10 October 2014 APFF Roundtable Q. 13, 2014-0538111C6 F - Boni suite à la signature d'un contrat d'appro -- summary under Timing

The purchaser under a major supply agreement negotiated a "signing bonus" of $5 million (payable equally in the first and second year) in conisderation for agreeing with the supplier to puchase the raw materail under the six-year agreement, and with damages payable on specified events of non-performance. CRA did not specifically address the treatment to the supplier and purchaser and instead provide a general overview of the Canderel and Ikea principles.