For the first time in its history, The Association of Canadian Pension Management (“ACPM”) has applied for and received intervenor status in a major pension case that could affect the way in which defined benefit plans that have members in Ontario are designed, administered and funded. The ACPM is a 1000 member non-profit association that acts as a national voice for pension plan sponsors in Canada. Randy V. Bauslaugh and Jeff W. Galway of Blake, Cassels & Graydon LLP are acting on behalf of the ACPM.
The case involves a dispute between Monsanto Canada Inc. and the Superintendent of Financial Services of Ontario and arises out of the partial wind-up of Monsanto’s pension plan. The hearing will determine whether surplus identified in the partial wind-up report filed by Monsanto would be required to be paid out at the time of the partial wind-up; whether surplus used to provide benefit enhancements in conjunction with the partial wind-up must be considered to be an indirect distribution of surplus to the employer; and whether it is necessary to buy annuities for persons affected by the partial wind-up who elect to receive a pension.
Monsanto Canada Inc. is represented by Freya J. Kristjanson and Markus F. Kremer of Borden & Elliot. The Superintendent is represented by Deborah J. McPhail of the Legal Services Branch of the Financial Services Commission of Ontario. Mark Zigler and Ronald B. Davis of Koskie Minsky are acting for certain former members who have also intervened in the case. The hearing is being conducted before Colin McNairn, C.S. Moore and Louis Erlichman of the Financial Services Tribunal.