On January 14, 2009, Nortel Networks Corporation and several of its affiliated companies (“Nortel”) were granted protection from their creditors under the Companies’ Creditors Arrangement Act (the “CCAA”) pursuant to an Order of the Honourable Justice Morawetz. Ernst & Young was appointed as Monitor of Nortel’s CCAA proceedings.
On May 27, 2009, the Ontario Superior Court of Justice (Commercial List) granted a Representation Order appointing Koskie Minsky LLP as Representative Counsel for all former employees of Nortel. In accordance with the Representation Order, KM will act as Representative Counsel to all former employees of Nortel, unless specifically excepted or unless the individual chooses otherwise.
On July 30, 2009, Koskie Minsky was appointed as Representative Counsel for employees of Nortel who are in receipt of long-term disability benefits, subject to certain exceptions.
On October 12, 2016, a Global Settlement and Support Agreement was announced resolving litigation over the allocation of the roughly US $7.3 billion collected from the sales of Nortel’s worldwide businesses (the “lockbox”). For more information regarding the Settlement Agreement please click here.