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Important Supreme Court of Canada Decision on Receiver Liability as a Successor Employer

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August 10, 2006

On July 27, 2006, the Supreme Court of Canada released its decision in The Industrial Wood & Allied Workers of Canada, Local 700 v.GMAC Commercial Credit Corporation of Canada et al. dealing with, among other things, the authority of Bankruptcy Courts to protect trustees and receivers from successor employer liabilities by issuing protective orders and by applying a stringent threshold before leave to appeal to labour boards is granted.

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