Rockshield Engineered Wood Products ULC (“Rockshield”) is a manufacturer of plywood used to make a variety of products including furniture and cabinetry, commercial millwork, wall paneling, stair parts, manufactured housing, and doors. Rockshield filed a Notice of Intention to Make a Proposal (the “NOI”) on February 8, 2021 under the provisions of section 50.4 (1) of the BIA. Pursuant to the provisions of subsection 69 (1) of the BIA a stay of proceedings has been initiated and all proceedings against Rockshield are stayed as of the date of filing of the NOI.
On February 10, 2021, the Court made an order extending the time for filing a proposal and extending the stay of proceedings for a period of 45 days up to and including April 24, 2021 and for other relief including (a) granting an administration charge over its property, assets and undertakings in favour of the Proposal Trustee and its counsel and the Applicant’s counsel up to the maximum amount of $150,000; (b) approving a debtor in possession financing term sheet between Bank of Nova Scotia and Rockshield and a corresponding charge in favour of the DIP lender up to the maximum amount of $1.5 million and subordinate only to the Administration Charge, (c) granting a charge over the Property in favour of the directors and officers in respect to post-filing obligations in their capacity as directors and officers of Rockshield up to the maximum amount of $370,000, (d) authorizing Rockshield to pay, with the approval of the Proposal Trustee, amounts owing for goods or services actually supplied to it prior to the date of the NOI proceeding if, in the opinion of Rockshield, such payment is necessary to maintain the uninterrupted operations of the business.
On April 22, 2021, the Court made a further order extending the time for filing a proposal and extending the stay of proceedings for a period of 45 days up to and including June 8, 2021.
On June 8, 2021, Dodick Landau Inc., in its capacity as Proposal Trustee of the Estate of Rockshield, filed with the Official receiver a proposal in the name, and on behalf, of Rockshield. By June 19, 2021, the Proposal Trustee mailed to all known creditors of Rockshield a Creditor Package. A link to a copy of the Creditor Package can also be found on this page. The Creditor Package includes a copy of the Notice of Proposal to Creditors, the Proposal, the Trustee’s Report on Proposal, Statement of Affairs, a proof of claim form with instructions, a proxy and a voting letter.
A Meeting of the Creditors to consider the Proposal was held by Zoom video conference on July 13, 2021 at 2:00 p.m. (Toronto time). At the Meeting the creditors approved Rockshield’s proposal, and on September 16, 2021, the Court as well approved Rockshield’s Proposal.
Any creditor that has not yet submitted a proof of claim to the Proposal Trustee may still do so in order to be able to participate in proposal distributions to creditors in the future. Proofs of claim may be sent to the Proposal Trustee to the attention of Brenda McKnight by fax (416-649-7725) or electronic mail ([email protected]). Should you need further assistance, you may contact our office by telephone at 416-645-0542.