IN THIS ISSUE:
 Cover Story  
Boom Bust Recovery
by Marzena Czarnecka

Following several major purchases in recent months, paralysis in the Canadian real estate market appears to be over. Real estate lawyers say post-bust transactions may be infrequent but will be at respectable prices, with competition from national and international buyers who want quality, “safe” assets

The sky didn't fall.

Well, perhaps it did — but if so, only for a little while. As 2009 morphed into 2010, real estate markets across Canada showed clear signs of life, and real estate practitioners were once again walking with something resembling a spring in their steps — and not just on their way to the courts for yet another insolvency hearing under the Companies' Creditors Arrangement Act.

“The outlook right now is certainly more positive than it was at the beginning of 2009,” says Keith Burrell, QC, a partner in the Real Property and Planning Group in the Vancouver office of McCarthy Tétrault LLP. The pick-up seems to be most pronounced in the markets that fired most intensely during the boom — and fell the most during the bust. Western Canada gave real estate its hottest success stories as property values climbed sky-high through 2007 and into 2008. The region then served up the country's largest real estate insolvencies. Is it now poised for the speediest recovery?

Being the host city of the 2010 Winter Olympics did not insulate Vancouver from the crash, either in real estate or otherwise. The world financial markets collapsed shortly after the 2008 Summer Games in Beijing — just as the countdown to 2010 in Vancouver kicked into high gear. The crash affected the city's – and the province's – real estate market as it affected the rest of Canada and the world. Perhaps more so in some respects: real estate is to this city what the financial sector is to Toronto and oil and gas is to Calgary. That is, just about everything.

 Feature Story  
Retooling Litigation
by Julius Melnitzer

To build an outstanding litigation department in today's business climate, law firms need to do more than just attract excellent advocates — they need to find litigators who are also adept at strategic thinking, client communication, case management and team-building

To some counsel – certainly those mired in the past – the notion that clients could find the best of them wanting because they are “pure advocates” is tantamount to heresy.

But times have changed. “Being a pure advocate just doesn't cut it with clients anymore,” says Paul Morrison, a senior partner in the litigation group of McCarthy Tétrault LLP.

And even the most adamant of traditional counsel will admit that winning isn't everything in today's environment. Some might even concede that winning isn't always the most desirable of outcomes for their clients. “A frequent cause of litigation breaking down is the failure of counsel to explain the full cost and strategic consequences not only of failure, but also of success in the sense of ‘winning' the case,” says Geoffrey Cowper, QC, national head of Fasken Martineau DuMoulin LLP's litigation department.

There are corollaries to these heresies. One can be found in the skepticism that now greets the marketing maxim “If you do good work, you'll get good work,” attributed to the legendary James McRuer, former Chief Justice of Ontario.

“It serves the superstars well,” according to one of the industry's veteran counsel. “But how many Earl Cherniaks [of Lerners LLP] do you see out there?”
Deals of Distinction
by Sandra Rubin

The Canadian Dealmakers gala celebrates many significant deals of the past year, awarding recognition to the people and companies transacting the deals

The Canadian Dealmakers awards celebrates not just the deals, but the people and companies behind the deals who make such significant contributions to Canada's mergers and acquisitions market.

The program was created in 2007 by Deloitte, Lexpert, The Globe and Mail and Thomson Reuters. Each year we collect nominations, then leave it up to an adjudication panel – made up of leading voices from Canada's business community – to identify those who have significantly benefited their industry. That can be by promoting growth and innovation or creating value for stakeholders. It can also be by bringing best practices to a new level or finding ways to improve customer service and product delivery.

After the decisions are made, the winners are recognized at the Canadian Dealmakers gala dinner, which this year was held March 3 at The Fairmont Royal York in Toronto. The event has become a highlight for the business community, bringing leading decision makers and strategists in M&A and corporate finance all together in one room to celebrate the art of the deal.

The following deals are among the Canadian Dealmakers award winners for 2009.