Our colleagues Carlo Di Carlo and Spencer Bass published an article in the September 2022 edition of The Advocates’ Quarterly that looks at how recent Ontario courts have been inconsistent in their approach to the test for materiality under the Ontario Securities Act (“OSA”), alternating between the “reasonable investor” and “market impact” standards. The article proposes a unified approach going forward (the higher threshold “market impact” test) that is consistent with the language of the OSA and the policies underlying the securities regulation regime more generally.
The article is entitled “A Tale of Two Tests; The Test for Materiality Under s. 138.3 of the Ontario Securities Act” and can be downloaded here.
