Business Development Bank of Canada Act (S.C. 1995, c. 28)

Act current to 2019-06-20 and last amended on 2017-12-14. Previous Versions

Business Development Bank of Canada Act

S.C. 1995, c. 28

Assented to 1995-07-13

An Act to continue the Federal Business Development Bank under the name Business Development Bank of Canada

Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:

Short Title

Marginal note:Short title

 This Act may be cited as the Business Development Bank of Canada Act.

Interpretation

Marginal note:Definitions

 In this Act,

Bank

Bank means the Business Development Bank of Canada continued by subsection 3(1); (Banque)

bill of lading

bill of lading has the same meaning as in subsection 425(1) of the Bank Act; (connaissement)

Board

Board means the Board of Directors of the Bank; (conseil)

by-law

by-law means a by-law of the Bank; (règlement administratif)

Chairperson

Chairperson means the Chairperson of the Board; (président du conseil)

Crown

Crown means Her Majesty in right of Canada; (Version anglaise seulement)

debt obligation

debt obligation means a bond, debenture, note, investment certificate or other evidence of indebtedness or a guarantee of a corporation, whether secured or unsecured; (titre de créance)

Designated Minister

Designated Minister means such member of the Queen’s Privy Council for Canada as may be designated by the Governor in Council as the Minister for the purposes of this Act; (ministre compétent)

director

director means a member of the Board; (administrateur)

enterprise

enterprise means an organized economic activity carried on by one or more persons; (entreprise)

Executive Committee

Executive Committee[Repealed, 2014, c. 39, s. 211]

goods, wares and merchandise

goods, wares and merchandise has the same meaning as in subsection 425(1) of the Bank Act; (effets, denrées ou marchandises)

joint venture

joint venture means an association of persons, when the relationship among those associated persons does not, under the laws of Canada, constitute a corporation, partnership or trust; (coentreprise)

person

person includes a trust, a partnership, a joint venture and an association of natural persons or corporations; (personne)

President

President means the President of the Bank; (président)

resolution

resolution means a resolution of the Board; (résolution)

securities

securities means the shares of any class or series of shares or the debt obligations of a corporation and includes certificates evidencing those shares or debt obligations; (valeurs mobilières)

subsidiary

subsidiary has the same meaning as in subsection 83(6) of the Financial Administration Act; (filiale)

warehouse receipt

warehouse receipt has the same meaning as in subsection 425(1) of the Bank Act. (récépissé d’entrepôt)

  • 1995, c. 28, s. 2
  • 2014, c. 39, s. 211

Establishment and Organization of the Bank

Status of the Bank

Marginal note:Continuation of Federal Business Development Bank

  •  (1) The Federal Business Development Bank established by the Federal Business Development Bank Act is continued as a body corporate under the name “Business Development Bank of Canada”.

  • Marginal note:Head office

    (2) The head office of the Bank must be at a place in Canada that the Governor in Council may designate.

  • Marginal note:Capacity

    (3) The Bank has, in respect of its powers, all the rights, powers, privileges and capacity of a natural person.

  • Marginal note:Agent of the Crown

    (4) The Bank is for all purposes an agent of the Crown.

Purpose

Marginal note:Purpose of Bank

  •  (1) The purpose of the Bank is to support Canadian entrepreneurship by providing financial and management services and by issuing securities or otherwise raising funds or capital in support of those services.

  • Marginal note:Consideration to small and medium-sized enterprises

    (2) In carrying out its activities, the Bank must give particular consideration to the needs of small and medium-sized enterprises.

Board of Directors

Marginal note:Membership of Board

  •  (1) The Bank has a Board of Directors comprised of the Chairperson, the President and not fewer than three, but no more than 11, other directors.

  • Marginal note:Limit on directors from public service

    (2) No more than two of the directors, excluding the Chairperson and President, may be appointed from the federal public administration.

  • 1995, c. 28, s. 5
  • 2003, c. 22, s. 224(E)
  • 2010, c. 12, s. 1660

Marginal note:Appointment of Chairperson

  •  (1) The Chairperson is to be appointed by the Governor in Council to hold office during pleasure for a term that the Governor in Council considers appropriate.

  • Marginal note:Absence or incapacity

    (1.1) If the Chairperson is absent or unable to act or the office of Chairperson is vacant, the Board may authorize one of the other directors to act as Chairperson, but that person is not authorized to act as Chairperson for a period of more than 180 days without the approval of the Governor in Council.

  • Marginal note:Appointment of President

    (2) Notwithstanding subsection 105(5) of the Financial Administration Act, the President is to be appointed by the Governor in Council to hold office during good behaviour for a term that the Governor in Council considers appropriate and may be removed for cause.

  • Marginal note:Reappointment

    (3) The President is eligible for reappointment on the expiration of his or her term of office.

  • Marginal note:Appointment of directors

    (4) The other directors are to be appointed by the Designated Minister, with the approval of the Governor in Council, for a term not exceeding four years that will ensure, as far as possible, the expiration in any one year of the terms of office of not more than half of the directors.

  • Marginal note:Acting directors

    (5) The Governor in Council may appoint an individual to act as a director if a director is absent or unable to act.

  • Marginal note:Eligibility

    (6) No individual is eligible to be appointed or to continue as President, Chairperson or a director if the individual is

    • (a) neither a Canadian citizen nor a permanent resident within the meaning of subsection 2(1) of the Immigration and Refugee Protection Act;

    • (b) a Canadian citizen who is not ordinarily resident in Canada;

    • (c) a permanent resident, within the meaning of subsection 2(1) of the Immigration and Refugee Protection Act, who has been ordinarily resident in Canada for more than one year after first becoming eligible to apply for Canadian citizenship;

    • (d) a member of the Senate or House of Commons or a member of the legislature of a province; or

    • (e) employed in the public service of a province.

  • 1995, c. 28, s. 6
  • 2001, c. 27, s. 208
  • 2006, c. 9, s. 229
  • 2014, c. 39, s. 212

Marginal note:Functions of Board

  •  (1) The Board shall direct and manage the business and affairs of the Bank.

  • Marginal note:By-laws

    (2) The Board may, by resolution, make by-laws to regulate the business and affairs of the Bank.

  • Marginal note:Committees of Board

    (3) The Board may establish any committee of the Board that it considers advisable and may determine the committee’s composition and duties and the tenure of its members.

  • Marginal note:Delegation of powers and specification of duties

    (4) The Board may delegate power to, and specify the duties and authority of, any committee of the Board to act in all matters that are not by this Act or any by-law or resolution specifically reserved to be done by the Board.

  • 1995, c. 28, s. 7
  • 2014, c. 39, s. 213
 
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