Trailing Commissions Class Action

Contact Kalloghlian Myers LLP:

If you purchased units in mutual funds offered by National Bank, Scotiabank (1832 Asset Management L.P.), BMO, CIBC, Mackenzie Financial, RBC or TD, contact Kalloghlian Myers LLP:

contact@kalloghlianmyers.com
(647) 243-7381

Overview of the Class Action

Kalloghlian Myers LLP has commenced a class action on behalf of non-discount broker purchasers of mutual fund units in the following financial institutions:

1. ScotiaBank (1832 Asset Management L.P.)

2. BMO

3. CIBC

4. Mackenzie Financial

5. National Bank

6. RBC

7. TD

If you bought units of a mutual fund offered by any of the above financial institutions (other than through a discount broker), you are covered by this class action and you should contact Kalloghlian Myers LLP or fill out the form below:

contact@kalloghlianmyers.com

What is this case about?

This class proceeding seeks recovery for the diminution in value and the improperly low investment returns on the mutual funds caused by the Defendants’ improper dissipation of mutual fund assets.

The Class Members are persons who acquired units of the Defendants’ mutual funds, other than through discount brokers.

The Defendants paid trailing commissions from the mutual fund assets to discount brokers.

The purpose of trailing commissions is to compensate mutual fund dealers for providing ongoing investment service and advice. Yet discount brokers do not and are not permitted to provide investment service and advice.

The trailing commissions paid by the Defendants to the discount brokers are thus excessive, inflated and unearned.

The mutual fund assets are invested and generated investment returns. The Defendants’ payment of trailing commissions to discount brokerages from the mutual fund assets improperly dissipated the mutual fund assets. As a result of the Defendants’ improper dissipation of the mutual fund trust assets, the value of the Class Members’ mutual fund units were inappropriately diminished, as were their returns on their mutual funds units.

Updates:

August 1, 2022: A copy of the Statement of Claim is available here.