1. The law firms of Strosberg Sasso Sutts LLP and Koskie Minsky LLP are counsel in a class action commenced in the Ontario Superior Court of Justice against Penn West Petroleum Ltd. (“Penn West”) and a number of its officers and directors (the “Ontario Action”).  The claim is on behalf of all persons, other than certain persons associated with the defendants, who acquired common shares of Penn West on the Toronto Stock Exchange or on alternative trading systems in Canada during either: (1) the period from March 17, 2011 to and including July 29, 2014 (“First Class Period”) and held some or all of those shares at the close of trading on July 29, 2014; and/or (2) the period from July 30, 2014 to and including September 18, 2014 (“Second Class Period”) and held some or all of those shares at the close of trading on September 18, 2014 (collectively, “Class Members”). Related class actions have been commenced in the Alberta Court of Queen’s Bench (the “Alberta Action”) and the Québec Superior Court (the “Québec Action”). There is also information about a related class action in the United States at the bottom of this page.
  1. The plaintiff alleges that throughout the Class Periods, the defendants misrepresented that Penn West’s financial statements were prepared in accordance with GAAP and/or International Financial Reporting Standards.
  1. On July 29, 2014, after the close of trading, Penn West disclosed that certain of the company’s historical financial statements must be restated.  Penn West also stated that the company’s historical financial statements and related audit reports and MD&A should not be relied upon.  After the disclosure, Penn West’s share price declined by more than 15 percent. The affected financial statements were restated on September 18, 2014.
  1. The plaintiff seeks damages for negligent misrepresentation and liability for secondary market misrepresentation pursuant to the provisions of Ontario's Securities Act.
  1. On February 12, 2016, the parties to the Ontario Action, the Alberta Action and the Québec Action signed a settlement agreement, which can be reviewed here: (English). The settlement provides for the defendants to pay $26.5 million in full settlement of the actions. The notice, which describes the terms of the settlement, can be reviewed here (English).
  1. On May 31, 2016, the Ontario Court approved the settlement, plan of allocation, and the lawyers’ fees, disbursements and taxes. A copy of the Order of Justice Belobaba, dated May 31, 2016 can be found here
     
  2. On June 13, 2016, the Quebec Court approved the settlement, plan of allocation, and the lawyers’ fees, disbursements and taxes.  A copy of the approval order dated June 13, 2016 can be found here.
  1. On June 27, 2016, the Alberta Court approved the settlement, plan of allocation, and the lawyers’ fees, disbursements and taxes. A copy of the approval order dated June 27, 2016 can be found here.

  2. The court-approved notice describing the settlement may be reviewed here: (English).

  3. The Plan of Allocation may be reviewed here (English).

  4. In addition to the settlement of the class actions in Canada, the defendants also settled a class action in the United States District Court for the Southern District of New York that was filed on behalf of persons and entities who purchased or acquired Penn West securities or call options or that sold/wrote Penn West put options on the New York Stock Exchange or otherwise in the United States. If you purchased securities of Penn West on both the Toronto Stock Exchange (or alternative trading systems in Canada) and the New York Stock Exchange (or otherwise in the United States), you may be eligible to participate in both class actions. Information about the United States class action can be found here.  The final U.S. approval hearing was held on June 28, 2016 and the settlement was approved.

  5. The deadline to make a claim for compensation was November 14, 2016.

  6. The deadline to opt out was September 1, 2016.

  7. If a Claim Form was submitted, the Administrator will acknowledge receipt by no later than January 13, 2017.  Those who made a claim but have not heard from the Administrator by that time should contact the Administrator at 1.888.244.1486.

  8. Pursuant to the Plan of Allocation, the Administrator will review all Claim Forms and determine a Claimant’s entitlement to part of the settlement. Once a determination is made, the Administrator will advise a Claimant in writing. 

  9. If a Claimant disagrees with the Administrator’s decision, the Claimant may elect a Reference by the Referee by delivering a written election for review to the Administrator within fifteen (15) days of receipt of the Administrator’s decision.  The election for a Reference must set out the basis for the disagreement with the Administrator’s decision and attach all documents relevant to the review which have not previously been delivered to the Administrator.

  10. The election for a Reference must be accompanied by a certified cheque or money order, payable to the Administrator, in the amount of $150. 

  11. The Reference should be sent to the following address:
     

    Penn West Securities Class Action
    Re: Referee Review
    PO Box 4087
    Portland, OR 97208-4087

     

  12. More information on the Reference and Referee is available in the Plan of Allocation and the Settlement Agreement.
     
  13. If you have any questions, please call Strosberg Sasso Sutts LLP at 1-866-571-5040.
     
  14. If you would like to know more about how a class action works, click here.