The fate of the proposed takeover of Shaw Communications Inc. by Rogers Communications Inc. will be before the Federal Court of Appeals on Tuesday as the Competition Bureau seeks to overturn the Competition Tribunal’s decision approving the deal.
In its appeal filings, the Competition Bureau alleges that the Tribunal made four errors of law, largely centered on how Shaw’s proposed sale of Freedom Mobile to Videotron factored into the decision.
The bureau argues that the Tribunal erred in the way it assessed the proposed sale of Freedom Mobile, a transaction it said would make Videotron dependent on Rogers for support, and also erred in relying on unenforceable covenants surrounding the transaction.
In its response, Rogers says the bureau relied on collateral attacks on the court’s assessment of the evidence it presents as fundamental legal issues.
Rogers says the allegations of profound legal error and calamitous political implications are “unnecessary rhetoric” and that the court’s decision is “essentially based on facts and clearly serves the public interest.”
The hearing at the Federal Court of Appeal in Ottawa is expected to last a single day, with a date for a decision on the appeal yet to be set as the extended January 31 closing date approaches.