| Mediation
procedure
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(8) A mediation shall be in accordance with
prescribed procedures.
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| File
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(9) Documents contained in a file on the
mediation of a matter under this section form
part of the records referred to in subsection
11.1(2).
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| Court
determi- nation
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(10) Where
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the trustee may, or on the request of the
inspectors, any of the creditors or the official
receiver shall, apply to the court for the
hearing of the matter, and the court may, on the
hearing, in accordance with the standards
established under subsection (1) and having
regard to the personal and family situation of
the bankrupt, by order, fix the amount that the
bankrupt is required to pay to the estate of the
bankrupt.
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| Fixing fair
and
reasonable
remuneration
in the case of
related
persons
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(11) The court may fix an amount that is fair
and reasonable
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where the person is related to the bankrupt,
and the court may, by order, determine the part
of the salary, wages or other remuneration, or
the part of the payment or commission, that
shall be paid to the trustee on the basis of the
amount so fixed by the court, unless it appears
to the court that the services have been
performed for the benefit of the bankrupt and
are not of any substantial benefit to the person
for whom they were performed.
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| Modification
of order
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(12) On the application of any interested
person, the court may, at any time, amend an
order made under this section to take into
account material changes that have occurred
in the personal or family situation of the
bankrupt.
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| Default by
other person
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(13) An order of the court made under this
section may be served on a person from whom
the bankrupt is entitled to receive money and,
in such case,
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| Application is
a proceeding
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(14) For the purposes of section 38, an
application referred to in subsection (10) is
deemed to be a proceeding for the benefit of
the estate.
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| Application
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(2) Subsection (1) applies to bankruptcies
in respect of which proceedings are
commenced after that subsection comes
into force.
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| 1992 c. 27, s.
35(1)
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61. (1) Section 68.1 of the Act is replaced
by the following:
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| Assignment of
wages
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68.1 (1) An assignment of existing or future
wages made by a debtor before the debtor
became bankrupt is of no effect in respect of
wages earned after the bankruptcy.
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| Assignment of
book debts
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(2) An assignment of existing or future
amounts receivable as payment for or
commission or professional fees in respect of
services rendered made by a debtor who is a
natural person before the debtor became
bankrupt is of no effect in respect of such
amounts earned or generated after the
bankruptcy.
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| Application
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(2) Subsection (1) applies to bankruptcies
in respect of which proceedings are
commenced after that subsection comes
into force.
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| 1992, c. 27, s.
36(1)
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62. (1) Subsection 69(2) of the Act is
amended by striking out the word ``or'' at
the end of paragraph (a) and by replacing
paragraph (b) with the following:
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| Application
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(2) Subsection (1) applies to proceedings
under Part III that are commenced after
that subsection comes into force.
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| 1992, c. 27, s.
36(1); 1994,
c. 26, s. 8
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63. (1) Paragraphs 69.1(1)(a) to (c) of the
Act are replaced by the following:
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(a) no creditor has any remedy against the
insolvent person or the insolvent person's
property, or shall commence or continue any
action, execution or other proceedings, for the
recovery of a claim provable in bankruptcy,
until the trustee has been discharged or the
insolvent person becomes bankrupt;
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| 1992, c. 27, s.
36(1)
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(2) Subsection 69.1(2) of the Act is
amended by striking out the word ``or'' at
the end of paragraph (a) and by replacing
paragraph (b) with the following:
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| Application
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(3) Subsection (1) or (2) applies to
proposals in respect of which proceedings
are commenced after that subsection comes
into force.
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| 1992, c. 27, s.
36(1)
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64. (1) Subsection 69.2(1) of the Act is
replaced by the following:
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| Stay of
proceed- ings - consumer proposals
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69.2 (1) Subject to subsections (2) to (4) and
sections 69.4 and 69.5, on the filing of a
consumer proposal under subsection 66.13(2)
or of an amendment to a consumer proposal
under subsection 66.37(1) in respect of a
consumer debtor, no creditor has any remedy
against the debtor or the debtor's property, or
shall commence or continue any action,
execution or other proceedings, for the
recovery of a claim provable in bankruptcy
until
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| Application
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(2) Subsection (1) applies to proposals in
respect of which proceedings are
commenced after that subsection comes
into force.
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| 1992, c. 27, s.
36(1)
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65. (1) Section 69.4 of the Act is replaced
by the following:
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| Stay of
proceed- ings - directors
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69.31 (1) Where a notice of intention under
subsection 50.4(1) has been filed or a proposal
has been made by an insolvent corporation, no
person may commence or continue any action
against a director of the corporation on any
claim against directors that arose before the
commencement of proceedings under this Act
and that relates to obligations of the
corporation where directors are under any law
liable in their capacity as directors for the
payment of such obligations, until the
proposal, if one has been filed, is approved by
the court or the corporation becomes
bankrupt.
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| Exception
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(2) Subsection (1) does not apply in respect
of an action against a director on a guarantee
given by the director relating to the
corporation's obligations or an action seeking
injunctive relief against a director in relation
to the corporation.
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| Court may
declare that
stays, etc.,
cease
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69.4 A creditor who is affected by the
operation of sections 69 to 69.31 or any other
person affected by the operation of section
69.31 may apply to the court for a declaration
that those sections no longer operate in respect
of that creditor or person, and the court may
make such a declaration, subject to any
qualifications that the court considers proper,
if it is satisfied
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| Non-appli- cation of certain provisions
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69.41 (1) Sections 69 to 69.31 do not apply
in respect of a claim referred to in subsection
121(4).
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| No remedy,
etc.
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(2) Notwithstanding subsection (1), no
creditor with a claim referred to in subsection
121(4) has any remedy, or shall commence or
continue any action, execution or other
proceeding, against
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| Application
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(2) Subsection (1) applies to bankruptcies
or proposals in respect of which
proceedings are commenced after that
subsection comes into force.
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66. Subsection 70(2) of the French
version of the Act is replaced by the
following:
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| Frais
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(2) Malgré le paragraphe (1), un seul
mémoire d'honoraires émanant d'un avocat, y
compris les honoraires de l'huissier-exécutant
et les droits d'enregistrement ou d'inscription
d'un immeuble, est payable au créancier qui a
le premier mis la saisie-arrêt ou déposé entre
les mains de l'huissier-exécutant une saisie,
une exécution ou une autre procédure contre
les biens du failli.
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67. Subsection 71(1) of the Act is
repealed.
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68. Subsection 72(2) of the French
version of the Act is replaced by the
following:
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| Application
de lois
provinciales
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(2) Nulle ordonnance de séquestre, cession
ou autre document fait ou souscrit sous
l'autorité de la présente loi n'est, sauf
disposition contraire de celle-ci, assujetti à
l'application de toute loi en vigueur à toute
époque dans une province relativement aux
actes, hypothèques, jugements, actes de vente,
biens ou publicité des droits ou
enregistrements de pièces affectant le titre aux
biens, meubles ou immeubles, ou les
privilèges ou charges sur ces biens.
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69. Subsection 73(4) of the French
version of the Act is replaced by the
following:
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| Effet d'une
faillite lors
d'une saisie
de biens pour
loyer ou taxes
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(4) Sur production d'une copie de
l'ordonnance de séquestre ou de la cession,
que le syndic a certifiée conforme, tout bien
d'un failli saisi pour loyer ou pour taxes est
remis sans délai au syndic; mais les frais de
saisie constituent une créance de premier rang
sur ces biens et, en cas de vente de tout ou
partie des biens, le produit de celle-ci, moins
les frais de la saisie et de la vente, est remis au
syndic.
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70. Subsection 74(3) of the Act is replaced
by the following:
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| Caveat may
be filed
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(3) Where a bankrupt owns any land or
charge registered under a Land Titles Act or
has or is believed to have any interest or estate
therein, and for any reason a copy of the
receiving order or assignment has not been
registered as provided in subsection (1), a
caveat or caution may be lodged with the
official in charge of the land registry by the
trustee, and any registration thereafter made
in respect of the land or charge is subject to the
caveat or caution unless it has been removed
or cancelled under the provisions of the Land
Titles Act under which the land, charge or
interest is registered.
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71. Sections 79 and 80 of the Act are
replaced by the following:
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| Inspection of
property held
in pledge
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79. Where property of a bankrupt is held as
a pledge, hypothec, pawn or other security, the
trustee may give notice in writing of the
trustee's intention to inspect the property, and
the person so notified is not thereafter entitled
to realize the security until the person has
given the trustee a reasonable opportunity of
inspecting the property and of exercising the
trustee's right of redemption.
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| Protection of
trustee
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80. Where the trustee has seized or disposed
of property in the possession or on the
premises of a bankrupt without notice of any
claim in respect of the property and it is
thereafter made to appear that the property
was not at the date of the bankruptcy the
property of the bankrupt or was subject to an
unregistered lien, a right of retention, a pledge
or a charge, the trustee is not personally liable
for any loss or damage arising from the seizure
or disposal sustained by any person claiming
the property or an interest therein or for the
costs of proceedings taken to establish a claim
thereto, unless the court is of opinion that the
trustee has been guilty of negligence with
respect to the trustee's duties in relation to the
property.
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| 1992, c. 27, s.
38(1)
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72. The definitions ``agriculteur'' and
``aquiculteur'' in subsection 81.2(2) of the
French version of the Act are replaced by
the following:
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| « agricul- teur » ``farmer''
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« agriculteur » Est assimilé à l'agriculteur le
propriétaire, l'occupant, le locateur ou le
locataire d'une ferme.
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| « aquicul- teur » ``aquacultu- rist''
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« aquiculteur » Est assimilé à l'aquiculteur le
propriétaire, l'occupant, le locateur ou le
locataire d'une exploitation aquicole.
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| 1992, c. 27, s.
39(1)
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73. (1) Subsections 86(1) and (2) of the Act
are replaced by the following:
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| Status of
Crown claims
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86. (1) In relation to a bankruptcy or
proposal, all provable claims, including
secured claims, of Her Majesty in right of
Canada or a province or of any body under an
Act respecting workers' compensation, in this
section and in section 87 called a ``workers'
compensation body'', rank as unsecured
claims.
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| Exceptions
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(2) Subsection (1) does not apply
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| Application
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(2) Subsection (1) applies to bankruptcies
or proposals in respect of which
proceedings are commenced after that
subsection comes into force.
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| 1992, c. 27, s.
39(1)
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74. (1) The portion of subsection 87(1) of
the Act before paragraph (a) is replaced by
the following:
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| Statutory
Crown
securities
|
87. (1) A security provided for in federal or
provincial legislation for the sole or principal
purpose of securing a claim of Her Majesty in
right of Canada or a province or of a workers'
compensation body is valid in relation to a
bankruptcy or proposal only if the security is
registered, before the earliest of
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