Financial Consumer Protection Framework Regulations (SOR/2021-181)

Marginal note:Non-application — section 627.993 of Act

92 Section 627.993 of the Act does not apply in any of the following circumstances:

• (a) the closure or cessation is temporary and is caused by events beyond the control of the member bank;

• (b) the member bank does not expect the closure or cessation to continue for more than 15 business days;

• (c) the closure or cessation results from the sale by the member bank of the branch’s assets and liabilities to another financial institution, that other financial institution proposes to operate a retail deposit-taking branch at the same site and the financial services that have been provided to the public from that site are not expected to be interrupted as a result of the sale for more than 15 business days;

• (d) the closure or cessation results from a relocation of the branch or a consolidation of the branch with one or more branches into another branch and the travelling distance from the site of the relocated or consolidated branch to the site of the closed branch is less than 500 m;

• (e) the closure or cessation is required in order to comply with

  • (i) a prudential agreement entered into between the member bank and the Superintendent under section 644.1 of the Act,

  • (ii) a direction of the Superintendent under subsection 645(1) of the Act, or

  • (iii) an order of a court under section 646 of the Act;

• (f) the closure or cessation results from a decision of the Superintendent under subsection 649(2) of the Act after the Superintendent has taken control of the member bank under subparagraph 648(1)(b)(iii) of the Act;

• (g) the closure or cessation results from actions directed towards the voluntary liquidation of the member bank

  • (i) after the Minister has approved an application under section 344 of the Act for letters patent dissolving the member bank, or

  • (ii) under the supervision of a court under an order made by the court under subsection 347(1) of the Act;

• (h) the closure or cessation results from a winding-up order in respect of the member bank made under section 10 or 10.1 of the Winding-up and Restructuring Act;

• (i) the closure or cessation results from the termination or cancellation of the policy of deposit insurance of the member bank under the Canada Deposit Insurance Corporation Act;

• (j) the closure or cessation results from the making of an order under subsection 39.13(1) of the Canada Deposit Insurance Corporation Act in respect of the member bank;

• (k) the closure or cessation is part of a restructuring transaction carried out under subsection 39.2(1) of the Canada Deposit Insurance Corporation Act; and

• (l) the branch was acquired within the preceding year by a purchaser in a restructuring transaction carried out under subsection 39.2(1) of the Canada Deposit Insurance Corporation Act.