1.0 Introduction -

The Companies’ Creditors Arrangement Act (CCAA) is the principal statute for the reorganization of a large insolvent corporation. The CCAA can also facilitate the sale of an insolvent business. As a federal statute, the CCAA has application in every province and territory of Canada (and purports to have worldwide jurisdiction). The CCAA is generally analogous, in effect, to Chapter 11 of the U.S. Bankruptcy Code (U.S. Code), although there are a number of important technical differences.