The B.C. Supreme Court has rejected a move by current members of the B.C. Tree Fruits Co-operative to block former growers from receiving millions of dollars remaining from the co-op’s asset sale to settle debts. Justice Miriam Gropper’s ruling mandates that the surplus funds must be distributed to former members as well.
The court decision halted current members from voting on a resolution to exclude former members from benefiting from the leftover money, deeming the proposed action oppressive and unfair. B.C. Tree Fruits Co-operative, established in 1936 with over 230 farming families, including a grower supply company and a fresh fruit market, ceased operations in July 2024 due to low fruit volumes and adverse weather conditions.
Following the asset liquidation, about $12 million to $15 million is available for distribution. Under Rule 125, both current and former members are entitled to a portion of the funds, with former members expecting around $4 million. Despite claims of financial collapse due to former members’ departure, the court found no justifiable reason to exclude them from the surplus distribution.
The court ordered the co-operative to adhere to current rules and allocate surplus funds to both current and former members. B.C. Tree Fruits is now owned by Wildstone Construction Group and managed by Algoma Orchards.