This enactment is the fourth in a series of enactments drafted in the course of the harmonization of federal statutes by the Department of Justice of Canada as a result of the coming into force of the Civil Code of Québec in 1994, which substantially changed the concepts, institutions and terminology of civil law. It amends 52 statutes, including the Acts governing financial institutions — the Bank Act, the Cooperative Credit Associations Act, the Insurance Companies Act and the Trust and Loan Companies Act — and other Acts including the Access to Information Act, the Financial Administration Act, the Interpretation Act and the Official Languages Act, in order to ensure that each language version takes into account the common law and the civil law.

His Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:

fiduciary means any person Insertion start who is Insertion end acting in a fiduciary capacity Insertion start or who has an obligation of honesty and loyalty to another person because they are in a relationship of trust and confidence with that person Insertion end , and includes a personal representative of a deceased person; (représentant)

personal representative means a person who stands in place of and represents another person and includes a trustee, an executor Insertion start or Insertion end administrator Insertion start of an estate, a liquidator of a succession, an administrator of the property of another Insertion end , a committee, a guardian, a tutor, a curator, an assignee, a receiver Insertion start or sequestrator Insertion end , an agent Insertion start or mandatary Insertion end , or an attorney, but does not include a delegate; (représentant personnel)

proxy means a completed and executed Insertion start or, in Quebec, signed Insertion end form of proxy by means of which a shareholder appoints a proxyholder to attend and act on the shareholder’s behalf at a meeting of shareholders; (procuration)

residential property means Insertion start any Insertion end real property Insertion start or immovable Insertion end consisting of buildings Insertion start of which Insertion end at least one half of the floor space Insertion start is Insertion end used, or Insertion start is Insertion end to be used, as one or more private dwellings; (immeuble résidentiel)

security interest means an interest Insertion start or right Insertion end in or Insertion start a Insertion end charge on property, by way of mortgage Insertion start or hypothec Insertion end , lien, pledge or otherwise, taken by a creditor or guarantor to secure the payment or performance of an obligation; (sûreté)

beneficial ownership includes ownership through one or more trustees, legal representatives, agents Insertion start or mandataries Insertion end or other intermediaries; (véritable propriétaire et propriété effective)

form of proxy means a written or printed form that, when completed and executed Insertion start or, in Quebec, signed Insertion end by or on behalf of a shareholder, constitutes a proxy; (formulaire de procuration)

securities underwriter means a person who, as principal, agrees to purchase securities with a view to the distribution of the securities or who, as agent Insertion start or mandatary Insertion end for a body corporate or other person, offers for sale or sells securities in connection with a distribution of the securities, and includes a person who participates, directly or indirectly, in a distribution of securities, other than a person whose interest in the distribution of securities is limited to receiving a distributor’s or seller’s commission payable by a securities underwriter; (souscripteur à forfait)

fondé de pouvoir Personne nommée par procuration pour Insertion start assister et agir au nom de Insertion end l’actionnaire aux assemblées des actionnaires.‍ (proxyholder)

opération En matière de valeurs mobilières, toute Insertion start vente ou disposition pour contrepartie de valeur Insertion end .‍ (trade)

• (a) in relation to a body corporate, a share of any class of shares of the body corporate or a debt obligation of the body corporate, and includes a warrant of the body corporate, but does not include a deposit with a financial institution or any Insertion start document Insertion end evidencing a deposit Insertion start with a financial institution Insertion end or, for greater certainty, a membership share, and

immovable includes the rights of a lessee in respect of an immovable; (immeuble)

bien réel Est assimilé à un bien réel l’intérêt à bail sur un tel bien.‍ (real property)

Pouvoirs

15 (1) La banque a la capacité d’une personne physique Insertion start et a Insertion end , sous réserve des autres dispositions de la présente loi, Insertion start les droits, pouvoirs et privilèges de cette personne Insertion end .

• (d) a person held out by the bank as a director, Insertion start an Insertion end officer, Insertion start an employee Insertion end or Insertion start an agent or mandatary Insertion end of the bank has not been duly appointed or has no authority to exercise the powers and perform the duties that are customary in the business of the bank or usual for a director, Insertion start an Insertion end officer, Insertion start an employee Insertion end or Insertion start an agent or mandatary Insertion end ; or

• (e) a document issued by any director, Insertion start any Insertion end officer, Insertion start any employee Insertion end or Insertion start any agent or mandatary Insertion end of the bank with actual or usual authority to issue the document is not valid or not genuine.

• (c) an existing cause of action, claim or liability to prosecution is unaffected;

• (ii) shares of or another interest Insertion start or right Insertion end in a body corporate that immediately before the exchange or because of it did not deal with the bank at arm’s length within the meaning of that expression in the Income Tax Act, or

• (ii) shares of or another interest Insertion start or right Insertion end in a body corporate that immediately before the exchange or because of it did not deal with the federal credit union at arm’s length within the meaning of that expression in the Income Tax Act, or

Gift, bequest or legacy

(3) A bank may accept from any shareholder or member a share or membership share, as the case may be, of the bank surrendered to it as a gift, Insertion start bequest or legacy Insertion end , but Insertion start must Insertion end not extinguish or reduce a liability in respect of an amount unpaid on Insertion start the surrendered Insertion end share or membership share except in accordance with section 75.

adverse claim includes a claim that a transfer was or would be wrongful or that a particular adverse person is the owner of or has an interest Insertion start or right Insertion end in a security; (opposition)

purchaser means a person who takes an interest Insertion start or right Insertion end in a security by sale, mortgage, Insertion start hypothec Insertion end , pledge, issue, reissue, gift, Insertion start bequest, legacy Insertion end or any other voluntary transaction; (acquéreur)

• (d) evidence of a share, participation or other interest Insertion start or right Insertion end in or obligation of a bank,

but does not include Insertion start a document Insertion end evidencing a deposit or, in the case of a federal credit union, a membership share; (valeur mobilière ou certificat de valeur mobilière)

• (a) the scrip certificate becomes void Insertion start or, in Quebec, null Insertion end if not exchanged for a share certificate representing a full share before a specified date; and

Minors

94 If a minor exercises any rights of ownership in the securities of a bank, no subsequent repudiation or avoidance Insertion start or, in Quebec, annulment or reduction of the minor’s obligations Insertion end is effective against the bank.

Transmission of securities

96 (1) Subject to the provisions of Part VII and any applicable law relating to the collection of taxes, a person referred to in paragraph 93(2)‍(a) is entitled to become registered as the owner of a security, or to designate another person to be registered as the owner of a security, if the person referred to in paragraph 93(2)‍(a) delivers to the bank or its transfer agent Insertion start the following documents Insertion end , accompanied by any assurance the bank may require under section 127:

• (a)  Insertion start in Insertion end the Insertion start case of a Insertion end grant of probate or of letters of administration Insertion start or, in Quebec, the issuance of letters of verification or of a judgment probating a will, the Insertion end original Insertion start document Insertion end or a copy certified to be a true copy by

  • (i) the court that granted the probate or letters of administration Insertion start or that issued the letters of verification or the judgment probating the will Insertion end ,

  • (ii) a trust company incorporated under the Trust and Loan Companies Act or under the laws of a province, or

  • (iii) a lawyer or notary acting on behalf of the person referred to in paragraph 93(2)‍(a);

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  (b) in the case of a will probated by a notary in Quebec, a certified copy of the minutes of the probate;

• (c) in the case of letters of verification issued by a notary in Quebec, a certified copy of the letters;

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• (d) in the case of a notarial will in Quebec, Insertion start an authentic Insertion end copy Insertion start of the will established in accordance with Insertion end the laws of that province;

• ( Insertion start e Insertion end ) an affidavit or declaration of transmission made by the person referred to in paragraph 93(2)‍(a) that states the particulars of the transmission; and

• ( Insertion start f Insertion end ) the security certificate that was owned by the deceased holder

  • (i) in the case of a transfer to the person referred to in paragraph 93(2)‍(a), with or without the endorsement of that person, and

  • (ii) in the case of a transfer to any other person, endorsed in accordance with section 111.

Excepted transmissions

(2)  Insertion start Despite Insertion end subsection (1), if the laws of the jurisdiction governing the transmission of a security of a deceased holder do not require Insertion start any of the documents mentioned in paragraphs (1)‍(a) to (c) Insertion end in respect of the transmission, a personal representative of the deceased holder is entitled, subject to Part VII and any applicable law relating to the collection of taxes, to become registered as the owner Insertion start of the security Insertion end or to designate a person to be registered as the owner, if the personal representative delivers to the bank or its transfer agent the following documents:

• (b) reasonable proof of the governing laws, of the deceased holder’s interest Insertion start or right Insertion end in the security and of the right of the personal representative or the designated person to become the registered shareholder.

Notice of defect

100 (1) Even against a purchaser for value and without notice of a defect going to the validity of a security, the terms of the security include those stated on the security and those incorporated by reference to another Insertion start document Insertion end , instrument Insertion start or act Insertion end , statute, rule, regulation or order to the extent that the terms so referred to do not conflict with the stated terms, but Insertion start the Insertion end reference is not of itself notice to a purchaser for value of a defect going to the validity of the security, Insertion start even if Insertion end the security expressly states that a person accepting it admits the notice.

Limitation

(3) A purchaser acquires rights only to the extent of the interest Insertion start or right Insertion end purchased.

Warranties of securities broker

(5) A securities broker gives to the broker’s customer, to the issuer and to a purchaser, as the case may be, the warranties provided in subsections (1) to (4) and has the rights and privileges of a purchaser under those subsections, and those warranties of and in favour of the broker acting as an agent Insertion start or mandatary Insertion end are in addition to warranties given by the broker’s customer and warranties given in favour of the broker’s customer.

• e) tout survivant parmi les bénéficiaires d’un Insertion start droit Insertion end de survie nommés sur la valeur mobilière ou l’endossement mentionnés à l’alinéa a);

• (g) to the extent that a person described in any of paragraphs (a) to (f) may act through an agent Insertion start or mandatary Insertion end , the person’s authorized agent Insertion start or mandatary Insertion end .

Effect of fiduciary failing to comply

114 Failure of a fiduciary to comply with a controlling instrument Insertion start or act Insertion end or with the law of the jurisdiction governing the fiduciary relationship, including any law requiring the fiduciary to obtain court approval of a transfer, does not render the fiduciary’s endorsement unauthorized for the purposes of this Part.

Transfer through clearing agency

(4) A transfer or pledge of a security shown in the records of a clearing agency or Insertion start of an Insertion end interest Insertion start or right in such a security Insertion end may, in addition to other methods, be effected by making an appropriate entry in Insertion start those Insertion end records if the security is evidenced by

Interests or rights in fungible bulk

(5) Under subsections (4) to (10), entries may be in respect of Insertion start similar Insertion end securities or interests Insertion start or rights in similar securities Insertion end as part of a fungible bulk and may refer merely to a quantity of a particular security without reference to the name of the registered owner, certificate or bond number or Insertion start any other information Insertion end and, in appropriate cases, may be on a net basis taking into account other transfers or pledges of the same security.

Transfert ou gage équivaut à livraison

(6) Le transfert ou le Insertion start gage Insertion end prévu aux paragraphes (4) à (10) équivaut à la livraison d’une valeur mobilière au porteur ou dûment endossée en blanc et représente soit le montant de l’obligation, soit le nombre d’actions ou de droits transférés ou Insertion start mis en gage Insertion end .

Inscription équivaut à acceptation de livraison

(7) Si le Insertion start gage Insertion end ou la création d’une sûreté est envisagé, l’inscription équivaut à une acceptation de la livraison par le créancier gagiste ou le créancier garanti et ces derniers sont réputés, à toutes fins, en avoir pris possession.

Non-inscription

(9) Le transfert ou le Insertion start gage Insertion end effectué en vertu des paragraphes (4) à (10) ne constitue pas une inscription de transfert au sens des articles 126 à 133.

Résolution d’un transfert

(2) L’acquéreur peut refuser le transfert ou en demander la Insertion start résolution Insertion end si le cédant ne se conforme pas, dans un délai raisonnable, à toute demande faite en vertu du paragraphe (1).

Seizure of security

124 No seizure of a security or other interest Insertion start or right Insertion end evidenced Insertion start by a security Insertion end is effective until the person making the seizure obtains possession of the security.

No liability if good faith disposition

125 An agent or Insertion start mandatary, or a Insertion end bailee Insertion start or depositary Insertion end , who in good faith, including observance of reasonable commercial standards if Insertion start they are Insertion end in the business of buying, selling or otherwise dealing with securities of a bank, has received securities and sold, pledged or delivered them according to the instructions of the principal or Insertion start mandator, or the bailor or depositor Insertion end , is not liable for conversion or for participation in breach of fiduciary duty even though the principal Insertion start or mandator, or the bailor or depositor Insertion end has no right to dispose of the securities.

• (a) if the endorsement is by an agent Insertion start or mandatary Insertion end , reasonable assurance of authority to sign;

• a) dans le cas du représentant nommé judiciairement et Insertion start visé Insertion end au paragraphe 96(1), de la copie certifiée Insertion start de l’ordonnance visée Insertion end à ce paragraphe et Insertion start rendue Insertion end dans les soixante jours Insertion start précédant Insertion end la présentation pour transfert de la valeur mobilière;

• (b) the issuer is provided with an indemnity bond sufficient in the issuer’s judgment to protect the issuer and any registrar, transfer agent or other agent Insertion start or mandatary Insertion end of the issuer from any loss that may be incurred by any of them as a result of complying with the adverse claim.

Rights and obligations

134 An authenticating trustee, registrar, transfer agent or other agent Insertion start or mandatary Insertion end of an issuer has, in respect of the issue, registration of transfer and cancellation of a security of the issuer,

Notice

135 Notice to Insertion start one Insertion end of Insertion start the persons referred to in section 134 Insertion end is notice to the issuer in respect of the functions performed by Insertion start that person Insertion end .

Immunité

(6) La banque ou Insertion start la personne agissant Insertion end en Insertion start son nom Insertion end n’ Insertion start engage Insertion end pas Insertion start sa Insertion end responsabilité en diffusant une proposition ou une déclaration Insertion start conformément aux Insertion end paragraphes (2) et (3).

Immunité

(10) La coopérative de crédit fédérale ou Insertion start la personne agissant en son nom Insertion end n’ Insertion start engage Insertion end pas Insertion start sa Insertion end responsabilité en diffusant une proposition.

• (b) a request to execute or not to execute Insertion start or, in Quebec, to sign or not to sign Insertion end a form of proxy or to revoke a proxy,

Appointing proxyholder

156.‍02 (1) A shareholder who is entitled to vote at a meeting of shareholders may, by executing Insertion start or, in Quebec, signing Insertion end a form of proxy, appoint a proxyholder or one or more alternate proxyholders, who are not required to be shareholders, to attend and act at the meeting in the manner and to the extent authorized by the proxy and with the authority conferred by the proxy.

Execution or signature of proxy

(2) A form of proxy Insertion start is to Insertion end be executed Insertion start or, in Quebec, signed Insertion end by a shareholder or by a shareholder’s attorney authorized in writing to do so.

Required information

(4) A form of proxy must indicate, in Insertion start boldface Insertion end type, that the shareholder by whom or on whose behalf it is executed Insertion start or, in Quebec, signed Insertion end may appoint a proxyholder, other than a person designated in the form of proxy, to attend and act on the shareholder’s behalf at a meeting to which the proxy relates, and must contain instructions as to the manner in which the shareholder may do so.

• (a) by depositing an instrument Insertion start or act Insertion end in writing executed Insertion start or, in Quebec, signed Insertion end by the shareholder or by the shareholder’s attorney authorized in writing to do so

Deposit of proxies

156.‍03 The directors may specify, in a notice calling a meeting of shareholders or a continuation of a meeting of shareholders after an adjournment, a time before which Insertion start proxies Insertion end to be used at the meeting or the continued meeting must be deposited with the bank or its transfer agent. The time specified Insertion start must Insertion end not be more than 48 hours, excluding Saturdays and holidays, before the meeting or the continued meeting.

Attendance at meeting

156.‍06 (1) A person who solicits a proxy and is appointed proxyholder Insertion start must Insertion end attend in person or cause an alternate proxyholder to attend the meeting in respect of which the proxy is valid, and the proxyholder or alternate proxyholder Insertion start must Insertion end comply with the directions of the shareholder who Insertion start appointed them Insertion end .

Exemplaires

(4) Le sollicitant ou la personne Insertion start agissant en son nom Insertion end fournit dans les meilleurs délais et à ses propres frais à l’intermédiaire, sur demande, le nombre nécessaire d’exemplaires des documents visés à l’alinéa (1)a).

Cessation d’application du paragraphe (9)

(10) Le paragraphe (9) cesse de s’appliquer s’il y a eu Insertion start disposition Insertion end des actions ayant donné lieu à l’arrêté.

• (f.‍1) a person who is Insertion start a Insertion end director, an officer, Insertion start an Insertion end employee or Insertion start an Insertion end agent Insertion start or mandatary Insertion end of — or any other person acting on behalf of — an eligible agent Insertion start as defined in Insertion end subsection 370(1);

• (i) a person who is an agent or Insertion start mandatary or an Insertion end employee of the government of a foreign country or any political subdivision Insertion start of a foreign country Insertion end ; and

Immunité

(3) La banque ou Insertion start la personne agissant en son nom Insertion end n’ Insertion start engage Insertion end pas Insertion start sa Insertion end responsabilité en diffusant, conformément aux paragraphes (1) ou (2), la déclaration faite par un administrateur.

Maintien des droits

192.‍09 Les modifications des lettres patentes ou des règlements administratifs ne portent pas atteinte aux causes d’actions Insertion start ou aux réclamations Insertion end déjà nées pouvant engager la coopérative de crédit fédérale, ses administrateurs ou ses dirigeants, Insertion start ni aux possibilités de poursuite pour infraction Insertion end , ni aux procédures civiles, pénales ou administratives auxquelles ils sont parties.

• (b) there were in the by-law a covenant under seal, Insertion start or, in Quebec, a formal undertaking Insertion end , on the part of each member, and the successors and assigns of the member, to conform to the by-law.

• (a) relates primarily to their remuneration as a director, Insertion start an Insertion end officer, Insertion start an Insertion end employee or Insertion start an Insertion end agent Insertion start or mandatary Insertion end of the bank, an entity controlled by the bank or an entity in which the bank has a substantial investment;

Subrogation of director

(5)  Insertion start When Insertion end a director of a bank pays a debt referred to in subsection (1) that is proven in liquidation and dissolution or winding-up proceedings, the director is entitled to any preference that the employee would have been entitled to and, Insertion start if Insertion end a judgment has been obtained, the director is

• Start of inserted block

  (a) in Quebec, subrogated to the employee’s rights as declared in the judgment; and

  End of inserted block

• ( Insertion start b Insertion end )  Insertion start elsewhere in Canada Insertion end , entitled to an assignment of the judgment.

Maintien des droits

222 Les modifications de l’acte constitutif ou des règlements administratifs ne portent pas atteinte aux causes d’actions Insertion start ou aux réclamations Insertion end déjà nées pouvant engager la banque, ses administrateurs ou ses dirigeants, Insertion start ni aux possibilités de poursuite pour infraction Insertion end , ni aux procédures civiles, pénales ou administratives auxquelles ils sont parties.

Court enforcement

229.‍1 (1) If a bank or any director, Insertion start any Insertion end officer, Insertion start any Insertion end employee or Insertion start any Insertion end agent Insertion start or mandatary Insertion end of a bank is contravening or has failed to comply with any term or condition made in respect of the issuance of letters patent of amalgamation, the Minister may, in addition to any other action that may be taken under this Act, apply to a court for an order directing the bank or the director, Insertion start the Insertion end officer, Insertion start the Insertion end employee or Insertion start the Insertion end agent Insertion start or mandatary Insertion end to comply with the term or condition, cease the contravention or do any thing that is required to be done, and on the application the court may so order and make any other order it thinks fit.

• d) aucune atteinte n’est portée aux causes d’actions Insertion start ou aux réclamations Insertion end déjà nées, Insertion start ni aux possibilités de poursuite pour infraction Insertion end ;

Supplemental lists

(5) A person requiring a bank to supply a basic list may, if the person states in the accompanying affidavit that supplemental lists are required, request the bank or its agent Insertion start or mandatary Insertion end , on payment of a reasonable fee, to provide supplemental lists of shareholders or members setting out any changes from the basic list in the names and addresses of the shareholders or members, as the case may be, and the number of shares owned by each shareholder, or the number of membership shares owned by each member, as the case may be, for each business day following the date to which the basic list is made up.

When supplemental lists to be furnished

(6) A bank or its agent Insertion start or mandatary must Insertion end provide a supplemental list of shareholders required under subsection (5)

Protection of records

244 A bank and its agents Insertion start or mandataries must Insertion end take reasonable precautions to

Supplementary information

(6) A person who wishes to examine Insertion start the Insertion end central securities register, take extracts from it or have copies of it made may, on payment of a reasonable fee, if they state in the accompanying affidavit that supplementary information is required, request the bank or its agent Insertion start or mandatary Insertion end to provide supplementary information setting out any changes made to the register.

When supplementary information to be provided

(7) A bank or its agent Insertion start or mandatary must Insertion end provide the supplementary information within

Agent or mandatary

250 A bank may appoint an agent Insertion start or mandatary Insertion end to maintain its central securities register and each of its branch securities registers.

Destruction of certificates

254 A bank, its agent Insertion start or mandatary Insertion end or a trustee Insertion start as defined in Insertion end section 294 is not required to produce

Supplementary information

(6) A person who wishes to examine Insertion start the Insertion end members register, take extracts from it or have copies of it made may, on payment of a reasonable fee, if they state in the accompanying affidavit that supplementary information is required, request the federal credit union or its agent Insertion start or mandatary Insertion end to provide supplementary information setting out any changes made to the register.

When supplementary information to be provided

(7) A federal credit union or its agent Insertion start or mandatary Insertion end must provide the supplementary information within

Agent or mandatary

254.‍3 A federal credit union may appoint an agent Insertion start or mandatary Insertion end to maintain its members register and each of its branch members registers.

Cancelled membership share certificate

254.‍6 A federal credit union, its agent Insertion start or mandatary Insertion end or a trustee Insertion start as defined in Insertion end section 294 is not required to produce a cancelled membership share certificate in registered form after six years from the day on which it is cancelled.

Validity of unsealed documents

(2) A document executed Insertion start or, in Quebec, signed Insertion end on behalf of a bank is not invalid merely because a corporate seal is not affixed to it.

option d’achat Option négociable par livraison qui permet d’exiger Insertion start que soit livré Insertion end un nombre précis d’actions à un prix et dans un délai déterminés. Est exclu de la présente définition l’option ou le droit d’acquérir des actions de la personne morale qui l’accorde.‍ (call)

option de vente Option négociable par Insertion start livraison Insertion end qui permet de livrer un nombre précis d’actions à un prix et dans un délai déterminés.‍ (put)

• (c) a trust or Insertion start an Insertion end estate Insertion start or succession Insertion end in which the person has a substantial beneficial interest or in respect of which they serve as a trustee, Insertion start an executor or administrator of the estate Insertion end or a liquidator of the succession or in a similar capacity;

• a) tous les actionnaires opposants dont la banque n’a pas acheté les actions sont Insertion start joints comme parties à l’instance Insertion end et sont liés par la décision du tribunal;

Pouvoirs du tribunal

(19) Sur demande présentée en vertu des paragraphes (14) ou (15), le tribunal peut décider qu’il existe d’autres actionnaires opposants à Insertion start joindre comme parties à l’instance Insertion end et doit Insertion start alors Insertion end fixer la juste valeur des actions en question.

• (c) a trust or Insertion start an Insertion end estate Insertion start or succession Insertion end in which the offeror has a substantial beneficial interest or in respect of which they serve as a trustee, Insertion start an executor or administrator of the estate Insertion end or a liquidator of the succession or in a similar capacity,

offeror means a person, other than an agent Insertion start or mandatary Insertion end , who makes a take-over bid, and includes two or more persons who, directly or indirectly,

• a) tous les pollicités opposants qui ont choisi d’exiger le paiement de la juste valeur de leurs actions en conformité avec l’alinéa 286b) et dont les actions n’ont pas été acquises par le pollicitant sont Insertion start joints comme parties à l’instance Insertion end et Insertion start sont Insertion end liés par la décision du tribunal;

Pouvoirs du tribunal

291 (1) Avant de fixer la juste valeur des actions de tous les pollicités opposants, le tribunal peut, sur demande présentée conformément aux paragraphes 289(1) ou (2), décider s’il existe d’autres pollicités opposants à Insertion start joindre comme parties à l’instance Insertion end .

• b) faire détenir en fiducie Insertion start ou en fidéicommis Insertion end le montant en numéraire ou toute autre contrepartie par une personne autre que la banque pollicitée;

trust indenture means any deed, indenture or other instrument Insertion start or act Insertion end , including any supplement or amendment made Insertion start to it Insertion end by a bank, under which the bank issues subordinated indebtedness and in which a person is appointed as trustee for the holders of Insertion start that Insertion end subordinated indebtedness.‍ (acte de fiducie)

• (iii) has been a liquidator, trustee in bankruptcy, receiver, receiver and manager or Insertion start sequestrator Insertion end of any affiliate of the bank within the two years immediately preceding the firm’s proposed appointment as auditor of the bank, other than an affiliate that is a subsidiary of the bank acquired Insertion start under Insertion end section 472 or through a realization of security Insertion start under Insertion end section 473.

Right to information

324 (1) On the request of the auditor or auditors of a bank, the present or former directors, officers, employees or agents Insertion start or mandataries Insertion end of the bank Insertion start must Insertion end , to the extent that Insertion start they Insertion end are reasonably able to do so,

• (a) permit access to Insertion start any Insertion end records, assets and security held by the bank or any entity in which the bank has a substantial investment Insertion start that are, in the auditor’s or auditors’ opinion, necessary to enable Insertion end the auditor or auditors Insertion start to perform their duties Insertion end ; and

• (b) provide Insertion start any Insertion end information and explanations Insertion start that Insertion end are, in the Insertion start auditor’s or auditors’ Insertion end opinion, necessary to enable the auditor or auditors to perform Insertion start their Insertion end duties.

• (a) obtain from the present or former directors, officers, employees and agents Insertion start or mandataries Insertion end of any entity in which the bank has a substantial investment the information and explanations that Insertion start those Insertion end persons are reasonably able to provide and that are, in the Insertion start auditor’s or auditors’ Insertion end opinion, necessary to enable the auditor or auditors to perform Insertion start their Insertion end duties; and

Court approval to discontinue

(2) An application made or an action brought or intervened in under subsection 334(1) or section 338 Insertion start must Insertion end not be stayed, discontinued, settled or dismissed for want of prosecution Insertion start or, in Quebec, failure to act within a time limit set under the applicable rules of civil procedure Insertion end , without the approval of the court given on Insertion start any Insertion end terms Insertion start that Insertion end the court thinks fit and, if the court determines that the interests Insertion start or rights Insertion end of any complainant might be substantially affected by any stay, discontinuance, settlement or dismissal, the court may order any party to the application or action to give notice to the complainant.

• b) nommer un liquidateur en exigeant ou non Insertion start une garantie Insertion end , fixer sa rémunération et le remplacer;

• d) ouvrir un compte Insertion start en Insertion end fiducie Insertion start ou en fidéicommis Insertion end pour les fonds reçus dans le cadre de la liquidation de la banque;

• (e) do all acts and execute Insertion start or, in Quebec, sign Insertion end documents in the name and on behalf of the bank;

Notification of final accounts

(3) A liquidator must give notice of their intention to make an application under subsection (1) to the Superintendent, to each inspector appointed under section 349, to each shareholder of the bank or, if there are no shareholders, to each incorporator and to any person who provided a security or Insertion start a Insertion end fidelity bond Insertion start or fidelity insurance Insertion end for the liquidation. If the bank is a federal credit union, the liquidator must also give the notice to each member of the federal credit union.

• a) de Insertion start joindre comme partie à l’instance Insertion end chaque ancien actionnaire, ancien membre ou fondateur retrouvé par le demandeur;

agent means

• (a) in relation to Insertion start His Insertion end Majesty in right of Canada or of a province, Insertion start an agent of His Majesty in right of Canada or an Insertion end agent Insertion start or mandatary Insertion end of Insertion start His Insertion end Majesty in Insertion start right of a province Insertion end , and includes a municipal or public body empowered to perform a function of government in Canada or any entity empowered to perform a function or duty on behalf of Insertion start His Insertion end Majesty in either of those rights, but does not include

  • (i) an official or entity performing a function or duty in connection with the administration or management of the estate Insertion start or succession Insertion end or property of a natural person,

• (iii) the trustee of any trust for the administration of a fund to which Insertion start His Insertion end Majesty in either of those rights contributes and of which an official or entity that is an agent of Insertion start His Insertion end Majesty in Insertion start right of Canada or an agent or mandatary of His Majesty in right Insertion end of Insertion start a province Insertion end is a trustee, and

• (b) in relation to the government of a foreign country or any political subdivision Insertion start of a foreign country Insertion end , a person empowered to perform a function or duty on behalf of the government of the foreign country or political subdivision, other than a function or duty in connection with the administration or management of the estate Insertion start or succession Insertion end or property of a natural person. (mandataire)

• (a) has control of or has a substantial investment in an entity that engages in Canada in any personal property Insertion start or movable Insertion end leasing activity that a financial leasing entity as defined in subsection 464(1) is prohibited from engaging in; or

• (b) engages in Canada in any personal property Insertion start or movable Insertion end leasing activity that a financial leasing entity as defined in subsection 464(1) is prohibited from engaging in.

• (a) control or have a substantial investment in an entity that engages in Canada in any personal property Insertion start or movable Insertion end leasing activity that a financial leasing entity as defined in subsection 464(1) is prohibited from engaging in; or

• (b) engage in Canada in any personal property Insertion start or movable Insertion end leasing activity that a financial leasing entity as defined in subsection 464(1) is prohibited from engaging in.

• a) il y a eu Insertion start disposition Insertion end des actions ou des parts sociales ayant donné lieu à la contravention;

Reliance on information

406 A bank and any person who is a director, an officer, Insertion start an Insertion end employee or Insertion start an Insertion end agent or Insertion start mandatary Insertion end of the bank may rely on any information contained in a declaration required by the directors Insertion start under Insertion end section 405 or on any information otherwise acquired in respect of any matter that might be the subject of a declaration Insertion start under section 405 Insertion end , and no action lies against the bank or Insertion start the Insertion end person for anything done or omitted to be done in good faith in reliance on Insertion start the Insertion end information.

• (a) act as agent Insertion start or mandatary Insertion end for any person in respect of the provision of any service that is provided by a financial institution, a permitted entity as defined in subsection 464(1) or a prescribed entity and enter into an arrangement with any person in respect of the provision of that service; or

• (a) the name of the Insertion start person Insertion end for whom a bank is acting as agent Insertion start or mandatary under Insertion end subsection (1); and

• (b) whether any commission is being earned by a bank when acting as agent Insertion start or mandatary under Insertion end subsection (1).

Prohibited activities

412  Insertion start It is prohibited for a Insertion end bank Insertion start to Insertion end act in Canada

• (a) as an executor or administrator Insertion start of an estate Insertion end or Insertion start liquidator of a succession Insertion end ;

• (b)  Insertion start as Insertion end a trustee for a trust;

• ( Insertion start c Insertion end )  Insertion start as Insertion end a guardian, committee, tutor, curator or adviser of Insertion start an incapable Insertion end person; or

• Start of inserted block

  (d) in any capacity similar to the capacities mentioned in paragraph (c).

  End of inserted block

Deposits less than $150,000

413.‍2 (1) Subject to the regulations, a bank referred to in paragraph 413(1)‍(b) or (c) Insertion start must Insertion end not, in respect of its business in Canada, act as agent Insertion start or mandatary Insertion end for any person in the taking of a deposit that is less than $150,000 and payable in Canada.

Regulations

(3) The Governor in Council may make regulations respecting the circumstances in which, and the conditions under which, a bank referred to in subsection (1) may act as agent Insertion start or mandatary Insertion end for any person in the taking of a deposit that is less than $150,000 and payable in Canada.

Restriction on leasing

417 A bank Insertion start must Insertion end not engage in Canada in any personal property Insertion start or movable Insertion end leasing activity in which a financial leasing entity, as defined in subsection 464(1), is not permitted to engage.

Restriction on mortgages or hypothecs

418 (1) A bank Insertion start must Insertion end not make a loan in Canada on the security of residential property in Canada for the purpose of purchasing, renovating or improving that Insertion start residential Insertion end property, or refinance a loan Insertion start for that purpose Insertion end , if the amount of the loan, together with the amount outstanding of any mortgage Insertion start or hypothec of Insertion end equal or Insertion start higher rank on Insertion end the Insertion start residential Insertion end property, would exceed 80% of the value of the Insertion start residential Insertion end property at the time of the loan.

• (a) a loan made or guaranteed under the National Housing Act or any other Act of Parliament by or Insertion start under Insertion end which a different limit on the value of Insertion start residential Insertion end property on the security of which the bank may make a loan is established;

• (d) a loan secured by a mortgage Insertion start or hypothec if Insertion end

  • (i) the mortgage Insertion start or hypothec Insertion end is taken back by the bank on a property disposed of by the bank, including Insertion start when Insertion end the disposition is by way of a realization of a security interest, and

  • (ii) the mortgage Insertion start or hypothec Insertion end secures payment of an amount payable to the bank for the property.

Restriction on receivers or sequestrators

420 A bank Insertion start must Insertion end not grant to a person the right to appoint a receiver, receiver and manager or Insertion start sequestrator Insertion end of the property or business of the bank.

bateau de pêche Navire ou vaisseau ou tout autre genre de bateau destiné à la pêche, ainsi que les engins, appareils et dispositifs destinés à l’armement du bateau et en faisant partie, ou toute part ou tout Insertion start intérêt Insertion end partiel dans celui-ci.‍ (fishing vessel)

• (a) any receipt given by any person for goods, wares and merchandise in the person’s actual, visible and continued possession as Insertion start a Insertion end bailee Insertion start or depositary Insertion end in good faith and not as Insertion start an Insertion end owner,

• (b) receipts given by any person who is the owner or keeper of a harbour, cove, pond, wharf, yard, warehouse, shed, storehouse or other place for the storage of goods, wares and merchandise, for goods, wares and merchandise delivered to the person as Insertion start a Insertion end bailee Insertion start or depositary Insertion end , and actually in the place or in one or more of the places owned or kept by the person, whether or not that person is engaged in other business,

• (e) receipts given by any person for any hydrocarbons received by the person as Insertion start a Insertion end bailee Insertion start or depositary Insertion end , whether the person’s obligation to restore requires delivery of the same hydrocarbons or may be satisfied by delivery of Insertion start the same Insertion end quantity of hydrocarbons of the same or a similar grade or kind. (récépissé d’entrepôt)

Prêts sur hydrocarbures et substances minérales

426 (1) La banque peut consentir des prêts ou des avances garantis soit par un ou plusieurs des biens Insertion start ci-après Insertion end , soit par des droits Insertion start ou intérêts Insertion end relatifs à l’un de ces biens, que la garantie ait été fournie par l’emprunteur, une caution ou une tierce personne :

• (c) the entire or partial estate or interest of any person, Insertion start or the right or share of a right of any person, including an immovable real right Insertion end , in or to Insertion start those Insertion end hydrocarbons or minerals, rights, licences, permits and lands, and

Security

(2) Security under this section may be given by signature and delivery to the bank, by or on behalf of the person giving the security, of an instrument Insertion start or act Insertion end in the prescribed form or in a form Insertion start of similar Insertion end effect, and Insertion start affects Insertion end the property described in the instrument Insertion start or act Insertion end giving the security

• (a) of which the person giving the security is the owner at the time of the delivery of the instrument Insertion start or act Insertion end , or

• (b) of which that person becomes the owner at any time Insertion start after the delivery of the instrument or act and Insertion end before the release, Insertion start discharge or cancellation Insertion end of the security by the bank, whether or not the property is in existence at the time of the delivery,

Rights under security

(3) Any security given under this section vests in the bank, in addition to and without limitation of any other rights or powers vested in or conferred on it, full power, right and authority, through its officers, Insertion start its Insertion end employees or Insertion start its Insertion end agents Insertion start or mandataries Insertion end , in the event of

tous les pouvoirs — en sus et sans préjudice des autres pouvoirs qui lui sont dévolus — pour prendre, à sa convenance, toutes les mesures Insertion start ci-après Insertion end ou certaines d’entre elles, Insertion start à Insertion end savoir : prendre possession de la totalité ou d’une partie des biens affectés à la garantie ou les saisir, les prendre en charge, en assurer l’entretien, les utiliser, les exploiter et, sous réserve de toute autre loi qui en régit la propriété et Insertion start la disposition Insertion end et de ses règlements, les vendre selon qu’elle le juge à propos.

Priority of bank’s rights

(7) Subject to subsections (8), (9) and (10), all the rights and powers of a bank in respect of the property covered by security given under this section have priority over all Insertion start interests or Insertion end rights subsequently acquired in, on or in respect of the property and over the claim of any holder of a mechanics’ lien Insertion start or construction legal hypothec Insertion end , of any unpaid vendor of equipment or casing or of any person who had a security interest in that property that was unperfected at the time the bank acquired its security in the property.

Exception

(7.‍1) The priority referred to in subsection (7) does not extend over the claim of any unpaid vendor who had a lien on, Insertion start or, in Quebec, a prior claim or a right of retention with respect to Insertion end , the equipment or casing, or of any person who has a security interest in the property that was unperfected at the time the bank acquired its security in the property, if the bank acquired its security with knowledge of that lien, Insertion start that prior claim, that right of retention Insertion end or that security interest.

Priorité des droits de la banque

(8) Les droits et pouvoirs de la banque concernant les biens visés par une garantie donnée conformément au présent article ne priment pas les droits Insertion start ou intérêts Insertion end acquis sur ces biens, sauf si :

• a) avant l’enregistrement de ces droits Insertion start ou intérêts Insertion end ,

• (b) the registration or filing of the deed or other instrument Insertion start or act Insertion end evidencing Insertion start the Insertion end interest or right, or of a caution, caveat or memorial in respect Insertion start of it Insertion end ,

• (c) an original of the instrument Insertion start or act Insertion end giving the security,

• (d) a copy of the instrument Insertion start or act Insertion end giving the security, certified by an officer or employee of the bank to be a true copy, or

Exception

(10) Les paragraphes (8) et (9) ne Insertion start s’appliquent Insertion end pas si la loi provinciale en cause ne permet pas l’enregistrement ou le dépôt du document présenté ou si les lois fédérales régissant la propriété et Insertion start la disposition Insertion end du bien qui fait l’objet d’une garantie donnée en vertu du présent article ne prévoient pas, par un renvoi exprès au présent article, l’enregistrement ou le dépôt du document présenté.

• (b) of which that person becomes the owner at any time Insertion start after the delivery of the document and Insertion end before the release, Insertion start discharge or cancellation Insertion end of the security by the bank, whether or not the property is in existence at the time of the delivery,

• a first and preferential lien and claim Insertion start on the property Insertion end for the sum secured and interest, and Insertion start in the case of Insertion end a crop before Insertion start and Insertion end after the severance from the soil, harvesting or threshing Insertion start of the crop Insertion end , and, in addition, the same rights and powers in respect of the property as if the bank had acquired a warehouse receipt or bill of lading in which the property was described, and all rights and powers of the bank subsist Insertion start even if Insertion end the property is affixed to real property Insertion start or immovables Insertion end and Insertion start even if Insertion end the person giving the security is not the owner of Insertion start the Insertion end real property Insertion start or immovables Insertion end ,

Power of bank to take possession, etc.

(3)  Insertion start If Insertion end security on any property is given to a bank under any of paragraphs (1)‍(c) to (p), the bank, in addition to and without limitation of any other rights or powers vested in or conferred on it, has full power, right and authority, through its officers, Insertion start its Insertion end employees or Insertion start its Insertion end agents Insertion start or mandataries Insertion end , in the case of

• e) tentative, sans le consentement de la banque, de Insertion start disposition des Insertion end biens affectés à la garantie,

to take possession of or seize the property covered by the security, and in the case of aquacultural stock growing or produced in the aquaculture operation or a crop growing or produced on the farm, to care for it and, Insertion start if Insertion end applicable, Insertion start to Insertion end harvest it or thresh the grain Insertion start from it Insertion end , and in the case of livestock or aquatic plants and animals, to care for them, and has the right and authority to enter on any land, premises or site whenever necessary for any Insertion start of those purposes Insertion end and to detach and remove Insertion start the Insertion end property Insertion start covered by the security Insertion end , exclusive of wiring, conduits or piping incorporated in a building, from any real property Insertion start or immovable Insertion end to which it is affixed.

• (a) the rights and powers of the bank in respect of property covered by the security are void as against or, Insertion start in Quebec, may not be set up against Insertion end , creditors of the person giving the security and Insertion start persons who, subsequently and Insertion end in good faith, Insertion start purchase, or take a mortgage or hypothec on Insertion end , the property covered by the security unless a notice of intention signed by or on behalf of the person giving the security was registered in the appropriate agency not more than three years immediately before the security was given;

Priority of bank’s rights

428 (1) All the rights and powers of a bank in respect of the property mentioned in or covered by a warehouse receipt or bill of lading acquired and held by the bank, and the rights and powers of the bank in respect of the property covered by security given to the bank under section 427 that are the same as if the bank had acquired a warehouse receipt or bill of lading in which that property was described, have, subject to subsection 427(4) and subsections (3) to (6) of this section, priority over all Insertion start interests or Insertion end rights subsequently acquired in, on or in respect of that property, and over the claim of any unpaid vendor or of any person who has a security interest in that property that was unperfected at the time the bank acquired its security in the property.

Exception

(2) The priority referred to in subsection (1) does not extend over the claim of any unpaid vendor who had a lien on, Insertion start or, in Quebec, a prior claim or a right of retention with respect to Insertion end , the property, or of any person who has a security interest in the property that was unperfected at the time the bank acquired its warehouse receipt, bill of lading or security, if the bank acquired it with knowledge of that lien, Insertion start that prior claim, that right of retention Insertion end or that security interest.

Registration required

(3)  Insertion start If Insertion end security has been given to a bank Insertion start on property Insertion end under paragraph 427(1)‍(c) or (m) consisting of aquacultural equipment, under paragraph 427(1)‍(d) or (n) consisting of agricultural equipment, under paragraph 427(1)‍(k) consisting of aquacultural equipment or an aquacultural electric system, under paragraph 427(1)‍(l) consisting of agricultural equipment or a farm electric system or under paragraph 427(1)‍(p) consisting of forestry equipment that is or has become affixed to real property or Insertion start an immovable Insertion end , the rights and powers of the bank do not have priority over any interest or right acquired in, on or in respect of the real property Insertion start or immovable Insertion end after that property has become affixed Insertion start to it Insertion end , unless, prior to

• a) l’enregistrement de ces droits Insertion start ou intérêts Insertion end ,

• (b) the registration or filing of the deed or other instrument Insertion start or act Insertion end evidencing the interest or right, or of a caution, caveat or memorial in respect Insertion start of the interest or right Insertion end ,

Procedure for registering

(4) Every registrar or officer in charge of the proper land registry or land titles office to whom a document mentioned in paragraph (3)‍(c), (d) or (e) is tendered Insertion start must Insertion end register or file the document according to the ordinary procedure for registering or filing within that office documents that evidence liens or charges against, or cautions, caveats or memorials in respect of claims to, interests Insertion start in Insertion end or rights in respect of, real property Insertion start or immovables Insertion end and subject to payment of the Insertion start applicable Insertion end fees, but subsection (3) and this subsection do not apply if provincial law does not permit Insertion start the Insertion end registration or filing of the tendered document.

• and the proceeds of Insertion start the Insertion end sale of livestock, after deducting all expenses incurred by the bank and all expenses of seizure and sale, Insertion start must Insertion end be first applied to satisfy liens or pledges Insertion start or movable hypothecs Insertion end having priority over the security given to the bank and for which claims have been filed with the person making the sale, and the balance Insertion start must Insertion end be applied in payment of the debt, liability, loan or advance, with interest and the surplus, if any, returned to the person by whom the security was given.

Loans to receiver, liquidator, etc.

430 A bank may lend money and make advances to a receiver, receiver and manager Insertion start or sequestrator Insertion end , a liquidator appointed under any winding-up Act, or a custodian, interim receiver or trustee under the Bankruptcy and Insolvency Act, if Insertion start they have Insertion end been duly authorized to borrow, and, in making the loan or advance and at any Insertion start subsequent time Insertion end the bank may take security from Insertion start them Insertion end , with or without personal liability, Insertion start up Insertion end to Insertion start the Insertion end amount and on Insertion start the Insertion end property Insertion start that Insertion end may be directed or authorized by any court of competent jurisdiction.

Rights in respect of property

432 The rights, powers and privileges that a bank is by this Act declared to have, or to have had, in respect of real property or Insertion start immovables Insertion end on which it has taken security, Insertion start are Insertion end held and possessed by it in respect of any personal property or Insertion start movables Insertion end on which it has taken security.

• (b) by a mortgagee Insertion start or hypothecary creditor Insertion end or other encumbrancer, having priority over a mortgage Insertion start or hypothec Insertion end or other encumbrance held by the bank, or

• (c) by the bank under a power of sale given to it for that purpose, notice of the sale by auction to the highest bidder having been first given by advertisement for four weeks in a newspaper published in the county or electoral district in which the Insertion start real Insertion end property Insertion start or immovable Insertion end is situated,

in cases in which, under similar circumstances, an individual could Insertion start do Insertion end , without any restriction as to Insertion start its Insertion end value, and may acquire Insertion start it Insertion end as any individual, purchasing at a sheriff’s sale or sale for taxes or under a power of sale, in like circumstances could do, and may take, have, hold and dispose of Insertion start it Insertion end .

Real property or immovable

434 (1) A bank may acquire and hold an absolute title in or to real property Insertion start or ownership of an immovable Insertion end affected by a mortgage or hypothec securing a loan or an advance made by the bank or a debt or liability to the bank, by obtaining a release of the equity of redemption in the mortgaged property, procuring a foreclosure Insertion start or taking the immovable in payment Insertion end , or by other means Insertion start by which Insertion end , as between individuals, an equity of redemption can, by law, be barred, or a transfer of title to real property or Insertion start ownership of an immovable Insertion end can, by law, be effected, and may purchase and acquire any prior mortgage, Insertion start hypothec Insertion end or charge on Insertion start the real Insertion end property Insertion start or immovable Insertion end .

No act or law to prevent

(2) Nothing in any charter, Act or law Insertion start is to Insertion end be construed as ever having been intended to prevent or as preventing a bank from acquiring and holding an absolute title to and in any mortgaged real property or Insertion start ownership of Insertion end any hypothecated Insertion start immovable Insertion end , whatever Insertion start its Insertion end value, or from exercising or acting on any power of sale contained in any mortgage Insertion start or hypothec Insertion end given to or held by the bank authorizing or enabling it to sell or convey Insertion start the Insertion end mortgaged Insertion start real Insertion end property Insertion start or hypothecated immovable Insertion end .

Application du paragraphe (3)

(4) Le paragraphe (3) s’applique que la fiducie soit Insertion start expresse Insertion end ou Insertion start par effet de la loi Insertion end et même si la banque en a été avisée si elle agit sur l’ordre ou sous l’autorité du ou des titulaires du compte dans lequel le dépôt est effectué.

Transmission in case of death

460 (1)  Insertion start If Insertion end the transmission of a debt owing by a bank by reason of a deposit, of property held by a bank as security or for Insertion start safekeeping Insertion end or of rights with respect to a safety deposit box and property deposited Insertion start in it Insertion end takes place because of the death of a person, the delivery to the bank of Insertion start the following Insertion end is sufficient justification and authority for giving effect to the transmission:

• (a) an affidavit or declaration in writing Insertion start that is Insertion end in Insertion start a Insertion end form satisfactory to the bank, Insertion start that is Insertion end signed by or on behalf of a person claiming by virtue of the transmission Insertion start and that states Insertion end the nature and effect of the transmission; and

• (b) one of the following documents:

  • (i)  Insertion start if Insertion end the claim is based on a will or other testamentary instrument, on a grant of probate Insertion start of a will or other testamentary instrument with Insertion end or Insertion start without Insertion end letters testamentary or other document of Insertion start similar Insertion end import, on a grant of letters of administration or other document of Insertion start similar Insertion end import, on a Insertion start judgment probating a will Insertion end or Insertion start other document of similar import, on letters of verification or other document of similar import Insertion end , or on Insertion start a certified copy of the notarial minutes of probate of a will Insertion end or Insertion start other document of similar import Insertion end , purporting to be issued by any court or authority in Canada or elsewhere, an authenticated copy or certificate Insertion start of the document Insertion end under the seal of the court or authority without proof of the authenticity of the seal or other proof, or

  • (ii)  Insertion start if Insertion end the claim is based on a notarial will, an Insertion start authentic Insertion end copy Insertion start of the notarial will Insertion end .

• (c)  Insertion start a document Insertion end purporting to assign, perfect or otherwise dispose of an interest Insertion start or right Insertion end in the property or the deposit account; or

enforcement notice means a garnishee summons or other Insertion start document Insertion end issued under the laws of a province for the enforcement of Insertion start a Insertion end support order or support provision. (avis d’exécution)

loan includes an acceptance, endorsement or other guarantee, a deposit, a financial lease, a conditional Insertion start sale Insertion end contract, Insertion start an instalment sale contract Insertion end , a repurchase agreement and any other similar arrangement for obtaining funds or credit, but does not include investments in securities.‍ (prêt ou emprunt)

financial leasing entity means an entity Insertion start whose Insertion end activities are limited to the financial leasing of personal property Insertion start or movables Insertion end and prescribed related activities and conform to Insertion start any Insertion end prescribed restrictions and limitations, and that, in conducting Insertion start those Insertion end activities in Canada, does not

• (a) direct its customers or potential customers to particular dealers in the Insertion start personal Insertion end property or Insertion start movables that are Insertion end leased Insertion start or are Insertion end to be leased;

• (a) acting as an agent Insertion start or provider of brokerage services Insertion end for vendors, purchasers, mortgagors, mortgagees, Insertion start hypothecary debtors, hypothecary creditors Insertion end , lessors or lessees Insertion start in respect Insertion end of real property Insertion start or immovables Insertion end ; and

• (b) the provision of consulting or appraisal services in respect of real property Insertion start or immovables Insertion end . (courtier immobilier)

• b) ses titres autorisent leurs détenteurs à recevoir, sur demande ou dans le délai spécifié après la demande, un montant calculé sur la base d’ Insertion start une participation proportionnelle Insertion end à tout ou partie des capitaux propres de l’émetteur, y compris tout fonds distinct ou compte en fiducie Insertion start ou en fidéicommis Insertion end . (mutual fund entity)

• (b) enter into lease agreements with persons in respect of any motor vehicle having a gross vehicle weight, as that expression is defined Insertion start in Insertion end the regulations, of less than 21 tonnes; or

• ( Insertion start c Insertion end ) enter into lease agreements with natural persons in respect of personal household property, as that expression is defined Insertion start in Insertion end the regulations. (entité s’occupant de crédit-bail)

• (a) the holding of a security interest in Insertion start any Insertion end real property Insertion start or immovable Insertion end , unless the security interest is prescribed under paragraph 479(a) to be an interest in real property; or

• (c) an entity that is primarily engaged in providing temporary possession of personal property Insertion start or movables Insertion end , including motor vehicles, to customers in Canada for a purpose other than to finance the customers’ acquisition of the Insertion start personal Insertion end property Insertion start or movables Insertion end ;

Exception

(3.‍1) Malgré l’alinéa (3)a), la banque peut acquérir le contrôle d’une entité qui exerce des activités de fiduciaire Insertion start d’une fiducie Insertion end ou acquérir ou augmenter un intérêt de groupe financier dans une telle entité si les lois provinciales applicables permettent à l’entité d’exercer de telles activités et que les conditions suivantes sont réunies :

Insertion start Interests in Insertion end Real Property

Limit

476 A bank Insertion start must Insertion end not, and Insertion start must Insertion end not permit its prescribed subsidiaries to, purchase or otherwise acquire an interest in real property or make an improvement to any real property Insertion start or immovable Insertion end in Insertion start respect of Insertion end which the bank or any of its prescribed subsidiaries has an interest Insertion start in real property Insertion end if the aggregate value of all interests of the bank in real property exceeds, or the acquisition of the interest or the making of the improvement would cause that aggregate value to exceed, the prescribed percentage of the regulatory capital of the bank.

• (b) make an improvement to real property Insertion start or an immovable Insertion end in Insertion start respect of Insertion end which the bank or any of its prescribed subsidiaries has an interest Insertion start in real property Insertion end

• (j) assets, other than real property Insertion start or immovables Insertion end , acquired or disposed of under an arrangement that has been approved by the Superintendent under subsection 494(3); or

• k) aux éléments d’actif Insertion start qui ont été Insertion end acquis ou Insertion start dont il a été disposé Insertion end avec l’agrément du surintendant dans le cadre du paragraphe 494(4).

Definition of loan

(3) For the purposes of this Part, loan includes a deposit, a financial lease, a conditional Insertion start sale Insertion end contract, Insertion start an instalment sale contract Insertion end , a repurchase agreement and any other similar arrangement for obtaining funds or credit, but does not include investments in securities or the making of an acceptance, endorsement or other guarantee.

Titre ou valeur mobilière d’un apparenté

(4) Pour l’application de la présente partie, est assimilée à un titre ou à une valeur mobilière d’un apparenté une option négociable par livraison qui permet d’exiger Insertion start que soit livré Insertion end un nombre précis d’actions à un prix et dans un délai déterminés.

• (b) the loan is a loan permitted by section 418 Insertion start and Insertion end made to a related party who is a natural person on the security of a mortgage Insertion start or hypothec on Insertion end the principal residence of that related party.

Asset transactions with financial institutions

(3)  Insertion start Despite Insertion end any of the provisions of subsections (1) and (2), a bank may, in the normal course of business and Insertion start in accordance with Insertion end arrangements that have been approved by the Superintendent in writing, acquire or dispose of any assets, other than real property Insertion start or immovables Insertion end , from or to a related party of the bank that is a financial institution.

Opérations dans le cadre d’une restructuration

(4) Par dérogation aux paragraphes (1) et (2), dans le cadre d’une restructuration, la banque peut, avec l’agrément écrit du surintendant, acquérir des éléments d’actif d’un apparenté ou Insertion start en disposer Insertion end en sa faveur.

Approbation

(6)  Insertion start La Insertion end banque peut acquérir des éléments d’actif d’un apparenté ou Insertion start en disposer Insertion end en sa faveur dans le cadre d’une convention de vente approuvée par le ministre en vertu de l’article 236.

Reliance on information

(2) A bank and any person who is a director, an officer, Insertion start an Insertion end employee or Insertion start an Insertion end agent or Insertion start mandatary Insertion end of the bank may rely on any information contained in any disclosure received by the bank Insertion start under Insertion end subsection (1) or any information otherwise acquired in respect of any matter that might be the subject of a disclosure Insertion start under subsection (1) Insertion end , and no action lies against the bank or Insertion start the Insertion end person for anything done or omitted in good faith in reliance on Insertion start the Insertion end information.

leasing activities means

• (a) the financial leasing of personal property Insertion start or movables Insertion end and the related activities that a financial leasing entity may engage in; and

• (b) all other leasing of personal property Insertion start or movables Insertion end .‍ (activités de location)

• (g) engaging in any activity referred to in paragraphs (a) to (f) as an agent Insertion start or mandatary Insertion end for another entity referred to in any of those paragraphs or in any of paragraphs 468(1)‍(a) to (j); or

Nominee or agent or mandatary

(2) For the purposes of this Part, a foreign bank is deemed to be carrying out or to have carried out anything prohibited by subsection (1) if it is carried out by a nominee or Insertion start an Insertion end agent Insertion start or mandatary Insertion end of the foreign bank acting Insertion start in that capacity Insertion end .

Nominee or agent or mandatary

(3) For the purposes of this Part, an entity associated with a foreign bank is deemed to be carrying out or to have carried out anything prohibited by subsection (1) if it is carried out by a nominee or Insertion start an Insertion end agent Insertion start or mandatary Insertion end of the entity associated with the foreign bank acting Insertion start in that capacity Insertion end .

• (c) an entity that is primarily engaged in providing temporary possession of personal property Insertion start or movables Insertion end , including motor vehicles, to customers in Canada for a purpose other than to finance the customers’ acquisition of the Insertion start personal Insertion end property Insertion start or movables Insertion end ;

• (b) engage in the business of acting as an agent Insertion start or mandatary Insertion end for the acceptance of deposit liabilities for a foreign bank or an entity associated with a foreign bank, other than for

• (b) engage in the business of acting as an agent Insertion start or mandatary Insertion end for the acceptance of deposit liabilities for a foreign bank or an entity associated with a foreign bank; or

Exception

(3) Paragraph (1)‍(b) does not apply to a foreign securities dealer that has received the approval of the Minister under paragraph 522.‍22(1)‍(f) or to a foreign insurance company — or to a prescribed entity — that engages in the business of acting as an agent Insertion start or mandatary Insertion end for the acceptance of deposit liabilities for

Exception

(2.‍1) Malgré l’alinéa (2)a), la banque étrangère ou l’entité liée à une banque étrangère peut acquérir ou détenir le contrôle d’une entité qui exerce des activités de fiduciaire Insertion start d’une fiducie Insertion end ou acquérir ou augmenter un intérêt de groupe financier dans une telle entité si les lois provinciales applicables permettent à l’entité d’exercer de telles activités et que les conditions suivantes sont réunies :

• (a) has control of or has a substantial investment in an entity that engages in Canada in any personal property Insertion start or movable Insertion end leasing activity that a financial leasing entity as defined in subsection 464(1) is prohibited from engaging in; or

• (b) engages in Canada in any personal property Insertion start or movable Insertion end leasing activity that a financial leasing entity as defined in subsection 464(1) is prohibited from engaging in.

• (a) control or have a substantial investment in an entity that engages in Canada in any personal property Insertion start or movable Insertion end leasing activity that a financial leasing entity as defined in subsection 464(1) is prohibited from engaging in; or

• (b) engage in Canada in any personal property Insertion start or movable Insertion end leasing activity that a financial leasing entity as defined in subsection 464(1) is prohibited from engaging in.

• a) elle a déposé au Canada des éléments d’actif — non grevés et d’un genre approuvé par le surintendant — dont la valeur totale, déterminée selon les principes comptables visés au paragraphe 308(4), est égale :

Contrat de dépôt

(4)  Insertion start Les éléments d’actif visés Insertion end au paragraphe (3) Insertion start doivent Insertion end être Insertion start déposés Insertion end auprès d’une institution financière canadienne agréée par le surintendant Insertion start conformément aux termes d’ Insertion end un contrat de dépôt préalablement approuvé par celui-ci.

• (b) subject to the regulations, act as an agent Insertion start or mandatary Insertion end for any person in the taking of deposit liabilities; or

• (d.‍1) respecting circumstances in which and the conditions under which an authorized foreign bank that is subject to the restrictions and requirements referred to in subsection 524(2) may act as agent Insertion start or mandatary Insertion end for any person in the taking of deposit liabilities; and

• (a) act as agent Insertion start or mandatary Insertion end for any person in respect of the provision of any service that is provided by a financial institution, an entity in which a bank is permitted to acquire a substantial investment under section 468 or a Canadian entity acquired or held under section 522.‍08 and enter into an arrangement with any person in respect of the provision of that service; or

• (a) the name of the Insertion start person Insertion end for whom an authorized foreign bank is acting as agent Insertion start or mandatary under Insertion end subsection (1); and

• (b) whether any commission is being earned by an authorized foreign bank when acting as agent Insertion start or mandatary under Insertion end subsection (1).

Prohibited activities

544  Insertion start It is prohibited for an Insertion end authorized foreign bank Insertion start to Insertion end act in Canada

• (a) as an executor or administrator Insertion start of an estate Insertion end or Insertion start liquidator of a succession Insertion end ;

• (b)  Insertion start as Insertion end a trustee for a trust;

• ( Insertion start c Insertion end )  Insertion start as Insertion end a guardian, committee, tutor, curator or adviser of Insertion start an incapable Insertion end person; or

• Start of inserted block

  (d) in any capacity similar to the capacities mentioned in paragraph (c).

  End of inserted block

Deposits less than $150,000

546 (1) Subject to the regulations, an authorized foreign bank that is not subject to the restrictions and requirements referred to in subsection 524(2) Insertion start must Insertion end not, in respect of its business in Canada, act as agent Insertion start or mandatary Insertion end for any person in the taking of a deposit that is less than $150,000 and payable in Canada.

Regulations

(3) The Governor in Council may make regulations respecting the circumstances in which, and the conditions under which, an authorized foreign bank referred to in subsection (1) may act as agent Insertion start or mandatary Insertion end for any person in the taking of a deposit that is less than $150,000 and payable in Canada.

Restriction on leasing

550 An authorized foreign bank Insertion start must Insertion end not engage in Canada in any personal property Insertion start or movable Insertion end leasing activity in which a financial leasing entity as defined in subsection 464(1) is not permitted to engage.

Restriction on mortgages or hypothecs

551 (1) An authorized foreign bank Insertion start must Insertion end not make a loan in Canada on the security of residential property in Canada for the purpose of purchasing, renovating or improving that Insertion start residential Insertion end property, or refinance a loan for that purpose, if the amount of the loan, together with the amount outstanding of any mortgage Insertion start or hypothec of Insertion end equal or Insertion start higher rank on Insertion end the Insertion start residential Insertion end property, would exceed 80% of the value of the Insertion start residential Insertion end property at the time of the loan.

• (a) a loan made or guaranteed under the National Housing Act or any other Act of Parliament by or under which a different limit on the value of Insertion start residential Insertion end property on the security of which the authorized foreign bank may make a loan is established;

• (d) a loan secured by a mortgage Insertion start or hypothec if Insertion end

  • (i) the mortgage Insertion start or hypothec Insertion end is taken back by the authorized foreign bank on a property disposed of by it, including Insertion start when Insertion end the disposition is by way of a realization of a security interest, and

  • (ii) the mortgage Insertion start or hypothec Insertion end secures payment of an amount payable to the authorized foreign bank for the property.

Restriction

553 An authorized foreign bank Insertion start must Insertion end not, in respect of its business in Canada, grant to a person the right to appoint a receiver, receiver and manager or Insertion start sequestrator Insertion end of the property or of the business of the authorized foreign bank.

Application du paragraphe (3)

(4) Le paragraphe (3) s’applique que la fiducie soit Insertion start expresse Insertion end ou Insertion start par effet de la loi Insertion end et même si la banque étrangère autorisée en a été avisée si elle agit sur l’ordre ou sous l’autorité du ou des titulaires du compte dans lequel le dépôt est effectué.

Transmission in case of death

577 (1)  Insertion start If Insertion end the transmission of a debt owing by an authorized foreign bank by reason of a deposit, of property held by an authorized foreign bank as security or for Insertion start safekeeping Insertion end or of rights with respect to a safety deposit box and property deposited in it takes place because of the death of a person, the delivery to the authorized foreign bank of the following is sufficient justification and authority for giving effect to the transmission:

• (a) an affidavit or declaration in writing Insertion start that is Insertion end in Insertion start a Insertion end form satisfactory to the authorized foreign bank, Insertion start that is Insertion end signed by or on behalf of a person claiming by virtue of the transmission Insertion start and that states Insertion end the nature and effect of the transmission; and

• (b) one of the following Insertion start documents Insertion end :

  • (i) if the claim is based on a will or other testamentary instrument, on a grant of probate of a will or Insertion start other Insertion end testamentary instrument Insertion start with or without Insertion end letters testamentary or other document of Insertion start similar Insertion end import, on a grant of letters of administration or other document of Insertion start similar Insertion end import, Insertion start on a judgment probating a will Insertion end or Insertion start other document of similar import, on letters of verification or other document of similar import Insertion end , or on Insertion start a certified copy of the notarial minutes of probate of a will or other document of similar import Insertion end , purporting to be issued by any court or authority in Canada or elsewhere, an authenticated copy or certificate of the document under the seal of the court or authority without proof of the authenticity of the seal or other proof, or

  • (ii) if the claim is based on a notarial will, an Insertion start authentic Insertion end copy of the notarial will.

• (c)  Insertion start a document Insertion end purporting to assign, perfect or otherwise dispose of an interest Insertion start or right Insertion end in the property or the deposit account; or

enforcement notice means a garnishee summons or other Insertion start document Insertion end issued under the laws of a province for the enforcement of Insertion start a Insertion end support order or support provision.‍ (avis d’exécution)

Dépôt obligatoire

Dépôts de certains éléments d’actif

582 (1) La banque étrangère autorisée doit de façon constante avoir en dépôt au Canada auprès d’une institution financière canadienne agréée par le surintendant des éléments d’actif — non grevés et d’un genre approuvé par le surintendant — dont la valeur totale, déterminée selon les principes comptables visés au paragraphe 308(4), est égale :

Contrat de dépôt

(2)  Insertion start Les éléments d’actif visés Insertion end au paragraphe (1) Insertion start doivent Insertion end être Insertion start conservés conformément aux termes d’ Insertion end un contrat de dépôt préalablement approuvé par le surintendant.

• (iii) has been a liquidator, trustee in bankruptcy, receiver, receiver and manager or Insertion start sequestrator Insertion end of any affiliate of the authorized foreign bank within the two years immediately preceding the proposed appointment of the firm of accountants as auditor, other than an affiliate that is a subsidiary of the authorized foreign bank acquired under section 522.‍15.

Right to information

593 (1) On the request of the auditor of an authorized foreign bank, the present or former principal officers, directors, officers, employees or Insertion start agents or mandataries Insertion end of the authorized foreign bank Insertion start must Insertion end , to the extent that they are reasonably able to do so,

• (a) permit access to any records, assets and security held by the authorized foreign bank or any entity in which the authorized foreign bank has a substantial investment under Part XII that are, in the Insertion start auditor’s Insertion end opinion, necessary to enable the auditor to perform Insertion start their Insertion end duties; and

• (b) provide any information and explanations Insertion start that are, in the auditor’s opinion, necessary to enable the auditor to perform their duties Insertion end .

• a) exiger que, selon les modalités qu’il fixe, la banque dépose au Canada des éléments d’actif d’un genre et d’une valeur qu’il précise;

optional product or service means a product or service that is provided in Canada by an institution, an affiliate that the institution controls or an agent Insertion start or mandatary Insertion end or Insertion start a Insertion end representative of the institution or affiliate, for an additional charge, as a supplement to another product or service that is offered or provided by the institution.‍ (produit ou service optionnel)

Arrangements with affiliates, etc.

627.‍15 An institution shall not enter into any arrangement or otherwise cooperate with any of its representatives, Insertion start its Insertion end agents Insertion start or mandataries Insertion end or Insertion start its Insertion end other intermediaries, with any of its affiliates that are controlled by a bank or a bank holding company and that are a finance entity as defined in subsection 464(1) or other prescribed entity or with any of the representatives, Insertion start the Insertion end agents Insertion start or mandataries Insertion end or Insertion start the Insertion end other intermediaries of such an affiliate to sell or further the sale of a product or service of the institution or the affiliate unless

• (a) the affiliate or the representative, Insertion start the Insertion end agent Insertion start or mandatary Insertion end or Insertion start the Insertion end other intermediary of the institution or the affiliate, as the case may be, complies, with respect to the product or service, with the consumer provisions that apply to institutions, as if Insertion start they Insertion end were an institution, to the extent that those provisions are applicable to Insertion start their Insertion end activities;

• (c) the employees of the affiliate or the representative, Insertion start the Insertion end agent Insertion start or mandatary Insertion end or Insertion start the Insertion end other intermediary of the institution or the affiliate, as the case may be,

  • (i) may report particulars under subsection 979.‍2(1) to the affiliate or the representative, Insertion start the Insertion end agent Insertion start or mandatary Insertion end or Insertion start the Insertion end other intermediary of the institution or the affiliate as if they were an employee of a bank, and

• (d) the affiliate or the representative, Insertion start the Insertion end agent Insertion start or mandatary Insertion end or Insertion start the Insertion end other intermediary of the institution or the affiliate, as the case may be, complies with section 979.‍4 as if Insertion start they Insertion end were a bank.

Intermediary for another entity

627.‍16 If an institution is acting in the capacity of a representative, Insertion start an Insertion end agent Insertion start or mandatary Insertion end or other intermediary for another entity in respect of a product or service provided by the entity, the institution shall ensure that an agreement in respect of that product or service complies with the prescribed requirements.

• (a) is secured by a mortgage on real property Insertion start or a hypothec on an immovable Insertion end ; or

• (a) in the case of a loan for a fixed amount, other than a loan that is secured by a mortgage on real property Insertion start or a hypothec on an immovable Insertion end ,

Renewal of mortgages

627.‍31 If a natural person enters into a credit agreement other than for business purposes with an institution for a loan that is secured by a mortgage on real property Insertion start or a hypothec on an immovable Insertion end and that is to be renewed on a specified day,

Resource person

627.‍58 Subject to the regulations, an institution shall, before entering into an agreement with a person by electronic means or by mail in respect of a product or service in Canada, provide the person with the local or toll-free telephone number of a natural person who is an employee or Insertion start an Insertion end agent Insertion start or mandatary Insertion end of the institution and who is knowledgeable about the terms and conditions of the agreement.

Renewal or rollover

627.‍6 (1) If an institution enters into an agreement with a natural person other than for business purposes in respect of a product or service in Canada — other than a loan that is secured by a mortgage on real property Insertion start or a hypothec on an immovable Insertion end — and the agreement provides that Insertion start the Insertion end product or service may be renewed or that, after the end of the term of the product or service, a new product or service may be provided to the person without a further agreement being entered into, the institution shall disclose to the person the information set out in subsection (2),

Mortgage Insertion start or Hypothecary Insertion end Insurance

Regulations

627.‍998 The Governor in Council may make regulations respecting any matters involving an institution’s dealings, or the dealings of its employees, Insertion start its Insertion end representatives, Insertion start its Insertion end agents Insertion start or mandataries Insertion end or Insertion start its Insertion end other intermediaries, with customers or the public, any matters involving products or services that are the subject of those dealings and any matters involving an institution that is acting in the capacity of a representative, Insertion start an Insertion end agent Insertion start or mandatary Insertion end or other intermediary for another entity, including regulations

• (b) respecting the training of an institution’s employees, Insertion start its Insertion end representatives, Insertion start its Insertion end agents Insertion start or mandataries Insertion end or Insertion start its Insertion end other intermediaries;

• (f) respecting the names of positions to be used by an institution’s employees, Insertion start its Insertion end representatives, Insertion start its Insertion end agents Insertion start or mandataries Insertion end or Insertion start its Insertion end other intermediaries in their dealings with customers or the public;

• a) les Insertion start nom, résidence Insertion end et citoyenneté de chaque administrateur en fonction à la clôture de l’assemblée;

Pouvoirs

664 (1) La société de portefeuille bancaire a la capacité d’une personne physique Insertion start et a Insertion end , sous réserve des autres dispositions de la présente loi, Insertion start les droits, pouvoirs et privilèges de cette personne Insertion end .

• (d) a person held out by the bank holding company as a director, Insertion start an Insertion end officer, Insertion start an employee or an agent or mandatary Insertion end of the bank holding company has not been duly appointed or has no authority to exercise the powers and perform the duties that are customary in the business of the bank holding company or usual for a director, Insertion start an Insertion end officer, Insertion start an employee or an agent or mandatary Insertion end ; or

• (e) a document issued by any director, Insertion start any Insertion end officer, Insertion start any employee or any agent or mandatary Insertion end of the bank holding company with actual or usual authority to issue the document is not valid or not genuine.

• (c) an existing cause of action, claim or liability to prosecution is unaffected;

• (ii) shares of or another interest Insertion start or right Insertion end in a body corporate that immediately before the exchange or because of it did not deal with the bank holding company at arm’s length within the meaning of that expression in the Income Tax Act, or

Gift, bequest or legacy

(3) A bank holding company may accept from any shareholder a share of the bank holding company surrendered to it as a gift, Insertion start bequest or legacy Insertion end , but Insertion start must Insertion end not extinguish or reduce a liability in respect of an amount unpaid on Insertion start the surrendered Insertion end share except in accordance with section 718.

Immunité

(6) La société ou Insertion start la personne agissant Insertion end en Insertion start son nom Insertion end n’ Insertion start engage Insertion end pas Insertion start sa Insertion end responsabilité en diffusant une proposition ou une déclaration Insertion start conformément aux Insertion end paragraphes (2) et (3).

• (f.‍1) a person who is Insertion start a Insertion end director, an officer, Insertion start an Insertion end employee or Insertion start an Insertion end agent Insertion start or mandatary Insertion end of — or any other person acting on behalf of — an eligible agent Insertion start as defined in Insertion end subsection 370(1);

• (i) a person who is an agent or Insertion start mandatary or an Insertion end employee of the government of a foreign country or any political subdivision Insertion start of a foreign country Insertion end .

Immunité

(2) La société ou Insertion start la personne agissant en son nom Insertion end n’ Insertion start engage Insertion end pas Insertion start sa Insertion end responsabilité en diffusant, conformément au paragraphe (1), la déclaration faite par un administrateur.

• (a) relates primarily to their remuneration as a director, Insertion start an Insertion end officer, Insertion start an Insertion end employee or Insertion start an Insertion end agent Insertion start or mandatary Insertion end of the bank holding company, an entity controlled by the bank holding company or an entity in which the bank holding company has a substantial investment;

Subrogation of director

(5)  Insertion start When Insertion end a director of a bank holding company pays a debt referred to in subsection (1) that is proven in liquidation and dissolution or bankruptcy proceedings, the director is entitled to any preference that the employee would have been entitled to and, Insertion start if Insertion end a judgment has been obtained, the director is

• Start of inserted block

  (a) in Quebec, subrogated to the employee’s rights as declared in the judgment; and

  End of inserted block

• ( Insertion start b Insertion end )  Insertion start elsewhere in Canada Insertion end , entitled to an assignment of the judgment.

Court enforcement

810 (1) If a bank holding company or any director, Insertion start any Insertion end officer, Insertion start any Insertion end employee or Insertion start any Insertion end agent Insertion start or mandatary Insertion end of a bank holding company is contravening or has failed to comply with any term or condition made in respect of the issuance of letters patent of amalgamation, the Minister may, in addition to any other action that may be taken under this Act, apply to a court for an order directing the bank holding company or the director, Insertion start the Insertion end officer, Insertion start the Insertion end employee or Insertion start the Insertion end agent Insertion start or mandatary Insertion end to comply with the term or condition, cease the contravention or do any thing that is required to be done, and on the application the court may so order and make any other order it thinks fit.

• d) aucune atteinte n’est portée aux causes d’actions Insertion start ou aux réclamations Insertion end déjà nées, Insertion start ni aux possibilités de poursuite pour infraction Insertion end ;

Supplemental lists

(5) A person requiring a bank holding company to supply a basic list of shareholders may, if the person states in the accompanying affidavit that supplemental lists are required, request the bank holding company or its agent Insertion start or mandatary Insertion end , on payment of a reasonable fee, to provide supplemental lists of shareholders setting out any changes from the basic list in the names and addresses of the shareholders and the number of shares owned by each shareholder for each business day following the date to which the basic list is made up.

When supplemental lists to be furnished

(6) A bank holding company or its agent Insertion start or mandatary must Insertion end provide a supplemental list of shareholders required under subsection (5)

Protection of records

821 A bank holding company and its agents Insertion start or mandataries must Insertion end take reasonable precautions to

Supplementary information

(6) A person who wishes to examine Insertion start the Insertion end central securities register, take extracts from it or have copies of it made may on payment of a reasonable fee, if they state in the accompanying affidavit that supplementary information is required, request the bank holding company or its agent Insertion start or mandatary Insertion end to provide supplementary information setting out any changes made to the register.

When supplementary information to be provided

(7) A bank holding company or its agent Insertion start or mandatary must Insertion end provide the supplementary information within

Agent or mandatary

827 A bank holding company may appoint an agent Insertion start or mandatary Insertion end to maintain its central securities register and each of its branch securities registers.

Destruction of certificates

831 A bank holding company, its agent Insertion start or mandatary Insertion end or a trustee Insertion start as defined in Insertion end section 294 is not required to produce

Validity of unsealed documents

(2) A document executed Insertion start or, in Quebec, signed Insertion end on behalf of a bank holding company is not invalid merely because a corporate seal is not affixed to it.

• (iii) has been a liquidator, trustee in bankruptcy, receiver, receiver and manager or Insertion start sequestrator Insertion end of any affiliate of the bank holding company within the two years immediately preceding the firm’s proposed appointment as auditor of the bank holding company, other than an affiliate that is a subsidiary of the bank holding company acquired Insertion start under Insertion end section 934 or through a realization of security Insertion start under Insertion end section 935.

Right to information

856 (1) On the request of the auditor of a bank holding company, the present or former directors, officers, employees or agents Insertion start or mandataries Insertion end of the bank holding company Insertion start must Insertion end , to the extent that Insertion start they Insertion end are reasonably able to do so,

• (a) permit access to Insertion start any Insertion end records, assets and security held by the bank holding company or any entity in which the bank holding company has a substantial investment Insertion start that are, in the auditor’s opinion, necessary to enable the Insertion end auditor Insertion start to perform their duties Insertion end ; and

• (b) provide Insertion start any Insertion end information and explanations Insertion start that Insertion end are, in the Insertion start auditor’s Insertion end opinion, necessary to enable the auditor to perform Insertion start their Insertion end duties.

• (a) obtain from the present or former directors, officers, employees and agents Insertion start or mandataries Insertion end of any entity in which the bank holding company has a substantial investment the information and explanations that Insertion start those Insertion end persons are reasonably able to provide and that are, in the Insertion start auditor’s Insertion end opinion, necessary to enable the auditor to perform Insertion start their Insertion end duties; and

• (a) has control of or has a substantial investment in an entity that engages in Canada in any personal property Insertion start or movable Insertion end leasing activity that a financial leasing entity Insertion start as defined in Insertion end subsection 464(1) is prohibited from engaging in; or

• (b) engages in Canada in any personal property Insertion start or movable Insertion end leasing activity that a financial leasing entity Insertion start as defined in Insertion end subsection 464(1) is prohibited from engaging in.

• (a) control or have a substantial investment in an entity that engages in Canada in any personal property Insertion start or movable Insertion end leasing activity that a financial leasing entity Insertion start as defined in Insertion end subsection 464(1) is prohibited from engaging in; or

• (b) engage in Canada in any personal property Insertion start or movable Insertion end leasing activity that a financial leasing entity Insertion start as defined in Insertion end subsection 464(1) is prohibited from engaging in.

• a) il y a eu Insertion start disposition Insertion end des actions ayant donné lieu à la contravention;

Reliance on information

920 A bank holding company and any person who is a director, an officer, Insertion start an Insertion end employee or Insertion start an Insertion end agent or Insertion start mandatary Insertion end of the bank holding company may rely on any information contained in a declaration required by the directors Insertion start under Insertion end section 919 or on any information otherwise acquired in respect of any matter that might be the subject of a declaration Insertion start under section 919 Insertion end , and no action lies against the bank holding company or Insertion start the Insertion end person for anything done or omitted to be done in good faith in reliance on Insertion start the Insertion end information.

• (a) the holding of a security interest in Insertion start any Insertion end real property Insertion start or immovable Insertion end , unless the security interest is prescribed under paragraph 941(a) to be an interest in real property; or

• (c) an entity that is primarily engaged in providing temporary possession of personal property Insertion start or movables Insertion end , including motor vehicles, to customers in Canada for a purpose other than to finance the customers’ acquisition of the Insertion start personal Insertion end property Insertion start or movables Insertion end ;

Exception

(3.‍1) Malgré l’alinéa (3)a), la société de portefeuille bancaire peut acquérir le contrôle d’une entité qui exerce des activités de fiduciaire Insertion start d’une fiducie Insertion end ou acquérir ou augmenter un intérêt de groupe financier dans une telle entité si les lois provinciales applicables permettent à l’entité d’exercer de telles activités et que les conditions suivantes sont réunies :

Insertion start Interests in Insertion end Real Property

Limit

938 A bank holding company Insertion start must Insertion end not, and Insertion start must Insertion end not permit its prescribed subsidiaries to, purchase or otherwise acquire an interest in real property or make an improvement to any real property Insertion start or immovable Insertion end in Insertion start respect of Insertion end which the bank holding company or any of its prescribed subsidiaries has an interest Insertion start in real property Insertion end if the aggregate value of all interests of the bank holding company in real property exceeds, or the acquisition of the interest or the making of the improvement would cause that aggregate value to exceed, the prescribed percentage of the regulatory capital of the bank holding company.

• (b) make an improvement to real property Insertion start or an immovable Insertion end in Insertion start respect of Insertion end which the bank holding company or any of its prescribed subsidiaries has an interest Insertion start in real property Insertion end

• a) les nom, Insertion start résidence Insertion end et citoyenneté de chaque administrateur en fonction à la clôture de l’assemblée;

Liability of officers, directors, etc.

986 If an entity commits an offence under this Act, any director, Insertion start any Insertion end officer, Insertion start any Insertion end agent Insertion start or mandatary Insertion end or Insertion start any Insertion end principal officer of the entity who directed, authorized, assented to, acquiesced in or participated in the commission of the offence is a party to and guilty of the offence and liable on summary conviction or on conviction on indictment to the punishment provided under paragraph 985(1)‍(a) for the offence, whether or not the entity has been prosecuted or convicted.

Compliance or restraining order — bank

989 (1) If a bank or a bank holding company or any director, Insertion start any Insertion end officer, Insertion start any Insertion end employee or Insertion start any Insertion end agent Insertion start or mandatary Insertion end of one does not comply with any provision of this Act or the regulations other than a consumer provision, or of the incorporating instrument or any by-law of the bank or bank holding company, the Superintendent, any complainant or any creditor of the bank or bank holding company may, in addition to any other right that person has, apply to a court for an order directing the bank, Insertion start the Insertion end bank holding company, Insertion start the Insertion end director, Insertion start the Insertion end officer, Insertion start the Insertion end employee or Insertion start the Insertion end agent Insertion start or mandatary Insertion end to comply with — or restraining the bank, Insertion start the Insertion end bank holding company, Insertion start the Insertion end director, Insertion start the Insertion end officer, Insertion start the Insertion end employee or Insertion start the Insertion end agent Insertion start or mandatary Insertion end from acting in breach of — the provision and, on the application, the court may so order and make any further order it thinks fit.

Compliance or restraining order — authorized foreign bank

(2) If an authorized foreign bank or any of its directors, Insertion start its Insertion end officers, Insertion start its Insertion end employees or Insertion start its Insertion end agents Insertion start or mandataries Insertion end does not comply with any provision of this Act or the regulations other than a consumer provision, or of an order made under subsection 524(1), 528(1) or (1.‍1) or 534(1) in respect of the authorized foreign bank, the Superintendent, any complainant or any creditor of the authorized foreign bank may, in addition to any other right that person has, apply to a court for an order directing the authorized foreign bank, Insertion start the Insertion end director, Insertion start the Insertion end officer, Insertion start the Insertion end employee or Insertion start the Insertion end agent Insertion start or mandatary Insertion end to comply with — or restraining the authorized foreign bank, Insertion start the Insertion end director, Insertion start the Insertion end officer, Insertion start the Insertion end employee or Insertion start the Insertion end agent Insertion start or mandatary Insertion end from acting in breach of — the provision and, on the application, the court may so order and make any further order it thinks fit.

Compliance or restraining order — consumer provisions

(3) If a bank or an authorized foreign bank or any director, Insertion start any Insertion end officer, Insertion start any Insertion end employee or Insertion start any Insertion end agent Insertion start or mandatary Insertion end of one does not comply with any applicable consumer provision, the Commissioner or any complainant may, in addition to any other right that person has, apply to a court for an order directing the bank, Insertion start the Insertion end authorized foreign bank, Insertion start the Insertion end director, Insertion start the Insertion end officer, Insertion start the Insertion end employee or Insertion start the Insertion end agent Insertion start or mandatary Insertion end to comply with — or restraining the bank, Insertion start the Insertion end authorized foreign bank, Insertion start the Insertion end director, Insertion start the Insertion end officer, Insertion start the Insertion end employee or Insertion start the Insertion end agent Insertion start or mandatary Insertion end from acting in breach of — the consumer provision and, on the application, the court may so order and make any further order it thinks fit.

fiduciary means any person Insertion start who is Insertion end acting in a fiduciary capacity Insertion start or who has an obligation of honesty and loyalty to another person because they are in a relationship of trust and confidence with that person Insertion end , and includes a personal representative of a deceased person; (représentant)

personal representative means a person who stands in place of and represents another person and includes a trustee, an executor Insertion start or Insertion end administrator Insertion start of an estate, a liquidator of a succession, an administrator of the property of another Insertion end , a committee, a guardian, a tutor, a curator, an assignee, a receiver Insertion start or sequestrator Insertion end , an agent Insertion start or mandatary Insertion end , or an attorney, but does not include a delegate; (représentant personnel)

proxy means a completed and executed Insertion start or, in Quebec, signed Insertion end form of proxy by means of which a shareholder appoints a proxyholder to attend and act on the shareholder’s behalf at a meeting of shareholders; (procuration)

residential property means Insertion start any Insertion end real property Insertion start or immovable Insertion end consisting of buildings Insertion start of which Insertion end at least one half of the floor space Insertion start is Insertion end used, or Insertion start is Insertion end to be used, as one or more private dwellings; (immeuble résidentiel)

security interest means an interest Insertion start or right Insertion end in or Insertion start a Insertion end charge on property, by way of mortgage Insertion start or hypothec Insertion end , lien, pledge or otherwise, taken by a creditor or guarantor to secure the payment or performance of an obligation; (sûreté)

beneficial ownership includes ownership through one or more trustees, legal representatives, agents Insertion start or mandataries Insertion end or other intermediaries; (véritable propriétaire et propriété effective)

form of proxy means a written or printed form that, when completed and executed Insertion start or, in Quebec, signed Insertion end by or on behalf of a shareholder, constitutes a proxy; (formulaire de procuration)

securities underwriter means a person who, as principal, agrees to purchase securities with a view to the distribution of the securities or who, as agent Insertion start or mandatary Insertion end for a body corporate or other person, offers for sale or sells securities in connection with a distribution of the securities, and includes a person who participates, directly or indirectly, in a distribution of securities, other than a person whose interest in the distribution of securities is limited to receiving a distributor’s or seller’s commission payable by a securities underwriter; (souscripteur à forfait)

fondé de pouvoir Personne nommée par procuration pour Insertion start assister et agir au nom de Insertion end l’actionnaire aux assemblées des actionnaires.‍ (proxyholder)

opération En matière de valeurs mobilières, toute Insertion start vente ou disposition pour contrepartie de valeur Insertion end .‍ (trade)

• (a) in relation to a body corporate, a share of any class of shares of the body corporate or a debt obligation of the body corporate, and includes a warrant of the body corporate, but does not include a deposit with a financial institution or any Insertion start document Insertion end evidencing a deposit Insertion start with a financial institution Insertion end or, for greater certainty, a membership share, and

immovable includes the rights of a lessee in respect of an immovable; (immeuble)

bien réel Est assimilé à un bien réel l’intérêt à bail sur un tel bien.‍ (real property)

Pouvoirs

16 (1) L’association a la capacité d’une personne physique Insertion start et a Insertion end , sous réserve des autres dispositions de la présente loi, Insertion start les droits, pouvoirs et privilèges de cette personne Insertion end .

• (d) a person held out by the association as a director, Insertion start an Insertion end officer, Insertion start an employee Insertion end or Insertion start an agent or mandatary Insertion end of the association has not been duly appointed or has no authority to exercise the powers and perform the duties that are customary in the business of the association or usual for a director, Insertion start an Insertion end officer, Insertion start an employee Insertion end or Insertion start an agent or mandatary Insertion end ; or

• (e) a document issued by any director, Insertion start any Insertion end officer, Insertion start any employee Insertion end or Insertion start any agent or mandatary Insertion end of the association with actual or usual authority to issue the document is not valid or not genuine.

• (c) an existing cause of action, claim or liability to prosecution is unaffected;

• (b) there were in the by-law a covenant under seal, Insertion start or, in Quebec, a formal undertaking Insertion end , on the part of each member, and the successors and assigns of the member, to conform Insertion start to the by-law Insertion end .

Conditions for resolution

(2) A special resolution passed under subsection (1) is not valid unless prior written notice is given to the member setting forth the grounds on which the association is seeking to expel it and an opportunity is given to the member to appear, by an agent Insertion start or mandatary Insertion end or Insertion start by a Insertion end counsel, to make submissions at the meeting of the directors called to consider the resolution to expel it.

Lien, charge or right of retention

51 Unless the by-laws provide otherwise, Insertion start if Insertion end a member is indebted to an association, the membership shares and deposits recorded in the name of the member and any dividends payable to Insertion start them are subject to Insertion end a lien Insertion start or, in Quebec, a charge or a right of retention in favour of Insertion end the association to the extent of the debt.

• (f) that the membership shares represented by the certificate may be Insertion start subject to Insertion end a lien Insertion start or, in Quebec, a charge or a right of retention Insertion end in favour of the association for indebtedness to the association.

• (ii) shares of or another interest Insertion start or right Insertion end in a body corporate that immediately before the exchange or because of it did not deal with the association at arm’s length within the meaning of that expression in the Income Tax Act or shares of or another interest Insertion start or right Insertion end in any prescribed entity, or

Gift, bequest or legacy

(3) An association may accept any membership share or share of the association surrendered to it as a gift, Insertion start bequest or legacy Insertion end , but Insertion start must Insertion end not extinguish or reduce a liability in respect of an amount unpaid on Insertion start the surrendered Insertion end share except in accordance with section 82.

adverse claim includes a claim that a transfer was or would be wrongful or that a particular adverse person is the owner of or has an interest Insertion start or right Insertion end in a security; (opposition)

purchaser means a person who takes an interest Insertion start or right Insertion end in a security by sale, mortgage, Insertion start hypothec Insertion end , pledge, issue, reissue, gift, Insertion start bequest, legacy Insertion end or any other voluntary transaction; (acquéreur)

• (d) evidence of a share, participation or other interest Insertion start or right Insertion end in or obligation of an association,

but does not include Insertion start a document Insertion end evidencing a deposit or a membership share; (valeur mobilière, titre ou certificat de valeur mobilière)

• (a) the scrip certificate becomes void Insertion start or, in Quebec, null Insertion end if not exchanged for a share certificate representing a full share before a specified date; and

Minors

101 If a minor exercises any rights of ownership in the securities of an association, no subsequent repudiation or avoidance Insertion start or, in Quebec, annulment or reduction of the minor’s obligations Insertion end is effective against the association.

Transmission of securities

103 (1) Subject to the provisions of Part VIII and any applicable law relating to the collection of taxes, a person referred to in paragraph 100(2)‍(a) is entitled to become registered as the owner of a security, or to designate another person to be registered as the owner of a security, if the person referred to in paragraph 100(2)‍(a) delivers to the association or its transfer agent Insertion start the following documents Insertion end , accompanied by any assurance the association may require under section 134:

• (a)  Insertion start in Insertion end the Insertion start case of a Insertion end grant of probate or of letters of administration Insertion start or, in Quebec, the issuance of letters of verification or of a judgment probating a will, the Insertion end original Insertion start document Insertion end or a copy certified to be a true copy by

  • (i) the court that granted the probate or letters of administration Insertion start or that issued the letters of verification or the judgment probating the will Insertion end ,

  • (ii) a trust company incorporated under the Trust and Loan Companies Act or under the laws of a province, or

  • (iii) a lawyer or notary acting on behalf of the person referred to in paragraph 100(2)‍(a);

• Start of inserted block

  (b) in the case of a will probated by a notary in Quebec, a certified copy of the minutes of the probate;

• (c) in the case of letters of verification issued by a notary in Quebec, a certified copy of the letters;

  End of inserted block

• (d) in the case of a notarial will in Quebec, Insertion start an authentic Insertion end copy Insertion start of the will established in accordance with Insertion end the laws of that province;

• ( Insertion start e Insertion end ) an affidavit or declaration of transmission made by the person referred to in paragraph 100(2)‍(a) that states the particulars of the transmission; and

• ( Insertion start f Insertion end ) the security certificate that was owned by the deceased holder

  • (i) in the case of a transfer to the person referred to in paragraph 100(2)‍(a), with or without the endorsement of that person, and

  • (ii) in the case of a transfer to any other person, endorsed in accordance with section 118.

Excepted transmissions

(2)  Insertion start Despite Insertion end subsection (1), if the laws of the jurisdiction governing the transmission of a security of a deceased holder do not require Insertion start any of the documents mentioned in paragraphs (1)‍(a) to (c) Insertion end in respect of the transmission, a personal representative of the deceased holder is entitled, subject to Part VIII and any applicable law relating to the collection of taxes, to become registered as the owner Insertion start of the security Insertion end or to designate a person to be registered as the owner, if the personal representative delivers to the association or its transfer agent the following documents:

• (b) reasonable proof of the governing laws, of the deceased holder’s interest Insertion start or right Insertion end in the security and of the right of the personal representative or the designated person to become the registered shareholder.