56 (1) Where a financing statement or notice of security interest is registered under this Act, and, (a)  all the obligations under a security agreement to which it relates have been performed; or (b)  it is agreed to release part of the collateral covered by a security agreement to which it relates upon payment or performance of certain of the obligations under the security agreement, then upon payment or performance of such obligations, any person having an interest in the collateral covered by the security agreement may deliver a written notice to the secured party demanding registration of a financing change statement referred to in section 55 or a certificate of discharge or partial discharge referred to in subsection 54 (4), or both, and the secured party shall register the financing change statement or the certificate of discharge or partial discharge, or both, as the case may be.  R.S.O. 1990, c. P.10, s. 56 (1); 2006, c. 34, Sched. E, s. 18 (1). Discharge where no security interest acquired (2) Where a financing statement or notice of security interest is registered under this Act and the person named in the financing statement or notice as the secured party has not acquired a security interest in the property to which the financing statement or notice relates, any person having an interest in the property may deliver a written notice to the person named as the secured party demanding registration of a financing change statement referred to in section 55 or a certificate of discharge referred to in subsection 54 (4), or both, and the person named as the secured party shall register the financing change statement or the certificate of discharge, or both, as the case may be.  R.S.O. 1990, c. P.10, s. 56 (2); 2006, c. 34, Sched. E, s. 18 (2). Amendment (2.1) If a financing statement is registered under this Act and the collateral description or collateral classification in the financing statement includes personal property that is not collateral under the security agreement, the person named in the financing statement as the debtor may deliver a written notice to the person named as the secured party demanding registration of a financing change statement referred to in section 49 to provide an accurate collateral description, and the person named as the secured party shall register the financing change statement.  2006, c. 34, Sched. E, s. 18 (3). Removal of collateral classifications (2.2) If a financing statement is registered under this Act and the person named in the financing statement as the secured party has not acquired a security interest in any property within one or more of the collateral classifications indicated on the financing statement, the person named in the financing statement as the debtor may deliver a written notice to the person named as the secured party demanding registration of a financing change statement referred to in section 49 to correct the collateral classifications by removing any collateral classification in which the person named as the secured party has not acquired a security interest, and the person named as the secured party shall register the financing change statement.  2010, c. 16, Sched. 5, s. 4 (4). Limiting collateral classification (2.3) If a financing statement is registered under this Act and the person named in the financing statement as the secured party has not included words limiting the scope of the collateral classification within the meaning of subsection 46 (2.1) and has acquired a security interest only in particular property within the classification, the person named in the financing statement as the debtor may deliver a written notice to the person named as the secured party demanding registration of a financing change statement referred to in section 49 to add words limiting the scope of the collateral classification, and the person named as the secured party shall register the financing change statement.  2010, c. 16, Sched. 5, s. 4 (4). (2.4) Repealed:  2006, c. 34, Sched. E, s. 18 (3). Definition (3) For the purposes of subsections (4) and (5), “secured party” includes a person named in a financing statement or notice of security interest as the secured party to whom subsection (2) applies.  R.S.O. 1990, c. P.10, s. 56 (3). Failure to deliver (4) Where the secured party, without reasonable excuse, fails to register the financing change statement, or certificate of discharge or partial discharge, or all of them, as the case may be, required under subsection (1), (2), (2.1), (2.2) or (2.3) within 10 days after receiving a demand for it, the secured party shall pay $500 to the person making the demand and any damages resulting from the failure; the sum and damages are recoverable in any court of competent jurisdiction.  2006, c. 34, Sched. E, s. 18 (4); 2010, c. 16, Sched. 5, s. 4 (5). Security or payment into court (5) Upon application to the Superior Court of Justice, the court may, (a)  allow security for or payment into court of the amount claimed by the secured party and such costs as the court may fix, and thereupon order the secured party to discharge or partially discharge, as the case may be, the registration of the financing statement or notice of security interest; or (b)  order upon any ground that the court considers proper that, (i)  the registrar amend the information recorded in the central file of the registration system to indicate that the registration of the financing statement has been discharged or partially discharged, as the case may be, or (ii)  the land registrar delete any entry in the books of the land registry office related to the notice of security interest or that the land registrar amend the books of the land registry office to indicate that the security interest has been discharged or partially discharged, as the case may be.  R.S.O. 1990, c. P.10, s. 56 (5); 2000, c. 26, Sched. B, s. 16 (1). Successors in interest (6) Where the person receiving a notice under clause (1) (a) did not have a security interest in the collateral immediately before all the obligations under the security agreement to which it relates were performed, the person shall, within fifteen days after receiving the notice, disclose the name and address of the latest successor in interest known to the person, and, if without reasonable excuse, the person fails to do so or the answer is incomplete or incorrect, the person shall pay  $500 to the person making the demand and any damages resulting from the failure which sum and damages are recoverable in any court of competent jurisdiction.  R.S.O. 1990, c. P.10, s. 56 (6). No outstanding secured obligation (7) Where there is no outstanding secured obligation, and the secured party is not committed to make advances, incur obligations or otherwise give value, a secured party having control of investment property under clause 25 (1) (b) of the Securities Transfer Act, 2006 or subclause 1 (2) (d) (ii) of this Act shall, within 10 days after receipt of a written demand by the debtor, send to the securities intermediary or futures intermediary with which the security entitlement or futures contract is maintained a written record that releases the securities intermediary or futures intermediary from any further obligation to comply with entitlement orders or directions originated by the secured party.  2006, c. 8, s. 139. Section Amendments with date in force (d/m/y) 2000, c. 26, Sched. B, s. 16 (1, 7, 8) - 06/12/2000 2006, c. 8, s. 139
- 01/01/2007; 2006, c. 34, Sched. E, s. 18 (1-4) - 01/08/2007 2010, c. 16, Sched. 5, s. 4 (4, 5) - 01/08/2007