In September 2008, Siskinds LLP filed a $165 million class action under Ontario's new investor protection legislation (Part XXIII.1 of the Ontario Securities Act) against Arctic Glacier Income Fund ("Arctic Glacier"), Arctic Glacier Inc, trustees, directors and senior officers of Arctic Glacier and Arctic Glacier Inc. The class action arises out of Arctic Glacier's announcement of an investigation by the United States Department of Justice into anti-competitive conduct in Arctic Glacier's industry, the packaged ice industry. Subsequent to that announcement, Arctic Glacier announced that it was suspending its distributions to its unit-holders, and the price of its units collapsed.
The class action is brought on behalf of all persons who acquired Arctic Glacier units from March 13, 2002 to September 16, 2008 (the "class period").
In March of 2011, Justice Tausendfreund of the (Ontario) Superior Court of Justice granted the plaintiffs leave to proceed with statutory claims for secondary market misrepresentations, and certified the action as a class proceeding on behalf of all persons, wherever they may reside, who purchased Arctic Glacier units during the class period. You may view the Court’s reasons for decision here. The Defendants have commenced appellate proceedings in respect of those orders.
In February 2012, the parties reached an agreement in principle to settle the action in the amount of $13.75 million (the “Settlement”). You may view a copy of the Settlement Agreement here: [Settlement Agreement]. The Settlement Agreement and Plan of Allocation were approved by the Ontario Superior Court of Justice by order issued June 1, 2012. In addition, the Court has also approved a Notice which provides information on how Class Members may (1) file a claim for compensation under the Settlement Agreement; or (2) file a notice to exclude themselves (“Opt-Out”) from the Class and the Settlement, foregoing any entitlement to compensation under the Settlement Agreement.
Class Members’ entitlements to compensation will be calculated pursuant to the Plan of Allocation. You may view a copy of the Plan of Allocation here: [Plan of Allocation].
The settlement has now concluded and all approved claims have been paid.