Bankruptcy and Insolvency Act — B-3 81.2
Special right for farmers, fishermen and aquaculturists 81.2 (1) Where (a) a farmer has sold and delivered products of agriculture, a fisherman has sold and delivered products of the sea, lakes and rivers, or an aquaculturist has sold and delivered products of aquaculture, to another person (in this section referred to as the “purchaser”) for use in relation to the purchaser’s business, (b) the products were delivered to the purchaser within the fifteen day period preceding (i) the day on which the purchaser became bankrupt, or (ii) the first day on which there was a receiver, within the meaning of subsection 243(2), in relation to the purchaser, (c) as of the day referred to in subparagraph (b)(i) or (ii), the farmer, fisherman or aquaculturist has not been fully paid for the products, and (d) the farmer, fisherman or aquaculturist files a proof of claim in the prescribed form in respect of the unpaid amount with the trustee or receiver, as the case may be, within thirty days after the day referred to in subparagraph (b)(i) or (ii), the claim of the farmer, fisherman or aquaculturist for the unpaid amount in respect of the products is secured by security on all the inventory of or held by the purchaser as of the day referred to in subparagraph (b)(i) or (ii), and the security ranks above every other claim, right, charge or security against that inventory, regardless of when that other claim, right, charge or security arose, except a supplier’s right, under section 81.1, to repossess goods, despite any other federal or provincial Act or law; and if the trustee or receiver, as the case may be, takes possession or in any way disposes of inventory covered by the security, the trustee or receiver is liable for the claim of the farmer, fisherman or aquaculturist to the extent of the net amount realized on the disposition of that inventory, after deducting the cost of realization, and is subrogated in and to all rights of the farmer, fisherman or aquaculturist to the extent of the amounts paid to them by the trustee or receiver. Definitions (2) In this section, aquaculture means the cultivation of aquatic plants and animals; ( aquiculture ) aquaculture operation means any premises or site where aquaculture is carried out; ( exploitation aquicole ) aquaculturist includes the owner, occupier, lessor and lessee of an aquaculture operation; ( aquiculteur ) aquatic plants and animals means plants and animals that, at most stages of their development or life cycles, live in an aquatic environment; ( organismes animaux et végétaux aquatiques ) farm means land in Canada used for the purpose of farming, which term includes livestock raising, dairying, bee-keeping, fruit growing, the growing of trees and all tillage of the soil; ( ferme ) farmer includes the owner, occupier, lessor and lessee of a farm; ( agriculteur ) fish includes shellfish, crustaceans and marine animals; ( poisson ) fisherman means a person whose business consists in whole or in part of fishing; ( pêcheur ) fishing means fishing for or catching fish by any method; ( pêche ) products of agriculture includes (a) grain, hay, roots, vegetables, fruits, other crops and all other direct products of the soil, and (b) honey, livestock (whether alive or dead), dairy products, eggs and all other indirect products of the soil; ( produits agricoles ) products of aquaculture includes all cultivated aquatic plants and animals; ( produits aquicoles ) products of the sea, lakes and rivers includes fish of all kinds, marine and freshwater organic and inorganic life and any substances extracted or derived from any water, but does not include products of aquaculture. ( produits aquatiques ) Interpretation — products and by-products (3) For the purposes of this section, each thing included in the following terms as defined in subsection (2), namely, (a) “products of agriculture”, (b) “products of aquaculture”, and (c) “products of the sea, lakes and rivers”, comprises that thing in any form