Rona - Reasons of Order and Order (public version) (Professional English translation not revised)

Rona - Reasons of Order and Order (public version) (Professional English translation not revised)

Striking a s.106 application is an exceptional remedy reserved for plain and obvious abuse; on the record the application was not plainly abusive or futile and therefore the motion to strike must be dismissed, but the Tribunal will expedite the substantive s.106 proceeding; costs awarded to respondent on a party-and-party basis given weak grounds for the motion but no reprehensible conduct warranting solicitor-client costs.

Citation
2005 Comp Trib 7
Parties
Moving Party: Commissioner of Competition; Responding Party: RONA INC.; Third Party: Ernst & Young Orenda Corporate Finance Inc.
Court
Competition Tribunal
Jurisdiction
Canada
Judgment Date
24 February 2005
Procedural Posture
Application Under S.106 Competition Act to Rescind Consent Agreement (merger/divestiture) / Motion to Strike Heard and Dismissed; S.106 Application and Related Motions to Be Expedited
Outcome
Motion to strike dismissed; costs awarded to responding party RONA on a party-and-party basis; s.106 application and related motions to be expedited; confidentiality order for limited period
Legal Topics
Consent Agreement, Rescission/variation (s.106), Abuse of Process, Divestiture Trustee Sale, Costs Award
Source Language
English
Competition Law Civil Procedure Administrative Law Consent Agreement Rescission/variation (s.106) Abuse of Process Divestiture Trustee Sale Costs Award

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Parties

Commissioner of Competition

Moving Party

RONA INC.

Responding Party

Ernst & Young Orenda Corporate Finance Inc.

Third Party

Procedural Posture

Application Under S.106 Competition Act to Rescind Consent Agreement (merger/divestiture) / Motion to Strike Heard and Dismissed; S.106 Application and Related Motions to Be Expedited

Legal Issues

  1. 1 Whether RONA's s.106 application is an abuse of process warranting striking under Federal Courts Rules 221(1)(f)
  2. 2 Whether solicitor-client costs should be awarded for the motion to strike
  3. 3 Whether the proceedings should be expedited to prevent remedies becoming nugatory

Ratio Decidendi

Striking a s.106 application is an exceptional remedy reserved for plain and obvious abuse; on the record the application was not plainly abusive or futile and therefore the motion to strike must be dismissed, but the Tribunal will expedite the substantive s.106 proceeding; costs awarded to respondent on a party-and-party basis given weak grounds for the motion but no reprehensible conduct warranting solicitor-client costs.

Court Disposition

Motion to strike dismissed; costs awarded to responding party RONA on a party-and-party basis; s.106 application and related motions to be expedited; confidentiality order for limited period

Orders

  • Motion to strike dismissed
  • Costs awarded to responding party RONA on a party-and-party basis in accordance with Column IV of Tariff B