Short Title

1 These Regulations may be cited as the Advance Payments for Crops Collection Regulations.

Interpretation

2 In these Regulations,

Act

Act means the Advance Payments for Crops Act; (Loi)

buyer

buyer means a buyer who has  been named by a producer organization pursuant to subparagraph 5(1)(b)(i) of the Act; (acheteur)

guarantee

guarantee means a guarantee given by the Minister under section 4 of the Act and in respect of which no request for payment has been made by a producer organization under paragraph 12(1)(b) of the Act before the coming into force of these Regulations. (garantie)

General

• 3 (1) Subject to section 4, where a producer is in default in respect of an advance and has become liable to a producer organization under section 8 of the Act, the producer organization, before making a request for payment out of the Consolidated Revenue Fund pursuant to paragraph 12(1)(b) of the Act, shall

  • (a) subject to paragraphs (b) and (c), attempt to collect from the producer the outstanding balance of the liability owing to it pursuant to section 8 of the Act;

  • (b) where the producer has agreed to repay all or part of its advance in the manner described in subparagraph 5(1)(b)(i) of the Act, attempt to collect the amount of that outstanding balance from the buyer;

  • (c) if either the producer referred to in paragraph (a) or the buyer referred to in paragraph (b) is bankrupt or insolvent, attempt to collect the amount of that outstanding balance pursuant to the undertaking, if any, given in accordance with paragraph 11(3)(a) of the Act.

• (2) For the purposes of subsection (1), attempt to collect means the taking of all reasonable steps to collect the outstanding balance that would be taken by a prudent creditor in similar circumstances including, if necessary, instituting legal proceedings, obtaining judgment and issuing execution on the judgment.

4 The producer organization need make no attempt to collect an outstanding balance in accordance with paragraphs 3(1)(a) to (c) where

• (a) the outstanding balance, if it were a debt due Her Majesty, meets the criteria of a debt eligible to be written off pursuant to paragraphs 6(a) to (i) of the Debt Write-Off Regulations; or

• (b) a compromise settlement of the claim by the producer organization for the outstanding balance is reached that is in form and substance satisfactory to the Minister.

5 These Regulations apply in respect of every guarantee given after August 1, 1985.