Does an employee have priority over a floating charge debenture holder where a receiver is appointed?
Alberta, Canada
The following excerpt is from Parkwood Forest Products Ltd. v. Kehler, 1986 ABCA 229 (CanLII):
Shannon J. considered the same sections in the case of Canadian Commercial Bank v. Bird Oil Equipment Ltd. as reported in 85 C.L.L.C. 14, 029, and after reviewing the sections, concluded: “The combined effect of these sections gives employees priority over floating charge debenture holders ‘where a receiver is appointed’.”
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