LOLG Resists Certification in National Class Action Against International Charity
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On March 17, 2022, the Ontario Superior Court of Justice dismissed a motion to certify a $170 million class action lawsuit against Gospel for Asia, Inc. and GFA World. LOLG acted for the U.S.-based Gospel for Asia, Inc. and three of its current and former officers and directors. The Court’s decision addresses the scope of charities’ duties to their donors and donors’ entitlements with respect to their donations. The case is unique in that it was a Nova Scotia class action litigated on the Toronto Commercial List through the restructuring of GFA World under the
Companies’ Creditors Arrangement Act. The case offers important lessons for charity, class action, and insolvency lawyers. A copy of the decision may be found here:
Zentner v. GFA_Reasons for Judgment_Mar 17 2022 (corrected)