The theme of this issue of Rebuilding Success, extreme turbulence with a chance of hurricanes, sums up the start of 2025. Particularly given the challenging economic times ahead brought on by global instability and tariffs. The efforts of our industry in providing services and guidance to companies and individuals will be even more important in this environment as will the smooth running of the insolvency system in the months ahead.

CAIRP continues to diligently advocate for improvements to our insolvency regime including addressing a critical gap that exists in Canada that prevents a large number of MSMEs from accessing our insolvency system.. While this gap has become more prevalent during the last few years because of the COVID-19 pandemic and current economic challenges , the reality is that this gap is a systemic issue that has long needed attention and a resolution. Establishing insolvency legislation and regulations that specifically target MSMEs would be in the public interest by reducing the number of MSMEs that shut down informally, improve prospects for restructuring, and provide fairer recoveries for the creditors, including the Crown.

CAIRP has also been advocating for changes to LIT remuneration. Efforts included providing a submission and convening a series of meetings with the OSB to discuss key elements. The OSB has advised they are continuing their work with the Treasury Board on their regulatory project which includes LIT remuneration.

Since the OSB introduced amended BIA Forms 31, 65, 78 and 79 which came into force on September 16, 2024, CAIRP has been advocating for the OSB and vendors to address member issues. Following a series of meetings over the fall and winter, CAIRP was pleased that the OSB has made the temporary working group permanent. Renamed the Digital Insolvency Governance Network (DIGN) and with representation from the OSB, CAIRP, Insolvency Software Vendors and Creditor Representatives, DIGN will meet, at least, quarterly, to foster collaboration amongst the key stakeholders in Canada’s digital insolvency ecosystem through early communication and discussion of planned regulatory, legislative and policy initiatives as well as discuss broader issues including AI and Cybersecurity. Our thanks to the OSB for listening to our concerns and working with CAIRP to develop solutions that will enhance the smooth operation of the insolvency system going forward.

Interventions are another area of advocacy that CAIRP actively engages in. CAIRP was granted leave to intervene before the Supreme Court of Canada, in the case of Piekut vs. Canada (Minister of National Revenue). The Supreme Court of Canada heard the matter on November 5, 2024, and we eagerly await the decision. Our sincere thanks to Haddon Murray, Heather Fisher, and James Aston from Gowlings WLG for representing CAIRP. CAIRP is also closely monitoring the British Columbia v. Peakhill Capital Inc. case. The province filed for leave to appeal to the Supreme Court of Canada in October. Should leave be granted, CAIRP will likely intervene.

CAIRP also continues to work to build strong working relationships with key stakeholders to address issues. In addition to its regular meeting with the OSB, CRA, ISED and EDC to address issues, recently, the OSB hosted a virtual Registrar’s Conference on February 25th, 2025, which attracted 46 Registrars/Associate Judges from across the country. I was pleased to represent the industry and delighted to see the participation of so many of the Registrar’s/Associate Judges. My presentation covered four topics which CAIRP Board members and Provincial Association Presidents identified including providing an update on the insolvency marketplace; best practices including the value of court committees, filing of court documents electronically, virtual proceedings and digitization; and current challenges such as home equity, disability tax credit, student loans, cybersecurity, CRA engagement, file aging and terms of discharge on Court orders.

This past fall CAIRP met with the Canadian Student Financial Assistance (CSFA) Program within Employment and Social Development Canada (ESDC). With recent program changes, such as interest free federal loans, and increased costs of living and carrying debts, CSFA was interested in ensuring their policies align with the new realities of today and reflect the needs of today's borrowers. The CAIRP delegation did an excellent job in addressing CSFA questions which were provided in advance. It was agreed a further meeting would be held to address ongoing issues which is currently being scheduled.

In early spring, CAIRP will be meeting with Labour Canada regarding WEPP at the WEPP Joint Liaison Committee. In addition to CAIRP, other members of the Joint Liaison Committee include the OSB, CRA, Labour Canada and ISED. CAIRP will be sharing member feedback and Labour Canada uses the opportunity to discuss any updates. We will keep members posted.

I enjoyed meeting so many of you at the Annual Review of Insolvency Law (ARIL) in early February. It was a great event and for the first time ARIL was sold-out with over 680 participants in attendance. Congratulations to all involved including ARIL Society Board Chair Tevia Jeffries and Conference Co-Chairs Justice David Collier, Guylaine Houle, Jocelyn Perrault and Eric St. Amour.

I want to thank our committees and volunteers who developed thoughtful and forward-looking industry positions as part of CAIRP’s efforts to provide timely responses to developments in the insolvency marketplace as well as all of our amazing volunteers and staff.

There is always more to do and CAIRP is ready to support and serve its members to fully take advantage of the opportunities and the challenges that lie ahead.

I look forward to seeing you at the CAIRP Regional Forums this spring along with the Toronto Exchange.

 

Andre Bolduc
CAIRP Chair