Government of Canada / Gouvernement du Canada
Symbol of the Government of Canada

Search

Bank Act (S.C. 1991, c. 46)

Full Document:  

Act current to 2022-11-16 and last amended on 2022-06-30. Previous Versions

PART VIIIBusiness and Powers (continued)

General Business (continued)

Special Security (continued)

Marginal note:Regulations — aircraft objects

  •  (1) The Governor in Council may make regulations respecting the application of sections 426 to 436 to aircraft objects, including regulations

    • (a) removing classes of aircraft objects from the application of those sections or reinstating their application to those classes of aircraft objects; and

    • (b) eliminating rights and powers acquired under those sections in relation to aircraft objects.

  • Marginal note:Definition of aircraft objects

    (2) In subsection (1), aircraft objects has the same meaning as in subsection 2(1) of the International Interests in Mobile Equipment (aircraft equipment) Act.

  • 2005, c. 3, s. 10

Deposit Acceptance

Marginal note:Deposit acceptance

  •  (1) A bank may, without the intervention of any other person,

    • (a) accept a deposit from any person whether or not the person is qualified by law to enter into contracts; and

    • (b) pay all or part of the principal of the deposit and all or part of the interest thereon to or to the order of that person.

  • Marginal note:Exception

    (2) Paragraph (1)(b) does not apply if, before payment, the money deposited in the bank pursuant to paragraph (1)(a) is claimed by some other person

    • (a) in any action or proceeding to which the bank is a party and in respect of which service of a writ or other process originating that action or proceeding has been made on the bank, or

    • (b) in any other action or proceeding pursuant to which an injunction or order made by the court requiring the bank not to make payment of that money or make payment thereof to some person other than the depositor has been served on the bank,

    and, in the case of any such claim so made, the money so deposited may be paid to the depositor with the consent of the claimant or to the claimant with the consent of the depositor.

  • Marginal note:Execution of trust

    (3) A bank is not bound to see to the execution of any trust to which any deposit made under the authority of this Act is subject.

  • Marginal note:Payment when bank has notice of trust

    (4) Subsection (3) applies regardless of whether the trust is express or arises by the operation of law, and it applies even when the bank has notice of the trust if it acts on the order of or under the authority of the holder or holders of the account into which the deposit is made.

  • 1991, c. 46, s. 437
  • 2001, c. 9, s. 111

Unclaimed Balances

Marginal note:Unclaimed balances

  •  (1) Where

    • (a) a deposit has been made in Canada that is payable in Canada in Canadian currency and in respect of which no transaction has taken place and no statement of account has been requested or acknowledged by the creditor during a period of ten years

      • (i) in the case of a deposit made for a fixed period, from the day on which the fixed period terminated, and

      • (ii) in the case of any other deposit, from the day on which the last transaction took place or a statement of account was last requested or acknowledged by the creditor, whichever is later, or

    • (b) a cheque, draft or bill of exchange (including any such instrument drawn by one branch of a bank on another branch of the bank but not including such an instrument issued in payment of a dividend on the capital of a bank) payable in Canada in Canadian currency has been issued, certified or accepted by a bank in Canada and no payment has been made in respect thereof for a period of ten years after the date of issue, certification, acceptance or maturity, whichever is later,

    the bank shall pay to the Bank of Canada not later than December 31 in each year an amount equal to the principal amount of the deposit or instrument, plus interest, if any, calculated in accordance with the terms of the deposit or instrument, and payment accordingly discharges the bank from all liability in respect of the deposit or instrument.

  • Marginal note:Provision of information

    (2) A bank shall, on making a payment under subsection (1), provide the Bank of Canada, for each deposit or instrument in respect of which the payment is made, with the following information current as of the day the payment is made, in so far as it is known to the bank:

    • (a) in the case of a deposit,

      • (i) the name of the depositor in whose name the deposit is held,

      • (ii) the recorded address of the depositor,

      • (iii) the outstanding amount of the deposit, and

      • (iv) the branch of the bank at which the last transaction took place in respect of the deposit, and the date of that last transaction; and

    • (b) in the case of an instrument,

      • (i) the name of the person to whom or at whose request the instrument was issued, certified or accepted,

      • (ii) the recorded address of that person,

      • (iii) the name of the payee of the instrument,

      • (iv) the amount and date of the instrument,

      • (v) the name of the place where the instrument was payable, and

      • (vi) the branch of the bank at which the instrument was issued, certified or accepted.

  • Marginal note:Copies of signature cards and signing authorities

    (2.1) A bank shall, on written request by the Bank of Canada, provide the Bank of Canada with copies of signature cards and signing authorities relating to any deposit or instrument in respect of which it has made a payment under subsection (1). If it does not have any with respect to a deposit or instrument to which the request relates, it shall so inform the Bank of Canada.

  • Marginal note:Payment to claimant

    (3) Subject to section 22 of the Bank of Canada Act, where payment has been made to the Bank of Canada under subsection (1) in respect of any deposit or instrument, and if payment is demanded or the instrument is presented at the Bank of Canada by the person who, but for that section, would be entitled to receive payment of the deposit or instrument, the Bank of Canada is liable to pay, at its agency in the province in which the deposit or instrument was payable, an amount equal to the amount so paid to it together with interest, if interest was payable under the terms of the deposit or instrument,

    • (a) for a period not exceeding ten years from the day on which the payment was received by the Bank of Canada until the date of payment to the claimant; and

    • (b) at such rate and computed in such manner as the Minister determines.

  • Marginal note:Enforcing liability

    (4) The liability of the Bank of Canada under subsection (3) may be enforced by action against the Bank of Canada in the court in the province in which the deposit or instrument was payable.

  • Marginal note:Application of subsection (1)

    (5) Subsection (1) applies only in respect of

    • (a) deposits made, and cheques, drafts and bills of exchange issued, certified or accepted, in the ten year period immediately preceding the day on which this section comes into force; and

    • (b) deposits made, and cheques, drafts and bills of exchange issued, certified or accepted, on or after the day on which this section comes into force.

  • 1991, c. 46, s. 438
  • 1999, c. 28, s. 23
  • 2007, c. 6, s. 29

Marginal note:Notice of unpaid amount

  •  (1) A bank shall mail to each person, in so far as is known to the bank,

    • (a) to whom a deposit referred to in paragraph 438(1)(a) is payable, or

    • (b) to whom or at whose request an instrument referred to in paragraph 438(1)(b) was issued, certified or accepted,

    at the person’s recorded address, a notice stating that the deposit or instrument remains unpaid.

  • Marginal note:When notice to be sent

    (2) The notice must be sent during the month of January next following the end of the first two-year period, during the month of January next following the end of the first five-year period and also during the month of January next following the end of the first nine-year period

    • (a) in the case of a deposit made for a fixed period, after the fixed period has terminated;

    • (b) in the case of any other deposit, in respect of which no transaction has taken place and no statement of account has been requested or acknowledged by the creditor; and

    • (c) in the case of a cheque, draft or bill of exchange, in respect of which the instrument has remained unpaid.

  • Marginal note:Notification of transfer to the Bank of Canada

    (3) The notice to be sent during the month of January next following the end of the first nine-year period determined under paragraphs (2)(a) to (c), as the case may be, must also

    • (a) [Repealed before coming into force, 2008, c. 20, s. 3]

    • (b) include the mailing address and websites where information can be obtained on how to claim the unpaid deposit or instrument.

Miscellaneous

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2001, c. 9, s. 115]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

 [Repealed, 2018, c. 27, s. 321]

Marginal note:Transmission in case of death

  •  (1) Where the transmission of a debt owing by a bank by reason of a deposit, of property held by a bank as security or for safe-keeping or of rights with respect to a safety deposit box and property deposited therein takes place because of the death of a person, the delivery to the bank of

    • (a) an affidavit or declaration in writing in form satisfactory to the bank signed by or on behalf of a person claiming by virtue of the transmission stating the nature and effect of the transmission, and

    • (b) one of the following documents, namely,

      • (i) when the claim is based on a will or other testamentary instrument or on a grant of probate thereof or on such a grant and letters testamentary or other document of like import or on a grant of letters of administration or other document of like import, purporting to be issued by any court or authority in Canada or elsewhere, an authenticated copy or certificate thereof under the seal of the court or authority without proof of the authenticity of the seal or other proof, or

      • (ii) when the claim is based on a notarial will, an authenticated copy thereof,

    is sufficient justification and authority for giving effect to the transmission in accordance with the claim.

  • Marginal note:Idem

    (2) Nothing in subsection (1) shall be construed to prevent a bank from refusing to give effect to a transmission until there has been delivered to the bank such documentary or other evidence of or in connection with the transmission as it may deem requisite.

  • 1991, c. 46, s. 460
  • 1999, c. 28, s. 25(E)

Marginal note:Branch of account with respect to deposits

  •  (1) For the purposes of this Act, the branch of account with respect to a deposit account is

    • (a) the branch the address or name of which appears on the specimen signature card or other signing authority signed by a depositor with respect to the deposit account or that is designated by agreement between the bank and the depositor at the time of opening of the deposit account; or

    • (b) if no branch has been identified or agreed on as provided in paragraph (a), the branch that is designated as the branch of account with respect thereto by the bank by notice in writing to the depositor.

  • Marginal note:Where debt payable

    (2) The amount of any debt owing by a bank by reason of a deposit in a deposit account in the bank is payable to the person entitled thereto only at the branch of account and the person entitled thereto is not entitled to demand payment or to be paid at any other branch of the bank.

  • Marginal note:Idem

    (3) Notwithstanding subsection (2), a bank may permit either occasionally or as a regular practice, the person to whom the bank is indebted by reason of a deposit in a deposit account in the bank to withdraw moneys owing by reason of that deposit at a branch of the bank other than the branch of account or to draw cheques or other orders for the payment of such moneys at a branch other than the branch of account.

  • Marginal note:Situs of indebtedness

    (4) The indebtedness of a bank by reason of a deposit in a deposit account in the bank shall be deemed for all purposes to be situated at the place where the branch of account is situated.

 
Date modified: