Canadian Payments Association By-law No. 1 — General
7 (1) Despite the Canadian Payments Association By-law No. 6 — Compliance, the Board may suspend one or more of the rights of a member if
(a) the member has failed on more than one occasion to comply with any provision of the Act, the by-laws or the rules;
(b) a liquidator, a trustee in bankruptcy, a receiver, a receiver-manager or a sequestrator is appointed by an authorized person or a court of competent jurisdiction to take possession of all, or any part of, the member’s assets or undertakings; or
(c) a member proposes any arrangement or composition with its creditors, invokes any statute in that regard or commits any act of bankruptcy.
(1.1) The Board must not suspend a member’s rights under paragraph (1)(b) or (c) if the member is the subject of an order made under subsection 39.13(1) of the Canada Deposit Insurance Corporation Act.
Marginal note:Notice to member — suspension
(2) The Board must, as soon as feasible, notify the member in writing of its decision to suspend the member’s rights and the reasons for the suspension and, if the Board considers it necessary, must notify at the same time the other members in writing of the suspension.
(3) If the member requests a review within five days after receiving the notice, the Board must review its decision and provide the member with an opportunity to make representations.
Marginal note:Notice to member — review
(4) After the review, the Board must, as soon as feasible, notify the member in writing of its decision and the reasons for it. The Board must notify at the same time the other members in writing of its decision and reasons if
(a) the members were previously notified of the suspension under subsection (2) and the suspension was terminated; or
(b) the members were not previously notified of the suspension under subsection (2) and the suspension was confirmed.
Marginal note:Notice to other members
(5) The Board must notify the other members in writing of the suspension if no request for a review is received within the time period specified in subsection (3) and the Board did not previously notify the other members under subsection (2).
Marginal note:Survival of obligation to pay
(6) Despite the suspension of a member’s rights, the member continues to be liable to pay dues and fees to the Association.
- SOR/2020-167, s. 10
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