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Bankruptcy and Insolvency General Rules (C.R.C., c. 368)

Regulations are current to 2021-04-05 and last amended on 2011-03-25. Previous Versions

Remuneration of Trustees

  •  (1) Unless the court orders otherwise, the remuneration of a trustee is deemed to take into account all services performed by the trustee and by the trustee’s partners and employees.

  • (2) In taxing the accounts of a trustee pursuant to section 152 of the Act, the taxing officer shall tax disbursements at the rates provided by the tariff.

  • (3) A trustee’s disbursements do not include the indirect costs of the trustee’s facilities or premises.

  • (4) The expenses incurred by a trustee for the services of an interpreter referred to in section 57 and subsection 108(2) are calculated, at the time of taxation, at a rate that the taxing officer deems reasonable.

  • (5) The taxing officer shall determine the disbursements for which the trustee is entitled to be repaid in accordance with this section.

  • SOR/98-240, s. 1
  • SOR/2005-284, s. 5
  • SOR/2009-218, s. 5
  •  (1) For the purposes of section 156.1 of the Act, the amount required to be paid under the agreement must not be more than $1,800.

  • (2) Subject to section 136 of the Act, money from the estate of the bankrupt shall be applied to satisfy the amount to be paid under the agreement.

  • (3) The trustee shall provide the Superintendent and the bankrupt with a signed copy of the agreement immediately after it is entered into.

  • SOR/2009-218, s. 6

Prescribed Circumstances for Operation of Paragraph 67(1)(B.1) of Act

  •  (1) A goods and services tax credit payment is not comprised in the property of the bankrupt for the purpose of paragraph 67(1)(b.1) of the Act if a dividend is available to the creditors without taking that payment into account.

  • (2) If, in order for a dividend to be available to the creditors, it would be necessary to take into account all or part of a goods and services tax credit payment, the portion of that payment that is not comprised in the property of the bankrupt for the purpose of paragraph 67(1)(b.1) of the Act is the portion, if any, that would have been paid as a dividend to the creditors had all of the payment been comprised in the property of the bankrupt.

  • (3) For greater certainty, if no dividend would be available to the creditors even if a goods and services tax credit payment were taken into account, all of that payment is comprised in the property of the bankrupt for the purpose of paragraph 67(1)(b.1) of the Act.

  • SOR/98-240, s. 1

Prescribed Pension Plans for Operation of Subsection 60(1.5) and Sections 81.5 and 81.6 of the Act

 A pension plan regulated by an Act of Parliament or of the legislature of a province is prescribed for the purposes of

  • (a) subsection 60(1.5) of the Act; and

  • (b) sections 81.5 and 81.6 of the Act.

  • SOR/2008-223, s. 1

Prescribed Plan for Operation of Paragraph 67(1)(B.3) of the Act

 A deferred profit sharing plan, as defined in subsection 147(1) of the Income Tax Act, is prescribed for the purpose of paragraph 67(1)(b.3) of the Act.

  • SOR/2008-223, s. 1

Taxation of Accounts and Discharge of Trustee

General

 If, pursuant to subsection 152(4) of the Act, the Superintendent gives a letter of comment to the trustee, the trustee shall, within 30 days after receiving the letter, apply to the taxing officer for a date for a taxation hearing.

  • SOR/92-579, s. 9
  • SOR/98-240, s. 1
  • SOR/2007-61, s. 63(E)
  •  (1) An application of a trustee for discharge must

    • (a) be made in prescribed form; and

    • (b) be accompanied by a copy of the notice of final dividend and application for discharge of trustee, a copy of the final statement of receipts and disbursements as taxed, both in prescribed form, and a dividend sheet.

  • (2) At the time of discharge, the trustee must satisfy the court that

    • (a) the statements made in connection with the discharge are true;

    • (b) the final statement of receipts and disbursements is an accurate and correct statement of the administration of the estate, and has been approved by the inspectors and taxed by the court;

    • (c) [Repealed, SOR/2009-218, s. 7]

    • (d) all the property of the bankrupt for which the trustee was accountable has been sold, realized or disposed of in the manner described in the final statement of receipts and disbursements;

    • (e) every claim subject to a dividend was properly examined and that

      • (i) to the best of the trustee’s knowledge, the dividend sheet presented to the court contains a true and correct list of the claims of creditors entitled to share in the estate,

      • (ii) all payments shown on the dividend sheet have been duly made, and

      • (iii) unclaimed dividends and undistributed funds have been forwarded to the Superintendent by the trustee in accordance with subsection 154(1) of the Act;

    • (f) the trustee has not received, does not expect to receive, and has not been promised, any remuneration or consideration other than as shown in the final statement of receipts and disbursements;

    • (g) the trustee has complied with subsection 170(2) of the Act; and

    • (h) the final statement of receipts and disbursements, the dividend sheet and the notice of application for discharge of trustee have been sent to the registrar, the Division Office, the bankrupt and every creditor whose claim has been proved.

  • SOR/98-240, s. 1
  • SOR/2005-284, s. 6(F)
  • SOR/2009-218, s. 7

Summary Administration

 The trustee of the estate of a bankrupt under summary administration shall apply for taxation of the trustee’s accounts and for the discharge of the trustee by sending to the Division Office

  • (a) the trustee’s final statement of receipts and disbursements, in prescribed form; and

  • (b) the dividend sheet, showing the dividends paid or to be paid to the creditors of the bankrupt.

  • (c) [Repealed, SOR/2009-218, s. 8]

  • SOR/98-240, s. 1
  • SOR/2007-61, s. 12(E)
  • SOR/2009-218, s. 8

 The Superintendent shall examine all documents sent to the Division Office pursuant to section 62 and issue a letter of comment to the trustee, stating whether the Superintendent is requesting from the registrar the taxation of the trustee’s accounts.

  • SOR/98-240, s. 1
  •  (1) If the Superintendent’s letter of comment states that the Superintendent is not requesting the taxation of the trustee’s accounts, the trustee shall, within 30 days after receipt of the letter of comment, send to each creditor who has proved a claim a notice of taxation of the trustee’s accounts and discharge of the trustee, in prescribed form, attaching

    • (a) a copy of the trustee’s final statement of receipts and disbursements;

    • (b) a copy of the dividend sheet, showing the dividends paid or to be paid to the creditors of the bankrupt; and

    • (c) the final dividend that is owed to the creditor, if the trustee is satisfied that no creditor will object to the taxation of the trustee’s accounts and the discharge of the trustee.

  • (2) A creditor may, within 30 days after the day on which the notice referred to in subsection (1) is sent, object to the taxation of the trustee’s accounts and the discharge of the trustee by

    • (a) serving a notice of objection on the trustee or sending a notice of objection to the trustee by registered mail or courier;

    • (b) filing a copy of the notice of objection with the registrar, along with any applicable fee provided by the tariff; and

    • (c) sending a copy of the notice of objection to the Division Office.

  • SOR/81-646, s. 4
  • SOR/92-579, s. 11(F)
  • SOR/98-240, s. 1
  • SOR/2007-61, s. 63(E)

 [Repealed, SOR/98-240, s. 1]

  •  (1) If a trustee receives no notice of objection within the time limit set out in subsection 64(2), the trustee shall

    • (a) at the expiration of that time limit, take the trustee’s fee;

    • (b) at the expiration of that time limit, if the trustee has not already done so, send a final dividend to each creditor to whom one is owed; and

    • (c) within three months after the day on which the notice referred to in subsection 64(1) is sent,

      • (i) close the bank account used in administering the estate of the bankrupt, if that account is not a consolidated account, or, if the account is a consolidated account, ensure that all estate funds have been withdrawn from it,

      • (ii) remit any unclaimed dividends and undistributed funds to the Superintendent, and

      • (iii) send to the Division Office a certificate of compliance and deemed discharge, in prescribed form.

  • (2) A trustee is deemed to be discharged on meeting the requirements of paragraphs (1)(b) and (c).

  • (3) If a trustee receives a notice of objection within the time limit set out in subsection 64(2), the trustee shall

    • (a) [Repealed, SOR/2009-218, s. 9]

    • (b) obtain a hearing date from the registrar; and

    • (c) within 30 days after the day on which the notice of objection is received, send the objecting creditor a notice of hearing, which notice must be sent at least 30 days before the date of the hearing and must be in prescribed form.

  • SOR/81-646, s. 4
  • SOR/98-240, s. 1
  • SOR/2007-61, s. 63(E)
  • SOR/2009-218, s. 9
 
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