CIBC Mortgages Prepayment Penalty

A class action was commenced in British Columbia in October 2011 against CIBC Mortgages Inc. regarding its practices for calculating prepayment penalties on mortgages entered into in British Columbia since 2005.

The action applies to CIBC mortgages as well mortgages through related entities such as Firstline Mortgages and President’s Choice Financial.

The class action was originally advanced by Kieran Bridge. Sadly, Mr. Bridge passed away on January 30, 2018. Our firm assumed conduct of the action in the summer of 2018.

The action was conditionally certified in June 2014 and fully certified following a March 2015 supplemental decision in the British Columbia Supreme Court. In June 2016, the British Columbia Court of Appeal maintained the action’s certification as a whole while overturning certification of some rights of action and common issues.

In November 2017, the plaintiff brought an application to amend the certification order, while CIBC brought a cross-application to dismiss the amended pleadings.

On August 31, 2018 the British Columbia Supreme Court issued a decision allowing some of the amendments and dismissing others. CIBC Mortgages Inc. appealed this decision, and the appeal hearing took place on April 29, 2019. We are currently awaiting reasons for judgment from the British Columbia Court of Appeal.

If the case is successful, residents of British Columbia who were mortgagors under mortgages issued by CIBC Mortgages Inc., who prepaid part or all of the principal amounts secured by those mortgages from 2005 onward, may be entitled to compensation.

There are parallel actions taking place in Ontario, in Jordan v. CIBC Mortgages Inc. and in Quebec, in Lamare v. CIBC Mortgage Inc. The Jordan Action was certified as a class proceeding on February 21, 2019. The Lamare Action has been commenced, but has not yet been authorized.

How do I sign up for more information or to receive copies of any notices?

While it is not necessary to sign up with us, we are encouraging all potential Class members to do that so they can be added to our database of known potential claimants, be updated on the progress of this proposed class action and receive direct notification of certification and the opportunity to participate in this action, or other substantial steps. If you would like to do so, please contact:

Branch MacMaster LLP
Barristers & Solicitors
Suite 1410 – 777 Hornby Street
Vancouver , BC V6C 1S4
Attention: Jillian Dean
Telephone: 604 654 2999
Fax: 604 684 3429

Please note that registration with us does not mean you are a part of the class action; determination of eligibility is made by the Court in the certification process, and you may need to make an election if the action is certified.  However, registration ensures you receive notice of certification and of the opportunity to exercise your right to opt out (for persons living in BC) or to opt in (for persons living outside BC), and continue to participate in the action.

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