Financial System Review Act (S.C. 2012, c. 5)

Assented to 2012-03-29

 The Act is amended by adding the following after section 46:

Marginal note:Enforcement of decision
  • 46.1 (1) An order of a compliance panel established under paragraph 8(1)(a) of Canadian Payments Association By-law No. 6 — Compliance may be made an order of the Federal Court or of a superior court of a province and may be enforced in the same manner as an order of that court as if it had been an order of that court on the date of the decision.

  • Marginal note:Procedure

    (2) An order of a compliance panel may be made an order of a court in accordance with the usual practice and procedure of the court in such matters, if any, or by the filing of a certified copy of the decision with the registrar of the court.

  • Marginal note:Effect of rescission or variation

    (3) If an order of a compliance panel that has been made an order of a court is rescinded or varied by a subsequent order of the compliance panel, the order of the court is vacated and the subsequent order may be made an order of the court in accordance with subsection (2).

  • Marginal note:Saving

    (4) The President may enforce any order of a compliance panel whether or not the order has been made an order of a court.

R.S., c. W-11; 1996, c. 6, s. 134Winding-up and Restructuring Act

Marginal note:1996, c. 6, s. 161
  •  (1) Paragraph 161(1)(a) of the Winding-up and Restructuring Act is replaced by the following:

    • (a) costs of liquidation;

  • Marginal note:1996, c. 6, s. 161; 1997, c.15, s. 411; 2007, c. 6, s. 445

    (2) Subsections 161(2) to (6) of the Act are replaced by the following:

    • Marginal note:Claims re life companies — policyholders

      (2) No payment on a claim by a policyholder of a company insuring risks under policies referred to in subparagraph (1)(c)(i) claiming a minimum amount that the company has agreed to pay under a policy in respect of an amount for which a segregated fund is maintained under section 451, subsection 542.03(2) or section 593 of the Insurance Companies Act for a deficiency if the assets of the fund are insufficient to satisfy such a claim, shall be made unless the assets of the company are sufficient to pay the claims referred to in subsection (1) and all of the terms of the policies of policyholders referred to in that subsection have been satisfied in full including any interest component of those policies accruing to the date of payment of the claim.

    • Marginal note:Claims re life companies — creditors

      (2.1) No payment on a claim by a creditor of a company insuring risks under policies referred to in subparagraph (1)(c)(i) shall be made unless the assets of the company are sufficient to pay the claims referred to in subsections (1) and (2) and all of the terms of the policies of the policyholders referred to in those subsections have been satisfied in full including any interest component of those policies accruing to the date of payment of the claim.

    • Marginal note:Interest component

      (3) For the purposes of subsections (2) and (2.1), the interest component of the claims of policyholders referred to in subparagraph (1)(c)(i) shall be treated as part of the claim that has arisen under the policy in accordance with the terms of the policy.

    • Marginal note:Claims re other companies

      (4) No payment on a claim by a creditor of a company insuring risks under policies referred to in subparagraph (1)(c)(ii) shall be made unless the assets of the company are sufficient to pay the claims referred to in subsection (1).

    • Marginal note:Subordinated debt holders

      (5) Holders of subordinated indebtedness, within the meaning of subsection 2(1) of the Insurance Companies Act, of a company and other indebtedness that by their terms rank equally or are subordinate to such indebtedness are entitled to receive payment on their claims only if the assets of the company are sufficient to pay the claims referred to in subsections (2), (2.1) and (4).

    • Marginal note:Priority of claims of policyholders in foreign companies

      (6) Despite anything in this Part but subject to subsection (8), if a company is a foreign company, no claim, after the payment of costs of liquidation, ranks against the assets other than claims described in paragraphs (a) to (c), and the balance, if any, of the assets remaining after those claims are paid shall be applied by the liquidator in satisfaction of the claims of any other creditors — but not including policyholders and creditors of the foreign company in respect of a class of insurance not specified in the order referred to in paragraph (b) — of the insurance business in Canada of the foreign company in accordance with subsections (2), (2.1) and (4):

      • (a) the preferred creditors referred to in paragraph (1)(b);

      • (b) holders of policies of a class of insurance specified in the order of the Superintendent under Part XIII of the Insurance Companies Act other than holders of a policy exempt from Part XIII by virtue of section 572.1 of that Act; and

      • (c) expenses described in paragraph 686(1)(a) of the Insurance Companies Act, that were incurred by the Superintendent in respect of the company and assessed against and paid by other companies pursuant to that Act, and interest in respect of those expenses at the rate that is specified by the Superintendent.

  • Marginal note:1996, c. 6, s. 161

    (3) The portion of paragraph 161(8)(b) of the Act before clause (ii)(A) is replaced by the following:

    • (b) risks falling within some other class of insurance, other than accident and sickness insurance, credit protection insurance and other approved products insurance,

      • (i) in the case of the costs of liquidation and the claims of preferred creditors, the costs, portions of expenses and claims shall be paid from the assets in Canada, maintained for the policies referred to in subparagraphs (ii) and (iii), together with the assets under the control of the chief agent, in the proportion that the court considers fair and equitable,

      • (ii) in the case of policies falling within the classes of life insurance, accident and sickness insurance, credit protection insurance and other approved products insurance, claims shall be paid

  • Marginal note:1996, c. 6, s. 161

    (4) Subsection 161(9) of the Act is replaced by the following:

    • Marginal note:Priority of costs, etc.

      (9) For greater certainty, the costs, claims and expenses referred to in subsections (6) and (8) shall be paid in accordance with the priorities set out in subsection (1).