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Federal Law–Civil Law Harmonization Act, No. 2 (S.C. 2004, c. 25)

Assented to 2004-12-15

Marginal note:R.S., c. C-21; 2001, c. 9, s. 218

Canadian Payments Act

  • 192. (1) Subsection 31(2) of the Canadian Payments Act is replaced by the following:

    • Marginal note:Priority on insolvency

      (2) Despite any other Act of Parliament but subject to subsection (5) and to the rights of secured creditors with respect to any security interest in or charge on the property of a member, if a bankruptcy order is made against a member or a winding-up order is made in respect of a member (hereinafter in this section referred to as an “insolvent member”) the items set out in paragraphs (a) and (b) shall be paid from the estate of the insolvent member, in priority to any other claim against the estate of the insolvent member, in the following order:

      • (a) unpaid cheques or orders that had been drawn on the insolvent member and certified by such member prior to the making of the bankruptcy order or winding-up order; and

      • (b) unpaid priority payment instruments drawn on the insolvent member and issued prior to the making of the bankruptcy order or winding-up order.

  • (2) Subsection 31(4) of the Act is replaced by the following:

    • Marginal note:Time limit

      (4) Despite subsection (2), no payment of an unpaid cheque, order or priority payment instrument shall be made under that subsection in priority to any other claim against the estate of an insolvent member unless a request for such payment is made within sixty days after the making of the bankruptcy order or winding-up order.

Marginal note:R.S., c. C-36

Companies’ Creditors Arrangement Act

Marginal note:1992, c. 27, par. 90(1)(f)

193. Paragraph (c) of the definition “debtor company” in section 2 of the Companies’ Creditors Arrangement Act is replaced by the following:

Marginal note:1992, c. 27, par. 90(1)(f)

194. Paragraph 6(b) of the Act is replaced by the following:

  • (b) in the case of a company that has made an authorized assignment or against which a bankruptcy order has been made under the Bankruptcy and Insolvency Act or is in the course of being wound up under the Winding-up and Restructuring Act, on the trustee in bankruptcy or liquidator and contributories of the company.

Marginal note:1992, c. 27, par. 90(1)(f)

195. Subparagraph 12(2)(a)(ii) of the Act is replaced by the following:

  • (ii) in the case of a company that has made an authorized assignment or against which a bankruptcy order has been made under the Bankruptcy and Insolvency Act, proof of which has been made in accordance with that Act, or