Evolution, revolution or nothing at all? Recent reforms to Canadian bankruptcy and insolvency legislation

Abstract

On November 25, 2005, Canada's Parliament passed legislation to reform its bankruptcy and insolvency legislation (2005 Amendments). The 2005 Amendments were built from a report of the Standing Senate Committee on Banking, Trade and Commerce (Senate Committee), although the Canadian Parliament did not adopt all of the recommendations contained in that report. As well, the 2005 Amendments adopted significantly revised versions of many of the Senate Committee's recommendations. As a result, stakeholders, including the Senate Committee itself, were not satisfied with the 2005 Amendments and sought to have Parliament delay the proclamation of them with a view to providing further commentary on the proposed changes. Thus, the 2005 Amendments are not yet in force, but the current government appears to be committed to proclaiming them, or some form of them, in the near future. This paper examines some of the issues contained in the 2005 Amendments, by providing a summary of the Senate Report, reviewing the amendments and determining whether Parliament responded to the Senate Committee's recommendations. Copyright © 2006 John Wiley & Sons, Ltd.