Fonds de solidarité FTQ/Michel Arsenault
Trudel Johnston & Lespérance (TJL), on behalf of a shareholder of the Fonds de solidarité des travailleurs du Québec (FTQ) (the “Fonds”), filed a class action on May 26, 2014 against Michel Arsenault, a former President and Director of the Fonds de solidarité des travailleurs du Québec (FTQ) (the “Fonds”). The class action includes the following persons:
« All persons who were shareholders of the Fonds de solidarité des travailleurs du Québec (FTQ) on May 24, 2011 » [Translation].
On May 24, 2011, the Fonds bought the “Galeries Laval” shopping mall and other real estate in Laval, which were then owned by legal persons related to Tony Accurso, for a total purchase price of $ 85 million.
The class action alleged that by accepting this sale price, the Fonds over-valued the property by at least $20 million. It further alleged that since the Fonds relied on the vendor’s expert to evaluate the property, Mr. Arsenault, as a director, negligently authorized the transaction while acting in an apparent conflict of interests.
On August 31, 2015, the Honourable Pepita G. Capriolo of the Superior Court of Québec dismissed the Motion for authorization to exercise a class action.
On May 3, 2017, the Court of Appeal delivered a judgment which allow the withdrawal of the Appeal filed by the Appellant represented by TJL.
Following the Court of Appeal’s decision, this class action has come to an end.