Canada: Shareholders

Both federal and Ontario corporations must maintain a register and other detailed records concerning any “individuals with significant control” (ISCs) over the corporation, including those who directly or indirectly own or control at least 25% of its shares as measured by votes or value, or who exercise control in fact.

Jennifer Longhurst examines the evolving landscape of shareholder activism in Canada, exploring why large-cap companies face different activist dynamics than their smaller counterparts...

The British Columbia Securities Commission has established a new framework for evaluating share issuances during proxy contests, examining whether such transactions serve legitimate business purposes or constitute defensive tactics against shareholder activism. This decision provides crucial guidance on the factors regulators will scrutinize when financings occur amid contested board elections.

For too long, Canadian tax law penalized business owners who wanted to keep their life’s work in the family. A sale to a stranger entitled the vendor to the lifetime capital gains exemption (LCGE) — currently $1,302,938 for 2026, indexed annually — sheltering over a million dollars of gain from tax.

A recent Alberta court decision provides critical guidance on Canadian sanctions compliance, examining how businesses must assess whether counterparties are controlled by sanctioned entities through voting power, board composition, and governance structures. The case demonstrates that sanctions screening extends far beyond checking names on official lists, requiring deeper analysis of corporate ownership chains and practical control mechanisms.

Que vous lanciez une nouvelle entreprise ou envisagiez d'accueillir de nouveaux actionnaires, une convention unanime des actionnaires peut constituer l'un des outils les plus puissants à la disposition des propriétaires d'entreprise. Cependant, les incidences fiscales de certaines dispositions sont souvent négligées au stade de la rédaction, entraînant des changements involontaires dans le contrôle de la société et d'importantes conséquences fiscales.

When a business is sold, whether through a share sale or an asset sale, the purchaser almost invariably demands restrictive covenants—such as a non-competition or non-solicitation agreement—from the selling shareholders or key principals.

In Malek v The King (2026 TCC 84), the Tax Court of Canada examined the Canada Revenue Agency’s (CRA) use of the net worth assessment method against a trucking corporation and its shareholder-managers.

In its recent decision in Chanderpaul v. Caesars Convention Centre Ltd., 2026 ONCA 332, the Court of Appeal for Ontario affirmed that plaintiffs face a very high onus where they seek to pierce the corporate veil...