Hudson’s Bay Company: Debtor Can’t be Deprived of a Right It Doesn’t Have (Yet)

Adam Maerov, Jacob Stucken and Spencer Klug of McMillan share that the Ontario Court upheld lease provisions preventing the revival of favourable legacy terms in HBC’s CCAA process, holding that insolvency rules do not invalidate conditions precedent to acquiring future rights and confirming that careful drafting can preserve solvent counterparties’ positions even where creditor recoveries are reduced.

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