Before finding that the taxpayers were not entitled to recognize deductions under s. 20(1)(f)(ii) at the time they repaid U.S.-dollar denominated debentures following an appreciation in the U.S. dollar, LeBel J adressed (at para. 61) an argument that as the US dollar appreciated, the "principal amount" of the debentures increased:
[T]he arguments based on the use of the phrase "maximum amount" in the definition of "principal amount" fail because there is no indication that foreign currency conversions were in Parliament's contemplation when that section was drafted.