Distressed Pension Plan Workout Scheme (continued)
Marginal note:Obligation of employer and administrator
29.09 (1) The employer and administrator must provide the representatives with any prescribed information in the prescribed manner and within the prescribed period.
Marginal note:Fees and expenses
(2) The reasonable fees and expenses of the representatives must be paid by the employer and not out of the pension fund.
- 2010, c. 12, s. 1817
Marginal note:Workout agreement
29.1 (1) Subject to the regulations made for the purposes of sections 29.03 to 29.09, this section and sections 29.2 and 29.3, the employer and the representatives may negotiate a workout agreement that, among other things, proposes a funding schedule in respect of the pension plan for the period specified in the agreement.
(2) The proposed funding schedule may not provide for payments that become due before the day on which the negotiation period begins or that relate to normal cost.
(3) A workout agreement may not be entered into in respect of a pension plan that has been terminated in whole.
- 1998, c. 12, s. 19
- 2010, c. 12, s. 1817
Marginal note:Information to be provided to members and beneficiaries
29.2 (1) The members and beneficiaries must be provided with the prescribed information regarding the proposed workout agreement within the prescribed period by their respective representatives or, if the representative agrees, by the employer.
Marginal note:Consent of representatives
(2) A representative who is not a bargaining agent may consent to a proposed workout agreement only if less than one third of the members or beneficiaries that they represent object to the agreement within the prescribed period.
Marginal note:How objections are counted
(3) Any objection expressed by a representative on behalf of the members or beneficiaries that they represent is to be counted as a separate objection for each person that they represent.
- 2010, c. 12, s. 1817
Marginal note:Approval by Minister
29.3 (1) The proposed funding schedule may take effect only if it is approved by the Minister, on the request of the employer and the representatives who consent to the proposed workout agreement.
(2) The request for approval of the funding schedule may be submitted to the Minister only if less than one third of the members and less than one third of the beneficiaries object to the proposed workout agreement within the prescribed period.
Marginal note:Request for approval
(3) A request for approval must be submitted within the prescribed period and must be accompanied by
(a) a copy of the proposed workout agreement signed by the employer and the representatives that consent to it;
(b) the funding schedule in the form that the Superintendent directs;
(c) a written statement from each representative who consents to the proposed workout agreement or the employer, as the case may be, confirming that the requirements set out in subsection 29.2(1) have been met;
(d) a written statement in which the employer confirms that the requirement set out in subsection (2) has been met; and
(e) any prescribed documents or information.
(4) The Minister may approve the funding schedule only if, in the Superintendent’s opinion, it complies with the regulations made under subparagraph 39(1)(n.1)(v). In deciding whether or not to approve the funding schedule, the Minister must consider the prescribed criteria and any other matter that the Minister considers relevant.
Marginal note:Notification of decision
(5) The Minister must notify the Superintendent, employer, administrator and representatives of the decision and, if the funding schedule is approved, must provide the Superintendent with a copy of the schedule.
Marginal note:Effect of approval
(6) On approval by the Minister, the funding schedule is, for the purposes of this Act — except section 38 — and the regulations, considered to be part of the prescribed tests and standards for solvency in respect of the pension plan in question.
(7) In the event of an inconsistency between the approved funding schedule and the provisions of the regulations, the funding schedule prevails to the extent of the inconsistency.
- 2010, c. 12, s. 1817
Effect of Sale, Etc., of Business
Marginal note:Effect of sale, etc., of business
30 (1) Where
(a) an employer who is a party to a pension plan sells, assigns or otherwise disposes of all or part of its business or undertaking or all or part of the assets of its business or undertaking,
(b) an employee of that employer becomes an employee of the person acquiring the business, undertaking or assets (in this section called the “successor employer”), and
(c) the successor employer does not assume responsibility for the accrued benefits of the employer’s pension plan,
the employee continues to be entitled to the benefits provided under the employer’s plan in respect of the period of membership in that employer’s plan, without further accrual.
(2) Where the events described in paragraphs (1)(a) and (b) occur, whether or not the successor employer assumes responsibility for the accrued benefits of the employer’s plan, then,
(a) for the purposes of the employer’s plan, membership in the employer’s plan of an employee referred to in paragraph (1)(b) shall be deemed not to have ceased by reason of those events; and
(b) for the purposes of
(i) determining the period of employment with respect to any eligibility condition of the successor employer’s pension plan, and
(ii) determining whether such an employee is entitled to a benefit under a pension plan of the employer or of the successor employer,
the period of employment shall be deemed to include employment with both the employer and the successor employer without any interruption.
- R.S., 1985, c. 32 (2nd Supp.), s. 30
- 2010, c. 12, s. 1824(F)
Payment of Benefits and Designation of Beneficiaries
Marginal note:Certain provisions of provincial law to apply
31 Except to the extent that they are inconsistent with this Act, any provisions of any provincial law respecting the payment of benefits or the designation of beneficiaries under pension plans that would be applicable to a pension plan organized and administered to provide pension benefits to employees employed in included employment if that provincial law were applicable to such a pension plan shall be deemed to apply to such a pension plan as though that employment were not included employment.
Marginal note:Consent and other conditions
31.1 (1) Any requirement under this Act to provide a person with information, including information in a document, may be satisfied by the provision of an electronic document if
(a) the addressee has consented and has designated an information system for the receipt of the electronic document;
(b) the electronic document is provided to the designated information system; and
(c) the information in the electronic document is accessible by the addressee and capable of being retained by the addressee, so as to be usable for subsequent reference.
Marginal note:Revocation of consent
(2) An addressee may revoke the consent referred to in paragraph (1)(a).
(3) Subsections (1) and (2) do not apply
(a) to any requirement under this Act to provide the Minister or the Superintendent with information;
(b) to any requirement under this Act, imposed on the Minister or the Superintendent, to provide a person with information; or
(c) to any requirement under this Act exempted, by regulation, from the application of those subsections.
Marginal note:Communications by Minister or Superintendent
(4) For greater certainty, the Minister and the Superintendent may use electronic means to communicate information, including information in a document, under this Act.
- 2010, c. 25, s. 195
31.2 A requirement under this Act for a signature is satisfied in relation to an electronic document if the prescribed requirements, if any, are met and if the signature results from the use by a person of a technology or a process that permits the following to be proven:
(a) the signature resulting from the use by the person of the technology or process is unique to them;
(b) the technology or process is used by the person to incorporate, attach or associate their signature to the electronic document; and
(c) the technology or process can be used to identify its user.
- 2010, c. 25, s. 195
Objections and Appeals
Marginal note:Notice of objection
32 (1) An administrator who is notified under subsection 10(4) or section 11.1 may, within sixty days after the day the notification is given, serve on the Superintendent a notice of objection in the prescribed form and manner, setting out the reasons for the objection and all facts relevant to it.
Marginal note:Reconsideration by Superintendent
(2) On receipt of a notice of objection, the Superintendent shall immediately reconsider the refusal or the revocation and cancellation, as the case may be, and vary or confirm the action taken, and shall immediately notify the administrator of the decision.
- R.S., 1985, c. 32 (2nd Supp.), s. 32
- 1998, c. 12, s. 20
Marginal note:Appeal to Federal Court
33 (1) Where an administrator has served a notice of objection under section 32, the administrator may,
(a) within ninety days after the Superintendent has confirmed the action taken as described in subsection 32(1), or
(b) after ninety days and before one hundred and eighty days have elapsed after service of the notice of objection and the Superintendent has not notified the administrator that the Superintendent has varied or confirmed the action taken,
appeal to the Federal Court for an order as described in paragraph (5)(b).
Marginal note:Institution of appeal
(2) An appeal to the Federal Court shall be instituted by filing in the Registry of the Court, or by sending by registered mail addressed to it at Ottawa, three copies of a notice of appeal in prescribed form.
Marginal note:Registry to transmit copies
(3) On receipt of the copies of the notice of appeal referred to in subsection (2), the Registry of the Court shall transmit two copies to the Superintendent.
Marginal note:Documents relevant to appeal
(4) Forthwith after receiving a copy of the notice of appeal, the Superintendent shall forward to the Registry of the Court copies of all documents relevant to the appeal.
Marginal note:Disposal of appeal
(5) The Court may dispose of an appeal
(a) by dismissing it and ordering the appellant to ensure the compliance of the pension plan to which the appeal relates with this Act and the regulations; or
(b) by allowing it and ordering the Superintendent to register the pension plan to which the appeal relates or reinstate the registration of the plan, as the circumstances require, and issue a certificate of registration in respect thereof.
(6) An order made as described in paragraph (5)(b) may include conditions imposed on the appellant that are conditions precedent to the registration or reinstatement of registration of the pension plan to which the appeal relates.
- R.S., 1985, c. 32 (2nd Supp.), s. 33
- 1998, c. 12, s. 21
Marginal note:Application to Federal Court
33.1 (1) If an administrator, employer or other person has omitted to do any thing under this Act that is required to be done by them or on their part, or contravenes a direction of the Superintendent or a provision of this Act or the regulations, the Superintendent may, in addition to any other action that the Superintendent may take, apply to the Federal Court for an order requiring the administrator, employer or other person to cease the contravention or do any thing that is required to be done, and on such application the Federal Court may so order and make any other order it thinks fit.
(2) An appeal from an order made under subsection (1) lies in the same manner as an appeal from any other order of the Federal Court.
- 1998, c. 12, s. 22
Marginal note:Superintendent may bring actions
33.2 (1) In addition to any other action that the Superintendent may take in respect of a pension plan, the Superintendent may bring against the administrator, employer or any other person any cause of action that a member, former member or any other person entitled to a benefit from the plan could bring.
(2) Subsection (1) applies in respect of any cause of action regardless of whether it arose before or after the coming into force of this section.
- 1998, c. 12, s. 22
- 2010, c. 12, s. 1818
34 (1) The Superintendent or any person authorized in writing by the Superintendent for any purpose relating to the administration of this Act may, at any reasonable time,
(a) inspect any books, records or other documents, regardless of their physical form or characteristics, relating to a pension plan or to any securities, obligations or other investments in which pension fund moneys are invested; and
(b) require the administrator of a pension plan to furnish such information and in such form as the Superintendent deems necessary for the purpose of ascertaining whether or not the provisions of this Act or the regulations have been or are being complied with.
Marginal note:Powers of Superintendent
(2) The Superintendent has the same powers as those conferred on commissioners under Part II of the Inquiries Act with respect to the taking of evidence, and may delegate those powers.
Marginal note:Payment of expenses
(3) The fees and expenses of persons appointed on a temporary basis from outside the public service for the purposes of an inspection under paragraph (1)(a), including their fees and expenses related to preparing a report to the Superintendent relating to that inspection, are payable by the pension fund on being approved by the Superintendent.
- R.S., 1985, c. 32 (2nd Supp.), s. 34
- 1998, c. 12, s. 23
- 2003, c. 22, s. 225(E)
Marginal note:No action against person for withholding, etc.
35 No action lies against any person for withholding, deducting, paying or crediting any sum of money in compliance or intended compliance with this Act or the regulations.
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