2175371 Canada Inc. (formerly Le Château Inc.) and 2060788 Inc. (formerly Château Stores Inc.)

Bankruptcy

Page last updated: May 02, 2022

This page is for information purposes only and you should consult your professional adviser if you have any questions or are uncertain as to your rights or obligations


All contents referring to CPA members designations or documents with such designations were up to date when it was created or posted.

Status of file as at September 2, 2021

2175371 Canada Inc. has filed an assignment on the 2nd day of September 2021 and PricewaterhouseCoopers Inc., LIT (Claudio Filippone, CPA, CA, CIRP, LIT) was appointed as Trustee of the estate of the bankrupt by the official receiver, subject to affirmation by the creditors of the trustee’s appointment or substitution of another trustee by the creditors. 

The first meeting of creditors will be held on the 27th day of September 2021 at 10:30 a.m by videoconference at the following coordinates: 

By Google Meet:  meet.google.com/xvi-rrwf-yvx

By phone:  (CA) +1 705-417-9833 (PIN): ‪147 566 013‬#‬‬‬‬

Status of file as of August 31, 2021 

On August 31, 2021, following the filing of a motion by the Debtors, the Superior Court of Quebec rendered the following order which provides, among other things:

  • termination of CCAA proceedings upon the filing of an assignment in bankruptcy by 2175371 Canada Inc.;
  • release of the Directors’ Charge, the KERP Charge, the Consultant Charge, and the Percentage Rent Charge;
  • discharge of the Monitor;
  • termination of Receivership proceedings and discharge of the Receiver;
  • discharge of the CRO.

Status of file as of July 20, 2021 

On July 20, 2021, the Monitor has issued a Release Certificate of the Monitor which certifies that the sale transaction of certain of the Debtor's assets has closed and that the Liquidation has been completed.

We refer you to the certificate dated July 20, 2021 in the "Court Motions and Orders" section for more details.

Status of file as of July 8, 2021 

On July 8, 2021, a motion was filed by a secured creditor to recover sums of money.

We refer you to the Application to recover sums of money in the "Court Motions and Orders" section for more details.

Status of file as of June 25, 2021 

On June 25, 2021, the Monitor has issued a Transaction Certificate of the Monitor which certifies that all the conditions precedent to the closing of the sale transaction of certain of the Debtor's assets have been satisfied or waived by the Debtors.

We refer you to the certificate dated June 25, 2021 in the "Court Motions and Orders" section for more details.

Status of file as of June 22, 2021 

On June 22, 2021, following the filing of a motion by the Debtors, the Superior Court of Quebec rendered an Approval and Vesting Order authorizing and approving the sale of certain of the Debtors’ assets as well as extending the stay of all proceedings until August 31, 2021 inclusively.

We refer you to the order dated June 22, 2021 for further details.

Status of file as of March 30, 2021

On March 30, 2021, following the filing of a motion by the Debtors, the Superior Court of Quebec rendered the following order which provides, among other things, for a stay of all proceedings until July 16, 2021 inclusively, inclusively as well as an amendment to the Liquidation Order and its Sale Guidelines.

We refer you to the order dated March 30, 2021 for further details.

Status of file as of February 16, 2021

On February 16, 2021, following the filing of a motion by the Debtors, the Superior Court of Quebec rendered the following order which provides, among other things:

  • the increase in Directors’ and Officers’ charge from $3 million to $6.2 million;
  • the approval of the retention of a sale advisor for the sale of intellectual property.

We refer you to the order dated February 16, 2021 for further details.

Status of file as of January 15, 2021 

On January 15, 2021, following the filing of a motion by the Debtors, the Superior Court of Quebec rendered the following order which provides, among other things, for a stay of all proceedings until March 31, 2021 inclusively.

We refer you to the order dated January 15, 2021 for further details.

Status of file as of December 30, 2020

On December 30, 2020, the Superior Court of Quebec issued a Rectification judgement on the amended and restated initial order. We refer you to the judgment dated December 30, 2020 for further details.

Status of file as of December 17, 2020 

Pursuant the motion as filed on October 30, 2020 by Le Château Inc. and Château Stores Inc. (the “Debtors”) pursuant to the Bankruptcy and Insolvency Act (the “BIA”), the Superior Court of Québec granted the motion and appointed PricewaterhouseCoopers Inc., in its capacity as Monitor of the Debtors, Receiver of the Debtors' assets. Also, the Quebec Superior Court issued Rectified Amended and Restated Original Order on December 17, 2020.We refer you to the orders dated December 17, 2020 for further details.  

Status of file as of November 2, 2020 

Following the motion as amended on October 30, 2020, filed by Le Château Inc. and Château Stores Inc. (the "Debtors") pursuant to the Companies' Creditors Arrangement Act (Canada) (the "CCAA"), the Superior Court of Québec granted the motion and issued on November 2, 2020, the following orders:

  • an amended and restated Initial Order, which provides, among other things for a stay of all proceedings until January 15, 2021 inclusively;
  • a liquidation order pursuant to the CCAA authorizing the Debtors to proceed with the sale of their assets and the winding down of their operations.

We refer you to the orders dated November 2, 2020 for further details.

Status of file as of October 23, 2020 

Le Château Inc. and Château Stores Inc. filed a petition under the Companies’ Creditors Arrangement Act (“CCAA”). The Superior Court of Québec granted the petition and issued an Initial Order pursuant to the CCAA on October 23, 2020. The Debtors are now under the protection of the CCAA and the Initial Order provides for an initial stay of all proceedings until November 2, 2020 inclusively and appoints PricewaterhouseCoopers Inc. as monitor of the business and financial affairs of the Debtors. 

We refer you to the order dated October 23, 2020 for more information.

Contact us

Ryan Moncarz

Senior Associate, Deals and Consulting, PwC Canada

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