27 (1) Every brokerage shall, (a)  maintain in Ontario an account designated as a trust account, in, (i)  a bank or authorized foreign bank as defined in section 2 of the Bank Act (Canada); (ii)  a loan or trust corporation; or (iii)  a credit union within the meaning of the Credit Unions and Caisses Populaires Act, 2020; (b)  deposit into the account all money that comes into the brokerage’s hands in trust for other persons in connection with the brokerage’s business; (c)  at all times keep the money separate and apart from money belonging to the brokerage; and (d)  disburse the money only in accordance with the terms of the trust.  2004, c. 19, s. 18 (18); 2007, c. 7, Sched. 7, s. 190 (4); 2020, c. 1, s. 18 (1); 2020, c. 36, Sched. 7, s. 334 (3). Disclosure (2) Brokerages shall fully and clearly disclose in writing to a person depositing trust money the terms on which the brokerage deposits the money, including whether the money is deposited in an interest bearing account and the interest rate that the brokerage receives on the money.  2002, c. 30, Sched. C, s. 27 (2). Interest (3) Unless otherwise provided by contract, all interest on the trust money referred to in subsection (1) shall be paid to the beneficial owner of the trust money.  2002, c. 30, Sched. C, s. 27 (3). Entitlement unclear (4) If a brokerage holds money in trust for a period of two years and entitlement to the money has not been determined or is unclear, the brokerage shall pay the money to, (a)  the administrative authority; or (b)  if there is no designated administrative authority, the Minister of Finance.  2002, c. 30, Sched. C, s. 27 (4). Unclaimed trust money (5) If a brokerage holds money in trust for a period of two years after the person for whom it is held first became entitled to payment of the money and the person cannot be located, the brokerage shall pay the money to, (a)  the administrative authority; or (b)  if there is no designated administrative authority, the Minister of Finance.  2002, c. 30, Sched. C, s. 27 (5); 2020, c. 1, s. 18 (2). Attempt to locate person entitled to payment of money (6) Before the brokerage pays the money under subsection (5), the brokerage shall use reasonable efforts to locate the person entitled to the money being held in trust.  2002, c. 30, Sched. C, s. 27 (6). Information on entitlement (7) When a brokerage pays money over under subsection (4) or (5), the brokerage shall provide to the administrative authority or to the Minister of Finance, as the case may be, as much information as the brokerage has in order to determine who is entitled to the trust money.  2002, c. 30, Sched. C, s. 27 (7). Money held in trust (8) If the administrative authority has been paid money under clause (4) (a) or (5) (a), it shall hold the money in trust until the money is claimed by the person who is entitled to it or the money is transferred to the Minister of Finance under subsection (11).  2002, c. 30, Sched. C, s. 27 (8). Use of interest (9) If money has been paid to the administrative authority under clause (4) (a) or (5) (a), the administrative authority shall allocate any interest that is earned after it has received the money to a separate account and may use the money from that account only to cover the costs of administering the trust fund and processing claims for the recovery of money held in trust.  2002, c. 30, Sched. C, s. 27 (9). Same (10) If money to which clause (4) (a) or (5) (a) applies is held in an interest bearing account and the money is paid to the administrative authority, the administrative authority shall treat the money that is paid as a capital amount, and for purposes of subsection (9), interest shall be deemed not to be earned on the money until after the administrative authority has received it.  2002, c. 30, Sched. C, s. 27 (10). Unclaimed trust money to Minister of Finance (11) If the administrative authority holds money that has been paid under clause (4) (a) or (5) (a) for a period of five years, the administrative authority shall pay the money to the Minister of Finance within one year after it has been held for the five-year period.  2002, c. 30, Sched. C, s. 27 (11). Attempt to locate person entitled to money (12) The Minister or the administrative authority, as the case may be, shall use reasonable efforts to locate the person entitled to the money paid under subsection (5).  2002, c. 30, Sched. C, s. 27 (12). Rights preserved (13) The payment of money held in trust to the Minister of Finance or the administrative authority is made without any prejudice to the rights of any person to claim entitlement to the trust money.  2002, c. 30, Sched. C, s. 27 (13). Payment (14) The Minister of Finance or the administrative authority that receives money under subsection (4) or (5) shall pay it to the person entitled to the money.  2002, c. 30, Sched. C, s. 27 (14). Transition (15) If a person who was registered as a broker under the Real Estate and Business Brokers Act immediately before that Act is repealed is holding money to which subsection (4) or (5) would apply if they were in force for the period specified in the subsection or for a longer period immediately before this section is proclaimed into force, within one year after this section has come into force, the person deemed to be a brokerage under subsection 49 (2) shall pay the money to, (a)  the administrative authority; or (b)  if there is no designated administrative authority, the Minister of Finance.  2002, c. 30, Sched. C, s. 27 (15). Section Amendments with date in force (d/m/y) 2004, c. 19, s. 18 (18)
- 31/06/2006 2007, c. 7, Sched. 7, s. 190 (4) - 01/10/2009 2012, c. 8, Sched. 11, s. 51 (5) - no effect - see 2020, c. 14, Sched. 8, s. 21 - 14/07/2020 2020, c. 1, s. 18 (1)
- 01/10/2020; 2020, c. 1, s. 18 (2)
- 01/12/2023; 2020, c. 36, Sched. 7, s. 334 (3) - 01/03/2022