Canada Deposit Insurance Corporation Act

Marginal note:Terms and conditions of transactions

• 39.201 (1) If the Corporation as receiver for a federal member institution carries out a transaction with a bridge institution, the Corporation shall establish the terms and conditions of the transaction, including

  • (a) which assets the bridge institution shall acquire and the consideration to be paid for the assets acquired; and

  • (b) which liabilities the bridge institution shall assume and the consideration to be paid for the liabilities assumed.

• Marginal note:Reasonable consideration

  (2) The consideration referred to in paragraph (1)(a) shall be reasonable in the circumstances.

• Marginal note:Compensation

  (3) Nothing in subsections (1) and (2) prevents the federal member institution from seeking compensation under subsections 39.24(2) and (3) and sections 39.25 to 39.361.