As you are aware, on April 11, 2014, 3 Eau Claire filed a Notice of Intention to Make a Proposal (the "NOI") under Section 50.4(1) of the Bankruptcy and Insolvency Act (the "BIA"). Deloitte Restructuring Inc. consented to act as Trustee under the NOI.3 Eau Claire was granted an initial 30-day stay of proceedings (the "Initial Stay") pursuant to Section 69(1) of the BIA. 3 Eau Claire was required to file a proposal (a "BIA Proposal") within the Initial Stay or within any further extension of that period granted by the Court of Queen's Bench of Alberta (the "Court"). The Court granted five Orders extending the stay of proceedings with the most recent order being granted on August 15, 2014 (the "August 15 Order") and extending the stay of proceedings until September 29, 2014. The August 15 Order further appointed Deloitte as receiver (the "Receiver"), without security over all of 3 Eau Claire's current and future assets, undertakings and properties of every nature and kind whatsoever and wherever situate, including all proceeds thereof (the "Property"). The Property consisted mainly of development land located at 633 3rd Avenue SW in Calgary, Alberta (the "Lands") on which 3 Eau Claire intended to build an approximately 652,000 square foot mixed-use condominium project. Pursuant to the August 15 Order, 3 Eau Claire remained in possession of the Property with the Receiver being appointed for the limited purpose of negotiating the terms of a BIA Proposal (which could be done pursuant to a joint venture) or the outright sale of the Lands. On September 25, 2014, the Court granted two further Orders, which expanded Deloitte's powers as Receiver to those available under the Alberta model template Receivership Order. The Receiver was further authorized to enter into an agreement of purchase and sale for the Lands, with the Court approving the APS for the Lands and vesting title in the Lands to the purchaser free and clear of all encumbrances upon closing of the transaction contemplated in the APS. Subsequently, on September 29, 2014, 3 Eau Claire was deemed to have made an assignment in bankruptcy and Deloitte was appointed as Trustee of the estate of the bankrupt. The Trustee was discharged by the Court of the Queen’s Bench of Alberta on November 27, 2018.
For further information, please contact:
Naomi McGregor Financial Advisory Deloitte Restructuring Inc. Tel: 403-503-1423
Fax: 403-718-3681 Email: naomcgregor@deloitte.ca www.deloitte.ca
700 Bankers Court 850 - 2 Street SW Calgary, AB T2P 0R8
Last updated Oct 13, 2022
