LaSalle College, a private post‑secondary school in Montreal, announced on August 25, 2026 that it has entered creditor protection and suspended all classes. The move follows a $30 million fine that remains unpaid and the provincial government's decision to withhold funding for the institution.
The college confirmed that the fine, imposed earlier, has not been settled, prompting the province to suspend its financial support. In response, LaSalle College sought legal protection to manage its debts and to halt academic operations while it addresses the outstanding obligations.
According to the college, the creditor protection filing is intended to provide a structured process for dealing with creditors and to preserve any remaining assets. The suspension of classes affects all enrolled students, who have been notified of the interruption and are awaiting further information about the resumption of instruction.
Provincial officials have not released detailed comments on the specific reasons for the fine, but the withholding of funding indicates a direct link between the unpaid penalty and the loss of government support. The situation underscores the financial pressures faced by private educational institutions when regulatory penalties are not resolved.
LaSalle College's leadership indicated that the institution will cooperate with the protection process and explore options for resolving the fine and restoring funding. No timeline has been provided for when classes might resume or when the college expects to settle its financial obligations.
The development marks a significant disruption for the college's community, including faculty, staff, and students, and raises questions about the future of the institution's operations in Montreal.