Empirical Analysis of the Effectiveness of the Reorganization Procedures Under the BIA and the CCAA

by Jocelyne Gosselin and Benoit Mario Papillon

Fall 2005

Excerpt

"Managing a company can be defined as adapting it to a changing environment. The company may experience difficulties with adaptation that are temporary, or more profound. Commercial insolvency arises when adaptation has become so difficult that management's autonomy in managing the company is threatened. Canadian legislation in the area of commercial insolvency comprises two Acts: the Bankruptcy and Insolvency Act (BIA) and the Companies' Creditors Arrangement Act." (...)

"This research project was intended to analyze the effectiveness of reorganization procedures under Canadian commercial insolvency legislation. The methodology used to conduct the research involved a series of case studies of companies that had availed themselves of reorganization procedures."