Court of Appeal sides with Globe and Mail against disclosure of confidential sources in securities litigation against BCE

Stockwoods lawyers Paul Le Vay and Justin Safayeni, as co-counsel with Peter M. Jacobsen and Tae Mee Park, successfully persuaded the Ontario Court of Appeal not to intrude into confidential-source privilege in the context of a proposed securities action against BCE Inc. and related parties.  The applicant sought a Norwich Pharmacal order requiring the Globe and Mail and journalist Sinclair Stewart to reveal the names of high-level BCE sources who had been quoted describing the state of negotiations in the summer of 2008 concerning BCE Inc.’s attempted leveraged buy-out.  The applicant asserted that the statements quoted were false or misleading, and intended to pursue a civil action under misrepresentation provisions of the Securities Act.  The Court of Appeal, in reasons released today, upheld the decision of the Court below, refusing to breach source privilege for this purpose, and questioning the viability of the applicant’s intended securities action.  To read the decision, click here.