Brad Schneider, Jason Giborski and Paul Blyschak are lawyers at Fasken. This article reflects the opinions of the authors and not of their firm.
The benefits of Alberta’s efforts are thus equally available to founders and investors with businesses or investments elsewhere in the country. Alberta’s aim to be Delaware North therefore deserves more widespread attention than it has received so far, as it could mark the start of real competition among Canadian jurisdictions at the business statute level.
Nor has Canada seen the emergence of a clear favourite corporations statute similar to Delaware’s down south. While it is not unusual for the CBCA to be chosen as the incorporating statute by businesses in Quebec and elsewhere, many Canadian companies incorporate under their local statute without giving much thought to the issue.
And the ACBA grants companies enhanced ability to indemnify their directors from potential legal liability associated with acting in that role. These additions build on several existing investor-friendly features such as the ability of nominee directors to give special consideration to the interests of their nominating shareholder in deciding the best interests of the company.