Français

Credit Unions and Caisses Populaires Act, 1994

S.O. 1994, CHAPTER 11

Consolidation Period: From August 20, 2007 to the e-Laws currency date.

Last amendment: 2007, c. 7, Sched. 7, ss. 1-177.

SKIP TABLE OF CONTENTS

CONTENTS

PART I
INTERPRETATION

Definitions

1.  In this Act,

“affiliate” means an affiliated body corporate within the meaning of section 5; (“membre du même groupe”)

“articles of incorporation” or “articles” means the original or restated articles of incorporation, articles of amalgamation, articles of amendment, memorandum of association, a special Act or other instrument by which a credit union is incorporated and includes any amendment thereto; (“statuts constitutifs” ou “statuts”)

“association of credit unions” means a body corporate incorporated by ten or more credit unions to act as their stabilization authority; (“association de caisses”)

Note: On a day to be named by proclamation of the Lieutenant Governor, the definition of “association of credit unions” is repealed by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (1). See: 2007, c. 7, Sched. 7, ss. 1 (1), 192 (2).

“auditor” means a person who is a public accountant licensed under the Public Accounting Act, 2004 and includes a partnership of auditors or a firm of accountants; (“vérificateur”)

Note: On a day to be named by proclamation of the Lieutenant Governor, the definition of “auditor” is repealed by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (1). See: 2007, c. 7, Sched. 7, ss. 1 (1), 192 (2).

“board” means, with respect to a credit union, its board of directors; (“conseil”)

“body corporate” means any body corporate with or without share capital and whether or not it is a corporation to which this Act applies; (“personne morale”)

“borrow” does not include the taking of deposits; (“emprunter”)

“by-law” means a by-law approved under this Act, and includes any amendment or revocation of a by-law approved under this Act; (“règlement administratif”)

Note: On a day to be named by proclamation of the Lieutenant Governor, the definition of “by-law” is repealed by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (1). See: 2007, c. 7, Sched. 7, ss. 1 (1), 192 (2).

“Commission” means the Financial Services Commission of Ontario established under the Financial Services Commission of Ontario Act, 1997; (“Commission”)

Note: On a day to be named by proclamation of the Lieutenant Governor, the definition of “Commission” is repealed by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (1). See: 2007, c. 7, Sched. 7, ss. 1 (1), 192 (2).

“Corporation” means the Deposit Insurance Corporation of Ontario; (“Société”)

“court”, except where the context indicates otherwise, means the Superior Court of Justice; (“tribunal”)

“credit union” means a corporation incorporated as a credit union or caisse populaire under this Act or a predecessor of this Act; (“caisse”, “caisse populaire”)

Note: On a day to be named by proclamation of the Lieutenant Governor, the definition of “credit union” is repealed by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (2) and the following substituted:

“credit union” means a corporation incorporated or continued as a credit union or caisse populaire under this Act or a predecessor of this Act; (“caisse”, “caisse populaire”)

See: 2007, c. 7, Sched. 7, ss. 1 (2), 192 (2).

“debt obligation” means a bond, debenture, note or other evidence of indebtedness of an entity, whether secured or unsecured; (“titre de créance”)

“deposit” includes money deposited in a credit union under a federal or provincial registered savings plan or fund; (“dépôt”)

Note: On a day to be named by proclamation of the Lieutenant Governor, the definition of “deposit” is repealed by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (3) and the following substituted:

“deposit” includes money deposited with a credit union under a federal or provincial registered savings plan or fund; (“dépôt”)

See: 2007, c. 7, Sched. 7, ss. 1 (3), 192 (2).

“deposit insurer” means the Deposit Insurance Corporation of Ontario; (“organisme d’assurance-dépôts”)

“depositor” means a person with funds on deposit with a credit union; (“déposant”)

“entity” means a body corporate, trust, partnership, fund, an unincorporated organization, Her Majesty in right of Canada or of a province, an agency of Her Majesty in either of such rights and the government of a foreign country or any political subdivision thereof and any agency thereof; (“entité”)

“financial institution” means,

(a) a bank,

Note: On a day to be named by proclamation of the Lieutenant Governor, clause (a) is repealed by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (4) and the following substituted:

(a) a bank or authorized foreign bank within the meaning of section 2 of the Bank Act (Canada),

See: 2007, c. 7, Sched. 7, ss. 1 (4), 192 (2).

(b) a corporation registered under the Insurance Act or the Investment Contracts Act,

Note: On a day to be named by proclamation of the Lieutenant Governor, clause (b) is repealed by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (4) and the following substituted:

(b) an insurer licensed under the Insurance Act,

See: 2007, c. 7, Sched. 7, ss. 1 (4), 192 (2).

(c) a corporation registered under the Loan and Trust Corporations Act,

(d) an entity that is,

(i) incorporated or formed by or under an Act of the Parliament of Canada or of the legislature of a province, and

(ii) primarily engaged in dealing in securities, including portfolio management and investment counselling,

(e) a credit union, and

Note: On a day to be named by proclamation of the Lieutenant Governor, clause (e) is amended by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (5) by striking out “and” at the end. See: 2007, c. 7, Sched. 7, ss. 1 (5), 192 (2).

(f) a league; (“institution financière”)

Note: On a day to be named by proclamation of the Lieutenant Governor, the definition of “financial institution” is amended by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (5) by adding the following clauses:

(g) a retail association as defined under the Cooperative Credit Associations Act (Canada), and

(h) such other entities or classes of entities as may be prescribed;

See: 2007, c. 7, Sched. 7, ss. 1 (5), 192 (2).

“financial statement” means a financial statement referred to in subsection 212 (4); (“état financier”)

“firm of accountants” means,

(a) a partnership, the members of which are accountants engaged in the practice of accounting, or

(b) a body corporate that is incorporated by or under an Act of the legislature of a province and engaged in the practice of accounting; (“cabinet de comptables”)

“incorporator” means an individual who signs articles of incorporation; (“fondateur”)

“league” means a corporation incorporated as a credit union league or federation under this Act or a predecessor of this Act; (“fédération”)

“member” means a person who is a member or enrolled as a member of a credit union under this Act, the articles and the by-laws of the credit union governing membership; (“sociétaire”)

“membership share” means an interest in the equity of a credit union that confers the rights referred to in subsection 52(1); (“part sociale”)

“Minister” means the Minister of Finance; (“ministre”)

“officer”, in respect of a credit union, means,

(a) the chair of the board, a vice-chair of the board, the president, a vice-president, the secretary, an assistant secretary, the treasurer, an assistant treasurer and the general manager,

(b) any individual who performs functions for the credit union normally performed by a person mentioned in clause (a), and

(c) any other individual designated as an officer by by-law or by resolution of the directors; (“dirigeant”)

Note: On a day to be named by proclamation of the Lieutenant Governor, the definition of “officer” is repealed by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (6) and the following substituted:

“officer”, in respect of a credit union, means,

(a) the chair of the board required under section 94.2,

(b) the corporate secretary required under subsection 140 (1),

(c) the chief executive officer required under subsection 140 (1), and

(d) any other officer provided for in the by-laws referred to in subsection 140 (1); (“dirigeant”)

See: 2007, c. 7, Sched. 7, ss. 1 (6), 192 (2).

Note: On a day to be named by proclamation of the Lieutenant Governor, section 1 is amended by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (7) by adding the following definition:

“patronage share” means a share of a class provided for by the articles of a credit union in accordance with section 53; (“part de ristourne”)

See: 2007, c. 7, Sched. 7, ss. 1 (7), 192 (2).

“personal representative” means a person who stands in place of and represents another person and includes, as the circumstances require, a trustee, an executor, an administrator, a committee, a guardian, a tutor, a curator, an assignee, a receiver, an agent or an attorney of any person, but does not include a delegate; (“représentant personnel”)

Note: On a day to be named by proclamation of the Lieutenant Governor, the definition of “personal representative” is amended by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (8) by striking out “a tutor”. See: 2007, c. 7, Sched. 7, ss. 1 (8), 192 (2).

“prescribed” means prescribed by the regulations; (“prescrit”)

“real estate” includes a leasehold interest in real property; (“bien immobilier”)

Note: On a day to be named by proclamation of the Lieutenant Governor, the definition of “real estate” is repealed by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (9). See: 2007, c. 7, Sched. 7, ss. 1 (9), 192 (2).

“regulations” means the regulations made under this Act; (“règlement”)

“regulatory capital” in respect of a credit union, has the meaning given to that expression by the regulations; (“capital réglementaire”)

“related person”, when used to indicate a relationship with any person, means,

(a) a spouse of the person,

(b) any son or daughter of the person, or

(c) any relative of the person or of any person mentioned in clause (a) or (b); (“personne liée”)

“relative” means a relative by blood, marriage or adoption; (“parent”)

“security” means a security as defined under the Securities Act but does not include a deposit with a financial institution or any instrument evidencing the deposit; (“valeur mobilière”)

“share” includes a membership share unless specifically excluded by this Act; (“action”)

“shareholder” means a shareholder as defined in subsection 8 (1); (“actionnaire”)

“special resolution” means a resolution passed by two-thirds or more of the votes cast by or on behalf of the persons who voted in respect of that resolution; (“résolution extraordinaire”)

“spouse” means a spouse as defined under Part III of the Family Law Act; (“conjoint”)

“stabilization authority” means the Corporation and any league or association of credit unions designated by the Corporation as a stabilization authority; (“organe de stabilisation”)

Note: On a day to be named by proclamation of the Lieutenant Governor, the definition of “stabilization authority” is repealed by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 1 (9). See: 2007, c. 7, Sched. 7, ss. 1 (9), 192 (2).

“subordinated indebtedness” means an instrument evidencing an indebtedness of a credit union that, by its terms, provides that the indebtedness will, in the event of the insolvency or winding up of the credit union, be subordinate in right of payment to all deposit liabilities of the credit union and all other liabilities of the credit union except those that, by their terms, rank equally with or are subordinate to the indebtedness; (“titre secondaire”)

“Superintendent” means the Superintendent of Financial Services appointed under the Financial Services Commission of Ontario Act, 1997; (“surintendant”)

“Tribunal” means the Financial Services Tribunal established under the Financial Services Commission of Ontario Act, 1997. (“Tribunal”) 1994, c. 11, s. 1; 1997, c. 28, s. 52; 1999, c. 6, s. 19 (1, 2); 2002, c. 18, Sched. H, s. 3 (1); 2004; c. 8, ss. 46, 47 (1); 2005, c. 5, s. 18 (1, 2); 2006, c. 19, Sched. C, s. 1 (1).

Joint shareholders

2.  (1)  For the purposes of this Act, two or more persons holding the same share or shares jointly are considered as one member or shareholder. 1994, c. 11, s. 2 (1).

Exception

(2)  Despite subsection (1), two or more persons jointly holding enough membership shares to entitle each of them to be a member in his or her own right are all considered as separate members. 1994, c. 11, s. 2 (2).

Note: On a day to be named by proclamation of the Lieutenant Governor, subsection (2) is amended by the Statutes of Ontario, 2007, chapter 7, Schedule 7, section 2 by striking out “his or her” and substituting “their”. See: 2007, c. 7, Sched. 7, ss. 2, 192 (2).

Subsidiary

3.  For the purposes of this Act, a body corporate is a subsidiary of another body corporate if,

(a) it is controlled by,

(i) that other,

(ii) that other and one or more bodies corporate each of which is controlled by that other, or

(iii) two or more bodies corporate that are that other’s subsidiary; or

(b) it is a subsidiary of a body corporate that is that other’s subsidiary. 1994, c. 11, s. 3.

Holding body corporate

4.  For the purposes of this Act, a body corporate is another’s holding body corporate if that other is its subsidiary. 1994, c. 11, s. 4.

Affiliation

5.  (1)  For the purposes of this Act, one body corporate is affiliated with another body corporate if one of them is the subsidiary of the other or both are subsidiaries of the same body corporate or each of them is controlled by the same person. 1994, c. 11, s. 5 (1).

Affiliate by order

(2)  On application in writing by a credit union, the Superintendent may, by order and on the terms specified in the order, deem a corporate body named in the order to be an affiliate for the purposes of this Act or for the purpose of specific provisions of this Act. 1994, c. 11, s. 5 (2); 1997, c. 28, s. 53.

Note: On a day to be named by proclamation of the Lieutenant Governor, subsection (2) is amended by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 3 (1) by striking out “Superintendent” and substituting “Corporation”. See: 2007, c. 7, Sched. 7, ss. 3 (1), 192 (2).

Revocation of order

(3)  The Superintendent may revoke the order if he or she believes that the credit union has failed to comply with a term set out in the order or that it is no longer appropriate to deem the corporate body in respect of which the order is made to be an affiliate. 1994, c. 11, s. 5 (3); 1997, c. 28, s. 53.

Note: On a day to be named by proclamation of the Lieutenant Governor, subsection (3) is repealed by the Statutes of Ontario, 2007, chapter 7, Schedule 7, subsection 3 (2) and the following substituted:

Revocation of order

(3)  The Corporation may, by order, revoke an order under subsection (2) if the Corporation believes that the credit union has failed to comply with a term set out in the order under subsection (2) or that it is no longer appropriate to deem the corporate body in respect of which the order under subsection (2) was made to be an affiliate. 2007, c. 7, Sched. 7, s. 3 (2).

Procedural rules

(4)  Section 240.1 applies with respect to an order under this section. 2007, c. 7, Sched. 7, s. 3 (2).

See: 2007, c. 7, Sched. 7, ss. 3 (2), 192 (2).

Controlling body corporate