New damages regime

摘要

If proclaimed in force, Ontario Bill 198 will create Part XXIII. 1 to Ontario Securities Act and a new regime for establishing liability and quantifying damages where parties buy and sell publicly traded securities in the secondary market (i.e., securities not traded under a prospectus). Part XXIII. 1 focuses on civil liability for secondary market disclosure and prescribes the damages regime. Specifically, it ad- dresses situations where a party has bought or sold securities and alleges it has sustained a loss caused by misrepresentations or failure to make timely disclosure on the part of the issuer or certain parties associated with the issuer. It does not replace the existing common law regime; it provides the aggrieved parties with an alternative avenue through which to seek redress.