Dura Automotive Systems (Canada), Ltd.
CCAA Filing Information
This page is for information purposes only and you should consult your professional adviser if you have any questions or are uncertain as to your rights or obligations.
On October 30, 2009, Dura Automotive (Canada), Limited ("Dura") (the "Applicant" or the “Company”) filed for protection from its creditors under the Companies' Creditors Arrangement Act, R.S.C. 1085, c. C-36 as amended ("CCAA") staying proceedings against the Applicants and their property until November 27, 2009 or such later dates as may be provided in further orders. The Company obtained a Stay of Proceeding to November 27, 2009.
PricewaterhouseCoopers Inc. has been appointed as monitor ("the Monitor") pursuant to the CCAA proceedings. A copy of the Initial Order is posted below under "Court Orders".
Common definitions:
- CAW - Canadian Auto Workers
- FSCO - Financial Services Commission of Ontario
- IAMAW - International Association of Machinists and Aerospace Workers
Status of File as at June 29, 2011
On June 28, 2011, the Monitor filed a certificate certifying that it has completed the matters as set out in the Thirteenth Report of the Monitor dated April 26, 2011, and filed the Monitor’s Discharge Certificate.
Status of File as at May 4, 2011
On May 3, 2011, the Court sanctioned and approved the Plan pursuant to Section 6 of the CCAA and the Applicant, the Monitor, Dura Operating LLC and Morneau were authorized and directed to take all actions necessary or appropriate to implement the Plan and the Note.
Also on May 3, 2011, the Court approved an Order for the approval of fees and disbursements of the Monitor and that of its legal counsel. The Court order that, upon the Monitor filing a certificate with the Court certifying that it has completed the other activities described in the Thirteenth Report, shall be discharged from any further obligations under the Orders made in the CCAA Proceedings.
Status of File as at April 29, 2011:
On April 26, 2011, the Monitor prepared its thirteenth report to: (i) inform the Court of the status of the claims process and the results of the votes cast at the Creditors’ Meeting held on April 8, 2011; (ii) provide the Monitor’s recommendations in connection with the Company’s request that an Order be granted sanctioning the Plan and providing for its implementation, approving the Releases as provided for in the Plan, creating a charge in favour of the Plan Administrator as a representative of Creditors with Proven Claims and terminating the Directors’ Charge as provided for in the Initial Order; and (iii) request that the Court grant an Order discharging the Monitor, subject to the Monitor completing certain remaining duties, terminating the Administration Charge upon the Monitor filing a discharge certificate, approving the Monitor’s Sixth through Thirteenth Reports and approving the Monitor’s and those of the Monitor’s counsel fees and disbursements for the period from February 1, 2010 to April 20, 2011. A motion will be heard on May 3, 2011.
On May 3, 2011 the Applicant will make a motion for an Order (i) approving and sanctioning the Plan dated March 4, 2011; (ii) approving the releases and discharges contained in Article 6.3 and 6.4 of the Plan, effective on the Plan Implementation Date; (iii) granting a court ordered charge from the Applicant in favour of Morneau Shepell Ltd. (“Morneau”), in its capacity as agent for Creditors with Proven Claims; (iv) authorizing and directing the implementation of the Plan and Note by the Applicant, the Monitor, Morneau and Dura Operating LLC; and (v) declaring that the meeting of creditors of the Applicant held on April 8, 2011 was duly called, held and conducted in conformity with the CCAA and in accordance with the Plan Filing and Meeting Order.
Status of File as at April 4, 2011:
On April 1, 2011, the Monitor prepared its twelfth report to comply with the provisions of section 23(1)(d.1) of the CCAA, which requires the Monitor to:
(d.1) file a report with the court on the state of the company’s business and financial affairs – containing the monitor’s opinion as to the reasonableness of a decision, if any, to include in a compromise or arrangement a provision that sections 38 and 95 to 101 of the Bankruptcy and Insolvency Act do not apply in respect of the compromise or arrangement and containing the prescribed information, if any – at least seven days before the day on which the meeting of creditors referred to in section 4 or 5 is to be held.
Status of File as at March 11, 2011:
On March 7, 2011, the Monitor prepared its Eleventh Report to Court to inform the court of i) the Monitor's activities to date; ii) the Company's statement of receipts and disbursements for the period July 3, 2010 to February 25, 2011; iii) the status of the claims process established by the Claims Procedure Order dated January 21, 2011; and, iv) the Monitor's comments and recommendations in respect of the Applicant's motion seeking approval to file the Company's Plan of Compromise and Arrangement pursuant to the CCAA (the "Plan") and to convene a meeting of the Company's creditors to be held and conducted in accordance with the terms proposed by the Applicant, pursuant to a proposed Plan Filing and Meeting Order.
On March 8, 2011, the Court approved an Order accepting the filing of the Plan, authorizing and directing the Applicant to convene a meeting of creditors and setting a date of May 3, 2011 for the hearing of a a motion for an Order sanctioning the Plan, if same is approved by the requisite majorities of creditors voting at the Creditors' Meeting.
For details of the Plan, please click on the Plan of Compromise and Arrangement tab on the left side of the page.
Status of File as at March 7, 2011:
On March 8, 2011, the Company will file a motion for an order (i) accepting the filing of the Plan of Compromise or Arrangement in respect of the Applicant dated March 3, 2011; (ii) authorizing and directing the Applicant to convene a meeting of creditors on April 8, 2011; and, (iii) setting a date of May 3, 2011 for the hearing of a motion for an Order sanctioning the Plan, if same is approved by the requisite majorities of creditors voting at the Creditors’ Meeting.
Status of File as at January 21, 2011:
On January 21, 2011, the Court granted an order establishing a claims process for claims against the Applicants and its Directors and Officers (the “Claims Procedure Order”).
On or before January 28, 2011, the Monitor will send to each known creditor of the Applicants the Proof of Claim Document Package, as defined in the Claims Procedure Order. If you believe that you have a Claim against the Applicants or any of its Directors and Officers, you must file a properly completed Proof of Claim form, together with all supporting documentation with the Monitor by 4:00 p.m. (Eastern time) on March 4, 2011 (the “Claims Bar Date”).
Proofs of Claim must be received by the Monitor by the Claims Bar Date or your claim will be forever barred and extinguished and you will not be entitled to receive any distribution pursuant to the Plan, and all Claims, if any, of such Creditor, other than Excluded Claims, shall be forever extinguished and barred against the Applicant and its Directors and Offices.
  |
Notice to Creditors |
|
Proof of Claim Document Package |
Status of File as at January 20, 2011:
On January 20, 2011, the Monitor filed its tenth report with the Court, to inform the Court of (i) the Monitor’s activities to date; (ii) the status of the development of the Company’s plan of compromise or arrangement (the “Plan”); and (iii) to provide the Court with the Monitor’s comments and recommendations in respect of Dura Canada’s motion seeking an Order approving a proposed claims process (the “Claims Procedure Order”). The motion will be heard on January 21, 2011.
Status as at August 11, 2010:
On August 10, 2010, the Monitor prepared its Ninth Report to inform the Court of the status of the Company’s plan of compromise or arrangement since the Monitor’s Eighth Report dated July 8, 2010.
Status as at July 12, 2010:
On July 12, 2010, the Monitor and its counsel as well as representatives of other interested parties attended at a 9:30 a.m. Chambers appointment to update the Court on the status of negotiations between the Company and the Parties (as hereinafter defined) and to further report on the development of an outline in respect of the Company’s proposed plan of arrangement or compromise.
The Endorsement of the Honourable Mr. Justice Morawetz dated July 12, 2010 directed the Company to attend at a 9:30 a.m. Chambers appointment the week of August 9, 2010 and further directed the Monitor to report, at that attdendance, on alternatives and recommendations for the resolution of outstanding issues between the Company and the Parties.
Status as at April 26, 2010:
On April 26, 2010, the Monitor prepared its Seventh Report to inform the Court of the status of the development of an outline in respect of the Company’s proposed plan of arrangement or compromise.
Status as at February 18, 2010:
On February 11, 2010, the Company sought an order providing for, among other things, a further extension of the stay of proceedings to March 12, 2010, and the establishment of a claims process.
Also on February 11, 2010, the IAMAW argued paragraph c) of its motion served on December 15, 2009, seeking the termination of the CCAA Proceedings. In connection with that motion, counsel for the Plan Administrator (as hereinafter defined) also argued for the making of a bankruptcy order against the Company. As a result of the late filing of materials in respect of the Company’s application, the Honourable Mr. Justice Morawetz extended the stay of proceedings to February 16, 2010, to allow additional materials to be provided to the Court by the Company and the Parties (as hereinafter defined), in support of their respective positions.
On February 16, 2010, the Honourable Mr. Justice Morawetz advised the Monitor’s counsel that the Company’s motion was dismissed, the reasons for which were provided to the Monitor on February 17, 2010. As a result, the stay of proceedings has expired, although the CCAA Proceedings continue. Subsequently, on February 18, 2010, the Company, the Parties and the Monitor attended at a 9:30 a.m. Chambers appointment at which time the Monitor was given additional responsibilities with respect to the Company, as summarized in the Endorsement of the Honourable Mr. Justice Morawetz dated February 18, 2010.
Status as at January 29, 2010:
On January 29, 2010, the Company sought and obtained an extension of the Stay of Proceedings to February 11, 2010 to allow continued discussions regarding the negotiation of the structure of a Plan in accordance with a timetable attached to the Endorsement of the Honourable Mr. Justice Morawetz.
The argument of certain aspects of the IAMAW’s motion of December 15, 2009, as amended, specifically paragraphs c) and f) thereof, has been adjourned to be heard on February 11, 2010.
Status as at January 22, 2010:
On January 22, 2010, the Monitor and representatives on behalf of the Company, the International Association of Machinists and Aerospace Workers' (the “IAMAW”), the Canadian Auto Workers (“CAW”), and the Financial Services Commission of Ontario (“FSCO”) (collectively, with the Company, the “Parties”) attended at a 9:30 a.m. Chambers appointment to speak to the IAMAW’s motion of December 15, 2009, and to update the Court with respect to discussions between the Parties.
As a result of discussions amongst the Parties prior to January 22, 2010, the IAMAW advised the Court that it intended only to argue certain portions of its December 15, 2009 motion, on January 29, 2010, specifically paragraphs c) and f) thereof.
Status as at January 15, 2010:
The motion to be brought by the IAMAW on January 15, 2010, as discussed below, has been adjourned to be spoken to before the Honourable Justice Morawetz on January 22, 2010, and to be argued on January 29, 2010.
Status as at January 14, 2010:
On January 14, 2010, the Monitor prepared its Third Report to inform the Court of the status of the development of an outline in respect of the Company’s proposed plan of compromise or arrangement since the date of the Second Extension Order.
Status as at December 18, 2009:
On December 18, 2009, the IAMAW agreed to the adjournment of its motion seeking certain relief. Morneau Sobeco, which was appointed by the Superintendent of Financial Services as the Administrator to wind up Dura's pension plans (the "Plans") indicated its intention to bring a motion seeking clarification of the Ontario Superior Court of Justice's (the "Court") jurisdiction to consider the treatment of the Plans under the Company’s former Chapter 11 Proceedings.
Parties attending at Court on December 18, 2009 agreed that the jurisdictional considerations should be advanced prior to the hearing of the IAMAW's motion, and have agreed to attend at Court on January 15, 2010 for the setting of a timetable for the hearing of such motion.
Status as at December 1, 2009:
On December 1, 2009, the Court granted an Order extending the stay of proceedings until January 29, 2010.
In addition, the IAMAW has indicated that it intends to bring a motion seeking certain declaratory relief and the Company and the IAMAW among other parties, have agreed to attend at Court on December 18, 2009 for the setting of a timetable for the hearing of such motion.
Status as at November 30, 2009:
On November 29, 2009, the Monitor prepared its Second Report to inform the Court of, among other things, the Company’s request for an extension of the stay of proceedings until January 30, 2010.
Status as at November 23, 2009:
On November 20, 2009, the Court granted an Order extending the stay period to December 1, 2009.
On November 19, 2009, Morneau Sobeco was appointed by the Superintendent of Financial Services as the Administrator of the following Dura Canada pension plans, to wind up the Plans:
- Dura Automotive Systems (Canada) Ltd. Pension Plan for Stratford Bargaining Unit Employees (Registration Number 240690)
- Dura Automotive Systems (Canada) Ltd. Pension Plan for Bracebridge Bargaining Unit Employees (Registration Number 544478)
- Dura Automotive Systems (Canada) Ltd. Pension Plan for Salaried Employees (Registration Number 1049642)
Members and other beneficiaries of the Plans with questions about the winding up of the Plans may contact Morneau Sobeco as follows:
Morneau Sobeco Limited Partnership
895 Don Mills Road, Suite 700
One Morneau Sobeco Centre
Toronto, ON M3C 1W3
Pauline Frenette
Tel: +1 416 445-2700 extension 4030
E-mail: pfrenette@morneausobeco.com
Niranja Bahi
Tel: +1 416 445-2700 extension 4108
E-mail: nbahi@morneausobeco.com
Morneau Sobeco may also be reached toll free within Canada at 1-888-667-6328.
Status as at November 9, 2009:
On November 9, 2009, the Monitor filed its First Report to Court to inform the Court of the Company’s activities since the date of the Initial Order and the Monitor’s activities since the granting of the Initial Order and to provide the Monitor’s review of the reasonableness of the Company’s cash-flow statement for the period from October 30, 2009 to January 30, 2010, in accordance with section 23(1)(b) of the CCAA.
Further information will be posted as it becomes available.
Public Records:
Office of the Superintendent of Bankruptcy file #0000005-2009-ON.
Statutory Materials:
|
Mailed Notice to Creditors of the Company |
|
Creditor Mailing November 10, 2009 |
|
Publication Notice to Creditors of the Company |
|
Creditors Listing as at October 30, 2009 |
Monitor’s Reports:
Court Orders:
Motion Materials:
- Clearly address all faxes as "Re: Dura Automotive Systems (Canada), Ltd."
