RBC and PH&N Mutual Funds Trailing Commissions Class Action
Reviewed by Marty Mikhail, Barrister & Solicitor with Quinn Thiele Mineault Grodzki LLPLast verified How we verify
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About this claim
If you held units of an RBC Mutual Fund or a PH&N Mutual Fund through a discount broker between December 28, 2003 and July 25, 2024, you may be eligible for a cash payment from a proposed C$45 million settlement.
See the questions the eligibility checker asks
The checker asks these questions. Use the Check Eligibility button to answer them and see a result.
- Did you hold units of an RBC Mutual Fund or a PH&N Mutual Fund at any time between December 28, 2003 and July 25, 2024?
- Did you hold those fund units through a discount broker, such as RBC Direct Investing, BMO InvestorLine, CIBC Investor's Edge, TD Direct Investing, Questrade, or Wealthsimple?Discount brokers are online or order-execution-only brokerages that let you trade without receiving investment advice.
- Are you a defendant, a past or present parent, subsidiary, affiliate, officer, director, or senior employee of the defendants, or a past or present member of the independent review committee of the RBC or PH&N Mutual Funds?
Read more
This class action claims that RBC Global Asset Management Inc. and RBC Investor Services Trust improperly paid trailing commissions out of RBC and PH&N mutual fund assets to discount brokers. Trailing commissions are ongoing fees usually meant to pay for investment advice, but discount brokers only execute orders and do not give advice. The lawsuit alleges these payments were excessive, inflated, or unearned, and that the companies misrepresented the nature of the payments. The companies deny all of the allegations.
The Ontario Superior Court of Justice certified the case as a class action on July 25, 2024. On June 19, 2026, the parties reached a proposed settlement of C$45 million, which still needs court approval. A hearing to approve the settlement is scheduled for September 8, 2026. If approved, the net settlement fund will be divided among class members who file valid claims, in proportion to the trailing commissions paid in respect of their fund units.
Class Counsel
- Siskinds LLP
- Phone416-362-8334
- Toll-free1-877-672-2121
- Email[email protected]
- Websitehttps://www.siskinds.com/class-action/mutual-fund-trailing-commissions/
Proposed Settlement Documents
Opting out
The deadline to opt out was and has passed. Opting out is no longer available. Class members who did not opt out remain in the class and are bound by the outcome.
Frequently Asked Questions
How much money could I receive?
The proposed settlement is C$45 million. After court-approved deductions for legal fees, expenses, the litigation funder's commission, and administration costs, the remaining amount will be shared among class members who file valid claims, in proportion to the trailing commissions paid on their fund units. Individual amounts cannot be estimated until all claims are received, and payments of $25 or less will not be issued.
What stage is this settlement at?
The settlement is proposed and still requires court approval. The Ontario Superior Court of Justice will hear the approval motion on September 8, 2026. Claims cannot be filed yet; a claims process will open only if the court approves the settlement and the Distribution Protocol.
Can I object to the settlement?
Written objections to the settlement, the Distribution Protocol, or class counsel's fees had to be delivered to Siskinds LLP, postmarked or received no later than August 18, 2026. That deadline is today, so any objection must be delivered today; after today the objection window is closed.
What do I need to do right now?
Nothing is required at this stage. If the court approves the settlement, a claims process will open and a further notice will explain how to file. Many class members whose information is provided by their discount broker will receive a pre-populated online claim and will not need to gather documents; others will need records such as brokerage statements showing the yearly value of their fund holdings.
When would payments be made?
Only after the court approves the settlement and the claims process ends. Under the proposed process, claims would be due 180 days after the second notice is published, and payments by cheque or e-transfer would follow once all claims are reviewed.
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