Canada Cooperatives Act

Marginal note:Powers of court

316 In connection with the liquidation and dissolution of a cooperative, the court may, if it is satisfied that the cooperative is able to pay or adequately provide for the discharge of all its obligations, make any order it thinks fit, including an order

• (a) to liquidate;

• (b) appointing a liquidator, with or without security, and fixing their remuneration, or replacing a liquidator;

• (c) appointing inspectors or referees, specifying their powers and fixing their remuneration, or replacing inspectors or referees;

• (d) determining the notice to be given to any interested person, or dispensing with notice to any person;

• (e) determining the validity of any claim made against the cooperative;

• (f) at any stage of the proceedings, restraining the directors and officers from

  • (i) exercising any of their powers, or

  • (ii) collecting or receiving any debt or other property of the cooperative, and from paying out or transferring any property of the cooperative, except as permitted by the court;

• (g) determining and enforcing the duty or liability of any present or former director, officer, member or shareholder

  • (i) to the cooperative, or

  • (ii) for an obligation of the cooperative;

• (h) approving the payment, satisfaction or compromise of claims against the cooperative and the retention of assets for those purposes, and determining the adequacy of provisions for the payment or discharge of obligations of the cooperative, whether liquidated, unliquidated, future or contingent;

• (i) disposing of or destroying documents and records of the cooperative;

• (j) on the application of a creditor, the inspectors or the liquidator, giving directions on any matter arising on the liquidation;

• (k) after notice has been given to all interested parties, relieving a liquidator from an omission or default on any terms that the court thinks fit and confirming any act of the liquidator;

• (l) subject to section 322, approving any proposed interim or final distribution to members or shareholders in money or in property in accordance with their respective rights;

• (m) disposing of any property that belongs to creditors, members or shareholders who cannot be found;

• (n) on the application of a director, officer, member, shareholder or creditor or the liquidator,

  • (i) staying the liquidation on any terms and conditions that the court thinks fit,

  • (ii) continuing or discontinuing the liquidation proceedings, or

  • (iii) to the liquidator, to restore to the cooperative all its remaining property; and

• (o) after the liquidator has rendered a final account to the court, dissolving the cooperative.