CIBC investors may be eligible for compensation under $11-million class action settlement

TORONTO — The deadline is approaching to file compensation claims under a class action settlement against the Canadian Imperial Bank of Commerce (CIBC). The settlement totals $11 million and relates to fees and commissions linked to mutual funds.

Some former clients must submit their claims by November 18, 2026, to benefit from the settlement, which was approved by the Ontario Superior Court of Justice.

The settlement covers investors who held units in CIBC or Renaissance investment funds under specific conditions. Some current clients will benefit automatically without filing a separate claim.

What is the lawsuit against CIBC about?

The case stems from allegations that the bank's investment funds paid ongoing commissions to brokerage firms that offer low-cost trading services, without providing clients with personalized investment advice.

These payments are known as trailing commissions, fees that may be paid for advice and ongoing support related to investments.

The plaintiffs argued that some of the commissions were excessive or not owed, because the brokerage firms in question allow buy and sell orders to be executed without providing traditional advisory services.

CIBC and its affiliates denied any wrongdoing, and the settlement documents state that the agreement is not an admission of legal liability or of the validity of the allegations.

Who is eligible for compensation?

The eligible class includes people who held units in CIBC or Renaissance funds at any time up to September 5, 2025, provided those units were not held through a discount broker.

This can include investments that clients bought through bank branches or through advisors providing full-service financial services.

The settlement is not limited to people currently living in Canada. The class defined by the court includes eligible people regardless of where they live.

It is important to distinguish between clients who have closed their earlier investments and clients who still hold units in the funds covered by the settlement.

Who needs to file a claim by November 18?

Clients who previously held units in CIBC funds and no longer hold any must submit a claim form to receive possible compensation.

Clients who still hold units in these funds do not need to submit a claim, because part of the settlement amount will be deposited directly into the funds concerned.

The automatic process also applies to current and former investors in Renaissance funds, as the amounts allocated to them will be transferred to the existing funds.

An investor who held both types of funds can benefit under the distribution method that applies to each.

How much is the compensation per person?

Although the settlement totals $11 million, that amount will not be distributed in full directly to claimants.

Lawyers' fees, administration costs and other approved expenses are deducted before the net amount available for distribution is determined.

The settlement plan indicates that some eligible former clients could receive about $32 per approved claim.

The amount is not guaranteed and could be lower if the number of claims exceeds the funds set aside for this group.

Payment will be made by cheque or electronic transfer, depending on the available procedures.

How do you file a claim?

Former clients can check their eligibility and submit claims through the official settlement website before the deadline.

They can also contact the settlement administrator at 1.888.260.5258 for more information.

Investors are advised to use the official website directly and not to share their banking or personal information with unverified parties.

Separate settlement for discount broker clients

A separate settlement applies to investors who held CIBC or Renaissance funds through discount brokers. It differs from the current settlement in the class covered, the procedures and the deadlines.

Investors should therefore confirm the type of their previous investment account before submitting any claim.