On March 17, 2022, the Ontario Superior Court dismissed a motion to certify a $170-million class action lawsuit against GFA World and GFA USA. Bennett Jones lawyers Jeff Leon, Ranjan Agarwal and Ilan Ishai acted for GFA World, which is an international charity.
The court’s decision addresses the scope of charities’ duties to their donors and donors’ entitlements with respect to their donations. The case is unique in that it was a Nova Scotia class action litigated on the Toronto Commercial List through the restructuring of GFA World under the Companies’ Creditors Arrangement Act.
The litigation defence team was supported by Sean Zweig and Jesse Mighton on CCAA issues. The case offers important lessons for charity, class action and insolvency lawyers.