The Peoples Decision - Two Years Later: Where Are We At And What Have We Learned?

31.10.06
Heather M.B. Ferris and Michael B. Morgan

In October 2004, the Supreme Court of Canada (“SCC”) issued its decision in Peoples Department Stores Inc. (Trustee of) v. Wise. It was hoped that this decision would clarify, once and for all, to what extent directors of insolvent or “near-insolvent” corporations are required to consider and take into account the interests of creditors when making governance decisions.