An end to frivolous Canadian securities class action filings

FRT Admin
Site administrator
September 8, 2015

The Supreme Court of canadaCanada set the certification bar higher with its recent decision in Coffin v. Atlantic Power Corp. Following the decision in Theratechnologies Inc. v Canada Inc., the Coffin case is the first in which a judge has ruled that it was brought in a frivolous matter and had no merit. This decision reflects a seemingly growing trend of court decisions being more rigorous in scrutinizing filed securities class actions.

This is not only an in Canada; there have been instances of this in the U.S. as well.  Due to a rise in the amount of filings, some with no clear misrepresentations made and no evidence that management had made any false statements, it will be interesting to see how the courts scrutinize these cases. Does it mean we’ll see fewer settlements in the future? Or will it push the cases with stronger merits to the forefront?

Read more about the Supreme Court of Canada’s decision here.

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Founded in 2008, Financial Recovery Technologies (FRT) is the leading technology-based services firm that helps the investment community identify eligibility, file claims and collect funds made available in securities and other class action settlements. Offering the most comprehensive range of claim filing and monitoring services available, we provide best-in-class eligibility analysis, disbursement auditing and client reporting, and deliver the highest level of accuracy, accountability and transparency available. For more information, go to www.frtservices.com.

This communication and the content found by following any link herein are being provided to you by Financial Recovery Technologies (FRT) for informational purposes only and does not constitute advice. All material presented herein is believed to be reliable but FRT makes no representation or warranty with respect to this communication or such content and expressly disclaims any implied warranty under law. Opinions expressed in this communication may change without prior notice. Firms should always seek legal and financial advice specific to their unique situation and objectives.

ABOUT FINANCIAL RECOVERY TECHNOLOGIES
SETTLED  I  NON-US GLOBAL OPT-IN  I  ANTITRUST  I  GLOBAL PASSIVE  I  DIRECT OPT-OUT  I  BUYOUTS

Founded in 2008, Financial Recovery Technologies (FRT) is a leading technology-based services firm that helps the investment community identify eligibility, file claims and collect funds made available in securities and other class action settlements. Offering the most comprehensive range of claim filing and monitoring services available, we provide best-in-class eligibility analysis, disbursement auditing and client reporting, and deliver the highest level of accuracy, accountability and transparency available. For more information, go to www.frtservices.com.

 

This communication and the content found by following any link herein are being provided to you by Financial Recovery Technologies (FRT) for informational purposes only and does not constitute advice. All material presented herein is believed to be reliable but FRT makes no representation or warranty with respect to this communication or such content and expressly disclaims any implied warranty under law. Opinions expressed in this communication may change without prior notice. Firms should always seek legal and financial advice specific to their unique situation and objectives.