HBC landlords want $2.4 million to cover costs from Ruby Liu lease battle: docs

Billionaire Ruby Liu tours a former Hudson's Bay-owned Saks OFF 5th department store after a "handover ceremony" where she received the keys to the space at Tsawwassen Mills shopping mall that she owns, in Tsawwassen, B.C., on Thursday, June 26, 2025. THE CANADIAN PRESS/Darryl Dyck

TORONTO — Hudson’s Bay landlords are asking the collapsed retailer for about $2.4 million to cover expenses they incurred while fighting a plan to sell leases to a B.C. billionaire.

The landlords say the battle over whether Ruby Liu should be able to move into their spaces resulted in significant expenses because they had to prepare extensive court records and participate in three days of cross-examinations.

In court filings, the landlords say they should be entitled to recoup those costs because the fight was “wholly avoidable” and HBC knew the deal to sell leases to Liu was “flawed.”

HBC is pushing back on the request for cash from landlords including Cadillac Fairview, Ivanhoé Cambridge, Primaris Management and QuadReal Property.

The retailer says in its own court submission that awarding costs to the landlords would have a “chilling effect” on other creditor protection cases because it could make future debtors hesitant to try to sell their leases lest they be on the hook for similar fees.

HBC collapsed under the weight of debt last March and soon after, announced a plan to sell 28 of its leases to Liu. A court allowed the transfer of three of the leases in malls Liu owned but never approved the sale of the remainder because landlords convinced it Liu was unfit for their properties.

This report by The Canadian Press was first published Jan. 23, 2026.

Tara Deschamps, The Canadian Press