1348441 Ontario Inc. (“Solutions”) operates a chain of specialty retail stores throughout Ontario which sell home and office organizational and storage products.
On March 26, 2020, Solutions filed a Notice of Intention to Make a Proposal to its creditors pursuant to subsection 50.4 (1) of the Bankruptcy and Insolvency Act, R.S.C. 1985, c. B-3, as amended (the “BIA”) and Dodick Landau Inc. was named Proposal Trustee. Pursuant to the provisions of subsection 69 (1) of the BIA a stay of proceedings has been initiated and all proceedings against Solutions are stayed as of the date of filing of the NOI.
On April 22, 2020, Solutions attended in Court to request the Court to extend the time to file a Proposal to June 9, 2020, authorize Solutions to enter into a debtor-in-possession loan in the maximum amount of $500,000 and seek an order granting an administrative charge in an amount not to exceed $100,000. The relief sought by Solutions was granted by the Court.