In his decision this Fall in Fraleigh v. RBC Dominion Securities, Ontario Superior Court Justice Newbould summarily dismissed an action brought by John Fraleigh against RBC Dominion Securities and one of its employees. The action was brought for allegedly false statements and testimony given before the Ontario Securities Commission claiming unusual trading activity in his RBC trading accounts – information that was later published in media reports. In dismissing Fraleigh’s action, Justice Newbould found that the claim arose entirely from testimony and other related communications to the OSC; communications that are protected by absolute privilege. [more] Full article

The Ontario Court of Appeal has restored an earlier Ontario Securities Commission ruling, which held that the Investment Dealers Association of Canada (now known as the Investment Industry Regulatory Organization of Canada, or IIROC) retains the authority to discipline a former member for up to five years after that member has left the organization. The ruling also opens the door to IIROC and other SROs levying court-enforceable fines against former members. [more] Full article

In its recent decision in Taub v. Investment Dealers Association of Canada, Ontario’s Divisional Court reined in an attempt by the Investment Dealers Association of Canada (now known as the Investment Industry Regulatory Organization of Canada, or IIROC) to discipline a former investment advisor, despite the fact that he had not been an IDA member for more than a year. [more] Full article

If investors borrow money to invest in mutual funds, and the funds do not perform up to expectations, are the lending financial institutions on the hook? This question was the subject of the recent Court of Appeal decision in Baldwin et al. v. Daubrey et al. [more] Full article