You should check the court where the claim was filed and ask what the latest action or event was. Chances are they just left it there to dry out. CIBC's third-party legal agentd are known for that nonsense here in the East Coast.
When was the last time you made a payment or issued a signed letter or document to them prior to the action being taken? Who is the attorney representing CIBC or the collection agency that recommended the action be taken?
If the debt is statute barred and you filed your defense improperly then that may likely reset the clock on limitations. Filing a defense is easy to do and if you suspect there is a limitation issue in place then filing a defense in that manner may cause problems in the sense of making the argument.
KRMC is a law firm they use in Toronto who profess themselves to be creditor's rights lawyers who are vicious towardd student loan borrowers and anyone CIBC puts on their hi tlist. I have seen them do some pretty shady things over the years.
If you have a debt owed tot he Crown, namely student loans, they will take any income tax rebate you are entitled to IF the loan is in default, and CRA assigned to collect it. Same goes for provincial guaranteed or direct loans. They have a federal set-off gateway that alows them to wet their beaks with your rebate money.