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June 6, 2025: Ottawa

June 6, 2025

Attendees

Tax Court of Canada (TCC)

  • The Honourable Gabrielle St-Hilaire, Chief Justice (“CJ”) – in person
  • The Honourable Anick Pelletier, Associate Chief Justice (“ACJ”) – in person
  • Louis-Alexandre Guay, Executive Director & General Counsel (“LAG”) – in person
  • Stéphanie Lauriault, Executive Legal Counsel (“SL”) – in person
  • Michelle Wilson, Registrar (“MW”) – in person
  • Joel Kom, Legal Counsel (“JK”) – in person

Courts Administration Service (“CAS”)

  • Darlene Carreau, Chief Administrator (“DC”) – in person

Justice Canada (“DOJ”)

  • Jade Boucher, Assistant Deputy Minister, Tax Law Services Portfolio (“JB”) – in person
  • Justine Malone, Senior General Counsel, Tax Law Services Portfolio (“JM”) – in person

Canadian Bar Association (CBA)

  • Marie-France Dompierre, Committee Chair (“MFD”) – regrets
  • Peter Aprile (“PA”) – virtual
  • Robert Duong (“RD”) – virtual
  • Pooja Mihailovich (“PM”) – virtual
  • Michelle Moriartey (“MM”) – virtual
  • Al-Nawaz Nanji (“ANN”) – in person
  • Yves Faguy, CBA – Executive Director, Advocacy (“YF”) – in person

I. Welcome and Approvals

A. Introductory Remarks

The CJ and ACJ welcomed committee members to the meeting. ANN chaired the meeting.

B. Review of Proposed Agenda

The proposed agenda was approved as presented.

C. Approval of Minutes of December 1, 2025, Meeting

Approval pending. The TCC comments on the minutes will be coming.

II. What’s New at the TCC

A. Resignations, Appointments and Vacancies

The CJ provided the following update:

  • Since December 2024, there have been 5 new judges and 1 new associate judge appointed to the Court with a diversity of experience (public and private sectors, litigation and planning):
    • Justice Rabinovitch
    • Justice Aroca
    • Justice Sorensen
    • Justice Friedlander
    • Justice Clark
    • Associate Judge Miller.
  • There is now a full complement of 27 judges – all of which will be sitting as of Fall 2025. No retirements or departures are expected over the next 12 months, and the judicial complement has remained stable following the recent appointments.
  • The new judges are in their onboarding phases. Two have begun sitting and the other recent appointees will begin sitting soon. All will be fully integrated by the end of 2025.
  • The 2 associate judges are bilingual and will be hearing motions, informal procedure hearings and status hearings, freeing up time for other judges to hear general procedure appeals and reducing delays.
  • Since December 2023, there have been 12 new judges – almost a 45% change in the TCC bench.

B. Current Operations

Scheduling and Dockets

  • There was a challenge for the 2025 docket as the issuance of scheduling orders was delayed because of an absence of key staff, with a resulting scheduling backlog.
  • This issue has been addressed through additional hiring and training in the Judicial Administrator’s office but scheduling delays are not fully resolved.
  • The TCC is working on the 2026 docket. The TCC is scheduling longer trials (5+ days) first to improve efficiency. Parties may already have received orders for late 2026. Feedback on this approach is welcome. The objective is to improve timelines and alleviate delays (a top matter for the TCC) with the capacity and flexibility that comes with a full judicial bench – see under II.A.
  • A data comparison was undertaken about delays in scheduling between regions.
    • As a result, additional sittings will be added in certain regions: Toronto in fall 2025 and Vancouver in 2026.
    • A review of the data showed particularly long delays in Quebec. Recent appointments have not significantly increased the TCC’s capacity to hear matters in French due to other judges’ retirements, the passing of Justice Hogan, and the CJ and ACJ sitting less often. Mitigation steps were taken:
      • For English-only cases in Quebec, English-speaking judges will be assigned for partial sittings to reduce the delays and free up bilingual judges.
      • For all cases in English, the Hearings Coordinator will follow up to confirm if the language of the hearing, language of witnesses and language of all documents is English. If a document is in French, there may be a need to adjourn the hearing to have a bilingual judge preside.
      • Counsel must clearly indicate in their joint application and other scheduling filings whether the entire matter (including evidence, documents, and oral argument) will proceed in English or French. All potentially bilingual elements must be signaled to the TCC.
  • Request by the TCC for the Bar to pass on the following messages:
    • Practitioners must clearly indicate in their joint applications the language of the hearing, the language of witnesses and the language of all documents.
    • Practitioners should take more care in drafting their joint applications by not including Fridays or holidays, or non-sitting days, which are set out on the TCC’s website on the Calendar page.
    • Practitioners should provide as much flexibility on dates within date ranges (e.g. any 3 days between March 1 and 9, rather than only providing March 4–6).
    • Practitioners should not give the same dates in multiple joint applications and should tell the TCC as soon as possible when a date becomes unavailable.
  • Recommendation: ANN recommended a practice note to deal with best practices. There was discussion of the need for best practices and templates for joint applications, including sample forms and guidance on flexibility and language requirements. The TCC is considering changes to the content of the joint application form to integrate these suggestions.

Adjournment requests

  • The TCC noted a rise in adjournment requests that lack sufficient detail to allow the Court to make a determination on the adjournment request. The TCC is trying to gather more data to determine the extent of the increase.
  • Adjournment requests may not be determined promptly if reasons and supporting documents are not provided with the request, resulting in back-and-forth between the registry and the parties.
  • Request from the TCC: As officers of the court, practitioners should provide detailed responses and supporting documents to support any adjournment request to avoid delays. Adjournment requests should be provided as early as possible with proper information, which will allow for a quicker turnaround. JM said that practitioners need to understand that the bar to obtain an adjournment request is high.
  • The TCC may consider publishing best practices for adjournment letters, including what information is typically required. Properly documented requests are generally processed quickly by the TCC.

C. Regional Matters and Issues

  • See Section B above regarding regional scheduling matters.
  • Facilities Update:
    • Ottawa:
      • Construction in the Kent street building is ongoing on the 2nd floor for 2 studio courtrooms expected to be completed by the end of August 2025.
      • 4th Floor – 2 new courtrooms will be ready by the summer of 2026.
    • Montréal: courthouse project is on track for completion in March 2027.
    • Oakville: Due to security concerns, the TCC facility in Hamilton was closed in July 2024. There is a backlog of cases for this area because the TCC reduced the number of sittings by 40% to 50% due to the high cost of sitting in hotels as well as security concerns. The TCC hopes that a new facility in Oakville will open with 2 courtrooms and a studio courtroom by the summer of 2026.
    • Toronto: The facility will go from 4 to 8 courtrooms as it is hard to accommodate all sittings. This is a longer-term project with no set deadline. Five courtrooms are undergoing renovations to add capacity for electronic/virtual proceedings, expected in fall 2026.

D. Statistics and Trends

  • There has been a slight decrease in intake, predominantly informal procedure matters and group appeals.
  • Inventory is stable overall which suggests that general procedure matters are becoming more complex and taking more time to move through the litigation process.
  • The ratio of general procedure matters to informal procedure matters is increasing, both in terms of intake and inventory.
  • For the 2026 Docket, there is an increase in longer trials, particularly in Vancouver (15+ day trials).

III. Court Administration Service (CAS)

A. CAS Update

The Chief Administrator of CAS provided an overview of ongoing strategic priorities and financial challenges facing the four federal courts, including digital modernization, implementation of the Official Languages Act requirements, and CAS’s difficult financial situation.

The following updates were provided:

  • Budget 2025 and advocacy
  • Financial situation and budget pressures
  • Impacts on operations
  • Digital modernization
  • Court facilities
  • Official Languages Act implementation

Budget 2025 and advocacy

  • CAS is preparing its Budget 2025 submission, due by end of August.
  • The focus will be on:
    • Funding for critical digital infrastructure.
    • Resources for secure national security-related proceedings.
  • The Chief Administrator acknowledged the CBA’s support and welcomed continued engagement and advocacy, especially in relaying the message that judicial independence, rule of law, strength of democratic institutions and access to justice depend on sustained investment.

Financial situation and budget pressures

  • Funding has not kept pace, and CAS faces a persistent deficit. CAS’s financial situation remains critical. The funding requested has not materialized over the past two federal budgets, resulting in persistent deficits.
  • Operations have been cut by 10%. Temporary funding has been insufficient to meet permanent obligations, including for legal publications, court operations, and translation services.
  • Pressures relating to cybersecurity.
    • There is a hiring freeze and tight financial controls on discretionary spending. Staffing reductions were implemented in the previous fiscal year, including workforce adjustments affecting permanent employees in registries and regional offices. CAS had to release term employees.
    • There is a deficit this year and a push to cut back and streamline.
    • The Treasury Board approved CAS taking a temporary loan last fiscal year that must be paid back. The loan draws from the facilities modernization envelope to temporarily balance the budget.
    • Cuts are following two principles:
      • Minimize the direct impact on operations.
      • Minimize impact on people.
    • CAS has a reduced ability to provide services, had to pull money out of dedicated envelopes (modernization) to support hearings.
    • The TCC registry team is looking at updating the registry system for processing requests.

Impacts on Operations

  • The Federal Court is particularly affected due to a surge in immigration-related cases, with insufficient resources to support timely status updates and case processing.
  • Registry operations are experiencing delays, with 700–900 unprocessed documents in the intake queue and wait times that can reach 2–3 months for judicial review of some procedural requests.
  • A power outage on May 23, 2025, led to a complete shutdown of all court websites and e-filing systems. While not a cyberattack, the incident exposed critical infrastructure vulnerabilities, including the lack of technical redundancy.
  • The courts have business continuity plans in place, but without new funding, digital resilience remains inadequate. Transitioning to cloud-based infrastructure is under consideration but would require upfront investment.

Digital modernization

  • There is modest funding for digital courts.
  • A first-ever digital strategy for the four courts has been developed and endorsed by the Chief Justices. It will be published imminently and serve as a framework for digital modernization.
  • The courts are set to begin a multi-year project focused on internal case and document management systems. Treasury Board authorization is expected shortly.
  • Digital court modernization will require investments in document management systems for the four courts to manage cyber risks.
  • CAS is looking at robotics and AI for translation. Investments in robotic process automation and AI-assisted translation are underway, though constrained by limited funds.
  • The TCC has implemented an updated court and registry system, and its registry team is leading proof-of-concept work for the new internal document management system.

Court facilities

  • Renovations and expansions are proceeding across the country:
    • 18/57 courtrooms are fully digital. In Toronto, three courtrooms are being converted to e-courtrooms.
    • Mobile videoconferencing units have been added in multiple locations, including Fredericton, Calgary, Edmonton, Winnipeg, Montréal.
    • A mock courtroom was developed that integrated physical and digital infrastructure. Feedback from judges and registry staff was used to refine design standards.
    • CAS is now trying to gather input on technology and infrastructure needs at counsel tables and podiums. Feedback is being solicited on the mock courtroom to integrate digital elements.

Official Languages Act (OLA) implementation

  • The current funding is temporary, so translation is not possible without secured funding. Given resource constraints, translation efforts are prioritized for precedential or nationally significant decisions.
  • The temporary nature of OLA funding poses a risk with only 2 years of funding left; without permanent funding, the courts will not be able to sustain translation levels required under the new OLA.
  • Backlog of 2,400 decisions for translation, with an expectation that the backlog will increase to 3,000 decisions by the end of March 2026.
  • CAS will continue to raise these issues and concerns with the new Minister of Justice.

IV. TCC Rules Committee

A. Rules Committee Update

  • The Rules Committee meeting was held on May 30, 2025.
  • The composition of the Rules Committee is set out in section 22 of the Tax Court of Canada Act and includes:
    • Judicial Members: CJ, ACJ, Justice Graham, Justice Spiro, Justice Cook, Associate Judge Matte
    • DC
    • Brooke Sitler – Department of Justice
    • Justine Malone – Department of Justice (ex officio member)
    • Dominic Belley – Norton Rose Fulbright
    • Ken Skingle – Felesky Flynn
  • General Procedure Rules amendments were approved at the last meeting. These amendments were first approved in 2023, but further discussion was needed before full approval.
  • The Rules Committee approved the following amendments, which will be published in the Canada Gazette:
    • Use of Examination for Discovery at Hearing: Rule 100
      • The current Practice Note provides 4-day notice for read-ins followed by 2-day notice for adverse read-ins.
      • Rule 100 is being amended to extend the time for first read-ins from 4 days to 14 days and extend the time for adverse read-ins from 2 days to 7 days.
    • Computation of Time: Rule 11
      • Rule 11 is being amended from “rules or a direction” to “rules, a direction, or an order” to make it clear that it applies to orders.
      • A new rule will make it clear that if a deadline is less than 7 days, holidays do not count.
    • Electronic Service: Rule 17
      • If an email address is included in a pleading, there will be deemed consent for electronic service.
    • Rule 44’s text regarding reply deadline extensions will not be changed. The Rules Committee determined that no such changes were needed.
    • Motions:
      • The Court is considering extending the notice periods for motion materials, which currently stand at 7 days and 2 days. The Court is considering extending the periods to 14 days and 7 days, respectively.
      • ACJ mentioned that in some regions, it takes as long to schedule a motion as it takes to schedule a hearing on the merits.
      • It was suggested that regular scheduling of fixed motions days may reduce the delay in obtaining a motion hearing date.
      • MM suggested that non-complex motions could benefit from improved scheduling.
  • The Rules Committee did not deal with any amendments to the informal procedure rules; these will be dealt with at the next meeting in September.

V. Issues Raised by DOJ and the CBA

The CBA provided the following feedback to the TCC:

  • The Tax Bar appreciated recent changes incorporating feedback and comments:
    • The TCC website shows the next 4 months of hearings on the website calendar.
    • The suggested proposed hearing dates information is on the website.
    • The name of the trial judge is available 10 business days before the hearing.
  • The Tax Bar provided feedback that motion days would be extremely helpful and welcomed for certain motions that would not take a whole day (non-complex refusals motions, motions to strike, motions to extend time).
    • The TCC indicated that motion days will likely occur in Toronto, Vancouver, and Montréal and the Court would look into whether motions could be virtual.

The CBA raised the following issues:

  • Motion/Interlocutory Decisions
  • Difficulty in Obtaining Hearing Dates
  • Settlement Conferences
  • Bifurcation
  • Read-ins
  • Evidence from Witnesses Outside of Canada
  • Residency Requirement for Federal Judges
  • Hybrid Hearing Requests

Motion/Interlocutory Decisions

  • On the TCC’s policy on publishing motion decisions or interim orders, the judge has discretion to decide whether to issue an oral or written decision and whether a written decision will be published. This means not all decisions will be available.
  • The CBA clarified that the publishing of reasons on certain motions would be helpful, such as Rule 58 motions (initial stage), cost motions, and motions to strike. This would help practitioners better advise their clients.

Difficulty in Obtaining Hearing Dates

  • The TCC discussed this issue in Section II. B. above.

Settlement Conferences

  • CBA raised the issue of whether the TCC will revoke, or alternatively relax, the conditions for a settlement conference set out in Practice Note No. 21.
  • The TCC continues to reflect on settlement conferences and the circumstances in which they are most appropriate.
  • Discussion around the clarity of the practice note and how to determine whether parties actually want to settle.
    • ACJ indicated that offer exchange is evidence of such willingness.
    • Narrowing issues during pre-trial management can be a better path than settlement conferences.
    • PA recognized that the TCC must be confident a settlement conference will add value before allocating scarce resources. More frequent use of enhanced costs, particularly where parties do not take active and meaningful steps to narrow or resolve disputes, alongside clear jurisprudence, will help encourage greater engagement and constructive behavior. These measures reduce unnecessary hearings, limit late cancellations, and make more efficient use of judicial resources.
    • Forward planning for longer trials may give more time to negotiate settlements.
    • In answer to a suggestion that the Crown is often unwilling to settle, JM emphasized that the Crown is open to settlement, where warranted.
    • The TCC will consider whether a change to Practice Note No. 21 is needed once the review of this issue is done.

Guidance on Bifurcation

  • Currently, it is not clear whether a bifurcation request can be made by filing a letter to the TCC or by filing a motion.
  • ANN suggested that more clarity on the process would be welcomed.
  • The CJ will discuss this item at the Judges’ Meeting in June 2025 to see if any judges have been requesting motions.

Read-ins

  • The TCC discussed this issue under Section IV. A. above.

Evidence from Witnesses Outside of Canada

  • The issue of virtual hearing participants who are outside Canada continues to be an issue and will be discussed at the Judges’ Meeting in June 2025.
  • The TCC website will be updated to make it clear that guidelines for participants appearing virtually only apply to witnesses in Canada, not outside Canada.
  • The CJ and ACJ will not approve virtual or hybrid hearing requests if someone, including a witness, is participating virtually from outside Canada.
  • DOJ indicated that generally, witnesses testifying outside of Canada is problematic and that there are few countries in which a witness outside of Canada may testify virtually under foreign law. The party requesting foreign testimony should first verify whether the country allows a witness to testify as it may be illegal to do so.
  • The TCC indicated that it is difficult for judges to determine what the foreign law says, and there is a potential issue of the authority that the trial judge may have over a participant located outside Canada.
  • CJ asked DOJ to consider whether multilateral or bilateral civil law treaties could be used to obtain evidence abroad.
  • DOJ agreed to provide the TCC with its views in each case on whether the country in question allows virtual participation in any form including affidavits, examinations for discovery and expert evidence.
  • Concerns were raised about the requirements in the Canada Evidence Act.

Residency Requirement for Federal Judges

  • The consultation process has been paused due to the election.
  • DOJ was leading the process and had no updates to provide; the TCC has not heard back on the consultation process.

Hybrid Hearing Requests

  • DOJ raised technology issues with hybrid hearing requests where some witnesses may testify remotely and asked how widely available the technology was.
  • ACJ indicated that hybrid trials for remote Canadian witnesses were not always possible due to limited facilities allowing for remote hearings or testimony.
  • The TCC must be advised well in advance to allow it to book equipment, as there are technology limits and shared resources with other courts, including in major cities. Required information includes length and nature of the testimony, and whether the opposing party is represented.
  • The TCC website is being updated to indicate where there is capacity for hybrid trials.

VI. Other Business

There was no other business.

VII. Next Meeting

The next meeting is scheduled for November 30, 2025, in Calgary. Location to be determined.