Destiny Organics Inc., a Nisku, Alberta-based organic fertilizer and living soil company, filed for bankruptcy on January 4, listing approximately $647.6 thousand in liabilities and $112.4 thousand in assets. The company is a wholly-owned subsidiary of Destiny Bioscience Global Corp., a cannabis genetics and tissue culture research and development company, which (along with various other subsidiaries) was placed in receivership on May 22 on application by Synergy Projects (Destiny) Ltd. and Synergy Projects Ltd. The company was no longer operating at the time of the receivership. The Bowra Group is the bankruptcy trustee.
Yoga Centre Toronto, a Toronto, Ontario-based not-for-profit yoga centre, filed for bankruptcy on December 23 after its revenue decreased significantly due to the COVID-19 pandemic and, consequently, the centre could not sustain payment of debts related to the financing of leasehold improvements at its studio and other debts. Albert Gelman Inc. is the bankruptcy trustee.
Mr. Manjoo Logistics Ltd., a Hamilton, Ontario-based company, filed for bankruptcy on December 21, 2020, listing approximately $99.6 thousand in liabilities and $26.0 thousand in assets. Schwartz Levitsky Feldman is the bankruptcy trustee.
2423402 Ontario Inc., a special purpose entity that is wholly owned by Bondfield Construction Company Limited, was assigned into bankruptcy by its court-appointed receiver, Alvarez & Marsal, which was certified on December 3, 2020. The company was previously placed in receivership on December 6, 2018 on application by BMO, as administrative agent for a syndicate of lenders owed approximately $122.2MM. The company had no significant assets other than the contracts for the development, construction and completion of the Cambridge Memorial Hospital, a $187.0MM, fixed price project. The company did not perform the construction itself but rather contracted the work back to Bondfield. Counsel is McCarthy Tétrault for BMO, Blakes for the receiver, and Osler for Bondfield.
2423402 Ontario Inc., a special purpose entity that is wholly owned by Bondfield Construction ("Bondfield"), filed for bankruptcy on December 3, 2020, listing approximately $15.1 million in liabilities, including $13.3 million owing to the sole secured creditor, Zurich Insurance Company Ltd. ("Zurich"). The company had one asset, which was a receivable of $7.5 million under a court-approved settlement arising from its contracts for the development, construction, and completion of the Cambridge Memorial Hospital — a $187.0 million fixed price project. The debtor did not perform the construction itself, but rather contracted the work back to Bondfield. When Bondfield entered into prior CCAA proceedings, the debtor was first placed in receivership for the sole purpose of calling on the insurance company bonds in order to complete the project. Ira Smith Trustee & Receiver is the bankruptcy trustee. Counsel is BLG for Zurich and the estate solicitor is Aird & Berlis.
Haggar Canada Direct Co. (“Haggar”), a fashion apparel retailer carrying on business from several retail locations in the Province of Ontario – including Niagara-on-the-Lake, Ottawa, Cookstown and Vaughan – filed an assignment in bankruptcy on December 2. Haggar experienced financial difficulties due to the impact of the COVID-19 pandemic on its retail stores in Canada, including a significant decline in revenues, which led to management’s decision to cease carrying on retail operations in Canada. Fuller Landau was appointed bankruptcy trustee and has obtained an order authorizing it to commence a liquidation sale of the inventory at Haggar’s retail locations. Aird & Berlis is counsel for the company. Danbury Global is conducting the liquidation.
Academie Linguistique Internationale Inc., a Montreal, Quebec-based company that operated a language school for learning French and English, filed for bankruptcy on December 1, listing approximately $1.0 million in liabilities and $130.0 thousand in assets. Since the company's clientele was comprised of mainly students from abroad, the closure of borders in the spring of 2020 forced the company to cease operations. PwC is the Bankruptcy Trustee.
853405 Alberta Ltd., which operated a fitness centre under the name “Peak Physique Gym and Fitness Centre” in the Town of St. Paul, Alberta, was adjudged bankrupt on November 18, 2020, on joint application by ATB Financial (“ATB”) and Servus Credit Union Ltd. On March 29, 2019, ATB commenced foreclosure proceedings in the Court of Queen’s Bench of Alberta against the company for failure to pay the indebtedness owed to ATB. On December 6, 2019, real property and certain personal property owned by the company were sold in the foreclosure action and proceeds from the sale of the Lands were applied to ATB’s indebtedness. The company ceased operations in February 2020 as a result of the foreclosure action and sale of the company’s real and personal property. The Bowra Group Inc. was appointed trustee in bankruptcy.
Dine Under the Stars, a North Vancouver, British Columbia-based event management company that organized unique pop-up dinner events hosted at outdoor venues, filed for bankruptcy on November 10, listing approximately $ 1.7 million in liabilities. The company was preparing for its spring event season in mid-March 2020 when the COVID-19 pandemic caused all but essential services to shut down across North America. Almost immediately after shutdown measures were announced in March, customers began demanding refunds. Although the company has approximately $325.0 thousand in cash, it does not have sufficient cash to refund all of its customers the entire amount of their tickets, given that a significant portion of the revenues had already been invested in venue deposits, catering deposits, and advertising which likely cannot be recouped. MNP is the bankruptcy trustee.
reDock Inc., an Ottawa, Ontario-based startup that created an AI-powered proposal search engine, filed for bankruptcy on October 23, listing approximately $2.8 million in liabilities. Raymond Chabot is the bankruptcy trustee.