Clothing for Modern Times Ltd. (“CMT“) filed a Notice of Intention to Make a Proposal (“NOI“) pursuant to the provisions of the Bankruptcy and Insolvency Act (“BIA“) on Monday, June 27, 2011, and B. Riley Farber Inc. (“B. Riley Farber“) was appointed as Proposal Trustee.
Status Updates
The time for CMT to file a proposal expired on December 22, 2011. There were no further extensions of time to file a proposal under the BIA. CMT determined that a going concern sale of the Costa Blanca business and assets would be in the best interests of all stakeholders; however, CMT would not have sufficient time to conduct a sales process and finalize a sale agreement before December 22, 2011.
Accordingly, on December 16, 2011, the Ontario Superior Court of Justice (Commercial List) granted an order (the “Initial Order“) declaring that effective December 22, 2011, CMT’s restructuring proceeding commenced under the BIA was to be continued under the Companies’ Creditors Arrangement Act and that as of such date, the provisions of the BIA shall have no further application to CMT, save that any and all steps, agreements and procedures validly entered into or taken by CMT during the proposal process shall remain valid and binding notwithstanding the termination of the proposal process under the BIA and commencement within the CCAA proceeding. The Initial Order provided for a stay of proceedings up to and including January 23, 2012, or such later date as this Court may order.
The Initial Order provided that the Monitor, with the assistance of Ernst & Young Orenda Corporate Finance Inc., be approved to immediately conduct a process for the sale of CMT’s business and assets used in connection with the business carried under the retail banner Costa Blanca in accordance with the sales process described in the Initial Order (the “Sales Process“). The Sales Process required that all offers for the Costa Blanca business were to be submitted by the offer bid deadline of January 16, 2011, or such other date as the Monitor may permit.
On January 20, 2012, CMT was granted an Order extending the stay period set out in the Initial Order to February 27, 2012. The extension of the stay period allowed the Monitor to review the offers received for the Costa Blanca business and negotiate and complete an agreement of purchase and sale with a prospective purchaser.
On February 17, 2012, CMT was granted an Order extending the stay period set out in January 20, 2012, Order to March 27, 2012.
On March 27, 2012, CMT was granted an Order extending the stay period set out in the February 17, 2012, Order to May 18, 2012.
CMT failed to file a Plan of Arrangement by the May 18, 2012, deadline. As such, the stay of proceedings provided under the CCAA proceeding was no longer in effect.
On June 6, 2012, Clothing for Modern Times Ltd. filed an assignment into bankruptcy pursuant to the provisions of the Bankruptcy and Insolvency Act (“BIA”) and B. Riley Farber was appointed as Trustee in Bankruptcy.
On October 11, 2016, the Trustee obtained its Discharge Order.
Creditor Enquiries
For creditor enquiries, please contact:
Hylton Levy
T: 437.294.4624
E: [email protected]
The case updates and court filed documents on this website are for information purposes only and you should consult your financial or legal adviser if you have any questions or concerns about your rights or obligations. Additional updates on the status of these proceedings may become available in the future.
Documents
NOI Documents
Bankruptcy Documents
Court Reports
- First Report of Proposal Trustee dated July 6, 2011
- Second Report of Proposal Trustee dated July 20, 2011
- Third Report of Proposal Trustee dated September 9, 2011
- Fourth Report of Proposal Trustee dated September 21, 2011
- Fifth Report of Proposal Trustee dated November 2, 2011
- Supplemental Report to the Fifth Report of Proposal Trustee dated November 16, 2011
- Sixth Report of Proposal Trustee and Proposed Monitor dated December 14, 2011
- First Report of Monitor dated January 19, 2012
- Second Report of Monitor dated February 13, 2012
- Supplemental Report to the Second Report of the Monitor dated February 16, 2012
- Third Report of the Monitor dated August 23, 2012
Motion Materials
- Motion Record returnable December 15, 2011
- Motion Record returnable January 20, 2012
- Motion Record (sale approval) returnable February 17, 2012
- Motion Record returnable March 27, 2012
- Motion Record returnable August 31, 2012 Part 1
- Motion Record returnable August 31, 2012 Part 2
Court Orders
- Order dated July 11, 2011
- Endorsement dated July 11, 2011
- Order dated July 22, 2011
- Order dated September 12, 2011
- Endorsement dated September 12, 2011
- Order dated September 23, 2011
- Endorsement dated September 23, 2011
- Approval and Vesting Order dated November 7, 2011
- Approval and Vesting Order (Midtown) dated November 7, 2011
- Order dated November 7, 2011
- Endorsement dated November 7, 2011
- Initial Order dated December 16, 2011
- Reasons for Decision dated December 16, 2011
- Approval and Vesting Order Amendment dated December 16, 2011
- Order dated January 20, 2012
- Endorsement dated January 20, 2012
- Approval & Vesting Order dated February 17, 2012
- Order dated February 17, 2012
- Reasons for Decision dated February 17, 2012
- Endorsement dated March 14, 2012
- Order dated March 27, 2012
- Endorsement dated March 27, 2012
- Order Discharging Monitor dated August 31, 2012
- Order Discharging Trustee dated October 11, 2016