out the Request for Court records form or by contacting the Court’s Records Centre either by email at records-dossiers@scc-csc.ca or by telephone at 613‑996‑7933 or at 1‑888‑551‑1185.
If you have questions about a memorandum of argument or want to use a memorandum of argument, please contact the author of the memorandum of argument directly. Their name appears at the end of the memorandum of argument. The contact information for counsel is found in the “Counsel” tab of this page.
Downloadable PDFs
Not available
Related links
The factums of the appellant, the respondent and the intervener will be posted here at least 2 weeks before the hearing unless they contain personal information, information that is subject to a publication ban, or any other information that is not part of the public record. You may also obtain copies of factums by filling out the Request for Court records form or by contacting the Court’s Records Centre either by email at records-dossiers@scc-csc.ca or by telephone at 613‑996‑7933 or at 1‑888‑551‑1185.
If you have questions about a factum or want permission to use a factum, please contact the author of the factum directly. Their contact information appears on the first page of each factum.
Downloadable PDFs
Not available
Related links
The condensed books of the appellant, the respondent and the intervener will be posted here upon receipt of the electronic version, 2 days prior to the scheduled appeal hearing. You may also obtain copies of condensed books by filling out the Request for Court records form or by contacting the Court’s Records Centre either by email at records-dossiers@scc-csc.ca or by telephone at 613‑996‑7933 or at 1‑888‑551‑1185.
If you have questions about a condensed book or want permission to use a condensed book, please contact the author of the condensed book directly. Their contact information appears on the first page of each condensed book.
Downloadable PDFs
Not available