Trust and Loan Companies Act (S.C. 1991, c. 45)

Act current to 2013-04-29 and last amended on 2012-12-19. Previous Versions

Marginal note:Policies re security interests

  • 419. (1) The directors of a company shall establish and the company shall adhere to policies regarding the creation of security interests in property of the company to secure obligations of the company and the acquisition by the company of beneficial interests in property that is subject to security interests.

  • Marginal note:Order to amend policies

    (2) The Superintendent may, by order, direct a company to amend its policies as specified in the order.

  • Marginal note:Compliance

    (3) A company shall comply with an order made under subsection (2) within the time specified in the order.

  • 1991, c. 45, s. 419;
  • 1999, c. 31, s. 219(E);
  • 2001, c. 9, s. 534;
  • 2007, c. 6, s. 360(F).
Previous Version
Marginal note:Regulations and guidelines

419.1 The Governor in Council may make regulations and the Superintendent may make guidelines respecting the creation by a company of security interests in its property to secure obligations of the company and the acquisition by the company of beneficial interests in property that is subject to security interests.

  • 2001, c. 9, s. 534.
Marginal note:Exception

419.2 Sections 419 and 419.1 do not apply in respect of a security interest created by a company to secure an obligation of the company to the Bank of Canada or the Canada Deposit Insurance Corporation.

  • 2001, c. 9, s. 534.
Marginal note:Restriction on receivers

420. A company shall not grant to a person the right to appoint a receiver or a receiver and manager of the property or business of the company.

Marginal note:Restriction on partnerships

  • 421. (1) Except with the approval of the Superintendent, a company may not be a general partner in a limited partnership or a partner in a general partnership.

  • Marginal note:Meaning of “general partnership”

    (2) For the purposes of subsection (1), “general partnership” means any partnership other than a limited partnership.

  • 1991, c. 45, s. 421;
  • 2001, c. 9, s. 535.

Fiduciary Activities

Marginal note:Separate and distinct

  • 422. (1) A company shall keep money and other assets acquired or held in trust by the company separate and distinct from its own assets and shall keep a separate account for each trust.

  • Marginal note:Common trust fund

    (2) Unless the instrument creating a trust otherwise provides, a company may invest money it holds in trust in one or more common trust funds.