Bill C-38
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STAY OF PROCEEDINGS |
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Effect of stay
of
proceedings
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12. Notwithstanding any other law, during
any period in which a stay of proceedings is in
effect, no creditor of the farmer
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Extension of
stay of
proceedings
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13. (1) Where the administrator considers
an extension of the thirty day period referred
to in paragraph 7(1)(b) to be essential to the
formulation of an arrangement between a
farmer and the farmer's creditors, the admin
istrator may, subject to the regulations, extend
that period for a maximum of three further
periods of thirty days each.
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Interim
extension of
stay
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(2) Where
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the administrator shall, on that expiration, ex
tend the stay of proceedings until the appeal is
decided.
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Notice to
creditors
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(3) The administrator shall give notice of
any extension granted under subsection (1) or
(2) to the farmer and to each person whose
name is listed as a creditor in the farmer's
application.
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Where appeal
successful
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(4) Where, pursuant to an Appeal referred
to in paragraph (2)(a), the Appeal Board
reverses the administrator's decision, the
resulting thirty day extension of the stay of
proceedings starts at the expiration of the
original stay of proceedings, or at the expira
tion of the previous thirty day extension
thereof, as the case may be.
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Obligatory
termination of
stay of
proceedings
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14. (1) If the administrator determines,
pursuant to paragraph 7(1)(c), that the farmer
is not eligible to make the application, the
administrator shall direct that the stay of
proceedings be terminated.
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Discretionary
termination of
stay of
proceedings
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(2) If the administrator is of the opinion,
based on information received from the me
diator or from any other source, that
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the administrator may direct that the stay of
proceedings be terminated.
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Notice of
termination
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(3) Where the administrator directs, pur
suant to subsection (1) or (2), that a stay of
proceedings be terminated, the Administrator
shall so inform the farmer and all the creditors
listed in the application.
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When
termination
takes effect
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(4) Where the administrator directs, pur
suant to subsection (1) or (2), that a stay of
proceedings be terminated, the termination
takes effect
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Automatic
termination of
stay of
proceedings
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(5) A stay of proceedings terminates on
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APPEAL BOARDS |
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Appeal
Boards
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15. (1) The Minister may, in accordance
with the regulations, constitute one or more
Appeal Boards and designate the members
thereof, and may enter into agreements for the
services of the members, which agreements
may include provision for remuneration and
travel and living expenses.
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Appeals
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(2) A farmer or a creditor may, in accor
dance with the regulations, appeal to an
Appeal Board a decision of an administrator
relating to
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Regulations
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(3) The Appeal Board shall deal with an
appeal in accordance with the regulations.
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Stay not
affected
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(4) The making of an appeal does not affect
a stay of proceedings that is in effect.
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Board's
decision final
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(5) A decision of an Appeal Board is final
and is not subject to appeal.
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GUARDIAN OF FARMER'S ASSETS |
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Administrator
to appoint
guardian
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16. (1) Where the administrator issues a
stay of proceedings under paragraph 7(1)(b),
the administrator shall forthwith appoint one
of the following persons as guardian of the
farmer's assets:
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Informing
farmer and
creditors
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(2) The administrator shall forthwith in
form the farmer, and all the creditors listed in
the application, of the appointment of the
guardian.
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Expenses of
guardian
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(3) Where the administrator appoints a
person referred to in subparagraph (1)(b)(i) as
guardian, the expenses of the guardian shall be
paid by the secured creditor or secured
creditors who nominated that person.
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Expenses of
guardian
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(4) Where the administrator appoints a
person referred to in subparagraph (1)(b)(ii) as
guardian, the expenses of the guardian shall be
paid by the administrator.
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Duties of
guardian
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17. (1) The administrator may issue direc
tives to the guardian, and the guardian shall
comply with any such directives.
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Duties of
guardian
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(2) The guardian shall, in addition to the
obligation under subsection (1),
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Termination
of
guardianship
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18. The appointment of a guardian under
section 16 terminates on the expiration or
termination of the stay of proceedings.
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ARRANGEMENTS |
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Arrangement
to be put in
writing
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19. Where a farmer enters into an arrange
ment with any creditor as a result of the
mediation, the administrator shall see to its
signing by the parties thereto.
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NEW APPLICATIONS |
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New
applications
under
paragraph
5(1)(a)
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20. (1) Notwithstanding any other provision
of this Act, where a farmer makes an applica
tion under paragraph 5(1)(a), that farmer, or
any person who is related to that farmer within
the meaning of the regulations, is not entitled
to make a new application under that para
graph in respect of substantially the same
farming operation for a period of two years
after
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unless, before making the new application, the
person seeking to apply obtains the written
consent of the administrator.
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New
applications
under
paragraph
5(1)(b)
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(2) Notwithstanding any other provision of
this Act, where a farmer makes an application
under paragraph 5(1)(b), that farmer, or any
person who is related to that farmer within the
meaning of the regulations, is not entitled to
make a new application under that paragraph
in respect of substantially the same farming
operation for a period of two years after
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unless, before making the new application, the
person seeking to apply obtains the written
consent of the administrator.
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NOTICE BY SECURED CREDITORS |
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Notice by
secured
creditors
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21. (1) Every secured creditor who intends
to
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shall give the farmer written notice of the
creditor's intention to do so, and in the notice
shall advise the farmer of the right to make an
application under section 5.
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Time of notice
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(2) The notice referred to in subsection (1)
must be given to the farmer in the prescribed
manner at least fifteen business days before
the doing of any act described in paragraph
(1)(a) or (b).
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GENERAL |
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Contraven- tion by creditor
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22. (1) Subject to subsection (2), any act
done by a creditor in contravention of section
12 or 21 is null and void, and a farmer affected
by such an act may seek appropriate remedies
against the creditor in a court of competent
jurisdiction.
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Innocent
parties
protected
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(2) Subsection (1)
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Disputes
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23. Nothing in this Act prevents any party
to an arrangement made under this Act from
taking a dispute arising therefrom to a court of
competent jurisdiction for disposition.
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Communica- tion of information
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24. (1) Except as authorized by subsection
(2), no person shall knowingly communicate
or knowingly allow to be communicated to
any person any information obtained under
this Act from a farmer or from any creditor of
a farmer, or knowingly allow any person to
inspect or have access to any such informa
tion.
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Exception
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(2) A person engaged in the administration
of this Act may communicate or allow to be
communicated, or allow inspection of or
access to, any information referred to in
subsection (1) to or by any other person
engaged in the administration of this Act or
any person otherwise legally entitled thereto.
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Protection of
witness
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(3) A person engaged in the administration
of this Act, including a mediator or expert
referred to in subsection 4(4), is not compel
lable to answer questions concerning the
information, or to produce records or other
documents containing the information, as
evidence in any proceedings not directly
concerned with the enforcement or interpreta
tion of this Act or the regulations.
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Personal
liability
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25. No person engaged in the administra
tion of this Act is personally liable for acts or
omissions done in good faith in the perfor
mance of their duties under this Act.
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Regulations
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26. (1) The Minister may make regulations
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Forms and
their content
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(2) The Minister may establish forms and
other documents for carrying out the purposes
and provisions of this Act and may determine
the information to be included in such docu
ments, and, without limiting the generality of
the foregoing, may determine the manner of
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Offence
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27. Any person who contravenes a provi
sion of this Act or the regulations is guilty of
an offence and liable on summary conviction
to a fine not exceeding fifty thousand dollars
or to a term of imprisonment not exceeding six
months, or to both.
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Review of Act
after thwo
years
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28. (1) As soon as possible after the second
anniversary of the coming into force of this
Act and every three years thereafter, the
Minister shall undertake a review of the
operation of this Act, and may for that purpose
consult with representatives of such organiza
tions as the Minister considers appropriate.
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Review by
Minister
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(2) In conducting the review under subsec
tion (1), the Minister shall review the opera
tion of any program or service that is created
after this section comes into force for the
purpose of undertaking a detailed review of
the financial affairs of a farmer in financial
difficulty, at the farmer's request.
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