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Family Orders and Agreements Enforcement Assistance Act (R.S.C., 1985, c. 4 (2nd Supp.))

Act current to 2020-01-27 and last amended on 2019-06-21. Previous Versions

PART IIGarnishment of Federal Moneys to Satisfy Orders (continued)

Administrative Procedures (continued)

Marginal note:Demand under Income Tax Act

 For the purposes of section 37, if the Minister of National Revenue knows or suspects that garnishable moneys would be payable to a judgment debtor were the debtor to file a return of income for a taxation year, that Minister may, in accordance with subsection 150(2) of the Income Tax Act, demand that the debtor file a return of income for that taxation year.

  • 2019, c. 16, s. 57

Marginal note:Obligation to monitor and report back

 In addition to reporting under section 37, each minister responsible for garnishable moneys shall continue to monitor the payments of those moneys the entire time during which Her Majesty is bound in respect of payments thereof and report to the Minister whenever any payments to the judgment debtor become payable or foreseeably payable.

Marginal note:Additional information with every report

 When reporting that garnishable moneys are payable or are foreseeably payable to the judgment debtor, each minister shall also inform the Minister of the amounts payable and the times when those moneys became, or will become, payable.

Marginal note:Right to search information banks

 Subject to the regulations, the Minister and every minister responsible for garnishable moneys is entitled to have any of the information banks that may be searched under Part I searched for any information necessary to confirm the identity of any judgment debtor.

  • R.S., 1985, c. 4 (2nd Supp.), s. 40
  • 2019, c. 16, s. 58

Response to Garnishee Summons

Marginal note:Response time

 The Minister, on behalf of Her Majesty, shall respond to every garnishee summons within the time prescribed by the regulations.

  • R.S., 1985, c. 4 (2nd Supp.), s. 41
  • 2019, c. 16, s. 59(F)

Marginal note:Methods of response

 In addition to any method of responding to a garnishee summons permitted by provincial garnishment law, the Minister may respond to a garnishee summons by any method prescribed by the regulations.

  • R.S., 1985, c. 4 (2nd Supp.), s. 42
  • 2019, c. 16, s. 60

Marginal note:Response by registered mail

 Where the Minister responds to a garnishee summons by registered mail, the receipt issued in accordance with regulations relating to registered mail made under the Canada Post Corporation Act shall be received in evidence and is, unless the contrary is shown, proof that the Minister has responded to the garnishee summons.

  • R.S., 1985, c. 4 (2nd Supp.), s. 43
  • 2019, c. 16, s. 61(F)

Discharge of Liability

Marginal note:Effect of payment into court

  •  (1) A payment into court by the Minister is, to the extent of the payment, a good and sufficient discharge of Her Majesty’s liability under this Part and under the legislation governing the garnishable moneys.

  • Marginal note:Effect of payment to provincial enforcement service

    (2) If provincial garnishment law permits a payment to a provincial enforcement service of the province, a payment to the provincial enforcement service by the Minister is, to the extent of the payment, a good and sufficient discharge of Her Majesty’s liability under this Part and under the legislation governing the garnishable moneys.

  • R.S., 1985, c. 4 (2nd Supp.), s. 44
  • 2019, c. 16, s. 62

Notice to Judgment Debtor

Marginal note:Notice to judgment debtor

 If a garnishee summons is served on the Minister under this Part, the Minister may notify the judgment debtor named in the garnishee summons of that service.

  • R.S., 1985, c. 4 (2nd Supp.), s. 45
  • 1993, c. 8, s. 17
  • 2019, c. 16, s. 63

 [Repealed, 1993, c. 8, s. 17]

Recovery of Excess Payments

Marginal note:Payments to judgment debtor

 If a judgment debtor is paid any garnishable moneys to which the judgment debtor is not entitled by reason of garnishment proceedings permitted under this Part, the amount that is paid is a debt due to Her Majesty by the judgment debtor and may be recovered as such in accordance with the Financial Administration Act or the legislation governing the particular garnishable moneys paid to the judgment debtor.

  • R.S., 1985, c. 4 (2nd Supp.), s. 49
  • 2019, c. 16, s. 64(E)

Marginal note:Payments to party that instituted proceedings

 Subject to section 51, if garnishable moneys are paid under this Part to or for the benefit of a party that instituted garnishment proceedings permitted under this Part in excess of the amount that should be paid to or for the benefit of that party, the excess is a debt due to Her Majesty by that party and may be recovered as such in accordance with the Financial Administration Act or by way of deduction from, or set-off or compensation against, any garnishable moneys payable to or for the benefit of that party under this Part.

  • R.S., 1985, c. 4 (2nd Supp.), s. 50
  • 2019, c. 16, s. 65

Marginal note:Exception

 Where it is determined that the reason for the payment of excess moneys referred to in section 50 is that the judgment debtor was not entitled to the garnishable moneys garnisheed under this Part, the amount of the excess is a debt due to Her Majesty by the judgment debtor and may be recovered as such in accordance with the Financial Administration Act or the legislation governing the garnishable moneys garnisheed under this Part.

General

Marginal note:Ranking of Her Majesty

 When a judgment debtor is indebted to

  • (a) Her Majesty, or

  • (b) Her Majesty in right of a province on account of taxes payable to any province, and an agreement exists between Canada and the province under which Canada is authorized to collect the tax on behalf of the province,

Her Majesty ranks in priority over the party that instituted the garnishment proceedings permitted under this Part with respect to any garnishable moneys that are payable to the judgment debtor notwithstanding that a garnishee summons in respect of those moneys has been served on the Minister, and the amount of the indebtedness may be recovered or retained in any manner authorized by law.

  • R.S., 1985, c. 4 (2nd Supp.), s. 52
  • 2001, c. 4, s. 81

Marginal note:Multiple garnishee summonses

 Where more than one garnishee summons is served on the Minister under this Part in respect of the same judgment debtor and the garnishable moneys payable to the judgment debtor are insufficient to satisfy all the garnishee summonses, payment shall be made on a proportional basis.

Marginal note:No execution against Her Majesty

 No execution shall issue on a judgment given against Her Majesty in garnishment proceedings permitted by this Part.

Garnishment, Attachment and Pension Diversion Act

Marginal note:Garnishment, Attachment and Pension Diversion Act

 In the event that a garnishee summons that binds Her Majesty may be honoured under this Part or the Garnishment, Attachment and Pension Diversion Act, the garnishee summons shall be honoured first under the Garnishment, Attachment and Pension Diversion Act and secondly under this Part.

Prohibitions

Marginal note:Prohibition on disentitlement

 No person may be disentitled or disqualified in respect of any payment or future payment of garnishable moneys solely on the ground that garnishment proceedings permitted by this Part may be or have been taken in respect of that person.

Marginal note:Prohibition on dismissal

 No person may be dismissed, suspended or laid off solely on the ground that garnishment proceedings permitted by this Part may be or have been taken in respect of that person.

Fee

Marginal note:Fee

 A fee in the amount prescribed by the regulations is chargeable in respect of the processing of every garnishee summons served on the Minister.

Marginal note:Chargeable against judgment debtor

 Subject to any regulations respecting the remittance of the fee referred to in section 58, it is a debt due to Her Majesty by the judgment debtor and may, subject to section 60, be recovered by way of deduction from, or set-off or compensation against, any garnishable moneys payable to the judgment debtor.

  • R.S., 1985, c. 4 (2nd Supp.), s. 59
  • 2019, c. 16, s. 67

Marginal note:Restriction

 The fee referred to in section 58 may not be recovered out of any garnishable moneys to be used to honour a garnishee summons.

  • R.S., 1985, c. 4 (2nd Supp.), s. 60
  • 2019, c. 16, s. 68(F)

Regulations

Marginal note:Regulations

 The Governor in Council may make regulations

  • (a) designating Acts of Parliament, provisions thereof and programs thereunder for the purposes of the definition garnishable moneys;

  • (a.1) prescribing the percentage of the amount of garnishable moneys, in relation to the Act of Parliament, the provision of that Act or the program under that Act by or under which the garnishable moneys are authorized to be paid, that is to be exempt from the enforcement of orders;

  • (b) prescribing the form of the application referred to in paragraph 28(c);

  • (c) prescribing the period of time before which Her Majesty becomes bound by the service of the documents referred to in section 28;

  • (c.1) specifying periods and circumstances for the purposes of section 30;

  • (d) specifying the place where service of documents on the Minister must be effected in connection with garnishment proceedings permitted under this Part;

  • (e) respecting the methods of service of documents and providing for the day on which service of documents on the Minister is deemed to be effected;

  • (f) respecting the conducting of searches for the purposes of this Part of the information banks that may be searched under Part I;

  • (g) respecting the methods by which the Minister may respond to garnishee summonses and prescribing the time within which the Minister must do so;

  • (h) prescribing the form of the notification referred to in section 45 and the time within which and the manner in which it must be sent;

  • (i) prescribing a fee in respect of the processing of garnishee summonses and the time and manner of collecting the fee;

  • (j) respecting the remission, in whole or in part, of the fee referred to in section 58; and

  • (k) generally, for carrying out the purposes and provisions of this Part.

  • R.S., 1985, c. 4 (2nd Supp.), s. 61
  • 1993, c. 8, s. 18
  • 2019, c. 16, s. 69
 
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