Bank Act

Marginal note:Right to distribution of money

• 359 (1) If in the course of the liquidation of a bank the shareholders resolve to, or the liquidator proposes to,

  • (a) exchange all or substantially all of the remaining property of the bank for securities of another entity that are to be distributed to the shareholders or to the incorporators, or

  • (b) distribute all or part of the remaining property of the bank to the shareholders or to the incorporators in kind,

  a shareholder or incorporator may apply to the court for an order requiring the distribution of the remaining property of the bank to be in money.

• Marginal note:Powers of court

  (2) On an application under subsection (1), the court may order

  • (a) all of the remaining property of the bank to be converted into and distributed in money; or

  • (b) the claim of any shareholder or incorporator applying under this section to be satisfied by a distribution in money.

• Marginal note:Order by court

  (3) Where an order is made by a court under paragraph (2)(b), the court

  • (a) shall fix a fair value on the share of the property of the bank attributable to the shareholder or incorporator;

  • (b) may in its discretion appoint one or more appraisers to assist the court in fixing a fair value in accordance with paragraph (a); and

  • (c) shall render a final order against the bank in favour of the shareholder or incorporator for the amount of the share of the property of the bank attributable to the shareholder or incorporator.