I am going to try to make an analogy to online dating.
Let's say a male applicant is writing messages to females on an online dating website. Say that this male applicant is on the shorter side. Thus, in this case, the analogy is that the taller male is the more reputable, Canadian law schol grad....the shorter male is the foreign grad.
If all that this male has on his online dating profile is his height, then of course he will be overlooked by many potential females. The most popular females on the online dating website (the large law firms) may not even give this man a chance.
However, if the male also demonstrates a good career, humour, values, communication skill or other things that differentiate him from the rest of the men - here we are not narrowing the issue down to short man vs tall man, but to this man vs that man. And in this case, this man has a better package overall than the taller man.
Also, with respect to the smaller law firms. This would be akin to some of the less popular females on the dating website. Some females might not "trust" the best looking, tallest man on the website. Some of them may not isolate the issue to the singular factor of height and value other considerationin their potential partner. Some might also for whatever their personal reason, prefer the shorter man. Others might have a preference for the taller height (Canadian law degree) in their mate, but it is not the most important consideration for them. Others might not have a strong preference one way or another.
Also, what if the shorter man has a great personality and can connect with the female in the exact way that she wants/needs.
And what if the shorter man, instead of trying his luck on an online dating website (which has too much competition), took a different approach in meeting women and then having them get to know him, instead of just his height?
Point is that while short men do get discriminated in the dating context, they can still succeed. Foreign law graduates may face some discrimination as well. The key is not to isolate and narrow the issue to height and do not isolate the issue and narrow the issue to foreign law school vs. Canadian law school!
I got a C+ on the memo (which was our midterm) as well and got my final mark up to a B. Don't worry. You'll do better in other classes and even if you don't, your life is not over, your career is not over, your future is still bright. When you're practicing/done law school you'll look back wondering why you spent so much time caring about this awful class. I will say though, lol, we learn some really useful stuff in that class that you should pay attention to - but the grade is not indicative of what you've learned.