In the Matter of Forest and Marine Financial Corporation (2009) BCCA 319, the British Columbia Court of Appeal was called upon to consider whether a limited partnership qualifies for protection under the Companies Creditors’ Arrangement Act (“CCAA”). The Court also considered whether, in the circumstances of the case, a stay of proceedings should have been issued with respect to the limited partnership. In addressing these issues, the Court also commented on whether a secured creditor’s declaration that it would not support any form of restructuring plan is sufficient to effectively “doom to failure” a plan of arrangement under the CCAA.

type Bankruptcy Update – July 2009 - Limited Partnerships and the CCAA