GreatNorthCollective/greatnorth-canada-federal-laws-text huggingface dataset:
Canada Deposit Insurance Corporation Act — C-3 39.2
to provide for the assumption of any of its liabilities, other than a restriction provided for in an Act of Parliament, applies so as to prevent the Corporation, the federal member institution or any other person from carrying out a transaction referred to in this section. (5) [Repealed, 2016, c. 7, s. 139] Novation (6) Any person who assumes a liability of the federal member institution under a transaction referred to in subsection (1) or (2) becomes liable — instead of the federal member institution — to discharge the liability, on approval of the transaction by the Minister or as soon as the person assumes the liability if the transaction does not require the Minister’s approval. Exception (7) Subsection (6) does not apply to the bridge institution’s assumption of any portion of the federal member institution’s liability that is not insured by the Corporation. Novation — trust (8) A trust company within the meaning of subsection 57(2) of the Trust and Loan Companies Act that is designated as a bridge institution may become a trustee in substitution for the federal member institution without formality or the consent of any beneficiary of the trust. Effects of conversion (9) The conversion of shares or liabilities under subsection (2.3) (a) subject to paragraphs (b) and (c), extinguishes any claim, interest or right in respect of the shares or liabilities, or part of them, that were converted; (b) does not extinguish any claim to the extent that the claim is a personal claim against a person other than the Corporation, the federal member institution or a person claiming under the Corporation or the federal member institution; and (c) does not prevent a secured creditor or an assignee or successor in interest of the person who was the holder of the shares or liabilities immediately before the conversion from being entitled to receive compensation under section 39.23. Regulations (10) The Governor in Council may make regulations respecting conversion for the purposes of this section. Regulations — application (11) Regulations made under subsection (10) may, if they so provide, apply in respect of shares and liabilities (a) that were issued or that originated before the day on which the first regulation made under that subsection comes into force if, on or after that day, they are amended or, in the case of liabilities, their term is extended; or (b) that are issued or that originate on or after that day. By-laws (12) The Corporation may make by-laws respecting conversion for the purposes of this section, including by-laws that prescribe, for the purposes of subsection (2.3), the interim instruments into which shares and liabilities may be converted before they are converted into common shares. Inconsistency (13) In the event of any inconsistency between the regulations made under subsection (10) and the by-laws made under subsection (12), the regulations prevail to the extent of the inconsistency. 1992, c. 26, s. 11; 1996, c. 6, s. 41; 2009, c. 2, s. 247; 2016, c. 7, s. 139
Canada Deposit Insurance Corporation Act — C-3 39.201
Terms and conditions of transactions 39.201 (1) If the Corporation as receiver for a federal member institution carries out a transaction with a bridge institution, the Corporation shall establish the terms and conditions of the transaction, including (a) which assets the bridge institution shall acquire and the consideration to be paid for the assets acquired; and (b) which liabilities the bridge institution shall assume and the consideration to be paid for the liabilities assumed. Reasonable consideration (2) The consideration referred to in paragraph (1)(a) shall be reasonable in the circumstances. (3) [Repealed, 2016, c. 7, s. 140] 2009, c. 2, s. 248; 2016, c. 7, s. 140
Canada Deposit Insurance Corporation Act — C-3 39.202
Deposit liabilities assumed 39.202 (1) A bridge institution shall assume a federal member institution’s deposit liabilities that are both insured by the Corporation and posted in the federal member institution’s records as of the date and time specified in the order referred to in paragraph 39.13(1)(c). Interest (1.1) Any interest accrued on the deposit liabilities referred to in subsection (1) is assumed by the bridge institution. Deeming deposits or withdrawals not entered (1.2) Any deposit or withdrawal that is made on or before that date and time but is not posted in the records of the federal member institution as of that date and time, and any deposit or withdrawal made after that date and time, are deemed to be deposited with or withdrawn from, as the case may be, the bridge institution. Interest (1.3) Any interest accruing on the deposits referred to in subsection (1.2) is owed by the bridge institution. Subrogation (2) If the bridge institution assumes any portion of a federal member institution’s liability that is not insured by the Corporation, the bridge institution is subrogated to all the rights and interests of the creditor against the federal member institution in relation to the entire liability and may maintain an action in respect of those rights and interests in its own name or in the name of the creditor. Creditor’s rights and interests (3) As soon as the bridge institution receives an amount equal to the liabilities that are not insured by the Corporation that it assumed, the rights and interests in respect of the balance remaining revert to the creditor. 2009, c. 2, s. 248; 2010, c. 12, s. 1891
Canada Deposit Insurance Corporation Act — C-3 39.203
Liquidator bound 39.203 (1) The liquidator of a federal member institution appointed under the Winding-up and Restructuring Act is bound by the terms and conditions of any transaction that involves the sale or other disposition of the federal member institution’s assets or the assumption by a bridge institution of any portion of the federal member institution’s liabilities and shall carry out those transactions or cause them to be carried out. Expenses (2) All costs, charges and expenses properly incurred by the liquidator in complying with the terms and conditions of any transaction referred to in subsection (1), including the liquidator’s remuneration, are payable by the bridge institution. 2009, c. 2, s. 248
Canada Deposit Insurance Corporation Act — C-3 39.21
Right transferable 39.21 If the assets that are sold under a transaction described in section 39.2 or by a bank designated as a bridge institution include any outstanding security under section 426 or 427 of the Bank Act , the buyer of the assets may hold the security for the life of the loan to which the security relates and all the provisions of that Act relating to the security and its enforcement continue to apply to the buyer as though the buyer were a bank. 1992, c. 26, s. 11; 1996, c. 6, s. 41; 2009, c. 2, s. 249
Canada Deposit Insurance Corporation Act — C-3 39.22
Winding-up 39.22 (1) The Corporation shall apply for a winding-up order in respect of a federal member institution under the Winding-up and Restructuring Act if a notice has not been published under subsection 39.2(3) in respect of the institution on or before (a) the day that is 12 months after the day on which the order is made under subsection 39.13(1); or (b) the day on which any extension of that period ends. Winding-up — certain cases (1.1) Despite subsection (1), if an order is made under paragraph 39.13(1)(d) or subsection 39.13(1.3) in respect of the institution, the Corporation shall apply for a winding-up order in respect of the institution under the Winding-up and Restructuring Act if a notice has not been published under subsection 39.2(3) in respect of the institution on or before (a) the day that is one year after the day on which the order is made under subsection 39.13(1) or any shorter period specified in the order made under paragraph 39.13(1)(d) or subsection 39.13(1.3), as the case may be; or (b) the day on which any extension of the applicable period ends. Deeming (2) For the purposes of the Winding-up and Restructuring Act , the Corporation is deemed to be a creditor of the federal member institution. Extension (3) The Governor in Council may, by order made on the recommendation of the Minister, grant one or more extensions of the period set out in subsection (1) but the last extension must expire not later than the day that is 18 months after the day on which the order is made under subsection 39.13(1). Extension — certain cases (4) The Governor in Council may, by order made on the recommendation of the Minister, grant one or more extensions of the applicable period set out in subsection (1.1) — of up to one year each — but the last extension must expire not later than five years after the day on which the order is made under subsection 39.13(1). 1992, c. 26, s. 11; 1996, c. 6, s. 41; 2016, c. 7, s. 141 2021, c. 23, s. 127
Canada Deposit Insurance Corporation Act — C-3 39.23
Amount of compensation 39.23 (1) If an order is made under subsection 39.13(1), the Corporation shall, in accordance with the regulations and the by-laws, determine the amount of compensation, if any, to be paid to a prescribed person. Persons entitled to compensation (2) Only a prescribed person who is, as a result of the application of the regulations, in a worse financial position than they would have been had the federal member institution been liquidated under the Winding-up and Restructuring Act is entitled to be paid compensation. Duty to pay compensation (3) The Corporation shall pay the compensation and shall decide whether to pay it wholly or partly in cash or wholly or partly in any other form, including shares, that the Corporation considers appropriate. Determining amount — no comparison with others (4) In determining the amount of compensation to which a person is entitled, the following shall not be taken into account: (a) any shares or other interest or right received by another person as a result of an order made under subsection 39.13(1) or retained by another person; and (b) any common shares received by another person as a result of a conversion of shares or liabilities in accordance with the contractual terms of those shares or liabilities. 1992, c. 26, s. 11; 1996, c. 6, s. 41; 2016, c. 7, s. 142 2021, c. 23, s. 128
Canada Deposit Insurance Corporation Act — C-3 39.24
Decision conclusive 39.24 Except as otherwise provided in this Act, a decision made by the Corporation under section 39.23 or by an assessor appointed under section 39.26 is for all purposes final and conclusive and shall not be questioned or reviewed in any court. 1992, c. 26, s. 11; 1996, c. 6, s. 41; 2009, c. 2, s. 250; 2016, c. 7, s. 142
Canada Deposit Insurance Corporation Act — C-3 39.25
Discharge of liability 39.25 Payment of the compensation by the Corporation under section 39.23 discharges the Corporation from its obligations under that section and in no case is the Corporation under any obligation to see to the proper application in any way of any such payment. 1992, c. 26, s. 11; 1996, c. 6, s. 41; 2016, c. 7, s. 142
Canada Deposit Insurance Corporation Act — C-3 39.26
Appointment of assessor 39.26 In the circumstances prescribed by the regulations, the Governor in Council shall, by order, appoint as assessor a judge who is in receipt of a salary under the Judges Act to review a decision made by the Corporation under subsection 39.23(1) and determine the amount of compensation, if any, to be paid to a prescribed person. 1992, c. 26, s. 11; 1996, c. 6, s. 41; 2016, c. 7, s. 142
Canada Deposit Insurance Corporation Act — C-3 39.27
Sittings and hearings 39.27 (1) An assessor may sit at any place and shall arrange for the sittings and hearings that may be required. Powers of assessor (2) The assessor has all the powers conferred on a commissioner appointed under Part II of the Inquiries Act for the purpose of obtaining evidence under oath. Persons to assist (3) An assessor may appoint a person to assist him or her in performing his or her functions. Payment (4) Fees and disbursements payable to the person may be included by the assessor in an amount awarded in respect of costs under subsection (5) or (6). Costs of prescribed person (5) If the assessor determines that it is just and reasonable that costs in the proceeding before the assessor be awarded to a prescribed person and against the Corporation, the amount that the assessor determines to be just and reasonable to award in respect of those costs is payable by the Corporation to the prescribed person. Costs of Corporation (6) If the assessor determines that it is just and reasonable that costs in the proceeding before the assessor be awarded to the Corporation and against a prescribed person, the amount that the assessor determines to be just and reasonable to award in respect of those costs constitutes a debt payable by the prescribed person to the Corporation and may be recovered as such in any court of competent jurisdiction. 1992, c. 26, s. 11; 1996, c. 6, s. 41; 2016, c. 7, s. 142
Canada Deposit Insurance Corporation Act — C-3 39.28
Regulations 39.28 (1) The Governor in Council may make regulations respecting compensation for the purposes of sections 39.23 to 39.27, including regulations (a) prescribing persons referred to in subsection 39.23(1); (b) respecting the factors that the Corporation shall or shall not consider in making a decision under subsection 39.23(1); (c) respecting the circumstances in which an assessor must be appointed under section 39.26; (d) respecting the factors that an assessor shall or shall not consider in making a decision; and (e) respecting procedural requirements. By-laws (2) The Corporation may make by-laws respecting compensation for the purposes of section 39.23. Inconsistency (3) In the event of any inconsistency between the regulations made under subsection (1) and the by-laws made under subsection (2), the regulations prevail to the extent of the inconsistency. 1992, c. 26, s. 11; 1996, c. 6, s. 41; 2016, c. 7, s. 142
Canada Deposit Insurance Corporation Act — C-3 39.371
Incorporation 39.371 (1) The Minister shall, without delay after an order is made under paragraph 39.13(1)(c), issue letters patent incorporating a federal institution. Incorporating Act (2) The letters patent are issued under whichever of the following Acts regulates the federal member institution that is the subject of the Superintendent’s report under subsection 39.1 (1) or (3): (a) the Bank Act ; (b) the Cooperative Credit Associations Act ; or (c) the Trust and Loan Companies Act . Order to commence and carry on business (3) The Superintendent shall, without delay after the letters patent are issued, make an order approving the commencement and carrying on of business by the federal institution referred to in subsection (1). Content of Superintendent’s order — limitation (4) The Superintendent’s order shall not prohibit the federal institution, during the period that it is designated as a bridge institution, from accepting deposits in Canada and shall not make the federal institution, during that period, subject to subsection 413(3) of the Bank Act , subsection 378.1(2) of the Cooperative Credit Associations Act or subsection 413(2) of the Trust and Loan Companies Act . 2009, c. 2, s. 251
Canada Deposit Insurance Corporation Act — C-3 39.3711
Duration 39.3711 (1) Subject to section 39.3715 , the federal institution referred to in subsection 39.371 (1) is designated as a bridge institution for a period of two years. Extensions (2) The Governor in Council may, by order, on the recommendation of the Minister, grant up to three extensions — of one year each — of the period referred to in subsection (1). 2009, c. 2, s. 251
Canada Deposit Insurance Corporation Act — C-3 39.3713
Financial assistance 39.3713 The Corporation shall provide the financial assistance that a bridge institution needs in order to discharge its obligations, except for its obligations to the Corporation, as they become due. 2009, c. 2, s. 251
Canada Deposit Insurance Corporation Act — C-3 39.3714
Shares held by Corporation 39.3714 The Corporation may hold shares in a bridge institution only if the Corporation is the sole shareholder. 2009, c. 2, s. 251
Canada Deposit Insurance Corporation Act — C-3 39.3715
Termination of designation 39.3715 A federal institution’s designation as a bridge institution terminates if (a) the Corporation is no longer the sole shareholder; or (b) the federal institution is amalgamated with a body corporate that is not a bridge institution. 2009, c. 2, s. 251
Canada Deposit Insurance Corporation Act — C-3 39.3716
Mandatory dissolution of bridge institution 39.3716 If a bridge institution’s designation has not terminated under section 39.3715 , the federal institution’s board of directors shall take all necessary steps to dissolve the federal institution if (a) all or substantially all of the federal institution’s assets have been sold or otherwise disposed of; and (b) all or substantially all of its liabilities have been assumed or discharged. 2009, c. 2, s. 251
Canada Deposit Insurance Corporation Act — C-3 39.3717
Winding-up of federal member institution 39.3717 (1) If the Corporation considers that substantially all of the transfers of assets and liabilities of a federal member institution to a bridge institution have been substantially completed, the Corporation shall apply for a winding-up order under the Winding-up and Restructuring Act in respect of the federal member institution. Creditor (2) For the purposes of the Winding-up and Restructuring Act , the Corporation is deemed to be a creditor of the federal member institution. Exception (3) If the Superintendent has taken control of the federal member institution or its assets and has requested the Attorney General of Canada to apply for a winding-up order or informs the Corporation that he or she intends to request that the Attorney General of Canada apply for that order, the Corporation is not required to apply for a winding-up order. 2009, c. 2, s. 251
Canada Deposit Insurance Corporation Act — C-3 39.3718
Power of the Corporation 39.3718 (1) The Corporation may hold any federal institution’s shares that the Corporation acquires in the course of a sale or other disposition of its shares of the bridge institution or that a bridge institution acquires in the course of a sale or other disposition of its assets. Maximum period (2) The Corporation may hold the shares for a period of no more than five years from the day on which they are acquired and may dispose of them. Extension (3) The Minister may, by order, extend the period referred to in subsection (2) if general market conditions so warrant. Provisions inapplicable (4) The following provisions do not apply with respect to the shares referred to in subsection (1): (a) sections 401.2 and 401.3 of the Bank Act ; (b) sections 428 and 430 of the Insurance Companies Act ; and (c) sections 396 and 399 of the Trust and Loan Companies Act . 2009, c. 2, s. 251
Canada Deposit Insurance Corporation Act — C-3 39.3719
Remuneration and benefits 39.3719 An employee or officer of the Corporation shall not receive remuneration or benefits from a bridge institution for being a director or officer of that institution. 2009, c. 2, s. 251
Canada Deposit Insurance Corporation Act — C-3 39.372
Non-liability with respect to employees 39.372 (1) If a bridge institution becomes the employer of employees of a federal member institution, the bridge institution is not liable in respect of a liability, including one as a successor employer, (a) that is in respect of the employees or former employees of the federal member institution or a predecessor of the federal member institution or in respect of a pension plan for the benefit of those employees or former employees; and (b) that exists before the bridge institution becomes the employer or that is calculated by reference to a period before the bridge institution becomes the employer. Liability of other successor employers (2) Subsection (1) does not affect the liability of a successor employer other than the bridge institution. 2009, c. 2, s. 251; 2012, c. 5, s. 201
Canada Deposit Insurance Corporation Act — C-3 39.3721
Corporation’s directions 39.3721 (1) The Corporation may give directions to the board of directors of a bridge institution. Implementation (2) The board of directors of the bridge institution shall ensure that the directions are implemented in a prompt and efficient manner and shall, after implementing a direction, notify the Corporation without delay that it has been implemented. 2009, c. 2, s. 251; 2016, c. 7, s. 144
Canada Deposit Insurance Corporation Act — C-3 39.3722
By-laws — Corporation 39.3722 (1) The Corporation may give directions to the board of directors of a bridge institution to make, amend or repeal any by-law. By-laws — board of directors (2) The board of directors of a bridge institution may, with the prior approval of the Corporation, make, amend or repeal any by-law. Meaning of by-law (3) For the purposes of subsections (1) and (2), by-law means a by-law of the bridge institution. 2009, c. 2, s. 251; 2016, c. 7, s. 145
Canada Deposit Insurance Corporation Act — C-3 39.38
Federal-provincial agreements 39.38 (1) The Minister may, with the approval of the Governor in Council, enter into an agreement with an appropriate provincial minister providing for the application of any of sections 39.1 to 39.28 to provincial member institutions incorporated under the laws of that province. Orders (2) If an agreement has been entered into with an appropriate provincial minister, the Governor in Council may make orders, which are to be consistent with the agreement, providing for the application of any of sections 39.1 to 39.28 to provincial member institutions incorporated under the laws of that province and adapting any of the provisions of those sections in their application to those provincial member institutions. 1996, c. 6, s. 41; 2016, c. 7, s. 147
Canada Deposit Insurance Corporation Act — C-3 40
Financial year 40 The financial year of the Corporation shall end on December 31 in each year unless the Governor in Council otherwise directs. R.S., c. C-3, s. 34; 1984, c. 31, s. 14
Canada Deposit Insurance Corporation Act — C-3 41
Deposit accounts 41 The Corporation may maintain in its own name one or more accounts (a) with the Bank of Canada; (b) with any member institution; and (c) with the approval of the Minister, with any financial institution outside Canada. R.S., 1985, c. C-3, s. 41; R.S., 1985, c. 18 (3rd Supp.), s. 65
Canada Deposit Insurance Corporation Act — C-3 42
Interest may be paid 42 The Bank of Canada may pay interest on any money that the Corporation deposits with it. R.S., 1985, c. C-3, s. 42; 1985, c. 18 (3rd Supp.), s. 66; 1992, c. 26, s. 12; 1996, c. 6, s. 42; 2014, c. 20, s. 109
Canada Deposit Insurance Corporation Act — C-3 43
Auditor 43 The Auditor General of Canada is the auditor of the Corporation. R.S., c. C-3, s. 38; 1976-77, c. 34, s. 30(F); 1984, c. 31, s. 14
Canada Deposit Insurance Corporation Act — C-3 44
Employment of staff 44 (1) The Corporation may, notwithstanding any other Act, employ such officers, agents and employees as are necessary for the purposes of the Corporation and, subject to section 45, the officers, agents and employees of the Corporation shall be deemed not to be employed in the federal public administration. Oath of fidelity and secrecy (2) Each officer, agent or employee of the Corporation shall, before entering on his or her duties with the Corporation, take an oath of fidelity and secrecy in the form prescribed by the by-laws. Use of departmental facilities (3) In carrying out its functions under this Act, the Corporation may, with the approval of the Minister, make use of the personnel, facilities and services of the Office of the Superintendent of Financial Institutions and the Department of Finance to any extent not incompatible, in the opinion of the Minister, with the administration of that Office or Department. R.S., 1985, c. C-3, s. 44; R.S., 1985, c. 18 (3rd Supp.), s. 67; 2003, c. 22, s. 224(E); 2012, c. 5, s. 206(E)