Sequent AI Ltd., Sequent AI Exchangeco Ltd. and Fulcrum Stoneworks Exchangeco Ltd.
Follow- Proceeding
- Receivership (court-appointed)Section 243(1) of the Bankruptcy and Insolvency Act, RSC 1985, c B-3, and section 101 of the Courts of Justice Act, RSO 1990, c C.43
- Court
- Ontario Superior Court of Justice · Commercial List
- File
- CL-26-00000142-0000
Sequent AI Ltd., Sequent AI Exchangeco Ltd. and Fulcrum Stoneworks Exchangeco Ltd. were placed in court-appointed receivership on April 17, 2026 by the Ontario Superior Court of Justice, under section 243(1) of the Bankruptcy and Insolvency Act and section 101 of the Courts of Justice Act. The Receiver developed a sale and investment solicitation process in consultation with Cortland, which the Court approved on May 5, 2026; the record shows bid deadlines of 5:00 p.m. on June 12, 2026 and 5:00 p.m. on July 21, 2026. In its Second Report, dated July 31, 2026, the Receiver reported that two letters of intent were received by the Bid Deadline but neither was a Qualified Bid, that Cortland is proceeding with a Cortland Subsequent Credit Bid, and that a Claims Procedure Order is recommended. The receivership is active.
The claims bar date has passed — claims were due by
Per the Claims Procedure Order dated August 7, 2026 dated 7 August 2026.
Second Report reported the SISP outcome — two LOIs, neither a Qualified Bid — Cortland's Subsequent Credit Bid, and recommended a Claims Procedure Order quantifying Priority Claims and clarifying claims against Stoneworks Exchangeco.
SISP Approval Order issued Tuesday, May 5, 2026 in the Ontario Superior Court of Justice (Commercial List).
Further record of the same May 5 approval; the process later marketed the Property to the Bid Deadline.
The Court's order of this date is the instrument the Receiver's reporting identifies as the SISP Approval Order.
Source: SISP Notice dated June 16, 2026
Duplicate record of the SISP approval obtained by the Receiver on this date; no separate relief recorded.
Source: SISP Revised Dates Notice
Authorized the Receiver to run the sale and investment solicitation process for the Property, developed in consultation with Cortland.
First Report recorded the Receiver's work since appointment: dealings with Cortland and counsel, information-gathering from Management and the Operating Entities, development of the SISP, and statutory notices under BIA ss. 245(1) and 246(1).
A receivership order was granted over the assets of SEQUENT AI LTD., SEQUENT AI EXCHANGECO LTD., FULCRUM STONEWORKS EXCHANGECO LTD..
Order granted Friday, April 17, 2026 commencing the receivership over the three Debtors under BIA s. 243(1) and Courts of Justice Act s. 101.
Sequent AI Ltd., Sequent AI Exchangeco Ltd. and Fulcrum Stoneworks Exchangeco Ltd. — Receivership filed, Ontario.
Application Record of Cortland Credit Lending Corporation dated April 6, 2026 was filed. Court file CL-26-00000142-0000.
Source: Application Record of Cortland Credit Lending Corporation dated April 6, 2026
Undated filings1 — no date appears on the document · show
Debtor
Sequent AI Ltd., Sequent AI Exchangeco Ltd. and Fulcrum Stoneworks Exchangeco Ltd.
Applicant
Cortland Credit Lending Corporation
Receiver
KSV
Bench
| Judge | Court | On this docket | Cases on record |
|---|---|---|---|
| Justice Black | Ontario Superior Court of Justice | 3 orders, Apr 2026 – May 2026 | 176 cases on record |
Counsel of record
| Party | Counsel | First seen | Source |
|---|---|---|---|
| ReceiverKSV | McCarthy Tétrault LLP | 28 Apr 2026 | Factum · 28 Apr 2026 |
| ApplicantCortland Credit Lending Corporation | Dentons Canada LLP | 14 Apr 2026 | Factum · 14 Apr 2026 |
| CreditorAlixPartners Restructuring, Inc | McCarthy Tétrault LLP | 4 Aug 2026 | Factum · 4 Aug 2026 |
| CreditorCanada Revenue Agency | Blakes Cassels & Graydon LLP | 31 Jul 2026 | Service list · 31 Jul 2026 |
| CreditorIngram Micro Inc | Bennet Jones LLP · Blakes Cassels & Graydon LLP | 31 Jul 2026 | Service list · 31 Jul 2026 |
| CreditorTD Synnex Canada ULC | Tucker Ellis LLP | 31 Jul 2026 | Service list · 31 Jul 2026 |
| Priority class | Creditor | Amount | Source |
|---|---|---|---|
| Secured | Cortland Credit Lending Corporation (as agent for the Lenders) · in 5 casesGeneral Security Agreement dated March 3, 2022 ("Borrower GSA") and Transfer and Assignment of Insurance Agreement dated March 3, 2022; perfected by financing statement in the Ontario PPR; ON PPR search dated March 20, 2026 confirms Cortland, as agent, is first-ranking secured creditor against Borrower's personal property. Credit Facility total commitment stated as CA$41,000,000 (facility limit, not a balance). — Outstanding balance under Credit Facility, inclusive of principal and accrued interest; one paragraph states interest accrued 'as at March 12, 2026' while the balance itself is stated · as of 31 Mar 2026 | $39.8M | Application Record of Cortland Credit Lending Corporation dated April 6, 2026 |
| Secured | Cortland Credit Lending Corporation (direct creditor, not as agent) · in 5 casesLien granted by Sequent AI Exchangeco Ltd. in favour of Cortland Credit Lending Corporation in connection with the Cortland-Genesis Debt (Existing Debt). — Distinct capacity from Cortland's role as agent for the Lenders under the main Credit Facility; amount not stated. — debtor: Sequent AI Exchangeco Ltd. | — | Application Record of Cortland Credit Lending Corporation dated April 6, 2026 |
| Secured | Blakes, Cassels & Graydon LLP · in 2 casesSolicitor's lien asserted by letter received via email January 24, 2026, addressed to 'Sequent AI' asserting a lien over 'Fulcrum Technology Holdings Ltd.' and 'Sequent AI' client files. — Asserted/unconfirmed claim referenced in correspondence; status and applicability to specific Debtor entity unclear on these pages - disputed/unconfirmed. — debtor: Sequent AI / Fulcrum Technology Holdings Ltd. (client files) | — | Application Record of Cortland Credit Lending Corporation dated April 6, 2026 |
| Secured | Cortland Credit Lending Corporation (as agent for the Lenders) · in 5 casesGuarantee dated June 29, 2023; General Security Agreement dated June 29, 2023; perfected by ON PPR financing statement - PPR search dated March 20, 2026 confirms Cortland, as agent, is first-ranking secured creditor against Sequent Exchangeco's personal property. — Secures Exchangeco's guarantee of Borrower's Indebtedness (CA$39,779,089.64 as at March 31, 2026); not a separate stated balance. — debtor: Sequent AI Exchangeco Ltd. (Guarantor) | — | Application Record of Cortland Credit Lending Corporation dated April 6, 2026 |
| Secured | Toronto-Dominion Bank · in 48 casesLien in connection with credit card debt (Stoneworks-TD Credit Card Debt), limited to cash collateral not exceeding $250,000 at any time (registered cap, not a stated balance). — Permitted Lien/Permitted Debt defined in Credit Agreement Schedule 1.1. — debtor: Stoneworks Technologies Inc. | — | Application Record of Cortland Credit Lending Corporation dated April 6, 2026 |
| Secured | Royal Bank of Canada · in 556 casesLien in connection with credit card debt (iON-RBC Credit Card Debt), limited to cash collateral not exceeding $200,000 at any time (registered cap, not a stated balance). — Permitted Lien/Permitted Debt defined in Credit Agreement Schedule 1.1. — debtor: iON United Inc. / iON United (US), LLC | — | Application Record of Cortland Credit Lending Corporation dated April 6, 2026 |
“not stated” means the record names the claim without a figure; “—” means not in the extracted record.
This proceeding was commenced by a secured creditor. The record does not include the debtor’s own statement of assets and liabilities — that ceiling is the record’s, not this page’s.
Sale process approved — SISP process ongoing with Cortland subsequent credit bid provisions discussedSecond Report of the Receiver dated July 31, 2026 · 31 Jul 2026
| Date | Document | File |
|---|---|---|
Factum of the Receiver dated September 18, 2026
| ||
Service List as at September 14, 2026
| ||
Claims Procedure Order dated August 7, 2026
| ||
| Schedule A - Notice to Creditors | ||
| Schedule B - Instruction Letter | ||
| Schedule C - Proof of Claim | ||
Factum of the Receiver dated August 4, 2026
| ||
| Motion Record of the Receiver dated July 31, 2026 | ||
Second Report of the Receiver dated July 31, 2026
| ||
Service List as at July 31, 2026
| ||
| SISP Update Notice dated July 30, 2026 | ||
SISP Revised Dates Notice
| ||
| SISP Notice dated June 16, 2026 | ||
| SISP Extension Letter - May 14, 2026 | ||
Endorsement of Justice Black dated May 5, 2026
| ||
SISP Approval Order dated May 5, 2026
| ||
Factum of the Receiver dated April 28, 2026
| ||
First Report of the Receiver dated April 28, 2026
| ||
| Motion Record of the Receiver dated April 28, 2026 | ||
Endorsement of Justice Black dated April 17, 2026
| ||
Order Appointing Receiver dated April 17, 2026
| ||
Factum of Cortland Credit Lending Corporation dated April 14, 2026
| ||
Application Record of Cortland Credit Lending Corporation dated April 6, 2026
| ||
| Schedule E - Notice of Dispute | ||
Filing titles, dates, and extracted key facts are public.
CiteProceedings., “Sequent AI Ltd., Sequent AI Exchangeco Ltd. and Fulcrum Stoneworks Exchangeco Ltd.” (Receivership (court-appointed)), Ontario Superior Court of Justice · Commercial List. Retrieved 20 September 2026, https://proceedings.ca/case/sequent-ai-ltd-sequent-ai-exchangeco-ltd-and-fulcrum-stoneworks-exchangeco-ltd