Cooperative Credit Associations Act

Marginal note:Civil liability

• 267 (1) An insider who, in connection with a transaction in a security of the association or any of its affiliates, makes use of any specific confidential information for the insider’s own benefit or advantage that, if generally known, might reasonably be expected to affect materially the value of the security

  • (a) is liable to compensate any person for any direct loss suffered by that person as a result of the transaction, unless the information was known or in the exercise of reasonable diligence should have been known to that person; and

  • (b) is accountable to the association for any direct benefit or advantage received or receivable by the insider as a result of the transaction.

• Marginal note:Limitation of action

  (2) An action to enforce a right created by subsection (1) may not be commenced

  • (a) after a period of two years after discovery of the facts that gave rise to the cause of action; or

  • (b) if the transaction was required to be reported under sections 261 to 263, after a period of two years from the time of reporting under those sections.