LaSalle College resumes classes following creditor protection renewal

Montreal’s LaSalle College has been permitted to resume classes following a court decision to extend the institution's creditor protection. The ruling by Superior Court Judge Martin Castonguay allows the college to continue operations while it negotiates a payment plan with the Quebec government.

The college is facing a total debt of approximately $48 million. This amount includes nearly $30 million in fines imposed by the provincial government for exceeding student enrollment quotas in English-language programs, a result of a 2022 language law. Additionally, the college must reimburse $17.9 million in subsidies received during the previous school year.

During the proceedings, Judge Castonguay noted that the government had failed to provide the college with a viable path to repay its debts. The court also ordered that government subsidies to the college be reinstated during this transitional period to prevent a total shutdown that would have impacted thousands of students.