British Columbia · Receivership (court-appointed)
First Report of the Receiver, filed November 5, 2024
Court officer report · 5 November 2024
AI summary
A plain-English summary drawn only from this filing: what it is, why it matters, and the parties, amounts and dates it turns on.
What we verified from this filing4 verified
- secured creditorsnote: Amount is an approximation stated by the Receiver ('approximately $2.4 million'); interest continues to accrue; Security Opinions confirm valid, enforceable and perfected security; also holds corporate guarantee and personal guarantee from Mr. Oliver Steffen (director/officer/shareholder), including a second mortgage on his personal residence; RBC expected to suffer a deficit on its debt in the Receivership. · page: 3 · as of: 2024-09-03 · amount: 2400000 · debtor: G3 Genuine Guide Gear Inc. · creditor: Royal Bank of Canada (RBC) · currency: CAD · security: Security interest in all presently owned and after-acquired personal property of G3 (the 'RBC Security'); first-in-time registered financing statement; first-ranking secured creditor on the 'Hard Assets' (all property excluding FWC Collateral)
- secured creditorsnote: Amount is an approximation stated by the Receiver ('approximately $2.2 million'); interest continues to accrue; Security Opinions confirm valid, enforceable and perfected security; also holds corporate guarantee and personal guarantee from Mr. Oliver Steffen (director/officer/shareholder), including a second mortgage on his personal residence; FWC Collateral currently excluded from scope of Receivership Order; FWC expected to suffer a deficit on its debt in the Receivership. · page: 3 · as of: 2024-09-03 · amount: 2200000 · debtor: G3 Genuine Guide Gear Inc. · creditor: FWCU Capital Corp. (FWC) · currency: CAD · security: Security interest in all presently owned and after-acquired personal property of G3 (the 'FWC Security'); second-in-time registered financing statement; pursuant to Subordination and Standstill Agreement dated June 16, 2017, FWC Security has priority over RBC Security in respect of the 'FWC Collateral' comprising a $1,800,000 life insurance policy (Policy No. 8819908) on Mr. Oliver Steffen and the Company's IP Assets (patents, trademarks, trade names, etc.); FWC is subordinate to RBC on all other assets
- secured creditorsnote: Distinguished from an additional ~$167,000 in unpaid vacation/termination pay claims filed by former employees through WEPP, which are unsecured and do NOT rank in priority to the RBC Security. · page: 13 · as of: Date of Receivership (August 9, 2024) · amount: 22700 · debtor: G3 Genuine Guide Gear Inc. · creditor: Former employees of G3 (WEPP claimants) · currency: CAD · security: Statutory super-priority wage and vacation pay claims under the Wage Earner Protection Program Act, ranking in priority to the RBC Security
- recovery outcomeentries: basis: estimated · quote: If the Court approves expanding the Receivership Order to include the FWC Security and approves the Transaction, the net realizations in the Receivership Proceedings are expected to be lower than the FWC Debt, and FWC is expected to suffer a deficit in respect of its debt. · pct of: unstated · outcome: shortfall · class key: secured · stated by: receiver · class label: FWC · creditor name: FWC · interim final: unstated · conditional on: if the Court approves expanding the Receivership Order to include the FWC Security and approves the Transaction · claims qualifier: unstated; basis: estimated · quote: Given that the Lenders are expected to suffer a shortfall in respect of the RBC Debt and FWC Debt, the Receiver has not reviewed the claims of the unsecured creditors. · pct of: unstated · outcome: shortfall · class key: secured · stated by: receiver · class label: Lenders (RBC Debt and FWC Debt) · interim final: unstated · claims qualifier: unstated · stated on: 2024-11-04 · table missing: