GreatNorthCollective/greatnorth-canada-federal-laws-text huggingface dataset:
Bankruptcy and Insolvency Act — B-3 223
Hearing of objections 223 (1) The clerk shall, at the time appointed for the hearing thereof, consider any objection in connection with a consolidation order that has been filed with him in accordance with this Part, and (a) if the objection is to the claim of a creditor and the parties are brought to agreement or if the creditor’s claim is a judgment of a court and the only objection is to the amount paid thereon, he may dispose of the objection in a summary manner and determine the amount owing to the creditor; (b) if the objection is to the proposed terms or method of payment of the claims by the debtor or that terms of payment are not but should be fixed, he may dispose of the objection in a summary manner and determine, as the circumstances require, the terms and method of payment of the claims, or that no terms be presently fixed; and (c) in any case he may on notice of motion refer any objection to be disposed of by the court or as the court otherwise directs. Issue of order (2) After the conclusion of the hearing referred to in subsection (1), the clerk shall enter in the register his decision or the decision of the court, as the case may be, and issue a consolidation order. R.S., c. B-3, s. 194
Bankruptcy and Insolvency Act — B-3 224
Issue of consolidation order 224 Where no objection has been received within thirty days after the date of the sending of the notice of an application for a consolidation order pursuant to section 220, the clerk shall (a) make an entry in the register to that effect; and (b) issue the consolidation order. R.S., 1985, c. B-3, s. 224; 1992, c. 1, s. 18, c. 27, s. 83
Bankruptcy and Insolvency Act — B-3 225
Contents of consolidation order 225 (1) A consolidation order shall state the following: (a) the name of and the amount owing to each creditor named in the register; and (b) the amounts to be paid into court by the debtor and the times of payment thereof or, where applicable, that the present circumstances of the debtor do not warrant the immediate settling of any such amounts or times. Effect of order (2) A consolidation order (a) is a judgment of the court in favour of each creditor named in the register for the amount stated therein to be owing to that creditor; (b) is an order of the court for the payment by the debtor of the amounts stated therein and at the stated times; and (c) bears interest at the rate which by law applies to a judgment debt arising from a judgment of the court that granted the order or at such other rate as may be prescribed by regulation. R.S., 1985, c. B-3, s. 225; 1992, c. 27, s. 84
Bankruptcy and Insolvency Act — B-3 226
Consolidation order not to be issued 226 (1) A consolidation order that does not provide for the payment in full of all the debts to which it refers within a period of three years shall not be issued unless (a) all registered creditors consent thereto in writing; or (b) the order is approved by the court. Deemed consent (1.1) Where a registered creditor does not give any response to a request for consent under paragraph (1)(a) within thirty days after receiving such a request, the creditor shall be deemed to have consented to the order. Referral to court (2) Any consolidation order referred to in subsection (1) shall be referred to the court for approval or otherwise by the clerk on notice of motion to any registered creditor who has not consented thereto in writing. R.S., 1985, c. B-3, s. 226; 1992, c. 27, s. 85
Bankruptcy and Insolvency Act — B-3 227
Review of consolidation order 227 (1) The court may, on application to review a consolidation order of the clerk made by notice of motion within fifteen days after the making of the order by any of the parties affected thereby, review the consolidation order and confirm or vary it or set it aside and make such disposition of the matter as the court sees fit. Decision to be entered (2) The clerk shall enter any decision made by the court under subsection (1) in the register and the decision takes effect in place of the order of the clerk. R.S., 1985, c. B-3, s. 227; 1997, c. 12, s. 115
Bankruptcy and Insolvency Act — B-3 228
Terms may be imposed on debtor 228 The court may, in deciding any matter brought before it, impose such terms on a debtor with respect to the custody of his property or any disposition thereof or of the proceeds thereof as it deems proper to protect the registered creditors and may give such directions for that purpose as the circumstances require. R.S., c. B-3, s. 199
Bankruptcy and Insolvency Act — B-3 229
Process stayed by consolidation order 229 On the making of a consolidation order, no process shall be issued out of any court in the province in which the debtor resides against the debtor at the instance of a creditor in respect of any debt to which this Part applies, except as permitted by this Part. R.S., c. B-3, s. 200
Bankruptcy and Insolvency Act — B-3 230
Assignments of debtor’s property to clerk 230 (1) The clerk may, at any time after the making of a consolidation order, require of and take from the debtor an assignment to himself as clerk of the court of any moneys due, owing or payable or to become due, owing or payable to the debtor, or earned or to be earned by the debtor. Notification (2) Unless otherwise agreed on, the clerk shall forthwith notify the person owing or about to owe the moneys of the assignment referred to in subsection (1) and all moneys collected thereon shall be applied to the credit of the claims against the debtor under the consolidation order. Writ of execution (3) The clerk may issue a writ of execution or certificate of judgment in respect of a consolidation order and cause it to be filed in any place where the writ or certificate may bind or be a charge on land or chattels. R.S., c. B-3, s. 201
Bankruptcy and Insolvency Act — B-3 231
Adding creditors after order 231 (1) Where, at any time before the payment in full of the claims against a debtor under a consolidation order, the clerk is notified of a claim to which this Part applies that is not entered in the order, he shall, subject to subsection (2) and on notice to the debtor and creditor and to each registered creditor, (a) settle the amount owing to the creditor; (b) where he deems it necessary to do so, vary the amounts to be paid by the debtor into court and the times of payment thereof in order to provide for the new claim; and (c) enter the matters referred to in paragraphs (a) and (b) in the register. Court to decide (2) Where the debtor or any registered creditor disputes the claim of a creditor described in subsection (1), the clerk shall on notice of motion refer the matter to the court and the decision of the court shall be entered in the register. Notice (3) The clerk shall make such amendments to the consolidation order as may be necessary to give effect to any entries in the register made pursuant to this section, and shall give notice thereof to the registered creditors. Creditor to share (4) On the entry of a claim in the register pursuant to this section, the creditor shall share with the other creditors in any further distribution of moneys paid into court by or on behalf of the debtor. R.S., c. B-3, s. 202
Bankruptcy and Insolvency Act — B-3 232
Secured claims 232 (1) A registered creditor holding security for a claim may, at any time, elect to rely on his security notwithstanding that the claim is included in a consolidation order. Proceeds in excess (2) Where the proceeds from the disposal of the security referred to in subsection (1) are in excess of the registered creditor’s claim, the excess shall be paid into court and applied in payment of other judgments against the debtor. Exemption (3) Subsection (2) does not apply where the security is in the form of chattels exempt from seizure under any law in force in the province in which the consolidation order was issued. Reduced claim (4) Where the proceeds from the disposal of the security referred to in subsection (1) are less than the registered creditor’s claim, the creditor remains entitled to the balance of his claim. Exception (5) Subsection (4) does not apply in a case where, under the law in force in the province in which the consolidation order was issued, a creditor (a) who enforces his security by repossession or repossession and sale, or (b) who seizes and sells the security under an execution issued pursuant to a judgment obtained against the debtor in respect of the claim so secured, is limited in his recovery of the claim to the security so repossessed or the proceeds of the sale thereof. R.S., c. B-3, s. 203
Bankruptcy and Insolvency Act — B-3 233
Enforcement of order in default of debtor 233 (1) A registered creditor may apply by notice of motion to the court where (a) a debtor defaults in complying with any order or direction of the court; (b) any other proceeding for the recovery of money is brought against the debtor; (c) the debtor has, after the consolidation order was made, incurred further debts totalling in excess of five hundred dollars; (d) a judgment is recovered against the debtor larger in amount than a judgment to which this Part applies without the judgment creditor’s consent, and the judgment creditor refuses to permit his name to be added to the register; or (e) the debtor has property or funds that should be made available for the satisfaction of the consolidation order. Ex parte application (2) A registered creditor may apply ex parte to the court where a debtor (a) is about to abscond or has absconded from the province in which the consolidation order was issued leaving personal property liable to seizure under execution; or (b) with intent to defraud his creditors has attempted or is attempting to remove from the province in which the consolidation order was issued personal property liable to seizure under execution. Proceedings authorized (3) On the application referred to in subsection (1) or (2), the court may (a) authorize the registered creditor making the application to take on behalf of all the registered creditors such proceedings to enforce the consolidation order as the court deems advisable; or (b) where it deems it advisable and on notice to all parties, make an order permitting all the registered creditors to proceed each independently of the others for the enforcement of their claims under the consolidation order. Moneys applied to judgment (4) All moneys recovered as a result of proceedings taken pursuant to paragraph (3)(a) after payment of costs incurred thereby shall be paid into the court and shall be applied to the credit of the judgments against the debtor appearing in the register. Proceedings where continuing default (5) Where a debtor defaults in making any payment into court required to be made under a consolidation order and the default continues for a period of three months, all the registered creditors are entitled to proceed forthwith, each independently of the others and without reference to the court, for the enforcement of their claims under the consolidation order, unless the court otherwise directs on being satisfied, on application by the debtor, that the circumstances giving rise to the default and to its continuation were beyond the control of the debtor. Debtor not entitled to relief (6) Where any order has been made under paragraph (3)(b) or any proceedings have been commenced under subsection (5), the debtor under the consolidation order is not, without the leave of the court, entitled to any further relief under this Part during the currency of any claim against him entered in the register. R.S., 1985, c. B-3, s. 233; 1997, c. 12, s. 116
Bankruptcy and Insolvency Act — B-3 234
Re-examination of debtor 234 (1) A debtor or any registered creditor may at any time apply ex parte to the clerk for a further examination and hearing of the debtor in respect of his financial circumstances. Idem (2) The further hearing referred to in subsection (1) may only be held (a) with the leave of the clerk; or (b) in the event of the refusal of the clerk, with leave of the court. Notice of hearing (3) The clerk shall give all parties to the consolidation order at least thirty days notice of the time appointed for the hearing referred to in subsection (1). Clerk may vary order, etc. (4) Where after considering the evidence presented at the further hearing referred to in subsection (1) the clerk is of the opinion that (a) the terms of payment set out in the consolidation order, or (b) the decision that the circumstances of the debtor do not warrant the immediate settling of any amounts or times of payment thereof, should be changed because of a change in the circumstances of the debtor, he may (c) vary the order with respect to the amounts to be paid by the debtor into court or the times of payment thereof, or (d) on notice of motion refer the matter to the court for settlement. Application of section 227 (5) Section 227 applies, with such modifications as the circumstances require, to a decision of the clerk under subsection (4). R.S., 1985, c. B-3, s. 234; 1992, c. 1, s. 19
Bankruptcy and Insolvency Act — B-3 235
Disposition of moneys paid into court 235 (1) Subject to subsection (3), the clerk shall distribute the moneys paid into court on account of the debts of a debtor at least once every three months. Idem (2) The clerk shall distribute the money paid under subsection (1) rateably, or as nearly so as is practicable, among the registered creditors. Payments less than five dollars (3) Except in the case of a final payment under a consolidation order, the clerk is not required to make a payment to any creditor if the amount thereof is less than five dollars. R.S., c. B-3, s. 206
Bankruptcy and Insolvency Act — B-3 236
Oaths 236 (1) The clerk may for the purposes of this Part examine any person under oath and may administer oaths. Record (2) The clerk shall make a written record in summary form of all evidence given at a hearing. R.S., c. B-3, s. 207
Bankruptcy and Insolvency Act — B-3 237
If assignment or bankruptcy order made 237 (1) If a debtor in respect of whom a consolidation order has been issued under this Part makes an assignment under section 49, or if a bankruptcy order is made against the debtor under section 43, or if a proposal by the debtor is approved by the court having jurisdiction in bankruptcy under sections 59 to 61, any moneys that have been paid into court as required by the consolidation order and that have not yet been distributed to the registered creditors shall, immediately after the making of the assignment or bankruptcy order or the approval of the proposal, be distributed among those creditors by the clerk in the proportions to which they are entitled under the consolidation order. Proceedings may be taken under other Parts (2) The fact that proceedings have been taken under this Part does not prevent the taking of proceedings by or against the debtor under the provisions of any other Part of this Act. Idem (3) None of the provisions of Parts I to IX of this Act applies to proceedings under this Part. R.S., 1985, c. B-3, s. 237; 2004, c. 25, s. 96
Bankruptcy and Insolvency Act — B-3 238
Appeal 238 A decision or order of the court under this Part is subject to appeal in the same manner as if it were a judgment of the court in a civil action. R.S., c. B-3, s. 209
Bankruptcy and Insolvency Act — B-3 239
Clerk to report 239 (1) On the issue of any consolidation order, the clerk shall forward a copy thereof to the Superintendent. Idem (2) The clerk shall give to the Superintendent all reports that the Superintendent may require for the administration of this Part. R.S., 1985, c. B-3, s. 239; 1992, c. 27, s. 86
Bankruptcy and Insolvency Act — B-3 239.1
No dismissal, etc., of employees 239.1 No employer shall dismiss, suspend, lay off or otherwise discipline a debtor by reason only that the debtor has applied for a consolidation order under this Part. 1992, c. 27, s. 87
Bankruptcy and Insolvency Act — B-3 239.2
No discontinuance of public utilities 239.2 (1) No public utility shall discontinue service to a debtor by reason only that the debtor (a) is insolvent; (b) has applied for a consolidation order under this Part; or (c) has not paid for service rendered before the consolidation order was applied for. Cash payments (2) Nothing in subsection (1) shall be construed as requiring further supply of service for other than payment in cash. 1992, c. 27, s. 87
Bankruptcy and Insolvency Act — B-3 240
Regulations 240 The Governor in Council may make regulations (a) prescribing the forms to be used under this Part; (b) respecting costs, fees and levies to be paid under this Part; (c) designating the “court” for the purpose of this Part in any province except Manitoba and Alberta; (d) adapting this Part to the court organization or other circumstances of a particular province; (e) varying, in respect of any province, the classes of debts and amounts thereof to which this Part applies; (f) changing or prescribing, in respect of any province, the classes of debts to which this Part does not apply; (f.1) respecting the transfer of proceedings to a province other than the province in which a consolidation order was originally issued; and (g) generally, for carrying into effect the purposes and provisions of this Part. R.S., 1985, c. B-3, s. 240; 1992, c. 27, s. 88
Bankruptcy and Insolvency Act — B-3 241
Audit of proceedings 241 The accounts of every clerk that relate to proceedings under this Part are subject to audit in the same manner as if the accounts were the accounts of a provincial officer. R.S., c. B-3, s. 212
Bankruptcy and Insolvency Act — B-3 242
Application of this Part 242 (1) The Governor in Council shall, at the request of the lieutenant governor in council of a province, declare, by order, that this Part applies or ceases to apply, as the case may be, in respect of the province. Automatic application (2) Subject to an order being made under subsection (1) declaring that this Part ceases to apply in respect of a province, if this Part is in force in the province immediately before that subsection comes into force, this Part applies in respect of the province. R.S., 1985, c. B-3, s. 242; 2002, c. 7, s. 85; 2007, c. 36, s. 57
Bankruptcy and Insolvency Act — B-3 244
Advance notice 244 (1) A secured creditor who intends to enforce a security on all or substantially all of (a) the inventory, (b) the accounts receivable, or (c) the other property of an insolvent person that was acquired for, or is used in relation to, a business carried on by the insolvent person shall send to that insolvent person, in the prescribed form and manner, a notice of that intention. Period of notice (2) Where a notice is required to be sent under subsection (1), the secured creditor shall not enforce the security in respect of which the notice is required until the expiry of ten days after sending that notice, unless the insolvent person consents to an earlier enforcement of the security. No advance consent (2.1) For the purposes of subsection (2), consent to earlier enforcement of a security may not be obtained by a secured creditor prior to the sending of the notice referred to in subsection (1). Exception (3) This section does not apply, or ceases to apply, in respect of a secured creditor (a) whose right to realize or otherwise deal with his security is protected by subsection 69.1(5) or (6); or (b) in respect of whom a stay under sections 69 to 69.2 has been lifted pursuant to section 69.4. Idem (4) This section does not apply where there is a receiver in respect of the insolvent person. 1992, c. 27, s. 89; 1994, c. 26, s. 9(E)
Bankruptcy and Insolvency Act — B-3 245
Receiver to give notice 245 (1) A receiver shall, as soon as possible and not later than ten days after becoming a receiver, by appointment or otherwise, in respect of property of an insolvent person or a bankrupt, send a notice of that fact, in the prescribed form and manner, to the Superintendent, accompanied by the prescribed fee, and (a) in the case of a bankrupt, to the trustee; or (b) in the case of an insolvent person, to the insolvent person and to all creditors of the insolvent person that the receiver, after making reasonable efforts, has ascertained. Idem (2) A receiver in respect of property of an insolvent person shall forthwith send notice of his becoming a receiver to any creditor whose name and address he ascertains after sending the notice referred to in subsection (1). Names and addresses of creditors (3) An insolvent person shall, forthwith after being notified that there is a receiver in respect of any of his property, provide the receiver with the names and addresses of all creditors. 1992, c. 27, s. 89
Bankruptcy and Insolvency Act — B-3 246
Receiver’s statement 246 (1) A receiver shall, forthwith after taking possession or control, whichever occurs first, of property of an insolvent person or a bankrupt, prepare a statement containing the prescribed information relating to the receivership, and shall forthwith provide a copy thereof to the Superintendent and (a) to the insolvent person or the trustee (in the case of a bankrupt); and (b) to any creditor of the insolvent person or the bankrupt who requests a copy at any time up to six months after the end of the receivership. Receiver’s interim reports (2) A receiver shall, in accordance with the General Rules, prepare further interim reports relating to the receivership, and shall provide copies thereof to the Superintendent and (a) to the insolvent person or the trustee (in the case of a bankrupt); and (b) to any creditor of the insolvent person or the bankrupt who requests a copy at any time up to six months after the end of the receivership. Receiver’s final report and statement of accounts (3) A receiver shall, forthwith after completion of duties as receiver, prepare a final report and a statement of accounts, in the prescribed form and containing the prescribed information relating to the receivership, and shall forthwith provide a copy thereof to the Superintendent and (a) to the insolvent person or the trustee (in the case of a bankrupt); and (b) to any creditor of the insolvent person or the bankrupt who requests a copy at any time up to six months after the end of the receivership. 1992, c. 27, s. 89
Bankruptcy and Insolvency Act — B-3 246.1
Intellectual property — sale or disposition 246.1 (1) If the insolvent person or the bankrupt is a party to an agreement that grants to another party a right to use intellectual property that is included in a sale or disposition by the receiver, that sale or disposition does not affect that other party’s right to use the intellectual property — including the other party’s right to enforce an exclusive use — during the term of the agreement, including any period for which the other party extends the agreement as of right, as long as the other party continues to perform its obligations under the agreement in relation to the use of the intellectual property. Intellectual property — disclaimer or resiliation (2) If the insolvent person or the bankrupt is a party to an agreement that grants to another party a right to use intellectual property, the disclaimer or resiliation of that agreement by the receiver does not affect that other party’s right to use the intellectual property — including the other party’s right to enforce an exclusive use — during the term of the agreement, including any period for which the other party extends the agreement as of right, as long as the other party continues to perform its obligations under the agreement in relation to the use of the intellectual property. 2018, c. 27, s. 268
Bankruptcy and Insolvency Act — B-3 247
Good faith, etc. 247 A receiver shall (a) act honestly and in good faith; and (b) deal with the property of the insolvent person or the bankrupt in a commercially reasonable manner. 1992, c. 27, s. 89