File No. AI-20 - 30 Ock 4-1-6k IN THE COURT OF APPEAL IN THE MATTER OF: An intended appeal from a Decision of The Manitoba Securities Commission dated
June 10, 2020
AND IN THE MATTER OF: The Securities Act, C.C.S.M. c. S50 BETWEEN: WAYNE SOKAL and ESP SOFTWARE INC., (Respondent) Applicant, - and -THE MANITOBA SECURITIES COMMISSION, Respondent.
NOTICE OF MOTION FOR LEAVE TO APPEAL
FILLMORE RILEY LLP Barristers, Solicitors & Trade-Mark Agents 1700 - 360 Main Street FILED COURT OF APPEAL Winnipeg, Manitoba R3C 3Z3 JUL 09 2020 LAW COURTS BRANDON BARNES TRICKETT WINNIPEG DAYNA M. STEINFELD ALEX FAVREAU Telephone: 204-957-8300 Facsimile: 204-954-0300 File No. 434973-1
FRDOCS_2133846.1
File No. Al-IN THE COURT OF APPEAL IN THE MATTER OF: An intended appeal from a Decision of The Manitoba Securities Commission dated June 10, 2020
AND IN THE MATTER OF: The Securities Act, C.C.S.M. c. S50 BETWEEN: WAYNE SOKAL and ESP SOFTWARE INC., (Respondent) Applicant, - and -THE MANITOBA SECURITIES COMMISSION, Respondent. NOTICE OF MOTION FOR LEAVE TO APPEAL
TAKE NOTICE that a motion will be made on behalf of Wayne Sokal and ESP Software Inc. (hereinafter collectively referred to as "Sokal and ESP") before the Honourable Chambers Judge, at the Law Courts Complex, 408 York Avenue, in the City of Winnipeg, in the Province of Manitoba, on Thursday, the 23rd day of July, 2020, at the hour of 10:00 o'clock am, or as soon thereafter as counsel can be heard
FRDOCS_2133846.1
2 THE MOTION IS FOR: 1. An Order, that Sokal and ESP be granted leave, pursuant to Section 30(1.1) of The Securities Act, C.C.S.M. c. S50 (the "Act") from the Decision of The Manitoba Securities Commission (the "Commission") made on June 10, 2020, and mailed on June 11, 2020, on the grounds herein. 2. Such other Order as may be just. AND TAKE NOTICE that the grounds for the intended appeal are as follows: 1. Pursuant to Section 30 of the Act, an appeal lies from any direction, decision, order or ruling of the Commission given or made under the Act to the Court of Appeal, with leave from a judge of the Court of Appeal. 2. The Commission erred in law and exceeded its jurisdiction in issuing an order that Grant Kaufman ("Kaufman") shall not be barred from obtaining an order of the Commission for compensation for financial loss against Sokal and ESP subject to Kaufman discontinuing Court of Queen's Bench Action No. CI 13-01-86495 (the "Action"), consenting to judgment dismissing the Action, staying the Action, or
FRDOCS_2133846.1
3 otherwise abandoning the Action on terms acceptable to the Commission. 3. The Commission erred in law in finding that it has the jurisdiction or authority to make an order for financial compensation in favour of a claimant that has commenced civil proceedings in respect of the same loss; 4. The Commission erred in law in its interpretation and application of subsection 148.2(7) of the Act, and in particular, that the term "has commenced" shall be interpreted such that any action shall not be considered as being commenced where such action has been discontinued, dismissed, stayed, or otherwise abandoned, which interpretation is contrary to the language, purpose, and objects of the Act; 5. The Commission erred in law in its interpretation and/or application of subsection 146(1) of the Act, and in particular, that subsection 146(1) authorizes the Commission to grant an order that is conditional on a claimant discontinuing a civil Action, consenting to a judgment dismissing a civil Action, staying a civil Action or otherwise abandoning a civil Action on terms acceptable to the Commission;
FRDOCS_2133846.1
4 6. The Commission erred in law in finding that it has the jurisdiction, or alternatively the Commission erred in law and/or exceeded its jurisdiction by deciding to exercise any such jurisdiction, to hear the motion, and make an order on the motion, brought by Kaufman, a non-party to the proceedings; 7 The Securities Act, C.C.S.M. c. S50, Sections 146, and 148.2; 8. Such further and other grounds as counsel may advise and this Honourable Court may permit.
AND TAKE NOTICE that in support of such application will be read: 1. The Affidavit of Wayne Sokal, to be filed; 2. The Reasons for Decision of The Manitoba Securities Commission dated June 10, 2020; 3. The Appeal Book, to be filed; 4. The Motion Brief of Sokal and ESP, to be filed; 5. The Book of Authorities of Sokal and ESP, to be filed; 6. Such further and other evidence as counsel may advise and this Honourable Court may permit.
DATED this 9th day of July, 2020 FRDOCS_2133846.1
5 FILLMORE RILEY LLP Barristers & Solicitors 1700 - 360 Main Street Winnipeg, MB R3C 3Z3 Solicitors for the Applicant
Per: Alex Favreau on behalf of Brandon Barnes Trickett
FRDOCS_2133846.1
TO: THE REGISTRAR OF THE COURT OF APPEAL AND TO: THE MANITOBA SECURITIES COMMISSION 500-400 St. Mary Avenue Winnipeg, MB R3B 3L3
FRDOCS_2133846.1
7 IN THE COURT OF APPEAL NOTICE OF INTENT TO EXERCISE LANGUAGE RIGHT The attached document begins a proceeding in the Court of Appeal. Your rights may be affected in the course of the proceeding. You have a right to use either the English or the French language even where the attached document is in the other language, but in order to exercise your right you are required within 21 days of service of this document on you to file with the registrar of the court a notice of your intention to do so and to leave with the registrar an address for service. If you do file such a notice, you will be notified, in the language indicated in your notice, of further stages in the proceeding by registered mail addressed to your address for service. If you do not file a notice of your intention to exercise your right, the appeal will continue in the language of the attached document. The time limited for your filing of notice may be enlarged or abridged at any time by order of a judge made on application in either English or French.
Registrar Manitoba Court of Appeal Room 100E Law Courts Building 408 York Avenue Winnipeg, Manitoba R3C OP9
COUR D'APPEL AVIS RELATIF AU DROIT D'UTILISATION D'UNE LANGUE Le document ci-joint constitue un document introductif d'instance devant la Cour d'appel. Les procedures dans l'instance pourront porter atteinte a vois droits. Vous avez le droit d'utiliser l'anglais ou le frangais aux differentes etapes de l'instance meme lorsque le document ci-joint est redige dans l'autre langue. Si vous desirez exercer votre droit d'utiliser l'une ou l'autre langue, vous devez, dans les 21 jours de la signification qui vous est faite de ce document, deposer aupres du registraire de la Cour d'appel un avis a cette fin et lui indiquer un domicile elu aux fins de signification. Si vous deposez cet avis, vous serez avise(e) de procedures subsequentes par letter recommandee envoye a votre domicile elu aux fins de signification, dans la langue que vous aurez indiquee dan ('avis. Si vous ne deposer pas un avis de votre intention d'exercer votre droit, toutes les procedures subsequentes en appel se derouleront dans la meme langue que celle du document ci-joint. Suite a une demande presentee en anglais ou en frangais, le juge peut, en tout temps, par ordonnance, proroger ou abreger le delai prescrit pour le depOt de ('avis.
Registraire Cour d'appel du Manitoba Palais de justice 408, avenue York, piece 100E Winnipeg, Manitoba R3C OP9
FRDOCS_2133846.1