GreatNorthCollective/greatnorth-canada-federal-laws-text huggingface dataset:
Companies’ Creditors Arrangement Act — C-36 (a)
debtor company means any company that (a) is bankrupt or insolvent, (b) has committed an act of bankruptcy within the meaning of the Bankruptcy and Insolvency Act or is deemed insolvent within the meaning of the Winding-up and Restructuring Act , whether or not proceedings in respect of the company have been taken under either of those Acts, (c) has made an authorized assignment or against which a bankruptcy order has been made under the Bankruptcy and Insolvency Act , or (d) is in the course of being wound up under the Winding-up and Restructuring Act because the company is insolvent; ( compagnie débitrice )
Companies’ Creditors Arrangement Act — C-36
director means, in the case of a company other than an income trust, a person occupying the position of director by whatever name called and, in the case of an income trust, a person occupying the position of trustee by whatever named called; ( administrateur )
Companies’ Creditors Arrangement Act — C-36
eligible financial contract means an agreement of a prescribed kind; ( contrat financier admissible )
Companies’ Creditors Arrangement Act — C-36 (a)
equity claim means a claim that is in respect of an equity interest, including a claim for, among others, (a) a dividend or similar payment, (b) a return of capital, (c) a redemption or retraction obligation, (d) a monetary loss resulting from the ownership, purchase or sale of an equity interest or from the rescission, or, in Quebec, the annulment, of a purchase or sale of an equity interest, or (e) contribution or indemnity in respect of a claim referred to in any of paragraphs (a) to (d); ( réclamation relative à des capitaux propres )
Companies’ Creditors Arrangement Act — C-36 (a)
equity interest means (a) in the case of a company other than an income trust, a share in the company — or a warrant or option or another right to acquire a share in the company — other than one that is derived from a convertible debt, and (b) in the case of an income trust, a unit in the income trust — or a warrant or option or another right to acquire a unit in the income trust — other than one that is derived from a convertible debt; ( intérêt relatif à des capitaux propres )
Companies’ Creditors Arrangement Act — C-36 (a)
financial collateral means any of the following that is subject to an interest, or in the Province of Quebec a right, that secures payment or performance of an obligation in respect of an eligible financial contract or that is subject to a title transfer credit support agreement: (a) cash or cash equivalents, including negotiable instruments and demand deposits, (b) securities, a securities account, a securities entitlement or a right to acquire securities, or (c) a futures agreement or a futures account; ( garantie financière )
Companies’ Creditors Arrangement Act — C-36 (a)
income trust means a trust that has assets in Canada if (a) its units are listed on a prescribed stock exchange on the day on which proceedings commence under this Act, or (b) the majority of its units are held by a trust whose units are listed on a prescribed stock exchange on the day on which proceedings commence under this Act; ( fiducie de revenu )
Companies’ Creditors Arrangement Act — C-36
initial application means the first application made under this Act in respect of a company; ( demande initiale )
Companies’ Creditors Arrangement Act — C-36
monitor , in respect of a company, means the person appointed under section 11.7 to monitor the business and financial affairs of the company; ( contrôleur )
Companies’ Creditors Arrangement Act — C-36
net termination value means the net amount obtained after netting or setting off or compensating the mutual obligations between the parties to an eligible financial contract in accordance with its provisions; ( valeurs nettes dues à la date de résiliation )
Companies’ Creditors Arrangement Act — C-36
prescribed means prescribed by regulation; ( Version anglaise seulement )
Companies’ Creditors Arrangement Act — C-36
secured creditor means a holder of a mortgage, hypothec, pledge, charge, lien or privilege on or against, or any assignment, cession or transfer of, all or any property of a debtor company as security for indebtedness of the debtor company, or a holder of any bond of a debtor company secured by a mortgage, hypothec, pledge, charge, lien or privilege on or against, or any assignment, cession or transfer of, or a trust in respect of, all or any property of the debtor company, whether the holder or beneficiary is resident or domiciled within or outside Canada, and a trustee under any trust deed or other instrument securing any of those bonds shall be deemed to be a secured creditor for all purposes of this Act except for the purpose of voting at a creditors’ meeting in respect of any of those bonds; ( créancier garanti )
Companies’ Creditors Arrangement Act — C-36
shareholder includes a member of a company — and, in the case of an income trust, a holder of a unit in an income trust — to which this Act applies; ( actionnaire )
Companies’ Creditors Arrangement Act — C-36
Superintendent of Bankruptcy means the Superintendent of Bankruptcy appointed under subsection 5(1) of the Bankruptcy and Insolvency Act ; ( surintendant des faillites )
Companies’ Creditors Arrangement Act — C-36
Superintendent of Financial Institutions means the Superintendent of Financial Institutions appointed under subsection 5(1) of the Office of the Superintendent of Financial Institutions Act ; ( surintendant des institutions financières )
Companies’ Creditors Arrangement Act — C-36
title transfer credit support agreement means an agreement under which a debtor company has provided title to property for the purpose of securing the payment or performance of an obligation of the debtor company in respect of an eligible financial contract; ( accord de transfert de titres pour obtention de crédit )
Companies’ Creditors Arrangement Act — C-36
unsecured creditor means any creditor of a company who is not a secured creditor, whether resident or domiciled within or outside Canada, and a trustee for the holders of any unsecured bonds issued under a trust deed or other instrument running in favour of the trustee shall be deemed to be an unsecured creditor for all purposes of this Act except for the purpose of voting at a creditors’ meeting in respect of any of those bonds. ( créancier chirographaire )
Companies’ Creditors Arrangement Act — C-36 3
Application 3 (1) This Act applies in respect of a debtor company or affiliated debtor companies if the total of claims against the debtor company or affiliated debtor companies, determined in accordance with section 20, is more than $5,000,000 or any other amount that is prescribed. Affiliated companies (2) For the purposes of this Act, (a) companies are affiliated companies if one of them is the subsidiary of the other or both are subsidiaries of the same company or each of them is controlled by the same person; and (b) two companies affiliated with the same company at the same time are deemed to be affiliated with each other. Company controlled (3) For the purposes of this Act, a company is controlled by a person or by two or more companies if (a) securities of the company to which are attached more than fifty per cent of the votes that may be cast to elect directors of the company are held, other than by way of security only, by or for the benefit of that person or by or for the benefit of those companies; and (b) the votes attached to those securities are sufficient, if exercised, to elect a majority of the directors of the company. Subsidiary (4) For the purposes of this Act, a company is a subsidiary of another company if (a) it is controlled by (i) that other company, (ii) that other company and one or more companies each of which is controlled by that other company, or (iii) two or more companies each of which is controlled by that other company; or (b) it is a subsidiary of a company that is a subsidiary of that other company. R.S., 1985, c. C-36, s. 3; 1997, c. 12, s. 121; 2005, c. 47, s. 125
Companies’ Creditors Arrangement Act — C-36 4
Compromise with unsecured creditors 4 Where a compromise or an arrangement is proposed between a debtor company and its unsecured creditors or any class of them, the court may, on the application in a summary way of the company, of any such creditor or of the trustee in bankruptcy or liquidator of the company, order a meeting of the creditors or class of creditors, and, if the court so determines, of the shareholders of the company, to be summoned in such manner as the court directs. R.S., c. C-25, s. 4
Companies’ Creditors Arrangement Act — C-36 5
Compromise with secured creditors 5 Where a compromise or an arrangement is proposed between a debtor company and its secured creditors or any class of them, the court may, on the application in a summary way of the company or of any such creditor or of the trustee in bankruptcy or liquidator of the company, order a meeting of the creditors or class of creditors, and, if the court so determines, of the shareholders of the company, to be summoned in such manner as the court directs. R.S., c. C-25, s. 5
Companies’ Creditors Arrangement Act — C-36 5.1
Claims against directors — compromise 5.1 (1) A compromise or arrangement made in respect of a debtor company may include in its terms provision for the compromise of claims against directors of the company that arose before the commencement of proceedings under this Act and that relate to the obligations of the company where the directors are by law liable in their capacity as directors for the payment of such obligations. Exception (2) A provision for the compromise of claims against directors may not include claims that (a) relate to contractual rights of one or more creditors; or (b) are based on allegations of misrepresentations made by directors to creditors or of wrongful or oppressive conduct by directors. Powers of court (3) The court may declare that a claim against directors shall not be compromised if it is satisfied that the compromise would not be fair and reasonable in the circumstances. Resignation or removal of directors (4) Where all of the directors have resigned or have been removed by the shareholders without replacement, any person who manages or supervises the management of the business and affairs of the debtor company shall be deemed to be a director for the purposes of this section. 1997, c. 12, s. 122
Companies’ Creditors Arrangement Act — C-36 6
equired to be paid by the employer in respect of a prescribed plan, if it were regulated by the Pooled Registered Pension Plans Act ; and (b) the court is satisfied that the company can and will make the payments as required under paragraph (a). Non-application of subsection (6) (7) Despite subsection (6), the court may sanction a compromise or arrangement that does not allow for the payment of the amounts referred to in that subsection if it is satisfied that the relevant parties have entered into an agreement, approved by the relevant pension regulator, respecting the payment of those amounts. Payment — equity claims (8) No compromise or arrangement that provides for the payment of an equity claim is to be sanctioned by the court unless it provides that all claims that are not equity claims are to be paid in full before the equity claim is to be paid. R.S., 1985, c. C-36, s. 6; 1992, c. 27, s. 90; 1996, c. 6, s. 167; 1997, c. 12, s. 123; 2004, c. 25, s. 194; 2005, c. 47, s. 126, 2007, c. 36, s. 106; 2009, c. 33, s. 27; 2012, c. 16, s. 82 2023, c. 6, s. 5
Companies’ Creditors Arrangement Act — C-36 7
Court may give directions 7 Where an alteration or a modification of any compromise or arrangement is proposed at any time after the court has directed a meeting or meetings to be summoned, the meeting or meetings may be adjourned on such term as to notice and otherwise as the court may direct, and those directions may be given after as well as before adjournment of any meeting or meetings, and the court may in its discretion direct that it is not necessary to adjourn any meeting or to convene any further meeting of any class of creditors or shareholders that in the opinion of the court is not adversely affected by the alteration or modification proposed, and any compromise or arrangement so altered or modified may be sanctioned by the court and have effect under section 6. R.S., c. C-25, s. 7
Companies’ Creditors Arrangement Act — C-36 8
Scope of Act 8 This Act extends and does not limit the provisions of any instrument now or hereafter existing that governs the rights of creditors or any class of them and has full force and effect notwithstanding anything to the contrary contained in that instrument. R.S., c. C-25, s. 8
Companies’ Creditors Arrangement Act — C-36 8.1
Right of unpaid supplier of perishable fruits or vegetables 8.1 (1) Subject to this section, if a person (in this section referred to as the “supplier”) has sold to a debtor company (in this section referred to as the “purchaser”) perishable fruits or vegetables for use in relation to the purchaser’s business and the purchaser has not fully paid the supplier, the perishable fruits or vegetables, as well as any of the proceeds of sale, are deemed to be held in trust by the purchaser for the supplier, if (a) the supplier has included in their invoice a notice, or has otherwise given notice within 30 days of the receipt by the purchaser of the perishable fruits or vegetables, in the prescribed form and manner, informing the purchaser of their intention to avail themselves of their right as beneficial owner of the perishable fruits or vegetables and the proceeds of sale in case the purchaser applies to the court to sanction a compromise or an arrangement; (b) the purchaser has 30 days or less to pay the entire balance owing to the supplier; and (c) the purchaser does not pay to the supplier the entire balance owing when it becomes due as provided in the invoice. Clarification (2) For greater certainty, once the perishable fruits or vegetables, as well as any of the proceeds of sale, are deemed to be held in trust by the purchaser for the supplier in accordance with subsection (1), they are not included in the property of the purchaser. Provincial law (3) The laws of general application in relation to trusts and trustees in force in the province in which the purchaser resided or carried on business when the purchaser applied to the court to sanction a compromise or an arrangement apply to the trust, and in the event of any inconsistency or conflict between this section and the provisions of any of those laws, the provisions of those laws prevail to the extent of the inconsistency or conflict. Definitions (4) The following definitions apply in this section. perishable fruits or vegetables includes perishable fruits and vegetables that have been repackaged or transformed by the purchaser to the extent that the nature of the fruits or vegetables remains unchanged. ( fruits ou légumes périssables ) proceeds of sale means the proceeds from the sale by the purchaser of the perishable fruits or vegetables that are subject to the trust, whether or not those proceeds have been kept by the purchaser in a separate account or have been combined with other funds. ( produit de vente ) 2024, c. 31, s. 3
Companies’ Creditors Arrangement Act — C-36
perishable fruits or vegetables includes perishable fruits and vegetables that have been repackaged or transformed by the purchaser to the extent that the nature of the fruits or vegetables remains unchanged. ( fruits ou légumes périssables )
Companies’ Creditors Arrangement Act — C-36
proceeds of sale means the proceeds from the sale by the purchaser of the perishable fruits or vegetables that are subject to the trust, whether or not those proceeds have been kept by the purchaser in a separate account or have been combined with other funds. ( produit de vente )
Companies’ Creditors Arrangement Act — C-36 9
Jurisdiction of court to receive applications 9 (1) Any application under this Act may be made to the court that has jurisdiction in the province within which the head office or chief place of business of the company in Canada is situated, or, if the company has no place of business in Canada, in any province within which any assets of the company are situated. Single judge may exercise powers, subject to appeal (2) The powers conferred by this Act on a court may, subject to appeal as provided for in this Act, be exercised by a single judge thereof, and those powers may be exercised in chambers during term or in vacation. R.S., c. C-25, s. 9
Companies’ Creditors Arrangement Act — C-36 10
Form of applications 10 (1) Applications under this Act shall be made by petition or by way of originating summons or notice of motion in accordance with the practice of the court in which the application is made. Documents that must accompany initial application (2) An initial application must be accompanied by (a) a statement indicating, on a weekly basis, the projected cash flow of the debtor company; (b) a report containing the prescribed representations of the debtor company regarding the preparation of the cash-flow statement; and (c) copies of all financial statements, audited or unaudited, prepared during the year before the application or, if no such statements were prepared in that year, a copy of the most recent such statement. Publication ban (3) The court may make an order prohibiting the release to the public of any cash-flow statement, or any part of a cash-flow statement, if it is satisfied that the release would unduly prejudice the debtor company and the making of the order would not unduly prejudice the company’s creditors, but the court may, in the order, direct that the cash-flow statement or any part of it be made available to any person specified in the order on any terms or conditions that the court considers appropriate. R.S., 1985, c. C-36, s. 10; 2005, c. 47, s. 127
Companies’ Creditors Arrangement Act — C-36 11
General power of court 11 Despite anything in the Bankruptcy and Insolvency Act or the Winding-up and Restructuring Act , if an application is made under this Act in respect of a debtor company, the court, on the application of any person interested in the matter, may, subject to the restrictions set out in this Act, on notice to any other person or without notice as it may see fit, make any order that it considers appropriate in the circumstances. R.S., 1985, c. C-36, s. 11; 1992, c. 27, s. 90; 1996, c. 6, s. 167; 1997, c. 12, s. 124; 2005, c. 47, s. 128
Companies’ Creditors Arrangement Act — C-36 11.001
Relief reasonably necessary 11.001 An order made under section 11 at the same time as an order made under subsection 11.02(1) or during the period referred to in an order made under that subsection with respect to an initial application shall be limited to relief that is reasonably necessary for the continued operations of the debtor company in the ordinary course of business during that period. 2019, c. 29, s. 136
Companies’ Creditors Arrangement Act — C-36 11.01
Rights of suppliers 11.01 No order made under section 11 or 11.02 has the effect of (a) prohibiting a person from requiring immediate payment for goods, services, use of leased or licensed property or other valuable consideration provided after the order is made; or (b) requiring the further advance of money or credit. 2005, c. 47, s. 128
Companies’ Creditors Arrangement Act — C-36 11.02
Stays, etc. — initial application 11.02 (1) A court may, on an initial application in respect of a debtor company, make an order on any terms that it may impose, effective for the period that the court considers necessary, which period may not be more than 10 days, (a) staying, until otherwise ordered by the court, all proceedings taken or that might be taken in respect of the company under the Bankruptcy and Insolvency Act or the Winding-up and Restructuring Act ; (b) restraining, until otherwise ordered by the court, further proceedings in any action, suit or proceeding against the company; and (c) prohibiting, until otherwise ordered by the court, the commencement of any action, suit or proceeding against the company. Stays, etc. — other than initial application (2) A court may, on an application in respect of a debtor company other than an initial application, make an order, on any terms that it may impose, (a) staying, until otherwise ordered by the court, for any period that the court considers necessary, all proceedings taken or that might be taken in respect of the company under an Act referred to in paragraph (1)(a); (b) restraining, until otherwise ordered by the court, further proceedings in any action, suit or proceeding against the company; and (c) prohibiting, until otherwise ordered by the court, the commencement of any action, suit or proceeding against the company. Burden of proof on application (3) The court shall not make the order unless (a) the applicant satisfies the court that circumstances exist that make the order appropriate; and (b) in the case of an order under subsection (2), the applicant also satisfies the court that the applicant has acted, and is acting, in good faith and with due diligence. Restriction (4) Orders doing anything referred to in subsection (1) or (2) may only be made under this section. 2005, c. 47, s. 128, 2007, c. 36, s. 62(F) 2019, c. 29, s. 137
Companies’ Creditors Arrangement Act — C-36 11.03
Stays — directors 11.03 (1) An order made under section 11.02 may provide that no person may commence or continue any action against a director of the company on any claim against directors that arose before the commencement of proceedings under this Act and that relates to obligations of the company if directors are under any law liable in their capacity as directors for the payment of those obligations, until a compromise or an arrangement in respect of the company, if one is filed, is sanctioned by the court or is refused by the creditors or the court. Exception (2) Subsection (1) does not apply in respect of an action against a director on a guarantee given by the director relating to the company’s obligations or an action seeking injunctive relief against a director in relation to the company. Persons deemed to be directors (3) If all of the directors have resigned or have been removed by the shareholders without replacement, any person who manages or supervises the management of the business and affairs of the company is deemed to be a director for the purposes of this section. 2005, c. 47, s. 128
Companies’ Creditors Arrangement Act — C-36 11.04
Persons obligated under letter of credit or guarantee 11.04 No order made under section 11.02 has affect on any action, suit or proceeding against a person, other than the company in respect of whom the order is made, who is obligated under a letter of credit or guarantee in relation to the company. 2005, c. 47, s. 128
Companies’ Creditors Arrangement Act — C-36 11.06
Member of the Canadian Payments Association 11.06 No order may be made under this Act that has the effect of preventing a member of the Canadian Payments Association from ceasing to act as a clearing agent or group clearer for a company in accordance with the Canadian Payments Act or the by-laws or rules of that Association. 2005, c. 47, s. 128, 2007, c. 36, s. 64
Companies’ Creditors Arrangement Act — C-36 11.08
Restriction — certain powers, duties and functions 11.08 No order may be made under section 11.02 that affects (a) the exercise or performance by the Minister of Finance or the Superintendent of Financial Institutions of any power, duty or function assigned to them by the Bank Act , the Cooperative Credit Associations Act , the Insurance Companies Act or the Trust and Loan Companies Act ; (b) the exercise or performance by the Governor in Council, the Minister of Finance or the Canada Deposit Insurance Corporation of any power, duty or function assigned to them by the Canada Deposit Insurance Corporation Act ; or (c) the exercise by the Attorney General of Canada of any power, assigned to him or her by the Winding-up and Restructuring Act . 2005, c. 47, s. 128