Bill 16 - Consumer Protection Act

BILL 16

Consumer Protection Act

His Majesty, by and with the advice and consent of the Legislative Assembly of New Brunswick, enacts as follows:

PART 1

DEFINITIONS, INTERPRETATION AND APPLICATION

Definitions

1 The following definitions apply in this Act.

“Commission” means the Financial and Consumer Services Commission continued under the Financial and Consumer Services Commission Act. (Commission)

“common-law partner” means a person who cohabits in a conjugal relationship with another person if the persons are not married to each other. (conjoint de fait)

“consumer”, except in Part 11, means an individual who participates in a consumer transaction and does not include a person who is supplied or has the right to be supplied goods, services or rewards points for business purposes. (consommateur)

“consumer agreement” means a contract or other agreement between a supplier and a consumer for the supply of goods, services or rewards points to the consumer for personal, family or household purposes. (convention de consommation)

“consumer transaction” means (opération de consommation)

(a) the supply of goods, services or rewards points by a supplier to a consumer for personal, family or household purposes,

(b) a solicitation, offer, advertisement or promotion by a supplier with respect to a transaction referred to in paragraph (a), or

“Court of King’s Bench” means The Court of King’s Bench of New Brunswick and includes a judge of that court. (Cour du Banc du Roi)

“credit agreement” means an agreement under which credit is extended and includes (convention de crédit)

(a) an agreement in relation to

( i) a loan of money,

( ii) a credit sale,

( iii) a line of credit, or

( iv) a credit card, and

(b) a renewal of or an amendment to an agreement referred to in paragraph (a).

“credit card issuer” means, except in Part 7, a person who is a credit grantor in relation to a credit card. (émetteur d’une carte de crédit)

“credit grantor” means (prêteur)

(a) a person who has entered into, or who is negotiating to enter into, a credit agreement under which the person extends or is to extend credit to a borrower if

( i) the borrower has entered into or is to enter into the credit agreement for personal, family or household purposes, and

( ii) the credit is not in respect of the sale of goods intended for resale, and

(b) an assignee of the original credit grantor’s rights under a credit agreement, if the borrower has been given notice of the assignment.

“Director” means the Director of Consumer Affairs appointed under the Financial and Consumer Services Commission Act and includes any person designated by the Commission or the Director to act on the Director’s behalf. (directeur)

“lease” means an agreement for the hire of goods except for an agreement for the hire of goods in connection with a residential tenancy agreement. (bail)

“lessee” means an individual who has entered into, or who is negotiating to enter into, a lease under which the individual hires or is to hire goods from a lessor. (preneur à bail)

“lessor” means (bailleur)

(a) a person who has entered into, or who is negotiating to enter into, a lease under which the person leases or is to lease goods to a lessee if the lessee has entered into or is to enter into the lease primarily for the personal, family or household purposes of the lessee, or

(b) an assignee of the original lessor’s rights under a lease, if the lessee has been given notice of the assignment.

“Minister” means the Minister of Finance and Treasury Board and includes any person designated by the Minister to act on the Minister’s behalf. (ministre)

“ongoing consumer transaction” means a consumer transaction that provides for the continuing or periodic supply of goods, services or rewards points, whether for a fixed or an indeterminate period. (opération de consommation en étalement)

“publish” means make public in any manner, including by or through any media. (publier)

“regulated activity” means an activity governed by this Act or the regulations. (activité réglementée)

“regulation” means a regulation made under this Act and, unless the context otherwise indicates, includes a rule. (règlement)

“rule” means a rule made under this Act, or if the context requires, a rule made under the Financial and Consumer Services Commission Act. (règle)

“Small Claims Court” means the Small Claims Court of New Brunswick and includes an adjudicator of that court. (Cour des petites créances)

“supplier”, except in Part 2, means a person who is in the business of selling, leasing or trading in goods or services or is otherwise in the business of supplying goods or services, including the supply of rewards points. (fournisseur)

“Tribunal” means Tribunal as defined in the Financial and Consumer Services Commission Act. (Tribunal)

Carrying on business in the Province

2 For the purposes of this Act and the regulations, a person shall be deemed to carry on business in the Province if the person:

(a) maintains an office, warehouse or place of business in the Province;

(b) holds itself out as carrying on business in the Province;

(d) has a resident agent or representative in the Province that carries on business on its behalf;

(e) directly or indirectly markets goods or services to consumers in the Province; or

(f) directly or indirectly offers or extends credit to borrowers in the Province.

Associates

3 For the purposes of this Act and the regulations, two persons are associates of each other if

(a) one of them is the spouse, common-law partner, parent, child, sibling or business partner of the other person, or

(b) one of them is a corporation and a sufficient number of shares to elect a majority of the corporation’s directors are beneficially owned, directly or indirectly, by

( i) the other person,

( ii) one or more associates of the other person, or

( iii) the other person and one or more associates of the other person.

Non-application of Act

4( 1) This Act or any provision of this Act or the regulations or any provision of the regulations does not apply to

(a) a transaction or proposed transaction under the Securities Act,

(b) financial products and services regulated under the Insurance Act,

(d) any transaction or class of transaction prescribed by regulation, or

(e) any person or class of persons exempted from the application of this Act or the regulations or a provision of this Act or regulations by an order of the Director made under subsection 5(1).

4( 2) A person exempted under paragraph (1)(c) from the application of this Act or the regulations or any provision of this Act or regulations shall comply with any terms or conditions prescribed by regulation.

Exemptions

5( 1) If the Director considers it appropriate to do so, the Director may, by order and subject to any terms and conditions the Director considers appropriate, exempt any person or class of persons from the application of this Act or any provision of it or from the application of the regulations or any provision of the regulations.

5( 2) An order under subsection (1) may be made on the Director’s own motion or on the application of an interested person.

5( 3) An order under subsection (1) may be retroactive in its operation.

5( 4) A person to whom an order under subsection (1) applies shall comply with the terms and conditions imposed by the Director under that subsection.

Waiver or release of rights under this Act or the regulations

6( 1) No person shall request or require a person to waive or release the person’s rights, benefits or protections under this Act or the regulations except to the extent that the waiver or release is expressly permitted by this Act or the regulations.

6( 2) Any waiver or release given by a person of the person’s rights, benefits or protections under this Act or the regulations is void except to the extent that the waiver or release is expressly permitted by this Act or the regulations.

6( 3) Any limit imposed on a person’s rights, benefits or protections under this Act or the regulations is void except to the extent that the limit is expressly permitted by this Act or the regulations.

Other remedies not precluded

7 Any remedy under this Act is in addition to and does not derogate from any other legal, equitable or statutory remedy.

PART 2

UNFAIR PRACTICES

Definitions

8 The following definitions apply in this Part.

“material fact” means any information that would reasonably be expected to affect a decision of a consumer in relation to a consumer transaction. (fait important)

“supplier”a person who as principal or agent carries on the business of (fournisseur)

(a) selling, leasing or otherwise providing goods or services to consumers,

(b) manufacturing, importing or assembling goods, or

Application

9( 1) Subject to subsection (2), this Part applies to

(a) an unfair practice involving a supplier that carries on business in the Province,

(b) an unfair practice involving a consumer who is a resident of the Province,

(c) an unfair practice involving a consumer agreement in which the offer or acceptance is made in or is sent from within the Province,

(d) an unfair practice made or received in the Province involving a supplier’s representative, and

(e) an unfair practice involving circumstances specified in the regulations.

9( 2) This Part only applies to an unfair practice that occurs on or after the commencement of this section.

Unfair practices

10( 1) It is an unfair practice for a supplier

(a) to exert undue pressure or influence on a consumer to enter into a consumer agreement,

(b) to take advantage of a consumer as a result of the consumer’s inability to understand the character, nature, language or effect of a consumer transaction or any matter related to the transaction,

(d) to use exaggeration, innuendo or ambiguity concerning a material fact in relation to a consumer transaction,

(e) to charge a price for goods or services that grossly exceeds the price at which similar goods or services are readily available without informing a consumer of the difference in price and the reason for the difference,

(f) to charge a price for goods or services that exceeds the estimate given for those goods or services by more than 10% or that exceeds that estimate by more than $100, unless,

( i) the consumer has expressly consented to the higher price before the goods or services are supplied, or

( ii) if the consumer requires additional or different goods or services, the consumer and the supplier agree to amend the estimate,

(g) to charge a fee for an estimate for goods or services unless a consumer

( i) is informed in advance that a fee will be charged and informed of the amount of the fee, and

( ii) has expressly consented to be charged the fee,

(h) to enter into a consumer agreement if the supplier knows or ought to know that the consumer is unable to receive any reasonable benefit from the goods or services,

(i) to enter into a consumer agreement if the supplier knows or ought to know that there is no reasonable probability that the consumer is able to pay the full price for the goods or services,

(j) to include in a consumer agreement terms and conditions that are harsh, oppressive or excessively one‑sided, or

(k) to make a representation that a consumer agreement involves or does not involve rights, remedies or obligations that is not accurate.

10( 2) Without limiting subsection (1), the following are unfair practices if they are directed at one or more consumers or potential consumers:

(a) a supplier’s doing or saying anything that might reasonably deceive or mislead a consumer;

(b) a supplier’s misleading statement of opinion if the consumer is likely to rely on that opinion to the consumer’s disadvantage;

(c) a supplier’s representation that goods or services have sponsorship, approval, performance, characteristics, accessories, ingredients, quantities, components, uses, benefits or other attributes that they do not have;

(d) a supplier’s representation that the supplier has a sponsorship, approval, status, qualification, affiliation or connection that the supplier does not have;

(e) a supplier’s representation that goods or services are of a particular standard, quality, grade, style or model if they are not;

(f) a supplier’s representation about the extent to which goods have been used that is not accurate;

(g) a supplier’s representation that goods are new if they are used, deteriorated, altered or reconditioned;

(h) a supplier’s representation that goods have or do not have a particular history or usage if that is not accurate;

(i) a supplier’s representation that goods or services are available for a reason that is not accurate;

(j) a supplier’s representation that goods or services have been made available in accordance with a previous representation if they have not;

(k) a supplier’s representation that the supplier can supply goods or services if the supplier cannot;

(l) a supplier’s representation involving a voucher that another supplier will provide goods or services or will provide goods or services at a discounted or reduced price if the first‑mentioned supplier knows or ought to know that the second‑mentioned supplier will not;

(m) a supplier’s representation that goods are available in a particular quantity if they are not;

(n) a supplier’s representation that goods or services will be supplied within a stated period if the supplier knows or ought to know that they will not;

(o) a supplier’s representation that a specific price benefit or advantage exists if it does not;

(p) a supplier’s representation that a part, replacement, repair or adjustment is needed or desirable if it is not;

(q) a supplier’s representation that a service has been provided, a part has been installed, a replacement has been provided or a repair or adjustment has been made if it has not;

(r) a supplier’s representation that the supplier is requesting information, conducting a survey or making a solicitation for a particular purpose if that is not the case;

(s) a supplier’s representation that a person does or does not have the authority to negotiate the terms of a consumer transaction if that is not the case;

(t) when the price of any part of goods or services is given in any representation by a supplier,

( i) failure to give the total price of the goods or services, or

( ii) giving less prominence to the total price of the goods or services than to the price of the part;

(u) when the amount of any instalment to be paid in respect of goods or services is given in any representation by a supplier,

( i) failure to give the total price of the goods or services, or

( ii) giving less prominence to the total price of the goods or services than to the amount of the instalment;

(v) a supplier’s representation regarding a consumer agreement that provides for the continuing supply of services if the supplier fails

( i) to provide prominent and full disclosure of the terms of the consumer agreement, including duration, changes in price, renewals, extensions or amendments, or

( ii) to obtain the consumer’s express consent to renewals, extensions or amendments of the consumer agreement;

(w) a supplier’s representation of an estimate of the price of goods or services if the goods or services cannot be provided for that price;

(x) a supplier’s representation of the price of goods or services in a way that a consumer might reasonably believe that the price refers to a larger package of goods or services than is the case;

(y) a supplier’s representation that a consumer will obtain a benefit for helping the supplier to find other potential customers if it is unlikely that the consumer will obtain a benefit;

(z) a supplier’s representation about the performance, capability or useful life of goods or services unless

( i) the representation is based on adequate and proper independent testing that was done before the representation is made,

( ii) the testing substantiates the claim, and

( iii) the representation accurately and fairly reflects the results of the testing;

(aa) a supplier’s representation that goods or services are available at an advantageous price if reasonable quantities of them are not available at that price, unless it is made clear that quantities are limited;

(bb) a supplier’s representation that appears to be objective in a form such as an editorial, documentary or scientific report when the representation is primarily made to sell goods or services, unless the representation states that it is an advertisement or promotion;

(cc) a supplier’s representation about the purpose of a charge or proposed charge if that is not the purpose;

(dd) a supplier’s using possession or control of a consumer’s goods to pressure the consumer into renegotiating a term or condition of a consumer agreement; and

(ee) anything specified in the regulations.

Prohibition on engaging in an unfair practice

11( 1) No person shall engage in an unfair practice.

11( 2) In determining whether a person has engaged in an unfair practice, the general impression given by the alleged unfair practice may be considered as well as the literal meaning of the representation or the terms and conditions of the consumer agreement.

11( 3) If it is alleged that a supplier has engaged in an unfair practice, the onus is on the supplier to prove that the supplier has not engaged in the unfair practice.

Prohibition on advertisements containing unfair practices

12( 1) No person shall publish a supplier’s advertisement for goods or services if the advertisement contains an unfair practice.

12( 2) Subsection (1) does not apply to a person who publishes a supplier’s advertisement in good faith and in the ordinary course of business.

Circumstances surrounding an unfair practice

13( 1) An unfair practice may occur

(a) before, during or after a consumer transaction,

(b) whether or not a consumer agreement is entered into, and

13( 2) An unfair practice may consist of a single act or omission.

13( 3) An unfair practice is an unfair practice for the purposes of this Part even if

(a) it is not directed at a specific consumer and does not occur in the course of or for the purposes of a specific consumer transaction but is directed to the public at large, and

(b) there is no privity of contract between the supplier and any specific consumer affected by the unfair practice.

Cancellation when there has been an unfair practice

14( 1) A consumer may cancel, at no cost or penalty to the consumer, a consumer agreement, whether written or oral, that was entered into by the consumer and a supplier who engaged in an unfair practice regarding the consumer transaction, whether the unfair practice occurred before or at the time the consumer agreement was entered into or afterwards.

14( 2) A consumer is entitled to recover the amount by which the consumer’s payment under the consumer agreement exceeds the value of the goods or services or to recover damages, or both, if cancellation of the consumer agreement is not possible because

(a) the return or restitution of the goods or cancellation of the services is no longer possible, or

(b) cancellation would deprive a third party of a right in the subject‑matter of the consumer agreement that the third party has acquired in good faith and for value.

14( 3) When a consumer cancels a consumer agreement, the cancellation operates to cancel, as if they never existed,

(a) the consumer agreement,

(b) all related consumer agreements,

(d) all security given by the consumer or a guarantor in respect of money payable under the consumer agreement, and

(e) all credit agreements and other payment instruments, including promissory notes,

( i) extended, arranged or facilitated by the supplier with whom the consumer made the consumer agreement, or

( ii) otherwise related to the consumer agreement.

14( 4) The cancellation right under this section is in addition to, and does not affect, any other right or remedy the consumer has under a consumer agreement or at law.

Notice

15( 1) A consumer who wishes to cancel a consumer agreement under subsection 14(1) or to seek recovery under subsection 14(2) is required to give notice within one year after entering into the consumer agreement.

15( 2) A consumer may give notice in any manner as long as the notice meets any requirements prescribed by regulation and indicates

(a) the consumer’s intention

( i) to cancel the consumer agreement, or

( ii) to seek recovery if cancellation is not possible, and

(b) the consumer’s reasons for taking the actions set out in paragraph (a).

15( 3) A consumer may give a notice to a supplier by

(a) personal service, or

(b) sending it to the supplier by registered mail, prepaid courier, fax or any other method that permits the consumer to provide evidence of the cancellation.

15( 4) A notice that is given in accordance with paragraph (3)(b) shall be deemed to have been given when sent.

15( 5) The consumer may give the notice to the supplier with whom the consumer entered into the consumer agreement at the address set out in the agreement, or, if the consumer did not receive a written copy of the agreement or if the address of the supplier was not set out in the agreement, the consumer may give the notice

(a) at any address of the supplier on record with the Commission or the Government of New Brunswick, or

(b) at an address of the supplier known to the consumer.

15( 6) If a consumer has given notice and has not received a satisfactory response within the period prescribed by regulation, the consumer may commence an action in the Court of King’s Bench under section 16.

Application to Court of King’s Bench – unfair practices

16( 1) A consumer who has entered into a consumer agreement who has suffered damage or loss due to an unfair practice in respect of that consumer agreement may apply to the Court of King’s Bench to commence an action against any supplier who engaged in or acquiesced in the unfair practice that caused that damage or loss.

16( 2) A consumer referred to in subsection 15(6) may apply to the Court of King’s Bench to commence an action against the supplier with whom the consumer entered into the consumer agreement.

16( 3) In an action commenced under subsection (1) or (2), the Court of King’s Bench may

(a) declare that the practice is an unfair practice,

(b) award damages,

(d) make an order for

( i) the specific performance of the consumer agreement,

( ii) the recovery of property or funds, or

( iii) the rescission of the consumer agreement,

(e) grant an order in the nature of an injunction restraining the supplier from engaging in the unfair practice, or

(f) give any directions and grant any other relief the court considers appropriate.

16( 4) In determining whether to grant any relief under this section and the nature and extent of the relief, the Court of King’s Bench shall consider whether the consumer made a reasonable effort to minimize any damage resulting from the unfair practice and to resolve the dispute with the supplier before commencing the action.

16( 5) The Court of King’s Bench may award costs in accordance with the Rules of Court.

Application to Small Claims Court – unfair practices

17( 1) Subject to the jurisdiction of the Small Claims Court, a consumer may apply to that court to commence an action under subsection 16(1) or (2).

17( 2) Section 19 does not apply to an action commenced under subsection (1).

Powers of the court

18( 1) Oral evidence respecting an unfair practice is admissible in an action commenced under section 16 despite the existence of a written consumer agreement and despite the fact that the oral evidence relates to a representation in respect of a term, condition or undertaking that is not provided for in the consumer agreement.

18( 2) The court may disregard the requirement that the consumer give notice under subsection 15(1) or any requirement relating to the notice if it considers that it is in the interest of justice to do so.

Notice to the Director

19( 1) A consumer who commences an action under section 16 shall serve the Director with a copy of the statement of claim.

19( 2) On being served under subsection (1), the Director may, on notice to all parties to the action, apply to the Court of King’s Bench to be added as a party.

Liability

20( 1) Each person who engages in an unfair practice is jointly and severally liable with the supplier who entered into a consumer agreement that was subject to the unfair practice with a consumer for any amount to which the consumer is entitled.

20( 2) If a consumer agreement to which section 14 applies has been assigned or if any right to payment under that consumer agreement has been assigned, the liability of the person to whom it has been assigned is limited to the amount paid to that person by the consumer.

PART 3

UNSOLICITED GOODS OR SERVICES

Definitions

21( 1) The following definitions apply in this Part.

“material change” means a change or a series of changes of a nature or quality that could reasonably be expected to influence a reasonable person’s decision to enter into a consumer agreement or continue a consumer transaction. (changement important)

“unsolicited goods or services”, subject to subsection (2), means goods or services that are supplied to a consumer who did not request them and includes the enhancement of a service that a consumer is already receiving that the consumer did not request. (marchandises ou services non sollicités)

21( 2) The following goods or services are not considered unsolicited goods or services:

(a) goods or services that the recipient knows or ought to know are intended for another person;

(b) goods or services that are periodically supplied and for which there is a change in supply if the change is not a material change;

(c) goods or services supplied under a written future performance contract that provides for the periodic supply of goods or services to the recipient without further solicitation; or

(d) goods or services for which the supplier does not require payment.

Application

22( 1) Subject to subsection (2), this Part applies to unsolicited goods or services that are

(a) supplied or received in the Province,

(b) supplied by a supplier that carries on business in the Province, or

22( 2) This Part only applies to unsolicited goods or services that are supplied or received on or after the commencement of this section.

No obligations in respect of unsolicited goods or services

23( 1) A consumer is not liable to pay for and has no other legal obligations in respect of unsolicited goods or services unless and until the consumer expressly acknowledges to the supplier in writing the intention to accept the goods or services.

23( 2) Unless the consumer has given the acknowledgement referred to in subsection (1), the supplier does not have a claim for any loss, use, misuse, possession, damage or misappropriation in respect of the goods or services or the value obtained by the use of the goods or services.

23( 3) A request for goods or services shall not be inferred solely on the basis of payment, inaction, the passage of time or the purchase of similar goods or services.

23( 4) No supplier shall demand payment or make any representation that suggests that a consumer is required to make payment in respect of any unsolicited goods or services despite their use, receipt, misuse, loss, damage or theft.

23( 5) If it is alleged that a supplier has supplied unsolicited goods or services, the onus is on the supplier to prove that the goods or services supplied were not unsolicited goods or services.

Material change in ongoing consumer transaction

24( 1) If a consumer is being supplied with goods or services under an ongoing consumer transaction and there is a material change in the goods or services, or in the supply of the goods or services, the goods or services are deemed to be unsolicited goods or services from the time of the material change unless the supplier is able to establish that the consumer consented to the material change.

24( 2) Subject to subsection (3), a supplier may rely on a consumer’s consent to the material change if that consent is made by any method that permits the supplier to produce evidence to establish the consumer’s consent, and the supplier shall bear the onus of proving the consumer’s consent.

24( 3) A supplier does not establish a consumer’s consent by providing notice to the consumer to the effect that the supplier will supply the materially changed goods or services to the consumer unless the consumer instructs the supplier not to supply the goods or services.

Remedy – refund for unsolicited goods or services

25( 1) A consumer who pays for unsolicited goods or services may give to the supplier a demand in writing for a refund from the supplier within the period prescribed by regulation if the consumer did not expressly acknowledge to the supplier in writing the intention to accept the goods or services.

25( 2) A demand is sufficient if it indicates, in any way, the intention of the consumer to demand a refund of a payment made for unsolicited goods or services.

25( 3) If a supplier receives a demand for a refund, the supplier shall refund to the consumer all money received in respect of the unsolicited goods or services within the period prescribed by regulation.

PART 4

CONSUMER AGREEMENTS

Division A

Definitions and Interpretation

Definitions

26 The following definitions apply in this Part.

“distance sales contract” means a consumer agreement that is not entered into in person and, with respect to goods, for which the consumer does not have the opportunity to inspect the goods that are the subject of the agreement before entering into it. (contrat de vente à distance)

“future performance contract” means a consumer agreement for which the supply of goods or services does not occur or payment in full is not made at the time the agreement is entered into or partly executed. (contrat à exécution différée)

“gift card” means an electronic card, written certificate or other voucher or payment device, including a gift certificate, with a monetary value that is issued or sold by a supplier under a consumer agreement in exchange for the future purchase or supply of goods or services. (carte-cadeau)

“gift card agreement” means a consumer agreement for the supply of a gift card. (convention de carte-cadeau)

“initiation fee” means a fee payable in addition to a membership fee. (frais d’adhésion)

“internet sales contract” means a consumer agreement entered into over the Internet. (contrat de vente par Internet)

“membership fee” means the fee payable by a consumer for personal development services. (cotisation)

“personal development services” means (services de perfectionnement personnel)

(a) services related to

( i) health, fitness, diet or similar matters,

( ii) modelling and talent, including photo shoots related to modelling and talent, or similar matters,

( iii) martial arts, sports, dance or similar activities, and

( iv) any other matters or activities prescribed by regulation, and

(b) facilities provided for

( i) instruction, training or assistance with respect to any of the services referred to in paragraph (a), and

( ii) the use by a consumer of any of the services referred to in paragraph (a).

“personal development services contract” means a consumer agreement for personal development services for which payment is required in advance of those services being provided. (contrat de services de perfectionnement personnel)

“rewards points” means units that (points de récompense)

(a) are earned by the consumer over multiple transactions,

(b) must be accumulated before being exchanged, and

“rewards points agreement” means a consumer agreement that provides for the supply of rewards points to a consumer, on a supplier’s own behalf or on behalf of another supplier, when the consumer purchases goods or services or otherwise acts in a manner specified in the agreement. (convention de points de récompense)

Interpretation of “rewards points”

27 For the purposes of the definition “rewards points” in section 26, the units may be described as points, dollars spent or any similar term.

Division B

Distance Sales Contracts and
Internet Sales Contracts

Application

28( 1) Subject to subsection (2), this Division applies to a distance sales contract or internet sales contract that is entered into, amended or renewed on or after the commencement of this section in which

(a) the supplier or consumer is a resident of or located in the Province, or

(b) the offer or acceptance is made in or sent from within the Province.

28( 2) This Division does not apply to a distance sales contract or internet sales contract

(a) for goods or services with a value below the amount prescribed by regulation,

(b) for goods or services that are immediately downloaded or accessed using the Internet, or

Requirements – distance sales contracts

29( 1) Before entering into a distance sales contract with a consumer, a supplier shall disclose to the consumer the information prescribed by regulation.

29( 2) A distance sales contract shall contain the information prescribed by regulation.

29( 3) A supplier shall provide a consumer who enters into a distance sales contract with a copy of the contract in writing or electronic form within 15 days after the contract is entered into.

29( 4) For the purposes of subsection (3), a supplier is considered to have provided the consumer with a copy of the distance sales contract if the copy is provided in accordance with the regulations.

Requirements – internet sales contracts

30( 1) Before entering into an internet sales contract with a consumer, a supplier shall

(a) disclose to the consumer the information prescribed by regulation in accordance with the requirements prescribed by regulation, and

(b) provide the consumer with an express opportunity to accept or decline the internet sales contract and to correct any errors immediately before entering into it.

30( 2) An internet sales contract shall contain the information prescribed by regulation.

30( 3) A supplier shall provide a consumer who enters into an internet sales contract with a copy of the contract in writing or electronic form within 15 days after the contract is entered into.

30( 4) For the purposes of subsection (3), a supplier is considered to have provided the consumer with a copy of the internet sales contract if the copy is provided in accordance with the regulations.

Cancellation

31( 1) At any time within seven days after receiving a copy of the contract, a consumer may cancel

(a) a distance sales contract if the supplier did not disclose to the consumer the information required under subsection 29(1), or

(b) an internet sales contract if

( i) the supplier did not disclose to the consumer the information required under paragraph 30(1)(a), or

( ii) the supplier did not provide the consumer with an express opportunity to accept or decline the internet sales contract and to correct any errors immediately before entering into it as required under paragraph 30(1)(b).

31( 2) Within 30 days after the contract is entered into, a consumer may cancel

(a) a distance sales contract if the supplier does not provide the consumer with a copy of the contract in accordance with subsection 29(3), or

(b) an internet sales contract if the supplier does not provide the consumer with a copy of the contract in accordance with subsection 30(3).

31( 3) A consumer may cancel a distance sales contract or internet sales contract at any time before accepting the delivery of the goods or the supply of the services under the contract if the supplier fails to

(a) deliver the goods within 30 days after

( i) the delivery date specified in the contract or an amended delivery date agreed to in writing or electronic form by the consumer and the supplier, or

( ii) the date the contract is entered into if a delivery date is not specified in the contract or a later written agreement, or

(b) begin to supply the services within 30 days after

( i) the date specified in the contract or an amended date agreed to in writing or electronic form by the consumer and the supplier, or

( ii) the date the contract is entered into if a date is not specified in the contract or a later written agreement.

31( 4) For the purposes of subsection (3), a supplier is deemed to have

(a) delivered the goods under a distance sales contract or internet sales contract if

( i) delivery was attempted but was refused by the consumer at the time delivery was attempted, or

( ii) delivery was attempted but not made because no person was available to accept delivery for the consumer on the day for which reasonable notice was given to the consumer that the goods were available to be delivered, or

(b) begun to supply services under a distance sales contract or internet sales contract if

( i) the supply of services was attempted but refused by the consumer at the time it was attempted, or

( ii) the supply of services was attempted but did not occur because no person was available to enable the supply of the services to begin on the day for which reasonable notice was given to the consumer that the services were available to begin.

Notice of cancellation

32( 1) A distance sales contract or internet sales contract is cancelled under section 31 when the consumer gives the supplier a notice of cancellation in accordance with this section.

32( 2) A notice of cancellation is adequate if it indicates the intention of the consumer to cancel the distance sales contract or internet sales contract.

32( 3) A notice of cancellation may be given to the supplier by any means, including, but not limited to, personal service, registered mail, prepaid courier, fax and email.

32( 4) If a notice of cancellation is given other than by personal service, the notice shall be deemed to have been given when sent.

Power of the Court of King’s Bench to provide relief against cancellation

33 A supplier who receives a notice of cancellation under section 32 may apply to the Court of King’s Bench for relief against cancellation, and, if in the opinion of the court it would be inequitable for a distance sales contract or internet sales contract to be cancelled under section 31, it may make any order it considers appropriate.

Effect of cancellation

34( 1) A cancellation of a distance sales contract or internet sales contract under section 31 operates to cancel the contract as if the contract had never existed.

34( 2) A cancellation of a distance sales contract or internet sales contract also operates to cancel the following as if the contract had never existed:

(a) any related consumer transaction;

(b) any guarantee given in respect of consideration payable under the contract; and

34( 3) If credit is extended or arranged by the supplier, the credit agreement is conditional on the distance sales contract or internet sales contract whether or not the credit agreement is a part of or attached to the contract, and, if the distance sales contract or internet sales contract is cancelled, that cancellation has the effect of cancelling the credit agreement as if the contract had never existed.

Obligations on cancellation

35( 1) If a distance sales contract or internet sales contract is cancelled under section 31, the supplier shall refund to the consumer all consideration paid by the consumer under the contract and any related consumer agreement, whether paid to the supplier or another person, within 15 days after the date of cancellation.

35( 2) If goods are delivered to a consumer under a distance sales contract or internet sales contract that is cancelled under section 31, the consumer shall return the goods to the supplier in accordance with the requirements of and in the manner prescribed by regulation.

35( 3) If a consumer returns goods to a supplier in accordance with the regulations, the supplier shall comply with the requirements prescribed by regulation with respect to the return of the goods.

35( 4) If a consumer has cancelled a distance sales contract or internet sales contract under section 31 and has not met the consumer’s obligations under this section and the regulations, the supplier or the person to whom the obligation is owed may commence an action in the Court of King’s Bench.

Consumer recourse – action for debt

36 If a consumer has cancelled a distance sales contract or internet sales contract under section 31 and the supplier has not refunded all the consideration paid by the consumer within the 15‑day period referred to in subsection 35(1), the consumer may commence an action in a court of competent jurisdiction to recover the consideration from the supplier.

Consumer recourse – request to reverse or cancel credit card charges

37( 1) If a consumer has cancelled a distance sales contract or internet sales contract under section 31 and the supplier has not refunded all the consideration paid by the consumer within the 15-day period referred to in subsection 35(1) and the consumer has charged all or any part of the consideration payable under the distance sales contract or internet sales contract or related consumer agreement to a credit card account, the consumer may request the credit card issuer to cancel or reverse the credit card charge and any associated interest or other charges.

37( 2) A request under subsection (1) shall be in writing or electronic form and contain the information prescribed by regulation.

37( 3) The credit card issuer shall acknowledge the consumer’s request within 30 days after receiving it, and if the request meets the requirements of subsection (2), the credit card issuer shall cancel or reverse the credit card charge and any associated interest or other charges within two complete billing cycles of the credit card issuer or 90 days, whichever occurs first.

37( 4) A request under subsection (1) may be given to the credit card issuer by any means, including, but not limited to, personal service, registered mail, prepaid courier, fax and email.

37( 5) If a request under subsection (1) is given other than by personal service, the request shall be deemed to have been given when sent.

Division C

Future Performance Contracts

Application

38( 1) Subject to subsections (2) and (3), this Division applies to a future performance contract that is entered into, amended or renewed on or after the commencement of this section in which

(a) the supplier or consumer is a resident of or located in the Province, or

(b) the offer or acceptance is made in or sent from within the Province.

38( 2) This Division does not apply to a future performance contract

(a) for goods or services with a value below the amount prescribed by regulation, or

(b) for a gift card.

38( 3) This Division does not apply to a provision or part of a future performance contract that relates to the supply of rewards points.

Requirements

39( 1) A future performance contract shall contain the information prescribed by regulation.

39( 2) A supplier shall provide a consumer who enters into a future performance contract with a copy of the contract in writing or electronic form within 15 days after the contract is entered into.

39( 3) For the purposes of subsection (2), a supplier is considered to have provided the consumer with a copy of the future performance contract if the copy is provided in accordance with the regulations.

Cancellation

40( 1) A consumer may cancel a future performance contract not later than one year after the date on which the contract is entered into if

(a) the contract does not contain the information required under subsection 39(1), or

(b) the supplier does not provide the consumer with a copy of the contract in accordance with subsection 39(2).

40( 2) A consumer is entitled to recover the amount by which the consumer’s payment under a future performance contract exceeds the value of the goods or services if cancellation of the future performance contract is not possible because

(a) the return or restitution of the goods or cancellation of the services is no longer possible, or

(b) cancellation would deprive a third party of a right in the subject‑matter of the future performance contract that the third party has acquired in good faith and for value.

40( 3) A consumer may cancel a future performance contract at any time before accepting the delivery of the goods or the supply of the services under the contract if the supplier fails to

(a) deliver the goods within 30 days after

( i) the delivery date specified in the contract or an amended delivery date agreed to in writing or electronic form by the consumer and the supplier, or

( ii) the date the contract is entered into if a delivery date is not specified in the contract or a later written agreement, or

(b) begin to supply the services within 30 days after

( i) the date specified in the contract or an amended date agreed to in writing or electronic form by the consumer and the supplier, or

( ii) the date the contract is entered into if a date is not specified in the contract or a later written agreement.

40( 4) For the purposes of subsection (3), a supplier is deemed to have

(a) delivered the goods under a future performance contract if

( i) delivery was attempted but was refused by the consumer at the time delivery was attempted, or

(b) begun to supply services under a future performance contract if

( i) the supply of services was attempted but refused by the consumer at the time it was attempted, or

Notice of cancellation

41( 1) A future performance contract is cancelled under section 40 when the consumer gives the supplier a notice of cancellation in accordance with this section.

41( 2) A notice of cancellation is adequate if it indicates the intention of the consumer to cancel the future performance contract or to seek recovery if cancellation is not possible.

41( 3) A consumer may give a notice of cancellation to a supplier by

(a) personal service, or

(b) sending it to the supplier by registered mail, prepaid courier, fax or any other method that permits the consumer to provide evidence of the cancellation.

41( 4) A notice of cancellation that is given in accordance with paragraph (3)( b) shall be deemed to have been given when sent.

41( 5) The consumer may give the notice of cancellation to the supplier at the address set out in the future performance contract or, if the consumer did not receive a copy of the contract or if the address of the supplier was not set out in the contract, the consumer may send the notice

(a) to any address of the supplier on record with the Commission or the Government of New Brunswick, or

(b) to an address of the supplier known to the consumer.

Power of the Court of King’s Bench to provide relief against cancellation

42 A supplier who receives a notice of cancellation under section 41 may apply to the Court of King’s Bench for relief against cancellation, and, if in the opinion of the court it would be inequitable for a future performance contract to be cancelled under section 40, it may make any order it considers appropriate.

Effect of cancellation

43( 1) A cancellation of a future performance contract under section 40 operates to cancel the contract as if the contract had never existed.

43( 2) A cancellation of a future performance contract also operates to cancel the following as if the contract had never existed:

(a) any related consumer transaction;

(b) any guarantee given in respect of consideration payable under the contract; and

43( 3) If credit is extended or arranged by the supplier, the credit agreement is conditional on the future performance contract whether or not the credit agreement is a part of or attached to the contract, and if the future performance contract is cancelled, that cancellation has the effect of cancelling the credit agreement as if the contract had never existed.

Obligations on cancellation

44( 1) If a future performance contract is cancelled under section 40, the supplier shall refund to the consumer all consideration paid by the consumer under the contract and any related consumer agreement, whether paid to the supplier or another person, within 15 days after the date of cancellation.

44( 2) If a future performance contract is cancelled under section 40, the consumer shall, in accordance with the requirements prescribed by regulation and in the manner prescribed by regulation, return the goods to the supplier or allow the goods to be repossessed or dealt with in any manner prescribed by regulation.

44( 3) If a consumer has cancelled a future performance contract under section 40 and has not met the consumer’s obligations under this section and the regulations, the supplier or the person to whom the obligation is owed may commence an action in the Court of King’s Bench.

Consumer recourse – action for debt

45 If a consumer has cancelled a future performance contract under section 40 and the supplier has not refunded all of the consideration within the 15-day period referred to in subsection 44(1), the consumer may commence an action in a court of competent jurisdiction to recover the consideration from the supplier.

Cancellation of pre-authorized payments

46( 1) Subject to subsection (2), if a future performance contract is cancelled under section 40, the supplier shall, in accordance with the requirements prescribed by regulation, cancel any future payments or charges that have been authorized by the consumer.

46( 2) Subsection (1) does not apply in the following circumstances:

(a) within 30 days after the cancellation of the future performance contract

( i) the consumer and supplier enter into a new future performance contract, and

( ii) the new future performance contract is for the supply of the same goods or services that were to be supplied under the cancelled contract; and

(b) the consumer has authorized future payments or charges for the goods or services that the consumer is to receive from the supplier under the new future performance contract.

Consumer recourse – request to reverse or cancel credit card charges

47( 1) If a consumer has cancelled a future performance contract under section 40 and the supplier has not refunded all the consideration paid by the consumer within the 15-day period referred to in subsection 44(1) and the consumer has charged all or any part of the consideration payable under the future performance contract or related consumer agreement to a credit card account, the consumer may request the credit card issuer to cancel or reverse the credit card charge and any associated interest or other charges.

47( 2) A request under subsection (1) shall be in writing or electronic form and contain the information prescribed by regulation.

47( 3) The credit card issuer shall acknowledge the consumer’s request within 30 days after receiving it, and if the request meets the requirements of subsection (2), the credit card issuer shall cancel or reverse the credit card charge and any associated interest or other charges within two complete billing cycles of the credit card issuer or 90 days, whichever occurs first.

47( 4) A request under subsection (1) may be given to the credit card issuer by any means, including, but not limited to, personal service, registered mail, prepaid courier, fax or email.

47( 5) If a request under subsection (1) is given other than by personal service, the request shall be deemed to have been given when sent.

Division D

Personal Development Services Contracts

Application

48( 1) Subject to subsection (2), this Division applies to a personal development services contract that is entered into, amended or renewed on or after the commencement of this section in which

(a) the supplier or consumer is a resident of or located in the Province, or

(b) the offer or acceptance is made in or sent from within the Province.

48( 2) This Division does not apply to a personal development services contract

(a) for personal development services with a value below the amount prescribed by regulation,

(b) if the supplier is

( i) a corporation that operates on a not-for-profit basis,

( ii) a cooperative incorporated or continued under the Cooperatives Act,

( iii) a private club that is primarily owned by its members, or

( iv) a charitable or local government organization or the Government of New Brunswick or an agency of the Government of New Brunswick, or

Requirements

49( 1) A personal development services contract shall be made in accordance with the regulations and shall contain the information prescribed by regulation.

49( 2) The term of a personal development services contract shall not exceed the period prescribed by regulation.

49( 3) A supplier shall provide a consumer who enters into a personal development services contract with a copy of the contract in writing or electronic form.

Contract void if term exceeded

50( 1) A personal development services contract for a term that exceeds the period referred to in subsection 49(2) is void.

50( 2) The term of a personal development services contract begins on the date that all the personal development services that are the subject of the contract are available to the consumer.

Payment and refunds

51( 1) No supplier shall require or accept payment for personal development services from a consumer if

(a) the supplier has not entered into a personal development services contract with the consumer,

(b) the supplier has entered into a personal development services contract with the consumer that does not meet the requirements of section 49, or

(c) subject to section 52, the personal development services that are the subject of the personal development services contract are not available to the consumer.

51( 2) Subject to section 52, if a supplier accepts a payment from a consumer in the circumstances set out in paragraph (1)(a), (b) or (c), the supplier shall, on the demand of the consumer, refund to the consumer all the consideration received.

Agreements and permissions – alternative facilities

52( 1) Paragraph 51(1)(c) does not apply if one of the personal development services that is not available to the consumer is the use of a facility and the consumer has, in accordance with any requirements prescribed by regulation, entered into an agreement with the supplier to use another facility provided by the supplier until the facility that is the subject of the personal development services contract is available or until the expiry of the period prescribed by regulation, whichever occurs first.

52( 2) Subsection 51(2) does not apply if the consumer has, in accordance with any requirements prescribed by regulation, given the supplier permission to retain a payment made by the consumer in the circumstances set out in paragraph 51(1)(c).

52( 3) An agreement referred to in subsection (1) and a permission referred to in subsection (2) shall contain any information prescribed by regulation and shall be valid for the period prescribed by regulation.

52( 4) On the expiry of the period referred to in subsection (3), the consumer may, in accordance with any requirements prescribed by regulation, enter into a subsequent agreement with the supplier or give a subsequent permission to the supplier.

52( 5) For the purposes of subsection (1), if a facility that is the subject of a personal development services contract is not available, the supplier may provide a website as another facility for the supply of personal development services over the Internet.

Renewals

53( 1) A provision of a personal development services contract that provides for the renewal of the contract is not valid unless the supplier provides the consumer with a reminder notice about the renewal within the period and in the manner prescribed by regulation.

53( 2) A personal development services contract that provides for the renewal of the contract shall be deemed not to be renewed if before the time for renewal the consumer notifies the supplier that the consumer does not want to renew the contract.

53( 3) Subsections (1) and (2) do not apply to a personal development services contract that provides for successive monthly renewals if the consumer has the option of terminating the contract on one month’s notice or less.

Cancellation – cooling-off period

54 A consumer may cancel a personal development services contract at any time within 10 days after the date the consumer receives a copy of the contract under subsection 49(3) or the date all the personal development services that are the subject of the contract are available to the consumer, whichever is later.

Notice of cancellation

55( 1) A personal development services contract is cancelled under section 54 when the consumer gives the supplier a notice of cancellation in accordance with this section.

55( 2) A notice of cancellation is adequate if it indicates the intention of the consumer to cancel the personal development services contract.

55( 3) A consumer may give a notice of cancellation to a supplier by

(a) personal service, or

(b) sending it to the supplier by registered mail, prepaid courier, fax or any other method that permits the consumer to provide evidence of the cancellation.

55( 4) A notice of cancellation that is given in accordance with paragraph (3)( b) shall be deemed to have been given when sent.

55( 5) The consumer may give the notice of cancellation to the supplier at the address set out in the personal development services contract or, if the consumer did not receive a written copy of the contract or if the address of the supplier was not set out in the contract, the consumer may send the notice

(a) to any address of the supplier on record with the Commission or the Government of New Brunswick, or

(b) to an address of the supplier known to the consumer.

Effect of cancellation

56 If a consumer cancels a personal development services contract under section 54, the consumer is not liable to pay for any personal development services supplied up to the date of the cancellation.

Obligations on cancellation

57( 1) If a personal development services contract is cancelled under section 54, the supplier shall refund to the consumer all consideration paid by the consumer under the contract and any related consumer agreement, whether paid to the supplier or another person, within 15 days after the date of cancellation.

57( 2) If a personal development services contract is cancelled under section 54, the supplier shall cancel any future payments or charges that have been authorized by the consumer under the contract.

57( 3) If a personal development services contract is cancelled under section 54, the consumer shall, in accordance with the requirements prescribed by regulation and in the manner prescribed by regulation, return any goods supplied in relation to the personal development services contract to the supplier or allow the goods to be repossessed or dealt with in any manner prescribed by regulation.

57( 4) If a consumer has cancelled a personal development services contract under section 54 and has not met the consumer’s obligations under this section and the regulations, the supplier or the person to whom the obligation is owed may commence an action in the Court of King’s Bench.

Supplier prohibited from entering or renegotiating contract before giving refund

58 A supplier who receives a notice of cancellation under subsection 55(1) shall not attempt to enter into a new personal development services contract or to renegotiate the personal development services contract with the consumer until the supplier has provided the consumer with a refund in accordance with subsection 57(1).

Consumer recourse – action for debt

59 If a consumer has cancelled a personal development services contract under section 54 and the supplier has not refunded all of the consideration within the 15-day period referred to in subsection 57(1), the consumer may commence an action in a court of competent jurisdiction to recover the consideration from the supplier.

Limit of one personal services development contract

60( 1) No supplier shall enter into a new personal development services contract with a consumer with whom the supplier has an existing personal development services contract unless the new contract is for personal development services that are distinctly different from those provided under the existing personal development services contract.

60( 2) Any new personal development services contract entered into in contravention of subsection (1) is void.

60( 3) If a supplier accepts a payment from a consumer for a personal development services contract referred to in subsection (2), the supplier shall, on the demand of the consumer, refund to the consumer all the consideration received.

60( 4) For the purposes of subsection (1), a different term or a different commencement date does not constitute a distinct difference in the personal development services to be provided.

60( 5) Nothing in this section prevents a personal development services contract from being renewed during the term of the contract if it meets the requirements under subsection 53(1).

Initiation fees

61 No supplier shall

(a) charge a consumer more than one initiation fee for personal development services, or

(b) charge an initiation fee that is greater than twice the annual membership fee.

Division E

Gift Cards

Application

62( 1) Subject to subsection (2), this Division applies to a gift card agreement entered into, amended or renewed on or after the commencement of this section in which

(a) the supplier or consumer is a resident of or located in the Province, or

(b) the offer or acceptance is made in or sent from within the Province.

62( 2) This Division does not apply to

(a) a cash card as defined in section 146,

(b) a cash card as defined in section 209,

(d) a gift card issued or sold for a purpose prescribed by regulation.

No expiry date

63( 1) No supplier shall issue or sell a gift card that has an expiry date unless it is permitted by the regulations.

63( 2) If a gift card is issued or sold with an expiry date in contravention of subsection (1) but is otherwise valid, it is redeemable as if it had no expiry date.

63( 3) A gift card that is issued or sold without an expiry date is valid until fully redeemed or replaced.

Limit on fees

64( 1) No supplier shall issue or sell a gift card for less than the value of the payment made by the consumer who purchases the gift card.

64( 2) No supplier shall charge a fee to a consumer who purchases or holds a gift card for anything in relation to the gift card unless it is permitted by the regulations.

64( 3) A consumer who paid a fee that was charged in contravention of subsection (2) may demand a refund of that fee by giving written notice to the supplier who charged the fee within one year after the date the fee was paid.

64( 4) A supplier who receives a notice demanding a refund under subsection (3) shall provide the refund within 15 days after receiving the notice.

Refund of balance on gift card

65( 1) If the monetary value remaining on a gift card is below the amount prescribed by regulation, a consumer may demand a refund of the amount remaining on the gift card by giving written notice to the supplier of the gift card.

65( 2) A supplier who receives a notice demanding a refund under subsection (1) shall provide the refund within 15 days after receiving the notice.

Disclosure of information

66( 1) A supplier shall clearly disclose the following information at the time a gift card is issued or sold:

(a) all restrictions, limitations, terms and conditions imposed in respect of the use, redemption or replacement of the gift card, including any permitted fee or expiry date;

(b) a description of how a consumer can obtain information respecting the gift card, including any remaining balance; and

66( 2) The information referred to in subsection (1) shall be provided in the manner and form prescribed by regulation.

Division F

Rewards Points

Application

67( 1) Subject to subsection (2), this Division applies to a rewards points agreement that is entered into, amended or renewed on or after the commencement of this section in which

(a) the supplier or consumer is a resident of or located in the Province, or

(b) the offer or acceptance is made in or sent from within the Province.

67( 2) This Division does not apply to a rewards points agreement

(a) that provides for the exchange of rewards points for goods or services with a value below the amount prescribed by regulation, or

(b) that meets the requirements prescribed by regulation.

Disclosure of information before entering agreement

68( 1) Before entering into a rewards points agreement with a consumer, a supplier shall disclose to the consumer the information prescribed by regulation.

68( 2) The information referred to in subsection (1) shall be provided in the manner and form prescribed by regulation.

Expiry of rewards points

69( 1) No supplier shall enter into or amend a rewards points agreement to provide for the expiry of rewards points due to the passage of time alone unless it is permitted by the regulations.

69( 2) For greater certainty, a supplier contravenes subsection (1) if the rewards points agreement provides that rewards points expire after a certain period of time unless the consumer actively requests that the rewards points do not expire or that the rewards points be reinstated.

69( 3) No supplier shall enter into or amend a rewards points agreement to provide for the expiry of rewards points following the conversion of the rewards points into another unit of exchange unless it is permitted by the regulations.

69( 4) Subject to this section and to any limits prescribed by regulation, a supplier may enter into or amend a rewards points agreement to provide for the expiry of rewards points due to reasons other than the passage of time alone.

Termination of rewards points agreements

70( 1) On providing notice to the other party, the supplier or the consumer may terminate a rewards points agreement, and if the rewards points agreement so provides, the consumer’s accumulated rewards points may expire.

70( 2) If a supplier terminates the portions of a consumer agreement that relate to rewards points but not the portions of the consumer agreement that do not relate to rewards points, it constitutes a termination for the purpose of subsection (1).

Unilateral amendments to rewards points agreements

71 Subject to any limits prescribed by regulation, a supplier may unilaterally amend a rewards points agreement provided that the rewards points agreement

(a) specifies the terms and conditions or provisions that may be amended unilaterally, and

(b) requires the supplier to send a written notice to the consumer within the period prescribed by regulation that clearly and legibly sets out

( i) the new or amended provision and, if applicable, the provision as it read previously, and

( ii) the date the amendment takes effect.

Provision of rewards points agreement unenforceable

72 Any provision or part of a rewards points agreement that contravenes this Division or that fails to comply with the regulations with respect to rewards points is unenforceable, but this does not invalidate the remaining provisions of the rewards points agreement.

PART 5

DIRECT SELLERS

Definitions

73 The following definitions apply in this Part.

“direct sales contract” means a contract that is a consumer agreement that is entered into in person at a place other than the supplier’s place of business. (contrat de démarchage)

“direct selling” means soliciting, negotiating or entering into a direct sales contract. (démarchage)

“salesperson” means an authorized agent of a supplier. (représentant)

Application

74( 1) Subject to this section, this Part applies to direct selling in the Province.

74( 2) This Part does not apply to direct selling at

(a) an agricultural show or fair,

(b) an art show or fair,

(d) a craft show or fair,

(e) a market,

(f) a temporary kiosk at a shopping mall,

(g) a trade show or fair, and

(h) any place prescribed by regulation.

74( 3) This Part does not apply to the direct selling of the following goods:

(a) perishable food or perishable food products;

(b) daily or weekly newspapers;

(d) primary forest products;

(e) coal;

(f) fishing equipment;

(g) farm implements;

(h) feed grain;

(i) feed supplements;

(j) fertilizer;

(k) weed spray;

(l) nursery stock; and

(m) any goods prescribed by regulation.

74( 4) This Part does not apply to the direct selling of the following services:

(a) the treatment of feed, seed grain or growing crops;

(b) the breeding, care or treatment of livestock;

(d) any service prescribed by regulation.

74( 5) This Part does not apply to direct selling by a person in the course of business that the person is authorized to carry on under the Real Estate Agents Act, the Insurance Act, the Securities Act, the Private Occupational Training Act or the Motor Vehicle Act.

74( 6) This Part does not apply to a direct sales contract for goods or services with a value of  $100 or less.

Supplier deemed to be a direct seller

75 For the purposes of this Part, a supplier shall be deemed to be engaged in direct selling whether the supplier is engaged in direct selling personally or through a salesperson.

Licensing

76( 1) Subject to subsection (3), a supplier shall not engage in direct selling except under the authority of a valid direct seller’s licence issued under Part 12.

76( 2) Subject to subsection (5), a salesperson of a supplier shall not engage in direct selling except under the authority of a valid salesperson’s licence issued under Part 12.

76( 3) Subject to subsection (5), the holder of a direct seller’s licence issued under Part 12 shall not engage in direct selling personally except under the authority of a valid salesperson’s licence issued under that Part, whether the individual holds the licence as the supplier, or, if the supplier is a corporation, the individual is an officer of the supplier.

76( 4) An individual who holds a salesperson’s licence

(a) shall not engage in direct selling except when the individual is a genuine agent of a supplier, and

(b) shall act as a salesperson only for the supplier specified in the individual’s salesperson’s licence.

76( 5) A salesperson of a supplier may engage in direct selling without a valid salesperson’s licence if:

(a) the average value of the goods or services supplied by the supplier to any one consumer under a direct sales contract is below the amount prescribed by regulation;

(b) the supplier satisfies the requirements of section 77 and any requirements prescribed by regulation;

(d) the Director is satisfied that it is not prejudicial to the public interest.

76( 6) For greater certainty, an individual may hold more than one valid salesperson’s licence issued under Part 12 concurrently, and each licence authorizes the salesperson to engage in direct selling as a salesperson for the supplier specified in the licence.

Identification requirements – salespersons who don’t hold licences

77( 1) A supplier shall provide to any salesperson of the supplier who is not required to hold a salesperson’s licence an identification card containing the following information:

(a) the salesperson’s name;

(b) the supplier’s name and address;

(d) any other information prescribed by regulation.

77( 2) A salesperson who has received an identification card from a supplier is not authorized to engage in direct selling without a salesperson’s licence if the supplier ceases to hold a direct seller’s licence.

77( 3) If a salesperson who has received an identification card from a supplier is no longer authorized to engage in direct selling as an agent of the supplier, the salesperson shall surrender the identification card to

(a) the supplier, or

(b) the Director if the supplier no longer holds a direct seller’s licence.

Requirement to produce licence or identification card on request

78( 1) If a supplier who holds a direct seller’s licence is engaged in direct selling, the supplier shall produce the licence for inspection when requested to do so by a consumer.

78( 2) If a salesperson who holds a salesperson’s licence is engaged in direct selling, the salesperson shall produce the licence for inspection when requested to do so by a consumer.

78( 3) If a salesperson who has received an identification card from a supplier under subsection 77(1) is engaged in direct selling, the salesperson shall produce the identification card for inspection when requested to do so by a consumer.

78( 4) A supplier who holds a direct seller’s licence shall produce the licence for inspection when requested to do so by the Director.

78( 5) A salesperson who holds a salesperson’s licence shall produce the licence for inspection when requested to do so by the Director.

78( 6) A salesperson who has received an identification card from a supplier under subsection 77(1) shall produce the identification card for inspection when requested to do so by the Director.

Requirements for direct sales contracts

79 A direct sales contract shall be in writing and shall

(a) be signed by the supplier or a salesperson of the supplier and by the consumer,

(b) be in the format that is required by the regulations,

(d) include a statement of cancellation rights that

( i) is in the format that is required by the regulations, and

( ii) contains the information required by the regulations, and

(e) meet any other requirements specified in the regulations.

Requirement for a lease that is a direct sales contract

80 A lease that is a direct sales contract shall not be for an indefinite term.

Requirement to provide copy of direct sales contract

81 A person engaged in direct selling with a consumer shall provide the consumer with a copy of the direct sales contract that is in accordance with section 79 and the regulations at the time the contract is entered into.

Assignment of direct sales contract

82 A supplier who assigns or subcontracts the supplier’s obligation under a direct sales contract shall provide the consumer with the name and address of the assignee or subcontractor in writing within three days after that assignment or subcontracting.

Cancellation

83( 1) A consumer may cancel a direct sales contract within ten days after the consumer is provided with a copy of the direct sales contract under section 81.

83( 2) A consumer may cancel a direct sales contract within one year after entering into the contract if

(a) the supplier did not hold the licence referred to in subsection 76(1) or the licences referred to in subsections 76(1) and (3), as the case may be, at the time the consumer entered into the direct sales contract,

(b) the salesperson was required to hold the licence referred to in subsection 76(2) and did not at the time the consumer entered into the direct sales contract,

(c) the supplier has in respect of the direct sales contract failed to comply with a term, condition or restriction to which the supplier’s licence is subject,

(d) the salesperson has in respect of the direct sales contract failed to comply with a term, condition or restriction to which the salesperson’s licence is subject,

(e) the supplier or the salesperson does not provide the consumer with a direct sales contract and statement of cancellation rights that are in accordance with section 79 and the regulations, or

(f) the supplier or the salesperson fails to

( i) deliver the goods within 30 days after

( A) the delivery date specified in the direct sales contract or an amended delivery date agreed to in writing or electronic form by the consumer and the supplier or the salesperson, or

( B) the date the direct sales contract is entered into if a delivery date is not specified in the contract or a later written agreement, or

( ii) begin to supply the services within 30 days after

( A) the date specified in the direct sales contract or an amended date agreed to in writing or electronic form by the consumer and the supplier or the salesperson, or

( B) the date the direct sales contract is entered into if a date is not specified in the contract or a later written agreement.

83( 3) A consumer who accepts the delivery of the goods or the supply of the services under a direct sales contract after the 30-day period referred to in paragraph (2)(f) is not entitled to cancel the direct sales contract under that paragraph.

83( 4) If in the opinion of the Court of King’s Bench it is inequitable that paragraph (2)(f) should apply, the court may make any order that it considers appropriate.

83( 5) The cancellation rights under this section in respect of a direct sales contract are in addition to and do not affect any other rights or remedy the consumer has under or in respect of the direct sales contract or at law in the province or territory in which the consumer resides.

83( 6) If credit is extended or arranged by a supplier or a salesperson of the supplier in connection with a direct sales contract and the credit agreement is conditional on the direct sales contract, a cancellation of the direct sales contract under this section has the effect of cancelling the credit agreement.

Notice of cancellation

84( 1) A direct sales contract is cancelled under section 83 when the consumer gives a notice of cancellation in accordance with this section.

84( 2) A consumer may give a notice of cancellation to the supplier or to a salesperson of the supplier by

(a) personal service on the supplier or on a salesperson of the supplier, or

(b) sending it to the supplier or to a salesperson of the supplier by registered mail, prepaid courier, fax or any other method that permits the consumer to provide evidence of the cancellation.

84( 3) A notice of cancellation shall be deemed to be given to the supplier or salesperson of the supplier if

(a) it is delivered or sent to the address for notice specified for that purpose in the direct sales contract, or

(b) if an address for notice is not specified in the direct sales contract, the notice of cancellation is delivered or sent to the address for service provided for in section 274.

84( 4) A notice of cancellation that is given in accordance with paragraph (2)(b) shall be deemed to be given when it is sent.

84( 5) Subject to subsections (2), (3) and (4), a notice of cancellation is adequate if it indicates the intention of the consumer to cancel the direct sales contract.

Obligations on cancellation

85( 1) When a direct sales contract is cancelled under section 83,

(a) within 15 days after the notice of cancellation has been delivered or sent, the supplier shall

( i) refund the money received under the direct sales contract to the consumer, and

( ii) if goods were taken by the supplier as a trade-in, return them to the consumer in as good a condition as they were in when they were taken in trade, or if the supplier is not able to do that, pay to the consumer the greater of

( A) the market value of the goods at the time they were taken in trade, and

( B) the price or value of the goods specified in the direct sales contract, and

(b) in the case of a direct sales contract respecting goods, on receiving everything to be refunded, returned or paid to the consumer under paragraph (a), the consumer shall return the goods to the supplier in as good a condition as they were in when they were delivered.

85( 2) On receiving a notice of cancellation, the supplier shall fulfil the supplier’s obligations under subsection (1) before attempting to renegotiate the direct sales contract or to negotiate another direct sales contract with the consumer, and any direct sales contract for the sale of the same or substitute goods or services subsequently made between the supplier and the consumer is a new direct sales contract that is subject to all the provisions of this Part.

85( 3) When a direct sales contract is cancelled under section 83, the supplier is entitled to reasonable compensation for the portion of the goods consumed by the consumer and for the services partially performed by the supplier, but the suppliers’ rights do not arise under this subsection until the supplier fulfils the supplier’s obligations under subsection (1).

85( 4) If a consumer has cancelled a direct sales contract under section 83 and has not met the consumer’s obligations under this section, the supplier or the person to whom the obligation is owed may commence an action in the Court of King’s Bench.

Soliciting at consumer’s dwelling requires prior request

86( 1) No supplier or salesperson of a supplier shall, while at a consumer’s dwelling or at any other place prescribed by regulation, solicit the consumer to enter into a direct sales contract for the supply of any goods or services prescribed by regulation or enter into such a direct sales contact unless the consumer has initiated contact with the supplier or salesperson and has specifically requested that the supplier or salesperson attend at the consumer’s dwelling or the place prescribed by regulation for the purpose of entering into a direct sales contract.

86( 2) A direct sales contract entered into in contravention of subsection (1) is void.

86( 3) The methods by which and the circumstances in which a consumer initiates contact with a supplier for the purpose of subsection (1) shall be prescribed by regulation.

Requirements – gifts, premiums, prizes or other benefits

87 No supplier or salesperson of a supplier shall give or offer to give, directly or indirectly, any gift, premium, prize or other benefit of any kind to a consumer unless

(a) the retail value of the gift, premium, prize or benefit is accurately disclosed to the consumer and not included in the price of the goods or services supplied under the direct sales contract,

(b) whether the gift, premium, prize or benefit is redeemable or otherwise available in the Province is accurately disclosed to the consumer,

(d) the gift, premium, prize or benefit does not constitute any part of the goods or services supplied under the direct sales contract, and

(e) the gift, premium, prize or benefit satisfies any other requirements prescribed by regulation.

Prohibition – incentives to solicit others

88 Unless it is permitted by the regulations, no supplier or salesperson of a supplier shall give, offer to give or promise to give, directly or indirectly, any gift, premium, prize or other benefit of any kind to a consumer, or to any person on the consumer’s behalf, on the condition that the consumer or person will provide the supplier or salesperson with assistance of any kind in furthering any attempt by the supplier or salesperson to solicit another person to enter into a direct sales contract.

Prohibition – direct selling of noncompliant goods or services

89 No supplier or salesperson of a supplier shall enter into a direct sales contract in relation to

(a) goods that on delivery do not comply with an Act or regulation of the Legislature or of Canada, or

(b) services that on completion do not comply with an Act or regulation of the Legislature or of Canada.

Onus of proof

90 In a proceeding in which a question arises as to whether this Part applies to a direct sales contract, the onus is on the supplier to establish that the Part does not apply to that contract.

Direct sales contract for several items

91 If several items of goods or several services are purchased as part of one transaction, that transaction is deemed to be one direct sales contract for the purposes of this Part.

Suppliers to provide information re direct sales contracts

92( 1) The Director may request a supplier to provide a list of the names and addresses of the consumers with whom the supplier has entered into a direct sales contract.

92( 2) When the Director makes a request under subsection (1), the Director shall specify the period in respect of which the names and addresses are to be provided.

92( 3) When requested to do so by the Director under this section, a supplier shall provide a list of the names and addresses of the consumers with whom the supplier has entered into a direct sales contract.

PART 6

COST OF CREDIT DISCLOSURE

Division A

Definitions, Interpretation and Application

Definitions

93 The following definitions apply in this Part.

“advance” means value received, within the meaning of section 96, by the borrower or lessee. (avance)

“APR” means the annual percentage rate calculated in accordance with the regulations. (TAP)

“borrower” means an individual who has entered into, or who is negotiating to enter into, a credit agreement for personal, family or household purposes who receives or will receive credit from a credit grantor, but does not include a guarantor. (emprunteur)

“brokerage fee” means an amount that a borrower pays or agrees to pay to a credit broker for the credit broker’s services in arranging, negotiating or facilitating or attempting to arrange, negotiate or facilitate an extension of credit to the borrower, and includes an amount that is (frais de courtage)

(a) deducted from the value received or to be received by a borrower in connection with a credit agreement, and

(b) paid to the credit broker by the credit grantor.

“cash customer” means a person who buys goods or services and who provides full payment for the goods or services at or before the time of their receipt. (consommateur payant comptant)

“cash price”, in relation to goods or services, means, (prix au comptant)

(a) for a sale to a borrower by a credit grantor, or by an associate of the credit grantor, who sells the goods or services to cash customers in the ordinary course of business,

( i) an amount that fairly represents the price at which the credit grantor, or the associate of the credit grantor, sells the goods or services to cash customers, or

( ii) if the credit grantor, or the associate of the credit grantor, and the borrower agree on a lower price, that lower price,

(b) for a sale to which paragraph (a) does not apply, the price agreed on by the credit grantor, or by the associate of the credit grantor, and the borrower, or

(c) for an advertisement published by or on behalf of a credit grantor, the price at which the goods or services are currently offered by the credit grantor, or by an associate of the credit grantor, to cash customers or, if the credit grantor or associate does not currently offer the goods or services to cash customers, the price stated in the advertisement.

“cash value” in relation to leased goods, means (valeur au comptant)

(a) if the lessor sells similar goods to cash customers in the ordinary course of business,

( i) a value that fairly represents the price at which the lessor sells similar goods to cash customers, or

( ii) if the lessor and lessee agree on a lower value, that value, or

(b) if the lessor does not sell similar goods to cash customers in the ordinary course of business,

( i) the lessor’s reasonable estimate of the price at which cash customers would buy the leased goods, or

( ii) if the lessor and lessee agree on a lower value, that value.

“credit broker” means a person who, for compensation, arranges, negotiates or facilitates or attempts to arrange, negotiate or facilitate an extension of credit from a credit grantor to a borrower. (courtier en crédit)

“credit card” means a card or other device that can be used to obtain advances under a credit agreement for open credit. (carte de crédit)

“credit card holder” means an individual who is a borrower in relation to a credit card. (titulaire d’une carte de crédit)

“credit sale” means the sale of goods or services in which the purchase is financed by the seller or manufacturer, or by an associate of the seller or manufacturer, but does not include the sale if (vente à crédit)

(a) the credit agreement in relation to the sale requires that the full amount of the sale price of the goods or services be paid in a single payment within a specified period after a written invoice or statement of account is delivered to the buyer,

(b) the sale is unconditionally interest free during the period referred to in paragraph (a),

(d) the sale is not assigned in the ordinary course of the credit grantor’s business other than as security, and

(e) the sale does not provide for any non-interest finance charges.

“default charge” means a charge imposed on a borrower or lessee who fails to make a payment as it comes due under a credit agreement or lease or who fails to comply with any other obligation under a credit agreement or lease, but does not include interest on an overdue payment. (frais de défaut de paiement)

“fixed credit” means credit extended under a credit agreement that is not for open credit. (crédit fixe)

“floating rate” means an interest rate that bears a specified mathematical relationship to an index rate, and includes an interest rate that (taux variable)

(a) is subject to a minimum or maximum, or

(b) is determined at the beginning of a period and applies throughout the period, regardless of changes in the index rate during the period.

“grace period” means a period during which interest accrues but will be forgiven if the borrower satisfies conditions specified in the credit agreement. (délai de grâce)

“high-ratio mortgage” means high-ratio mortgage as defined in the regulations. (prêt hypothécaire à proportion élevée)

“index rate” means a rate that, in accordance with the terms of a credit agreement, is made available to a borrower, at least weekly, (taux indiciel)

(a) in a written publication that has general circulation in the Province, or

(b) in some other manner that can reasonably be expected to make the rate available to the borrower.

“interest-free period” means a period following the making of an advance during which interest does not accrue on the advance. (période sans intérêt)

“mortgage loan” means a loan of money secured by a charge against real property. (prêt hypothécaire)

“non-interest finance charge” means any charge that a borrower is required to pay in connection with a credit agreement, other than (frais financiers autres que l’intérêt)

(a) interest,

(b) a prepayment charge,

(d) a charge for an optional service,

(e) an expense, charge or fee referred to in paragraph 96(1)(f), (g) or (h), or a thing prescribed for the purposes of paragraph 96(1)(i), or

(f) in the case of a credit sale, any charge that would also be payable by a cash customer.

“open credit” means credit extended under a credit agreement if the credit agreement (crédit à découvert)

(a) anticipates multiple advances that are to be made when requested by the borrower in accordance with the credit agreement, and

(b) does not establish the total amount to be advanced to the borrower under the credit agreement, although it may impose a credit limit.

“optional service” means a service that is offered to a borrower or lessee in connection with a credit agreement or lease and that the borrower or lessee does not have to accept in order to enter into the credit agreement or lease. (service facultatif)

“outstanding balance” means the total amount owing at any particular time under a credit agreement. (solde impayé)

“payment” means value given, within the meaning of subsection 96(3), by the borrower or lessee. (versement)

“payment period” means an interval into which the term of a credit agreement or lease is divided for the purpose of determining the amount of and timing of payments. (période de paiement)

“periodic payment” means the payment that, under a credit agreement or lease, is to be made in respect of each payment period. (versement périodique)

“scheduled-payments credit agreement” means a credit agreement for fixed credit under which the amount advanced is to be repaid in accordance with a specified schedule of payments that may be adjusted to accommodate contingencies, including changes in the interest rate. (convention de crédit prévoyant un remboursement à échéances fixes)

“security interest” means any interest in property that secures the borrower’s obligations under a credit agreement. (sûreté)

“term” means, (durée)

(a) in relation to the duration of a credit agreement, the period between the first advance and the last payment anticipated by the credit agreement, or

(b) in relation to the duration of a lease, the period during which the lessee is entitled to retain possession of the leased goods.

“total cost of credit” means the amount determined by calculating, subject to the conditions and assumptions contained in the regulations and disregarding the possibility of prepayment or default, the difference between (coût total du crédit)

(a) the value given or to be given, within the meaning of subsection 96(3), by the borrower in connection with a credit agreement or by the lessee in connection with a lease, and

(b) the value received or to be received, within the meaning of subsection 96(1), by the borrower in connection with a credit agreement or by the lessee in connection with a lease.

Interpretation of “cash price”

94 For the purposes of the definition “cash price” in section 93, taxes and any other charges payable by a cash customer shall be included in the cash price when determining the amount advanced under a credit agreement.

Interpretation of “goods or services”

95 In this Part, a reference to “goods or services” includes both goods and services, unless the context otherwise requires, but does not include the extension of credit.

Value received and value given

96( 1) Subject to subsection (2), the following constitute value received or to be received by a borrower in connection with a credit agreement or by a lessee in connection with a lease:

(a) money transferred or to be transferred by the credit grantor or lessor to the borrower or lessee or to the order of the borrower or lessee;

(b) in the case of a credit agreement, the cash price of goods or services purchased or to be purchased by the borrower from the credit grantor or an associate of the credit grantor;

(d) the amount of a pre-existing monetary obligation of the borrower or lessee that is paid, discharged or consolidated or is to be paid, discharged or consolidated by the credit grantor or lessor;

(e) the amount of money obtained or to be obtained or the cash price of goods or services obtained or to be obtained through the use of a credit card;

(f) charges for any of the following expenses if the credit grantor or lessor has incurred or is to incur the expense for the purpose of arranging, documenting, insuring or securing the credit agreement or lease and then charges the expense to the borrower or lessee:

( i) fees paid to a third party to record or register a document or information in, or to obtain a document or information from, a public registry of interests in real or personal property;

( ii) fees for professional services required for the purpose of confirming the value, condition, location or conformity to law of property that serves as security for the credit agreement or lease if the borrower or lessee

( A) is given a report signed by the person providing the professional services, and

( B) may give the report referred to in clause (A) to third persons;

( iii) premiums for insurance that protects the credit grantor against the borrower’s default on a high-ratio mortgage;

( iv) premiums for, in the case of a credit agreement, casualty insurance on the subject matter of a security interest if the borrower is a beneficiary of the insurance and the insured amount is the full insurable value of the subject matter;

( v) premiums for, in the case of a lease, casualty insurance on leased goods if the lessee is a beneficiary of the insurance and the insured amount is the full insurable value of the leased goods;

( vi) premiums for any insurance provided or paid for by the credit grantor or lessor in connection with the credit agreement or lease if the insurance is optional; and

( vii) application fees for insurance referred to in subparagraph (iii);

(g) fees for services provided or to be provided by the credit grantor to maintain a tax account on a high-ratio mortgage;

(h) charges for shares in a credit union that a borrower must buy as a condition of entering into a credit agreement with the credit union; and

(i) any other thing prescribed by regulation.

96( 2) The following do not constitute value received or to be received by a borrower in connection with a credit agreement or by a lessee in connection with a lease unless they relate to an optional service, to an expense, charge or fee referred to in paragraph (1)(f), (g) or (h), or to a thing prescribed for the purposes of paragraph (1)(i):

(a) insurance provided or paid for or to be provided or paid for by the credit grantor or lessor in connection with the credit agreement or lease;

(b) money paid or to be paid, an expense incurred or to be incurred or anything done or to be done by the credit grantor or lessor for the purpose of arranging, documenting, securing, administering or renewing the credit agreement or lease; and

96( 3) The following constitute value given or to be given by a borrower in connection with a credit agreement or by a lessee in connection with a lease:

(a) money or property transferred or to be transferred from the borrower or lessee to the credit grantor or lessor for any purpose in connection with the credit agreement or lease;

(b) money or property transferred or to be transferred from the borrower or lessee to a person other than the credit grantor or lessor in respect of a charge for services that the credit grantor or lessor requires the borrower or lessee to obtain or pay for in connection with the credit agreement or lease, unless the charge

( i) is for an expense to which paragraph (1)( f) or regulations under paragraph (1)( i) would have applied if the expense had been incurred initially by the credit grantor or lessor and then charged by the credit grantor or lessor to the borrower or lessee,

( ii) is for services provided by a lawyer chosen by the borrower or lessee, or

( iii) is for title insurance provided by an insurer chosen by the borrower or lessee; and

96( 4) Despite subsections (1) and (3), amounts paid into or out of a tax account for a mortgage loan are not included when calculating the APR and total cost of credit.

Statement of purpose for entering credit agreement or lease

97 A person may rely on a statement made by an individual in a credit agreement, lease or other document regarding the purpose for which the individual has entered into or is to enter into a credit agreement or lease if

(a) the statement is signed by the individual, and

(b) the person believes in good faith that the statement is true.

Application

98( 1) Subject to subsection (2), this Part applies to

(a) credit offered, arranged or extended by a credit grantor that carries on business in the Province,

(b) credit offered, arranged or extended to a borrower who is resident in the Province,

(d) a lease

( i) for a term of four months or more,

( ii) for an indefinite term or that is renewed automatically until one of the parties takes positive steps to terminate it, or

( iii) that is a residual obligation lease.

98( 2) This Part does not apply to

(a) a credit agreement in relation to

( i) the extension of less than $100 credit,

( ii) a high-cost credit product as defined in section 146,

( iii) a payday loan as defined in section 209,

(b) a lease that is a high-cost credit product as defined in section 146, and

Division B

Registration

Mandatory registration

99( 1) No person shall act as a credit grantor in the ordinary course of business unless the person is registered as a credit grantor under this Part or is exempted from the application of this Part by regulation.

99( 2) No person shall act as a lessor in the ordinary course of business unless the person is registered as a lessor under this Part or is exempted from the application of this Part by regulation.

99( 3) No person shall act as a credit broker in the ordinary course of business unless the person is registered as a credit broker under this Part or is exempted from the application of this Part by regulation.

99( 4) No person shall publish or cause to be published any statement or representation that the person is registered under this Part.

Application for registration

100( 1) The Director may register a credit grantor, lessor or credit broker who submits an application for registration and who meets the requirements for registration under this Part and the regulations.

100( 2) An application for registration shall be made to the Director on a form provided by the Director and shall be accompanied by

(a) in the case of a credit grantor, copies of all documents used by the credit grantor in relation to the extension of credit,

(b) in the case of a lessor, copies of all documents used by the lessor in relation to the leasing of goods,

(c) in the case of a credit broker, copies of all documents used by the credit broker in relation to arranging, negotiating or facilitating or attempting to arrange, negotiate or facilitate the extension of credit,

(d) any other document or information that the Director requires or that is prescribed by regulation, and

(e) the fee prescribed by regulation.

100( 3) The Director may refuse to register a credit grantor, lessor or credit broker who fails to meet the requirements for registration under this Part and the regulations.

Effect of withdrawal, suspension or cancellation of registration

101( 1) The registration of a credit grantor remains in effect for the period prescribed by regulation unless the registration is withdrawn by the credit grantor, or is suspended or cancelled by the Director, in which case, at the time of the withdrawal, suspension or cancellation, the registration ceases to have effect and the credit grantor ceases to be registered under this Part.

101( 2) Despite subsection (1), a credit grantor whose registration has been withdrawn, suspended or cancelled may, if the credit grantor does not extend any new credit, continue to collect accounts receivable owing to the credit grantor at the time of the withdrawal, suspension or cancellation and, for that purpose, may renew credit agreements and otherwise deal with credit transactions originating before the withdrawal, suspension or cancellation.

101( 3) The registration of a lessor remains in effect for the period prescribed by regulation unless the registration is withdrawn by the lessor, or is suspended or cancelled by the Director, in which case, at the time of the withdrawal, suspension or cancellation, the registration ceases to have effect and the lessor ceases to be registered under this Part.

101( 4) Despite subsection (3), a lessor whose registration has been withdrawn, suspended or cancelled may, if the lessor does not enter into any new leases, continue to collect accounts receivable owing to the lessor at the time of the withdrawal, suspension or cancellation and, for that purpose, may renew leases and otherwise deal with lease transactions originating before the withdrawal, suspension or cancellation.

101( 5) The registration of a credit broker remains in effect for the period prescribed by regulation unless the registration is withdrawn by the credit broker, or is suspended or cancelled by the Director, in which case, at the time of the withdrawal, suspension or cancellation, the registration ceases to have effect and the credit broker ceases to be registered under this Part.

Terms and conditions imposed on registration

102( 1) The Director may, at any time and in accordance with the regulations, impose terms and conditions on the registration of a credit grantor, lessor or credit broker or on the suspension or cancellation of the registration of a credit grantor, lessor or credit broker.

102( 2) In addition to any terms and conditions imposed in accordance with the regulations, the Director may at any time impose the terms and conditions that the Director considers appropriate on the registration of a credit grantor, lessor or credit broker or on the suspension or cancellation of the registration of a credit grantor, lessor or credit broker.

Documents to be provided to the Director

103( 1) A credit grantor shall provide to the Director

(a) immediately after an amendment is made to a document required to be provided to the Director under paragraph 100(2)(a), a copy of the amended document, and

(b) on the request of the Director, a copy of any document that is used in relation to the extension of credit.

103( 2) A lessor shall provide to the Director

(a) immediately after an amendment is made to a document required to be provided to the Director under paragraph 100(2)(b), a copy of the amended document, and

(b) on the request of the Director, a copy of any document that is used in relation to the leasing of goods.

103( 3) A credit broker shall provide to the Director

(a) immediately after an amendment is made to a document required to be provided to the Director under paragraph 100(2)(c), a copy of the amended document, and

(b) on the request of the Director, a copy of any document that is used in relation to arranging, negotiating or facilitating or attempting to arrange, negotiate or facilitate the extension of credit.

Suspension or cancellation of registration

104( 1) Subject to subsection (3), the Director may suspend or cancel the registration of a credit grantor, lessor or credit broker

(a) if the credit grantor, lessor or credit broker has failed to comply with any term or condition of the registration,

(b) if, in the opinion of the Director, the credit grantor, lessor or credit broker has contravened or has failed to comply with any provision of this Act or the regulations or any order or direction given under this Act or the regulations, or

104( 2) If a credit grantor, lessor or credit broker has more than one branch office in the Province, the Director may suspend or cancel the registration of the credit grantor, lessor or credit broker with respect to one or more of the branch offices instead of suspending or cancelling the registration with respect to all the branch offices.

104( 3) The Director shall not suspend for a period of more than 30 days or cancel the registration of a credit grantor, lessor or credit broker without giving the credit grantor, lessor or credit broker an opportunity to be heard.

Mandatory cancellation of registration

105 The Director shall cancel the registration of a credit grantor, lessor or credit broker

(a) if the Director is satisfied that the credit grantor, lessor or credit broker is deceased,

(b) if the Director is satisfied that a corporation that is the credit grantor, lessor or credit broker has been dissolved, or

Notice of cancellation of registration

106 The Director shall cancel the registration of a credit grantor, lessor or credit broker by giving notice of the cancellation on the website of the Commission.

Address for service and membership of partnership

107( 1) In addition to providing the documents and information referred to in subsection 100(2), a credit grantor, lessor or credit broker who applies for registration shall state in the application an address for service in the Province for the credit grantor, lessor or credit broker.

107( 2) Every credit grantor, lessor or credit broker required to be registered under this Part shall give the Director notice of a change in its address for service and state the new address for service in the Province within five days after the change.

107( 3) If a credit grantor, lessor or credit broker required to be registered under this Part is a partnership, the credit grantor, lessor or credit broker shall give the Director notice of a change in the membership of the partnership and state the details within five days after the change in membership.

Division C

Disclosure Requirements and Rights of Borrowers and Lessees

Delivery of initial disclosure statement

108( 1) Subject to subsection (3), a credit grantor shall deliver the initial disclosure statement for a credit agreement to the borrower before the earlier of

(a) the date on which the borrower enters into the credit agreement, and

(b) the date on which the borrower makes any payment in connection with the credit agreement.

108( 2) A lessor shall deliver the initial disclosure statement for a lease to the lessee before the earlier of

(a) the date on which the lessee enters into the lease, and

(b) the date on which the lessee makes any payment in connection with the lease.

108( 3) A credit grantor shall deliver the initial disclosure statement for a credit agreement in relation to a mortgage loan to the borrower at least two business days before the earlier of

(a) the date on which the borrower incurs any obligation to the credit grantor in connection with the credit agreement, other than an obligation in respect of an expense, charge or fee referred to in paragraph 96(1)( f) or prescribed by regulation, and

(b) the date on which the borrower makes any payment to the credit grantor in connection with the credit agreement, other than a payment in respect of an expense, charge or fee referred to in paragraph 96(1)( f) or prescribed by regulation.

108( 4) The borrower under a credit agreement referred to in subsection (3) may, in accordance with the regulations, waive the two-business-day requirement referred to in that subsection, and, in that event, the credit grantor shall deliver the initial disclosure statement for the credit agreement in relation to the mortgage loan on or before the earlier of the dates referred to in paragraphs (3)( a) and ( b).

Disclosure in advertisements

109 If a credit grantor or lessor who publishes an advertisement or on whose behalf an advertisement is published is, as a result of disclosing certain information in the advertisement, required under this Part to include additional information in the advertisement, the credit grantor or lessor shall ensure that

(a) the additional information is disclosed prominently,

(b) if the additional information is the APR, the APR is disclosed at least as prominently as is the information that necessitated the inclusion of the APR, and

(c) if the additional information is the annual interest rate, the annual interest rate is disclosed at least as prominently as is the information that necessitated the inclusion of the annual interest rate.

Form of disclosure statements and statements of account

110( 1) A credit grantor or lessor who is required to provide a disclosure statement or statement of account under this Part shall ensure that the statement

(a) is in writing or, with the consent of the borrower or lessee, in any other form that allows the borrower or lessee to retain the statement for future reference,

(b) contains the information required under this Part, and

(c) expresses the information referred to in paragraph ( b) clearly, concisely, in a logical order and in a manner that is likely to bring the information to the attention of the borrower or lessee.

110( 2) A disclosure statement or statement of account may be a separate document or part of another document.

Delivery of documents by credit grantors or lessors

111( 1) When a credit grantor or lessor is required under this Part to deliver a disclosure statement, statement of account, notice or other document to a borrower or lessee, any of the following methods may be used:

(a) personal service;

(b) ordinary mail;

(d) prepaid courier;

(e) fax; or

(f) with the consent of the borrower or lessee, any other method that allows the borrower or lessee to retain the disclosure statement, statement of account, notice or other document for future reference.

111( 2) If there is more than one borrower under a credit agreement or more than one lessee under a lease, the credit grantor or lessor may, with the consent of all the borrowers or lessees, deliver a disclosure statement, statement of account, notice or other document to any one of the borrowers or lessees.

111( 3) Subsection (2) does not apply to a notice or other document prescribed by regulation.

111( 4) If the consent referred to in subsection (2) is given and delivery of a disclosure statement, statement of account, notice or other document is made to one of the borrowers under the credit agreement or one of the lessees under the lease, any other borrower under the credit agreement or any other lessee under the lease may request a separate disclosure statement, statement of account, notice or other document, and the credit grantor or lessor shall provide it free of charge within 30 days after the request.

Estimates and assumptions

112 A credit grantor or lessor may base information disclosed under this Part, whether in a disclosure statement, statement of account, advertisement or otherwise, on an estimate or assumption if

(a) the disclosure depends on information that is not ascertainable by the credit grantor or lessor at the time of disclosure, and

(b) the estimate or assumption is reasonable and is clearly identified as an estimate or assumption.

Borrower or lessee may choose insurer

113( 1) A borrower or lessee who is required by a credit grantor or lessor to purchase insurance may purchase it from any insurer authorized to provide that type of insurance in the Province, but the credit grantor or lessor may disapprove, on reasonable grounds, an insurer selected by the borrower or lessee.

113( 2) A credit grantor or lessor who offers to provide or to arrange insurance referred to in subsection (1) shall, at the time of the offer, clearly disclose to the borrower or lessee in writing that the borrower or lessee may, subject to subsection (1), purchase the required insurance through an insurance agent and from an insurer of the borrower’s or lessee’s choice.

Cancellation – optional services

114( 1) A borrower or lessee may cancel an optional service of a continuing nature that is provided by the credit grantor or lessor or an associate of the credit grantor or lessor by giving 30 days’ notice or a shorter period of notice if it is provided for by the agreement under which the service is provided.

114( 2) A borrower or lessee who cancels an optional service under subsection (1)

(a) is not liable for charges relating to any portion of the service that has not been provided at the time of cancellation, and

(b) is entitled to a refund of any amount already paid for those charges.

Prepayment

115( 1) This section does not apply to credit agreements in relation to mortgage loans.

115( 2) A borrower is entitled to prepay the outstanding balance of a credit agreement at any time without any prepayment charge or penalty.

115( 3) If a borrower prepays the outstanding balance of a credit agreement for fixed credit, the credit grantor shall refund or credit the borrower with a portion of any non-interest finance charge paid by the borrower or added to the outstanding balance.

115( 4) The portion of each non-interest finance charge that shall be refunded or credited to the borrower under subsection (3) shall be calculated in accordance with the regulations.

115( 5) A borrower is entitled, on any scheduled payment date or at least monthly, to prepay a portion of the outstanding balance of a credit agreement for fixed credit, without any prepayment charge or penalty, but, in that event, is not entitled to a refund or credit in respect of any non-interest finance charge.

Default charges

116( 1) A credit grantor or lessor shall not impose by a credit agreement or lease any default charge other than the following:

(a) reasonable charges in respect of legal costs incurred in collecting or attempting to collect a payment;

(b) reasonable charges in respect of costs, including legal costs, incurred in realizing a security interest or protecting the subject matter of a security interest after the borrower has defaulted under a credit agreement; and

(c) reasonable charges in respect of the costs incurred by the credit grantor or lessor because a cheque or other payment instrument given by the borrower or lessee to the credit grantor or lessor was dishonoured.

116( 2) For the purposes of paragraphs (1)( a) and ( b), reasonable charges include solicitor and client costs.

116( 3) A borrower or lessee is not liable for any default charge other than a default charge referred to in paragraph (1)( a), (b) or ( c).

Invitation to defer payment

117( 1) If a credit grantor or lessor invites a borrower or lessee to defer making a payment that would otherwise be due under a credit agreement or lease, the credit grantor or lessor shall clearly disclose in the invitation whether interest will accrue on the unpaid amount during the period during which payment is deferred.

117( 2) If an invitation referred to in subsection (1) does not clearly state whether interest will accrue on the unpaid amount during the period during which payment is deferred, the credit grantor or lessor shall be deemed to waive the interest that would otherwise accrue during the period.

Division D

Credit Brokers

Credit brokers and non-business credit grantors

118( 1) This section applies when a credit broker arranges a credit agreement involving a credit grantor that does not enter into the credit agreement in the ordinary course of business.

118( 2) Sections 108, 110, 111, 112, 124, 125, 126, 127, 128, 129, 133 and 134 apply with the necessary modifications to a credit broker.

118( 3) Despite subsection (2), the references to “credit grantor” in paragraphs 108(3)( a) and ( b), 124(1)( u), 128(3)( c), 133(1)( h) and 134(2)( b) shall continue to be read as “credit grantor” and the reference to “whether the credit grantor is willing” in subsection 128(1) shall continue to be read as “whether the credit grantor is willing”.

118( 4) For the purposes of subsection (2), the reference in subsection 128(2) to “credit grantor who is willing to renew a credit agreement in relation to a mortgage loan shall” shall be read as “credit broker shall, if the credit grantor is willing to renew a credit agreement in relation to a mortgage loan,”.

118( 5) If the borrower pays or is required to pay a brokerage fee, the credit broker shall ensure that the initial disclosure statement for the credit agreement, in addition to containing any other information required under this Part to be disclosed,

(a) states the amount of the brokerage fee,

(b) accounts for the brokerage fee in the total cost of credit, and

Credit brokers and business credit grantors

119( 1) This section applies when a credit broker arranges a credit agreement involving a credit grantor that enters into the credit agreement in the ordinary course of business.

119( 2) If the credit grantor deducts a brokerage fee from the value received or to be received by the borrower in connection with the credit agreement, the credit grantor shall ensure that the initial disclosure statement for the credit agreement, in addition to containing any other information required under this Part to be disclosed,

(a) states the amount of the brokerage fee,

(b) accounts for the brokerage fee in the total cost of credit, and

119( 3) If the credit broker takes a loan application from the borrower and forwards it to the credit grantor, the credit broker shall deliver to the borrower a disclosure statement for the credit agreement containing

(a) the information referred to in subsection (2), and

(b) any other information that is required under this Part to be disclosed in an initial disclosure statement.

119( 4) Section 108 applies with the necessary modifications to a disclosure statement under subsection (3).

119( 5) Despite subsection (4), the references to “credit grantor” in paragraphs 108(3)( a) and ( b) shall continue to be read as “credit grantor”.

119( 6) If the credit broker is required to deliver a disclosure statement under subsection (3), the credit grantor may adopt the disclosure statement as its initial disclosure statement.

119( 7) Subject to subsection (8), section 108 does not apply to a credit grantor who adopts a disclosure statement as its initial disclosure statement under subsection (6).

119( 8) A credit grantor who adopts a disclosure statement as its initial disclosure statement under subsection (6) shall ensure that the disclosure statement contains the information required under this Part to be disclosed in an initial disclosure statement.

Division E

Fixed Credit

Application

120 This Division applies to credit agreements for fixed credit.

Credit sales

121 If a credit agreement is in relation to a credit sale, the credit grantor shall ensure that the credit agreement is a scheduled-payments credit agreement.

Advertising for fixed credit

122( 1) This section applies in respect of advertisements that

(a) offer fixed credit, and

(b) state the interest rate or amount of any payment.

122( 2) A credit grantor shall ensure that an advertisement that is published by or on behalf of the credit grantor states

(a) the APR, and

(b) the term of the credit agreement.

122( 3) In addition to complying with subsection (2), the credit grantor shall ensure that

(a) an advertisement for a credit sale of specifically identified goods or services states the cash price of the goods or services, and

(b) an advertisement for a credit sale of specifically identified goods or services in connection with which any non-interest finance charge is payable states

( i) the cash price of the goods or services, and

( ii) the total cost of credit.

122( 4) Despite paragraph (3)( b), an advertisement on radio, television, a billboard or another medium with similar time or space limitations is not required to state the total cost of credit.

122( 5) If any of the information required to be disclosed under subsection (2) or (3) would not be the same for all credit agreements to which the advertisement relates, the credit grantor shall ensure that the information is for a representative transaction and is identified as being for a representative transaction.

122( 6) For the purposes of subsection (5), a transaction is a representative transaction if its terms are typical of the terms of the credit agreements to which the advertisement relates.

Advertising interest-free periods

123( 1) A credit grantor shall ensure that an advertisement that is published by or on behalf of the credit grantor and that states or implies that no interest is payable for a certain period in respect of a transaction under a credit agreement states whether

(a) the transaction is unconditionally interest free during the period, or

(b) interest accrues during the period but will be forgiven under certain conditions.

123( 2) If interest accrues during the period but will be forgiven under certain conditions, the credit grantor shall ensure that the advertisement also states

(a) the conditions, and

(b) the APR for the period, assuming the conditions are not met.

123( 3) An advertisement referred to in subsection (1) that does not contain the information required to be disclosed under paragraph (1)( b) and subsection (2) shall be deemed to represent that the transaction is unconditionally interest free during the relevant period.

Initial disclosure statement for fixed credit

124( 1) A credit grantor shall ensure that the initial disclosure statement for a scheduled-payments credit agreement contains the following information:

(a) the effective date of the statement;

(b) for a credit sale, a description of the goods or services;

(c) the outstanding balance as of the effective date of the statement, taking into account every payment made by the borrower on or before the effective date of the statement;

(d) the nature and amount of each advance, charge or payment taken into account in the outstanding balance disclosed under paragraph ( c);

(e) the term of the credit agreement;

(f) the amortization period if it is longer than the term of the credit agreement;

(g) the date on which interest begins to accrue and the details of any grace period;

(h) the annual interest rate and the circumstances under which interest will be compounded;

(i) if the annual interest rate may change during the term of the credit agreement,

( i) the initial annual interest rate and the compounding period,

( ii) the method of determining the annual interest rate at any time, and

( iii) unless the amount of scheduled payments is adjusted automatically to account for changes in the annual interest rate, the lowest annual interest rate, based on the initial outstanding balance, at which the payments would not cover the interest that would accrue between payments;

(j) the nature and amount of any charges, other than interest, that are not disclosed under paragraph ( d) but that will become payable by the borrower in connection with the credit agreement;

(k) the amount and timing of any advances to be made after the effective date of the statement;

(l) the amount and timing of any payments to be made after the effective date of the statement;

(m) the total of all advances made or to be made in connection with the credit agreement;

(n) the total of all payments to be made in connection with the credit agreement;

(o) the total cost of credit;

(p) the APR;

(q) the nature of any default charge provided for by the credit agreement;

(r) a description of the subject matter of any security interest;

(s) for a credit agreement in relation to a mortgage loan, a statement of the conditions, if any, under which the borrower may make prepayments, and any charge for prepayment;

(t) for a credit agreement other than a credit agreement in relation to a mortgage loan, a statement that

( i) the borrower is entitled to prepay the outstanding balance at any time without any prepayment charge or penalty, and

( ii) the borrower is entitled to prepay a portion of the outstanding balance on any scheduled payment date, or at least monthly, without any prepayment charge or penalty; and

(u) the nature, amount and timing of charges for any optional services purchased by the borrower that are payable to or through the credit grantor and the conditions under which the borrower may terminate the services.

124( 2) A credit grantor shall ensure that the initial disclosure statement for a credit agreement that is not a scheduled-payments credit agreement

(a) contains the information referred to in paragraphs (1)( a) to ( d), ( g) to ( j), ( m) and ( p) to ( u), and

(b) either states the circumstances under which the outstanding balance, or any portion of it, must be paid or specifies the provisions of the credit agreement that describe those circumstances.

Disclosure regarding changes in interest rate

125( 1) If the interest rate under a credit agreement is a floating rate, the credit grantor shall, at least once every 12 months, deliver to the borrower a disclosure statement for the credit agreement containing the following information:

(a) the period covered by the statement, which shall run from the date of the disclosure statement most recently delivered to the borrower under this section or section 124;

(b) the annual interest rate at the beginning and end of the period covered by the statement;

(d) for a scheduled-payments credit agreement, the amount and timing of all remaining payments based on the annual interest rate that applies at the end of the period covered by the statement.

125( 2) If the interest rate under a credit agreement is not a floating rate but is nevertheless subject to change, the credit grantor shall, within 30 days after the date on which the annual interest rate is increased by 1% or more over the rate most recently disclosed to the borrower, deliver to the borrower a disclosure statement for the credit agreement containing the following information:

(a) the date of the statement;

(b) the new annual interest rate and the date on which the new rate took effect; and

Disclosure regarding increases in outstanding principal

126( 1) Within 30 days after an increase in the outstanding principal under a scheduled-payments credit agreement, the credit grantor shall deliver to the borrower a notice in writing if

(a) the outstanding principal increases because of

( i) the compounding of interest on a missed or late payment, or

( ii) the imposition of a default charge, and

(b) as a result of the increase in the outstanding principal, the total amount of the payments that the borrower is scheduled to make over a payment period will not cover the interest that accrues during the payment period.

126( 2) A notice referred to in subsection (1) shall specify

(a) that the outstanding principal has increased and why the outstanding principal has increased,

(b) that, because of the increase in the outstanding principal, the subsequent scheduled payments will not cover the interest that will accrue in each payment period, and

(c) what the outstanding balance will be at the end of the term of the credit agreement if the amount of subsequent scheduled payments is not adjusted.

Disclosure regarding amendment

127( 1) This section does not apply to changes effected by a renewed agreement to which section 128 or 129 applies.

127( 2) If a credit agreement is amended, the credit grantor shall, within 30 days after the amendment is made, deliver to the borrower a supplementary disclosure statement that meets the requirements of subsection (3).

127( 3) A supplementary disclosure statement shall set out the information that is changed from the initial disclosure statement as a result of the amendment to the credit agreement but is not required to repeat any information that is unchanged from the initial disclosure statement.

127( 4) If an amendment consists only of a revision to the schedule of payments, a supplementary disclosure statement is not required to state any change in the APR or any decrease in the total cost of credit or total payments.

Disclosure regarding renewal of a credit agreement in relation to a mortgage loan

128( 1) If the amortization period for a mortgage loan under a scheduled-payments credit agreement is longer than the term of the credit agreement, the credit grantor shall, at least 21 days before the end of the term of the credit agreement, deliver to the borrower a written notice stating whether the credit grantor is willing to renew the credit agreement in relation to the mortgage loan for a further term.

128( 2) A credit grantor who is willing to renew a credit agreement in relation to a mortgage loan shall include with the notice referred to in subsection (1) a disclosure statement for the renewed agreement that contains the following information and is based on the assumption that the borrower will make all payments that are due under the original credit agreement:

(a) the effective date of the renewed agreement;

(b) the outstanding balance as of the effective date of the renewed agreement;

(d) the term of the renewed agreement;

(e) the relevant interest rate information referred to in paragraph 124(1)( h) or ( i);

(f) the APR;

(g) the amount and timing of all payments to be made in connection with the renewed agreement;

(h) the total of all payments to be made in connection with the renewed agreement;

(i) the total cost of credit;

(j) the amortization period; and

(k) a statement of the conditions, if any, under which the borrower may make prepayments and any charge for prepayment.

128( 3) If a credit agreement in relation to a mortgage loan is to be renewed and the credit grantor does not, at least 21 days before the effective date of the renewed agreement, deliver to the borrower a disclosure statement that reflects the terms of the renewed agreement,

(a) the credit grantor shall, on or before the effective date of the renewed agreement, deliver to the borrower a disclosure statement that reflects the terms of the renewed agreement,

(b) the borrower is entitled to prepay the outstanding balance of the renewed agreement without penalty at any time within 21 days after receiving the disclosure statement referred to in paragraph ( a), and

(c) the borrower, on exercising the right referred to in paragraph ( b), is entitled to a refund by the credit grantor of any non-interest finance charge imposed in connection with the renewed agreement.

128( 4) Subsection (3) does not apply if a credit grantor delivers to the borrower a disclosure statement for the renewed agreement at least 21 days before the effective date of the renewed agreement and the disclosure statement does not reflect the terms of the renewed agreement for any of the following reasons:

(a) the outstanding balance on the effective date of the renewed agreement differs from what was stated in the disclosure statement because of one or more missed, late, early or extra payments;

(b) the interest rate under the renewed agreement is lower than the interest rate stated in the disclosure statement; or

(c) the amortization period or frequency of payments under the renewed agreement differs from what was stated in the disclosure statement.

128( 5) If subsection (4) applies, the credit grantor shall, within 30 days after the effective date of the renewed agreement, deliver to the borrower a revised disclosure statement that reflects the terms of the renewed agreement.

Disclosure regarding renewal of a credit agreement not in relation to a mortgage loan

129 If a credit agreement, other than a credit agreement in relation to a mortgage loan, is renewed, the credit grantor shall deliver to the borrower on or before the effective date of the renewed agreement a disclosure statement containing the information referred to in paragraphs 128(2)( a) to ( k).

Division F

Open Credit

Application

130 This Division applies to credit agreements for open credit.

Advertising for open credit

131 A credit grantor shall ensure that an advertisement that is published by or on behalf of the credit grantor and that gives any specific information about the cost of open credit states

(a) the current annual interest rate for the open credit, and

(b) any initial or periodic non-interest finance charges for the open credit.

Advertising interest-free periods

132( 1) A credit grantor shall ensure that an advertisement that is published by or on behalf of the credit grantor and that states or implies that no interest is payable for a certain period in respect of a transaction under a credit agreement states whether

(a) the transaction is unconditionally interest free during the period, or

(b) interest accrues during the period but will be forgiven under certain conditions.

132( 2) If interest accrues during the period but will be forgiven under certain conditions, the credit grantor shall ensure that the advertisement also states

(a) the conditions, and

(b) the annual interest rate for the period, assuming the conditions are not met.

132( 3) An advertisement referred to in subsection (1) that does not contain the information required to be disclosed under paragraph (1)( b) and subsection (2) shall be deemed to represent that the transaction is unconditionally interest free during the relevant period.

Initial disclosure statement for open credit

133( 1) A credit grantor shall ensure that the initial disclosure statement for a credit agreement contains the following information:

(a) the effective date of the statement;

(b) the credit limit;

(d) the initial annual interest rate and the compounding period;

(e) if the annual interest rate may change, the method of determining the annual interest rate at any time;

(f) the date on which interest begins to accrue on advances or different types of advances and the details of any grace period;

(g) the nature and amount, or the method of determining the amount, of any non-interest finance charges that may become payable by the borrower in connection with the credit agreement;

(h) the nature, amount and timing of charges for any optional services purchased by the borrower that are payable to or through the credit grantor and the conditions under which the borrower may terminate the services;

(i) a description of the subject matter of any security interest;

(j) the nature of any default charge provided for by the credit agreement;

(k) how often the borrower will receive statements of account; and

(l) a telephone number in accordance with subsection 134(3).

133( 2) A credit grantor does not contravene subsection (1) by reason only of failing to ensure that the credit limit referred to in paragraph (1)( b) is contained in the initial disclosure statement if the credit grantor ensures that the credit limit is disclosed

(a) in the first statement of account delivered to the borrower, or

(b) in a separate statement delivered to the borrower on or before the date on which the borrower receives the first statement of account.

133( 3) A credit grantor does not contravene subsection (1) by reason only of failing to ensure that information that relates to a specific transaction under the credit agreement or that information referred to in paragraph (1)(h) about optional services is contained in the initial disclosure statement if the credit grantor ensures that the information is disclosed in a separate document delivered to the borrower before the transaction occurs or the optional services are provided.

Statements of account

134( 1) Subject to subsection (2), the credit grantor shall deliver to the borrower, at least monthly, a statement of account that contains the following information:

(a) the period covered by the statement, which shall run from the date of the first advance or, if a statement of account has been delivered under this section, from the date of the statement of account most recently delivered to the borrower;

(b) the outstanding balance at the beginning of the period covered by the statement;

(c) the amount, description and posting date of each transaction or charge added to the outstanding balance during the period covered by the statement;

(d) the amount and posting date of each payment or credit subtracted from the outstanding balance during the period covered by the statement;

(e) the annual interest rate or rates in effect during the period covered by the statement or any part of the period;

(f) the total of all amounts added to the outstanding balance during the period covered by the statement;

(g) the total of all amounts subtracted from the outstanding balance during the period covered by the statement;

(h) the outstanding balance at the end of the period covered by the statement;

(i) the credit limit;

(j) the minimum payment;

(k) the due date for payment;

(l) the amount that the borrower must pay on or before the due date in order to take advantage of a grace period;

(m) the borrower’s rights and obligations regarding the correction of billing errors; and

(n) a telephone number in accordance with subsection (3).

134( 2) A credit grantor is not required to send a statement of account to a borrower at the end of any period during which there has been no advance or payment if

(a) the outstanding balance at the end of the period is zero, or

(b) the borrower is in default under the credit agreement and the credit grantor has

( i) demanded payment of the outstanding balance, and

( ii) notified the borrower that the privilege of obtaining advances under the credit agreement has been cancelled or suspended due to the default.

134( 3) The credit grantor shall, for the purposes of paragraphs (1)( n) and 133(1)( l),

(a) provide a telephone number that the borrower can call to obtain information about the borrower’s account during the credit grantor’s normal business hours without incurring any charges for the call, and

(b) ensure that the information is available at the telephone number during those hours.

134( 4) A transaction is sufficiently described for the purposes of paragraph (1)( c) if the description in the statement of account, along with any transaction record included with the statement of account or made available to the borrower at the time of the transaction, can reasonably be expected to enable the borrower to verify the transaction.

Credit card may only be issued on application

135 A credit card issuer shall not issue, deliver or cause to be delivered a credit card to an individual who has not applied for the card unless the credit card that is issued to the individual is to replace or renew a credit card that was applied for and issued to that individual.

Application for credit card

136( 1) A credit card issuer shall ensure that the application form for a credit card contains the following information respecting the credit agreement in relation to the credit card:

(a) if the interest rate under the credit agreement is not a floating rate, the annual interest rate;

(b) if the interest rate under the credit agreement is a floating rate, the index rate and the relationship between the index rate and the annual interest rate;

(d) the nature and amount of any non-interest finance charges that are payable or may become payable by the credit card holder; and

(e) the date as of which the information referred to in paragraphs ( a) to ( d) is current.

136( 2) A credit card issuer does not contravene subsection (1) by reason only of failing to ensure that the application form contains the information referred to in paragraphs (1)( a) to ( e) if the application form states a telephone number that the individual may call during the credit card issuer’s normal business hours, without incurring any charges for the call, to obtain the information referred to in paragraphs (1)( a) to ( e) and the credit card issuer ensures that

(a) the categories of the information available at the telephone number for the purposes of this subsection appear on the application form, and

(b) the information referred to in paragraphs (1)( a) to ( e) is available at the telephone number during the credit card issuer’s normal business hours.

136( 3) If a credit card issuer communicates directly with an individual, whether in person or by mail, telephone or electronic means, for the purpose of inviting the individual to apply for a credit card, the credit card issuer shall disclose in the communication the information referred to in paragraphs (1)( a) to ( e).

136( 4) A credit card issuer does not contravene subsection (3) by reason only of failing to disclose the information referred to in paragraphs (1)( a) to ( e) if, in the communication, the credit card issuer discloses a telephone number that the individual may call during the credit card issuer’s normal business hours, without incurring any charges for the call, to obtain the information referred to in paragraphs (1)( a) to ( e) and the credit card issuer ensures that

(a) the categories of the information available at the telephone number for the purposes of this subsection are disclosed to the individual in the communication, and

(b) the information referred to in paragraphs (1)( a) to ( e) is available at the telephone number during the credit card issuer’s normal business hours.

136( 5) Despite subsections (2) and (4), if an individual applies for a credit card in person, by telephone or by electronic means, the credit card issuer shall disclose the information referred to in paragraphs (1)( a) to ( e) when the individual makes the application.

136( 6) An individual who applies for a credit card without signing an application form shall be deemed, on using the credit card for the first time, to have entered into a credit agreement in relation to the credit card.

136( 7) Nothing in this section relieves the credit card issuer of the requirement to deliver an initial disclosure statement referred to in sections 108, 133 and 137.

Additional disclosure for credit card

137( 1) In addition to the information required to be disclosed under section 133,

(a) a credit card issuer shall ensure that the initial disclosure statement for a credit agreement in relation to a credit card states the credit card holder’s maximum liability for unauthorized use of the credit card if the credit card is lost or stolen, and

(b) if a credit card holder is required under the credit agreement to pay the outstanding balance on receiving each statement of account, a credit card issuer shall ensure that the initial disclosure statement for the credit agreement in relation to the credit card states

( i) that the outstanding balance is payable on receipt of each statement of account,

( ii) the period after receipt of a statement of account within which the credit card holder must pay the outstanding balance in order to avoid being in default under the agreement, and

( iii) the annual interest rate that will apply to any amount that is not paid when due.

137( 2) The credit card issuer shall notify the credit card holder of any change in the information disclosed in the initial disclosure statement for the credit agreement in relation to the credit card,

(a) in the case of any of the following changes, in the next statement of account following the change or in a document that is given to the credit card holder with the next statement of account:

( i) a change in the credit limit;

( ii) a decrease in the interest rate or the amount of any other charge;

( iii) an increase in the length of an interest-free period or grace period; or

( iv) a change in a floating rate, or

(b) in the case of any other change, at least 30 days before the date that the change takes effect.

Liability of credit card holder

138( 1) A credit card holder who has, orally or in writing, reported a lost or stolen credit card, or the unauthorized use of the credit card or credit card number, to the credit card issuer is not liable for any debt incurred through the use of that credit card or credit card number after the credit card issuer receives the report of the loss, theft or unauthorized use.

138( 2) The maximum total liability of a credit card holder arising from the unauthorized use of a lost or stolen credit card before the credit card issuer receives notice under subsection (1) is the lesser of

(a) $50, and

(b) the maximum amount set by the credit agreement in relation to the credit card.

138( 3) Subsection (2) does not apply to the use of a credit card together with a personal identification number at an automated teller machine or ATM.

Division G

Lease of Goods

Definitions

139 The following definitions apply in this Division.

“assumed residual payment” means, (versement résiduel présumé)

(a) in the case of an option lease under which the option price at the end of the term is less than the estimated residual value, the option price, and

(b) in any other case, the sum of the estimated residual value and any amount that the lessee will be required to pay in the ordinary course of events at the end of the term.

“capitalized amount” means the amount calculated by (montant capitalisé)

(a) adding

( i) the cash value of the leased goods, and

( ii) the amount of any other advances made to the lessee at or before the beginning of the term, and

(b) subtracting from the amount calculated under paragraph ( a) the total amount of all payments made by the lessee at or before the beginning of the term, other than

( i) any refundable security deposit, or

( ii) any periodic payment.

“estimated residual cash payment” means the amount that the lessee will be required to pay to the lessor at the end of the term of a residual obligation lease if the realizable value of the leased goods at the end of the term equals their estimated residual value. (versement résiduel estimatif en espèces)

“estimated residual value” means the lessor’s reasonable estimate of the wholesale value of the leased goods at the end of the term as estimated by the lessor at the time the lease was entered into. (valeur résiduelle estimative)

“implicit finance charge” means the amount calculated, subject to the conditions and assumptions contained in the regulations, by (frais de financement implicites)

(a) adding

( i) all non-refundable payments required to be made by the lessee at or before the beginning of, or during, the term of the lease, and

( ii) the assumed residual payment, and

(b) subtracting from the amount calculated under paragraph ( a) the total amount of the advances received by the lessee.

“option lease” means a lease that gives the lessee the right to acquire title to or retain permanent possession of the leased goods by making a payment in addition to the payments required under the lease or by satisfying other specified conditions. (bail avec option)

“option price” means the amount of the additional payment that the lessee must make in order to exercise the option under an option lease. (prix de l’option)

“realizable value”, in relation to leased goods, means the actual value of the leased goods at the end of the term as calculated in accordance with the regulations. (valeur marchande)

“residual obligation lease” means a lease under which the lessee will be required at the end of the term to pay the lessor an amount based wholly or partly on the difference, if any, between the estimated residual value and the realizable value of the leased goods. (bail à obligation résiduelle)

“total lease cost” means the total of any non-refundable payments that the lessee will be required to make in the ordinary course of events. (coût total du bail)

Advertisement for lease

140( 1) A lessor shall ensure that an advertisement that is published by or on behalf of the lessor and that gives specific information about the cost of a lease contains the following information respecting the lease:

(a) that the transaction is a lease;

(b) the term of the lease;

(c) the nature and amount of any payments that are payable by a lessee at or before the beginning of the term of the lease;

(d) the amount, timing and number of the periodic payments;

(e) the nature and amount of any other payments that are payable by a lessee in the ordinary course of events;

(f) the APR; and

(g) the limitations, if any, imposed in accordance with the regulations regarding extra charges that may be charged based on usage of the leased goods.

140( 2) Despite subsection (1), a lessor shall ensure that an advertisement on radio, television, a billboard or another medium with similar time or space limitations that gives any specific information about the cost of a lease

(a) contains the information referred to in paragraphs (1)( a) to ( d) and ( f), or

(b) contains the information referred to in paragraphs (1)( a), ( c) and ( d) and states

( i) a telephone number at which the information referred to in paragraphs (1)( b) and ( f) is available during the lessor’s normal business hours and may be obtained without incurring any charges for the call, or

( ii) a reference to a written publication having general circulation in the area and containing the information referred to in paragraphs (1)( b) and ( f).

140( 3) If any of the information required to be disclosed under subsection (1) would not be the same for all leases to which the advertisement relates, the lessor shall ensure that the information is for a representative transaction and is identified as being for a representative transaction.

140( 4) For the purposes of subsection (3), a transaction is a representative transaction if its terms are typical of the terms of the leases to which the advertisement relates.

Initial disclosure statement for lease

141( 1) A lessor shall ensure that the initial disclosure statement for a lease contains the following information:

(a) the effective date of the statement;

(b) that the transaction is a lease;

(d) the term of the lease;

(e) the cash value of the leased goods;

(f) the nature and amount of any other advance received, and of each charge incurred, by the lessee in connection with the lease at or before the beginning of the term of the lease;

(g) the nature and amount of each payment made by the lessee at or before the beginning of the term of the lease;

(h) the capitalized amount;

(i) the amount, timing and number of the periodic payments;

(j) the estimated residual value of the leased goods;

(k) for an option lease,

( i) how and when the option may be exercised,

( ii) the option price if the option is exercised at the end of the term of the lease, and

( iii) the method of determining the option price if the option is exercised before the end of the term of the lease;

(l) for a residual obligation lease,

( i) the estimated residual cash payment, and

( ii) a statement that the lessee’s maximum liability at the end of the term of the lease is the sum of

( A) the estimated residual cash payment, and

( B) the estimated residual value less the realizable value of the leased goods;

(m) the circumstances, if any, under which the lessee or the lessor may terminate the lease before the end of the term of the lease and the amount, or the method of determining the amount, of any payment that the lessee will be required to make on early termination of the lease;

(n) if there are circumstances under which the lessee will be required to make a payment in connection with the lease and if that payment is not required to be disclosed under paragraphs ( a) to ( m),

( i) the circumstances, and

( ii) the amount of the payment or the method of determining the amount;

(o) the implicit finance charge;

(p) the APR; and

(q) the total lease cost.

141( 2) The circumstances referred to in paragraph (1)( n) include unreasonable wear or excess use of the leased goods.

Disclosure regarding amendment

142( 1) If a lease is amended, the lessor shall, within 30 days after the amendment is made, deliver to the lessee a supplementary disclosure statement that meets the requirements of subsection (2).

142( 2) A supplementary disclosure statement referred to in subsection (1) shall set out the information that, as a result of the amendment to the lease, is changed from the initial disclosure statement but is not required to repeat any information that is unchanged from the initial disclosure statement.

142( 3) If an amendment consists only of a revision to the schedule of payments, a supplementary disclosure statement referred to in subsection (1) is not required to state any change in the APR or any decrease in the implicit finance charge or the total lease cost.

Maximum liability under residual obligation lease

143 The lessee’s maximum liability at the end of the term of a residual obligation lease after returning the leased goods to the lessor shall be calculated in accordance with the regulations.

Division H

General

Provision of security by credit grantor, lessor or credit broker

144 The Director may require any credit grantor, lessor or credit broker to provide, in accordance with the regulations, a bond or collateral security payable to the Commission.

Assignees

145 An assignee of a credit grantor’s rights under a credit agreement or a lessor’s rights under a lease has no greater rights than the assignor and takes subject to any defence that the borrower or lessee would have had against the assignor.

PART 7

HIGH-COST CREDIT PRODUCTS

Division A

Definitions, Interpretation and Application

Definitions

146 The following definitions apply in this Part.

“advance” means value received, within the meaning of section 149, by the borrower or lessee. (avance)

“APR” means the APR as defined in Part 6. (TAP)

“borrower” means an individual who has entered into, or who is negotiating to enter into, a high-cost credit agreement for personal, family or household purposes who receives or will receive credit from a high-cost credit grantor, but does not include a guarantor. (emprunteur)

(a) deducted from the value received or to be received by a borrower in connection with a high-cost credit agreement, and

(b) paid to the credit broker by the high-cost credit grantor.

“cash card” means a card or other device other than a credit card that (carte porte-monnaie électronique)

(a) can be used to obtain cash or acquire goods or services, and

(b) is issued by a high-cost credit grantor to a borrower instead of advancing cash or transferring money to the borrower or to the order of the borrower.

“cash customer” means cash customer as defined in Part 6. (consommateur payant comptant)

“cash price”, in relation to goods or services, means, (prix au comptant)

(a) for a sale to a borrower by a high-cost credit grantor, or by an associate of the high-cost credit grantor, who sells the goods or services to cash customers in the ordinary course of business,

( i) an amount that fairly represents the price at which the high-cost credit grantor, or the associate, sells the goods or services to cash customers, or

( ii) if the high-cost credit grantor, or the associate, and the borrower agree on a lower price, that lower price,

(b) for a sale to which paragraph (a) does not apply, the price agreed on by the high-cost credit grantor, or by the associate of the high-cost credit grantor, and the borrower, or

(c) for an advertisement published by or on behalf of a high-cost credit grantor, the price at which the goods or services are currently offered by the high-cost credit grantor, or by an associate of the high-cost credit grantor, to cash customers or, if the high-cost credit grantor or associate does not currently offer the goods or services to cash customers, the price stated in the advertisement.

“cash value”, in relation to leased goods, means, (valeur au comptant)

(a) if the lessor sells similar goods to cash customers in the ordinary course of business,

( i) a value that fairly represents the price at which the lessor sells similar goods to cash customers, or

( ii) if the lessor and lessee agree on a lower value, that value, or

(b) if the lessor does not sell similar goods to cash customers in the ordinary course of business,

( i) the lessor’s reasonable estimate of the price at which cash customers would buy the leased goods, or

( ii) if the lessor and lessee agree on a lower value, that value.

“credit broker” means a person who, for compensation, arranges, negotiates or facilitates or attempts to arrange, negotiate or facilitate an extension of credit from a high-cost credit grantor to a borrower. (courtier en crédit)

“credit card” means a card or other device that can be used to obtain advances under a high-cost credit agreement for open credit. (carte de crédit)

“credit card holder” means a credit card holder as defined in Part 6. (titulaire d’une carte de crédit)

“credit card issuer” means a person who is a high-cost credit grantor in relation to a credit card. (émetteur d’une carte de crédit)

(a) the high-cost credit agreement in relation to the sale requires that the full amount of the sale price of the goods or services be paid in a single payment within a specified period after a written invoice or statement of account is delivered to the buyer,

(b) the sale is unconditionally interest free during the period referred to in paragraph (a),

(d) the sale is not assigned in the ordinary course of the high-cost credit grantor’s business other than as security, and

(e) the sale does not provide for any non-interest finance charges.

“default charge” means a charge imposed on a borrower or lessee who fails to make a payment as it comes due under a high-cost credit agreement or a lease or who fails to comply with any other obligation under a high-cost credit agreement or a lease, but does not include interest on an overdue payment. (frais de défaut de paiement)

“fixed credit” means credit extended under a high-cost credit agreement that is not for open credit. (crédit fixe)

“floating rate” means a floating rate as defined in Part 6. (taux variable)

“grace period” means a period during which interest accrues but will be forgiven if the borrower satisfies conditions specified in the high-cost credit agreement. (délai de grâce)

“high-cost credit agreement” means a credit agreement between a high-cost credit grantor and a borrower under which credit is extended by way of a high-cost credit product. (convention de crédit à coût élevé)

“high-cost credit grantor” means a credit grantor who extends or is to extend credit to a borrower by way of a high-cost credit product. (prêteur à coût élevé)

“high-cost credit product” means (produit de crédit à coût élevé)

(a) a loan of money that meets the criteria prescribed by regulation, but does not include

( i) a payday loan,

( ii) a mortgage loan, or

( iii) a product prescribed by regulation,

(b) a credit sale that meets the criteria prescribed by regulation,

(d) a lease that meets the criteria prescribed by regulation, and

(e) a product prescribed by regulation.

“index rate” means a rate that, in accordance with the terms of a high-cost credit agreement, is made available to a borrower, at least weekly, (taux indiciel)

(a) in a written publication that has general circulation in the Province, or

(b) in some other manner that can reasonably be expected to make the rate available to the borrower.

“interest-free period” means an interest-free period as defined in Part 6. (période sans intérêt)

“mortgage loan” means a mortgage loan as defined in Part 6. (prêt hypothécaire)

“non-interest finance charge” means any charge that a borrower is required to pay in connection with a high-cost credit agreement, other than (frais financiers autres que l’intérêt)

(a) interest,

(b) a prepayment charge,

(d) a charge for an optional service,

(e) an expense, charge or fee referred to in paragraph 149(1)(f), or a thing prescribed for the purposes of paragraph 149(1)(g), or

(f) in the case of a credit sale, any charge that would also be payable by a cash customer.

“open credit” means credit extended under a high-cost credit agreement if the high-cost credit agreement (crédit à découvert)

(a) anticipates multiple advances that are to be made when requested by the borrower in accordance with the high-cost credit agreement, and

(b) does not establish the total amount to be advanced to the borrower under the high-cost credit agreement, although it may impose a credit limit.

“optional service” means a service that is offered to a borrower or lessee in connection with a high-cost credit agreement or a lease and that the borrower or lessee does not have to accept in order to enter into the high-cost credit agreement or the lease. (service facultatif)

“outstanding balance” means the total amount owing at any particular time under a high-cost credit agreement. (solde impayé)

“payment” means value given, within the meaning of subsection 149(3), by the borrower or lessee. (versement)

“payment period” means an interval into which the term of a high-cost credit agreement or a lease is divided for the purpose of determining the amount of and timing of payments. (période de paiement)

“periodic payment” means the payment that, under a high-cost credit agreement or a lease, is to be made in respect of each payment period. (versement périodique)

“scheduled-payments high-cost credit agreement” means a high-cost credit agreement for fixed credit under which the amount advanced is to be repaid in accordance with a specified schedule of payments that may be adjusted to accommodate contingencies, including changes in the interest rate. (convention de crédit à coût élevé prévoyant un remboursement à échéances fixes)

“security interest” means any interest in property that secures the borrower’s obligations under a high-cost credit agreement. (sûreté)

“term” means, (durée)

(a) in relation to the duration of a high-cost credit agreement, the period between the first advance and the last payment anticipated by the high-cost credit agreement, or

(b) in relation to the duration of a lease, the period during which the lessee is entitled to retain possession of the leased goods.

(a) the value given or to be given, within the meaning of subsection 149(3), by the borrower in connection with a high-cost credit agreement or by the lessee in connection with a lease, and

(b) the value received or to be received, within the meaning of subsection 149(1), by the borrower in connection with a high-cost credit agreement or by the lessee in connection with a lease.

Interpretation of “cash price”

147 For the purposes of the definition “cash price” in section 146, taxes and any other charges payable by a cash customer shall be included in the cash price when determining the amount advanced under a high-cost credit agreement.

Interpretation of “goods or services”

148 In this Part, a reference to “goods or services” includes both goods and services, unless the context otherwise requires, but does not include the extension of credit.

Value received and value given

149( 1) Subject to subsection (2), the following constitute value received or to be received by a borrower in connection with a high-cost credit agreement or by a lessee in connection with a lease:

(a) money transferred or to be transferred by the high-cost credit grantor or the lessor to the borrower or lessee or to the order of the borrower or lessee;

(b) in the case of a high-cost credit agreement, the cash price of goods or services purchased or to be purchased by the borrower from the high-cost credit grantor or an associate of the high-cost credit grantor;

(d) the amount of a pre-existing monetary obligation of the borrower or lessee that is paid, discharged or consolidated or is to be paid, discharged or consolidated by the high-cost credit grantor or the lessor;

(e) the amount of money obtained or to be obtained or the cash price of goods or services obtained or to be obtained through the use of a credit card;

(f) charges for any of the following expenses if the high-cost credit grantor or the lessor has incurred or is to incur the expense for the purpose of arranging, documenting, insuring or securing the high-cost credit agreement or the lease and then charges the expense to the borrower or lessee:

( i) fees paid to a third party to record or register a document or information in, or to obtain a document or information from, a public registry of interests in real or personal property;

( ii) fees for professional services required for the purpose of confirming the value, condition, location or conformity to law of property that serves as security for the high-cost credit agreement or lease if the borrower or lessee

( A) is given a report signed by the person providing the professional services, and

( B) may give the report referred to in clause (A) to third persons;

( iii) premiums for, in the case of a high-cost credit agreement, casualty insurance on the subject matter of a security interest if the borrower is a beneficiary of the insurance and the insured amount is the full insurable value of the subject matter;

( iv) premiums for, in the case of a lease, casualty insurance on leased goods if the lessee is a beneficiary of the insurance and the insured amount is the full insurable value of the leased goods; and

( v) premiums for any insurance provided or paid for by the high-cost credit grantor or the lessor in connection with the high-cost credit agreement or the lease if the insurance is optional; and

(g) any other thing prescribed by regulation.

149( 2) The following do not constitute value received or to be received by a borrower in connection with a high-cost credit agreement or by a lessee in connection with a lease unless they relate to an optional service, to an expense, charge or fee referred to in paragraph (1)(f) or to a thing prescribed for the purposes of paragraph (1)(g):

(a) insurance provided or paid for or to be provided or paid for by the high-cost credit grantor or the lessor in connection with the high-cost credit agreement or the lease;

(b) money paid or to be paid, an expense incurred or to be incurred or anything done or to be done by the high-cost credit grantor or the lessor for the purpose of arranging, documenting, securing, administering or renewing the high-cost credit agreement or the lease; and

149( 3) The following constitute value given or to be given by a borrower in connection with a high-cost credit agreement or a lessee in connection with a lease:

(a) money or property transferred or to be transferred from the borrower or lessee to the high-cost credit grantor or the lessor for any purpose in connection with the high-cost credit agreement or the lease;

(b) money or property transferred or to be transferred from the borrower or lessee to a person other than the high-cost credit grantor or the lessor in respect of a charge for services that the high-cost credit grantor or the lessor requires the borrower or lessee to obtain or pay for in connection with the high-cost credit agreement or the lease, unless the charge

( i) is for an expense to which paragraph (1)( f) or regulations under paragraph (1)(g) would have applied if the expense had been incurred initially by the high-cost credit grantor or the lessor and then charged by the high-cost credit grantor or the lessor to the borrower or lessee,

( ii) is for services provided by a lawyer chosen by the borrower or lessee, or

( iii) is for title insurance provided by an insurer chosen by the borrower or lessee; and

Statement of purpose for entering high-cost credit agreement or lease

150 A person may rely on a statement made by an individual in a high-cost credit agreement, a lease or other document regarding the purpose for which the individual has entered into or is to enter into the high-cost credit agreement or the lease if

(a) the statement is signed by the individual, and

(b) the person believes in good faith that the statement is true.

Application

151( 1) Subject to subsection (2), this Part applies to

(a) a high-cost credit product offered, arranged or provided by a high-cost credit grantor that carries on business in the Province,

(b) a high-cost credit product offered to, arranged for or provided to a borrower who is resident in the Province,

(d) a high-cost credit product that is a lease

( i) for a term of four months or more,

( ii) for an indefinite term or that is renewed automatically until one of the parties takes positive steps to terminate it, or

( iii) that is a residual obligation lease.

151( 2) This Part does not apply to

(a) a high-cost credit agreement in relation to the extension of less than $100 credit,

(b) a credit agreement in relation to a payday loan as defined in section 209, and

( i) the Loan and Trust Companies Act,

( ii) the Credit Unions Act, or

( iii) any other Act prescribed by regulation.

Division B

Licensing

Licence required

152( 1) No person shall offer, arrange or provide high-cost credit products from a location except under the authority of a valid high-cost credit business licence issued under Part 12 to the person or the person’s employer for that location.

152( 2) No person shall offer, arrange or provide high-cost credit products from a location that is a website to a borrower or lessee in the Province except under the authority of a valid high-cost credit business licence issued under Part 12 to that person or the person’s employer that specifies that the person or employer may offer, arrange or provide high-cost credit products from that website.

152( 3) For greater certainty, a person who wishes to offer, arrange or provide high-cost credit products from more than one location shall hold a separate valid high-cost credit business licence issued under Part 12 for each location.

Division C

Disclosure Requirements and Rights of Borrowers and Lessees

High-cost credit agreements and leases

153( 1) A high-cost credit grantor shall ensure that the terms under which credit is to be extended by way of a high-cost credit product are included in a written high-cost credit agreement that is signed and dated by the borrower.

153( 2) A lessor shall ensure that the terms of a lease that is a high-cost credit product are included in a written lease that is signed and dated by the lessee.

153( 3) The high-cost credit grantor or the lessor, as the case may be, shall ensure that a high-cost credit agreement or a lease

(a) includes a front page that contains any terms, information and statements prescribed by regulation,

(b) contains any other terms, information and statements prescribed by regulation, and

153( 4) The high-cost credit grantor or the lessor, as the case may be, shall ensure that the terms, information and statements required under paragraphs (3)(a) and (b) are written clearly, concisely, in a logical order and in a manner that is likely to bring them to the attention of the borrower or lessee.

153( 5) Before a borrower signs a high-cost credit agreement, the high-cost credit grantor shall review with the borrower any matter prescribed by regulation and require that the borrower initial each provision of the agreement that deals with a prescribed matter.

153( 6) Before a lessee signs a lease that is a high-cost credit product, the lessor shall review with the lessee any matter prescribed by regulation and require that the lessee initial each provision of the lease that deals with a prescribed matter.

153( 7) At the time a borrower signs a high-cost credit agreement, the high-cost credit grantor shall give the borrower a copy together with

(a) a notice of cancellation that is in a form approved by the Director containing the information prescribed by regulation, and

(b) any other document prescribed by regulation.

153( 8) The requirement to give a notice of cancellation under paragraph (7)(a) does not apply to a high-cost credit agreement in relation to a credit sale.

153( 9) A notice of cancellation referred to in paragraph (7)(a) may be used by the borrower for the purposes of subsection 163(4).

153( 10) At the time a lessee signs a lease that is a high-cost credit product, the lessor shall give the lessee a copy together with any other document prescribed by regulation.

Renewals, extensions or amendments

154 If a high-cost credit grantor wishes to extend, renew or amend a high-cost credit agreement or a lessor wishes to renew, extend or amend a lease that is a high-cost credit product, the high-cost credit grantor or the lessor, as the case may be, shall comply with any requirements prescribed by regulation.

Guidelines

155( 1) To assist high-cost credit grantors in developing high-cost credit agreements that are clear and understandable, the Commission may issue guidelines about the form of those agreements.

155( 2) To assist lessors in developing leases that are high-cost credit products that are clear and understandable, the Commission may issue guidelines about the form of those leases.

155( 3) The Regulations Act does not apply to guidelines issued under subsection (1) or (2).

Inconsistency between disclosure statement and high-cost credit agreement or lease

156 If information contained in a disclosure statement required under this Part is inconsistent with any term, information or statement contained in the high-cost credit agreement or the lease, the high-cost credit agreement or the lease is presumed to incorporate the term, information or statement that is more favourable to the borrower or lessee, unless it is proved that the less favourable term, information or statement reflects the borrower’s actual understanding of the high-cost credit agreement or the lessee’s actual understanding of the lease, as the case may be.

Delivery of initial disclosure statement

157( 1) A high-cost credit grantor shall deliver the initial disclosure statement for a high-cost credit agreement to the borrower before the earlier of

(a) the date on which the borrower enters into the high-cost credit agreement, and

(b) the date on which the borrower makes any payment in connection with the high-cost credit agreement.

157( 2) A lessor shall deliver the initial disclosure statement for a lease to the lessee before the earlier of

(a) the date on which the lessee enters into the lease, and

(b) the date on which the lessee makes any payment in connection with the lease.

Disclosure in advertisements

158 If a high-cost credit grantor or a lessor who publishes an advertisement or on whose behalf an advertisement is published is, as a result of disclosing certain information in the advertisement, required under this Part to include additional information in the advertisement, the high-cost credit grantor or the lessor shall ensure that

(a) the additional information is disclosed prominently,

(b) if the additional information is the APR, the APR is disclosed at least as prominently as is the information that necessitated the inclusion of the APR, and

Form of disclosure statements and statements of account

159( 1) A high-cost credit grantor or a lessor who is required to provide a disclosure statement or a statement of account under this Part shall ensure that the statement

(a) is in writing or, with the consent of the borrower or lessee, in any other form that allows the borrower or lessee to retain the statement for future reference,

(b) contains the information required under this Part, and

(c) expresses the information referred to in paragraph ( b) clearly, concisely, in a logical order and in a manner that is likely to bring the information to the attention of the borrower or lessee.

159( 2) A disclosure statement or a statement of account may be a separate document or part of another document.

Delivery of documents by high-cost credit grantors or lessors

160( 1) When a high-cost credit grantor or a lessor is required under this Part to deliver a disclosure statement, statement of account, notice or other document to a borrower or lessee, any of the following methods may be used:

(a) personal service;

(b) ordinary mail;

(d) prepaid courier;

(e) fax; or

160( 2) If there is more than one borrower under a high-cost credit agreement or more than one lessee under a lease, the high-cost credit grantor or the lessor may, with the consent of all the borrowers or lessees, deliver a disclosure statement, statement of account, notice or other document to any one of the borrowers or lessees.

160( 3) Subsection (2) does not apply to a notice or other document prescribed by regulation.

160( 4) If the consent referred to in subsection (2) is given and delivery of a disclosure statement, statement of account, notice or other document is made to one of the borrowers under the high-cost credit agreement or one of the lessees under the lease, any other borrower under the credit agreement or any other lessee under the lease may request a separate disclosure statement, statement of account, notice or other document, and the high-cost credit grantor or the lessor shall provide it free of charge within 30 days after the request.

Estimates and assumptions

161 A high-cost credit grantor or a lessor may base information disclosed under this Part, whether in a disclosure statement, statement of account, advertisement or otherwise, on an estimate or assumption if

(a) the disclosure depends on information that is not ascertainable by the high-cost credit grantor or the lessor at the time of disclosure, and

(b) the estimate or assumption is reasonable and is clearly identified as an estimate or assumption.

Borrower or lessee may choose insurer

162( 1) A borrower or lessee who is required by a high-cost credit grantor or a lessor to purchase insurance may purchase it from any insurer authorized to provide that type of insurance in the Province, but the high-cost credit grantor or the lessor may disapprove, on reasonable grounds, an insurer selected by the borrower or lessee.

162( 2) A high-cost credit grantor or a lessor who offers to provide or to arrange insurance referred to in subsection (1) shall, at the time of the offer, clearly disclose to the borrower or lessee in writing that the borrower or lessee may, subject to subsection (1), purchase the required insurance through an insurance agent and from an insurer of the borrower’s or lessee’s choice.

Cancellation – high-cost credit agreement

163( 1) A borrower may cancel a high-cost credit agreement within 48 hours, excluding Sundays and other holidays, after receiving the first advance or a cash card enabling the borrower to access funds under the high-cost credit agreement.

163( 2) In addition to having a cancellation right under subsection (1), a borrower may cancel a high-cost credit agreement at any time if

(a) the high-cost credit grantor did not notify the borrower of the cancellation right under subsection (1),

(b) the notice of cancellation given to the borrower does not meet the requirements of subsection 153(7), or

(c) the high-cost credit grantor did not hold a licence referred to in section 152 at the time the high-cost credit grantor entered into the high-cost credit agreement with the borrower.

163( 3) The cancellation rights under subsections (1) and (2) do not apply to a high-cost credit agreement in relation to a credit sale.

163( 4) To cancel a high-cost credit agreement under subsection (1) or (2), the borrower shall

(a) give written notice of the cancellation to the high-cost credit grantor, and

(b) repay, by cash, certified cheque or money order or in a manner prescribed by regulation, the outstanding balance of all advances made, less any portion of the total cost of credit that was paid by or on behalf of the borrower or deducted or withheld from the advances.

163( 5) For the purposes of paragraph (4)( b),

(a) if the first advance was made in the form of a cheque, a return of the unnegotiated cheque to the high-cost credit grantor shall be considered a repayment of the first advance, and

(b) if the first advance was made in the form of a cash card that enabled the borrower to access funds under the high-cost credit agreement, returning that card to the high-cost credit grantor shall be considered a repayment of the first advance to the extent of the credit balance remaining on the card.

163( 6) On the cancellation of a high-cost credit agreement under this section,

(a) the high-cost credit grantor shall immediately give the borrower a receipt, that is in a form approved by the Director containing the information prescribed by regulation, for the amount that the borrower paid or returned to the high-cost credit grantor on cancelling the high-cost credit agreement, and

(b) the high-cost credit grantor shall immediately reimburse the borrower, in cash, for all amounts paid, and the value of any other consideration given, by or on behalf of the borrower in relation to the total cost of credit for the high-cost credit agreement, less any amount deducted or withheld from the advances or from the repayment of them under paragraph (4)( b).

163( 7) The cancellation of a high-cost credit agreement under this section extinguishes every liability and obligation of the borrower under, or related to, the high-cost credit agreement.

163( 8) No high-cost credit grantor shall charge or require or accept the payment of, or arrange for or permit any other person to charge or to require or accept the payment of, any amount or consideration for, or as a consequence of, the cancellation of a high-cost credit agreement under this section.

163( 9) The cancellation rights under this section are in addition to, and do not affect, any other right or remedy the borrower has under the high-cost credit agreement or at law.

Cancellation – optional services

164( 1) A borrower or lessee may cancel an optional service of a continuing nature that is provided by the high-cost credit grantor or the lessor or an associate of the high-cost credit grantor or of the lessor by giving 30 days’ notice or a shorter period of notice if it is provided for by the agreement under which the service is provided.

164( 2) A borrower or lessee who cancels an optional service under subsection (1)

(a) is not liable for charges relating to any portion of the service that has not been provided at the time of cancellation, and

(b) is entitled to a refund of any amount already paid for those charges.

164( 3) A high-cost credit grantor or a lessor that receives a notice of cancellation under subsection (1) shall

(a) immediately give the borrower or lessee a confirmation of the cancellation in writing or by any other method that allows the borrower or lessee to retain the confirmation, and

(b) comply with any requirements prescribed by regulation.

Prepayment

165( 1) A borrower is entitled to prepay the outstanding balance of a high-cost credit agreement at any time without any prepayment charge or penalty.

165( 2) If a borrower prepays the outstanding balance of a high-cost credit agreement for fixed credit, the high-cost credit grantor shall refund or credit the borrower with a portion of any non-interest finance charge paid by the borrower or added to the outstanding balance.

165( 3) The portion of each non-interest finance charge that shall be refunded or credited to the borrower under subsection (2) shall be calculated in accordance with the regulations.

165( 4) A borrower is entitled, on any scheduled payment date or at least monthly, to prepay a portion of the outstanding balance of a high-cost credit agreement for fixed credit without any prepayment charge or penalty but, in that event, is not entitled to a refund or credit in respect of any non-interest finance charge.

Default charges

166( 1) A high-cost credit grantor or a lessor shall not impose by a high-cost credit agreement or a lease any default charge other than the following:

(a) reasonable charges in respect of legal costs incurred in collecting or attempting to collect a payment;

(c) reasonable charges that reflect the costs incurred by the high-cost credit grantor or the lessor because a cheque or other payment instrument given by the borrower or lessee to the high-cost credit grantor or the lessor was dishonoured.

166( 2) For the purposes of paragraphs (1)( a) and ( b), reasonable charges include solicitor and client costs.

166( 3) A borrower or lessee is not liable for any default charge other than a default charge referred to in paragraph (1)( a), (b) or ( c).

Invitation to defer payment

167( 1) If a high-cost credit grantor or a lessor invites a borrower or lessee to defer making a payment that would otherwise be due under a high-cost credit agreement or a lease, the high-cost credit grantor or the lessor shall clearly disclose in the invitation whether interest will accrue on the unpaid amount during the period during which payment is deferred.

167( 2) If an invitation referred to in subsection (1) does not clearly state whether interest will accrue on the unpaid amount during the period during which payment is deferred, the high-cost credit grantor or the lessor shall be deemed to waive the interest that would otherwise accrue during the period.

Information to be posted

168( 1) A high-cost credit grantor or a lessor shall prominently post signs that clearly and understandably set out the information required by the regulations in the form required by the regulations at each location for which the high-cost credit grantor or the lessor is licensed to offer, arrange or provide high-cost credit products.

168( 2) For greater certainty, the requirement in subsection (1) applies with the necessary modifications to the posting of information at a location that is a website for which a high-cost credit grantor or a lessor is licensed to offer, arrange or provide high-cost credit products.

Division D

Cash Cards

Payout of balances on cash cards

169( 1) In subsection (6), “delinquent borrower” means a borrower who fails to repay a high-cost credit product by the end of its term.

169( 2) If a high-cost credit grantor issues a cash card to the borrower in respect of a high-cost credit product, the borrower is entitled to be paid in cash the amount of the balance of credit remaining on the card in either of the following circumstances:

(a) the balance of credit remaining on the cash card is less than the amount prescribed by regulation; or

(b) the high-cost credit product has been repaid by the borrower and the cash card has expired.

169( 3) If a borrower is entitled under subsection (2) to be paid a balance of credit remaining on a cash card and returns the cash card to the high-cost credit grantor, the high-cost credit grantor shall pay the balance to the borrower, in cash, immediately on demand by the borrower or the Director.

169( 4) On the return of a cash card by a borrower to a high-cost credit grantor under this section, the high-cost credit grantor shall immediately give the borrower a receipt for the cash card.

169( 5) On the payment of an amount to a borrower under subsection (3), a high-cost credit grantor shall

(a) include in the receipt given to the borrower under subsection (4) a statement of the amount paid, or

(b) immediately give the borrower a separate receipt indicating the amount paid.

169( 6) The balance of credit remaining on an expired cash card issued to a delinquent borrower may, in accordance with the regulations, be applied by the high-cost credit grantor as payment towards the high-cost credit product.

Division E

Prohibited Practices and Remedies

Assisting unlicensed persons prohibited

170 No high-cost credit grantor and no lessor shall assist or allow any other person to assist a person to offer, arrange or provide a high-cost credit product from a location, including a location that is a website, if the person does not hold a valid high-cost credit business licence issued under Part 12 for that location.

Charging, requiring or accepting certain amounts prohibited

171 No high-cost credit grantor and no lessor shall charge, require or accept

(a) an amount that is not disclosed in the high-cost credit agreement or the lease,

(b) an amount that exceeds the amount disclosed in the high-cost credit agreement or the lease,

(d) any other fee, penalty, charge or amount prescribed by regulation.

Early payment collection prohibited

172 No high-cost credit grantor and no lessor shall collect or attempt to collect a payment before the date that payment is due under a high-cost credit agreement or a lease.

Discounts on principal prohibited

173 No high-cost credit grantor shall

(a) discount the principal amount of a high-cost credit product by deducting or withholding an amount from any advance, or

(b) draw an amount representing any portion of the total cost of credit.

Tied selling prohibited

174 No high-cost credit grantor and no lessor shall make a high-cost credit product contingent on the purchase of insurance or other goods or services.

Assignment of wages prohibited

175( 1) In this section, “assignment of wages” includes an order or direction by an employee to pay all or any part of their wages to another person.

175( 2) An assignment of wages is not valid if it is given in consideration of a high-cost credit product or an advance under a high-cost credit product or to secure or facilitate a payment in relation to a high-cost credit product.

175( 3) No high-cost credit grantor and no lessor shall request or require a person to make an assignment of wages in relation to a high-cost credit product.

Other prohibited practices

176 No high-cost credit grantor and no lessor shall engage in any practice that is prohibited by regulation.

No liability for amounts charged, required or accepted in contravention of this Part

177( 1) A borrower or lessee is not liable for any amount charged, required or accepted by a high-cost credit grantor or a lessor in contravention of this Part.

177( 2) The high-cost credit grantor or the lessor shall reimburse the borrower or lessee for any amount referred to in subsection (1) immediately on demand by the borrower or lessee or the Director.

Division F

Credit Brokers

Credit brokers and non-business high-cost credit grantors

178( 1) This section applies when a credit broker arranges a high-cost credit agreement involving a high-cost credit grantor who does not enter into the high-cost credit agreement in the ordinary course of business.

178( 2) Sections 157, 159, 160, 161, 184, 185, 186, 187, 188, 192 and 193 apply with the necessary modifications to a credit broker.

178( 3) Despite subsection (2), the references to “high-cost credit grantor” in paragraphs 184(1)(t), 192(1)( h) and 193(2)( b) shall continue to be read as “high-cost credit grantor”.

178( 4) If the borrower pays or is required to pay a brokerage fee, the credit broker shall ensure that the initial disclosure statement for the high-cost credit agreement, in addition to containing any other information required under this Part to be disclosed,

(a) states the amount of the brokerage fee,

(b) accounts for the brokerage fee in the total cost of credit, and

Credit brokers and business high-cost credit grantors

179( 1) This section applies when a credit broker arranges a high-cost credit agreement involving a high-cost credit grantor who enters into the high-cost credit agreement in the ordinary course of business.

179( 2) If the high-cost credit grantor deducts a brokerage fee from the value received or to be received by the borrower in connection with the high-cost credit agreement, the high-cost credit grantor shall ensure that the initial disclosure statement for the high-cost credit agreement, in addition to containing any other information required under this Part to be disclosed,

(a) states the amount of the brokerage fee,

(b) accounts for the brokerage fee in the total cost of credit, and

179( 3) If the credit broker takes a loan application from the borrower and forwards it to the high-cost credit grantor, the credit broker shall deliver to the borrower a disclosure statement for the high-cost credit agreement containing

(a) the information referred to in subsection (2), and

(b) any other information that is required under this Part to be disclosed in an initial disclosure statement.

179( 4) Section 157 applies with the necessary modifications to a disclosure statement under subsection (3).

179( 5) If the credit broker is required to deliver a disclosure statement under subsection (3), the high-cost credit grantor may adopt the disclosure statement as its initial disclosure statement.

179( 6) Subject to subsection (7), section 157 does not apply to a high-cost credit grantor who adopts a disclosure statement as its initial disclosure statement under subsection (5).

179( 7) A high-cost credit grantor who adopts a disclosure statement as its initial disclosure statement under subsection (6) shall ensure that the disclosure statement contains the information required under this Part to be disclosed in an initial disclosure statement.

Division G

Fixed Credit

Application

180 This Division applies to high-cost credit agreements for fixed credit.

Credit sales

181 If a high-cost credit agreement is in relation to a credit sale, the high-cost credit grantor shall ensure that the high-cost credit agreement is a scheduled-payments high-cost credit agreement.

Advertising for fixed credit

182( 1) This section applies in respect of advertisements that

(a) offer fixed credit, and

(b) state the interest rate or amount of any payment.

182( 2) A high-cost credit grantor shall ensure that an advertisement that is published by or on behalf of the high-cost credit grantor states

(a) the APR, and

(b) the term of the high-cost credit agreement.

182( 3) In addition to complying with subsection (2), the high-cost credit grantor shall ensure that

(a) an advertisement for a credit sale of specifically identified goods or services states the cash price of the goods or services, and

(b) an advertisement for a credit sale of specifically identified goods or services in connection with which any non-interest finance charge is payable states

( i) the cash price of the goods or services, and

( ii) the total cost of credit.

182( 4) Despite paragraph (3)( b), an advertisement on radio, television, a billboard or another medium with similar time or space limitations is not required to state the total cost of credit.

182( 5) If any of the information required to be disclosed under subsection (2) or (3) would not be the same for all high-cost credit agreements to which the advertisement relates, the high-cost credit grantor shall ensure that the information is for a representative transaction and is identified as being for a representative transaction.

182( 6) For the purposes of subsection (5), a transaction is a representative transaction if its terms are typical of the terms of the high-cost credit agreements to which the advertisement relates.

Advertising interest-free periods

183( 1) A high-cost credit grantor shall ensure that an advertisement that is published by or on behalf of the high-cost credit grantor and that states or implies that no interest is payable for a certain period in respect of a transaction under a high-cost credit agreement, states whether

(a) the transaction is unconditionally interest free during the period, or

(b) interest accrues during the period but will be forgiven under certain conditions.

183( 2) If interest accrues during the period but will be forgiven under certain conditions, the high-cost credit grantor shall ensure that the advertisement also states

(a) the conditions, and

(b) the APR for the period, assuming the conditions are not met.

183( 3) An advertisement referred to in subsection (1) that does not contain the information required to be disclosed under paragraph (1)( b) and subsection (2) shall be deemed to represent that the transaction is unconditionally interest free during the relevant period.

Initial disclosure statement for fixed credit

184( 1) A high-cost credit grantor shall ensure that the initial disclosure statement for a scheduled-payments high-cost credit agreement contains the following information:

(a) the effective date of the statement;

(b) for a credit sale, a description of the goods or services;

(c) the outstanding balance as of the effective date of the statement, taking into account every payment made by the borrower on or before the effective date of the statement;

(d) the nature and amount of each advance, charge or payment taken into account in the outstanding balance disclosed under paragraph ( c);

(e) the term of the high-cost credit agreement;

(f) the amortization period if it is longer than the term of the high-cost credit agreement;

(g) the date on which interest begins to accrue and the details of any grace period;

(h) the annual interest rate and the circumstances under which interest will be compounded;

(i) if the annual interest rate may change during the term of the high-cost credit agreement,

( i) the initial annual interest rate and the compounding period,

( ii) the method of determining the annual interest rate at any time, and

(j) the nature and amount of any charges, other than interest, that are not disclosed under paragraph ( d) but that will become payable by the borrower in connection with the high-cost credit agreement;

(k) the amount and timing of any advances to be made after the effective date of the statement;

(l) the amount and timing of any payments to be made after the effective date of the statement;

(m) the total of all advances made or to be made in connection with the high-cost credit agreement;

(n) the total of all payments to be made in connection with the high-cost credit agreement;

(o) the total cost of credit;

(p) the APR;

(q) the nature of any default charge provided for by the high-cost credit agreement;

(r) a description of the subject matter of any security interest;

(s) a statement that

( i) the borrower is entitled to prepay the outstanding balance at any time without any prepayment charge or penalty, and

( ii) the borrower is entitled to prepay a portion of the outstanding balance on any scheduled payment date, or at least monthly, without any prepayment charge or penalty; and

(t) the nature, amount and timing of charges for any optional services purchased by the borrower that are payable to or through the high-cost credit grantor and the conditions under which the borrower may terminate the services.

184( 2) A high-cost credit grantor shall ensure that the initial disclosure statement for a high-cost credit agreement that is not a scheduled-payments high-cost credit agreement

(a) contains the information referred to in paragraphs (1)( a) to ( d), ( g) to ( j), ( m) and ( p) to (t), and

(b) either states the circumstances under which the outstanding balance, or any portion of it, must be paid or specifies the provisions of the high-cost credit agreement that describe those circumstances.

Disclosure regarding changes in interest rate

185( 1) If the interest rate under a high-cost credit agreement is a floating rate, the high-cost credit grantor shall, at least once every 12 months, deliver to the borrower a disclosure statement for the high-cost credit agreement containing the following information:

(a) the period covered by the statement, which shall run from the date of the disclosure statement most recently delivered to the borrower under this section or section 184;

(b) the annual interest rate at the beginning and end of the period covered by the statement;

(d) for a scheduled-payments high-cost credit agreement, the amount and timing of all remaining payments based on the annual interest rate that applies at the end of the period covered by the statement.

185( 2) If the interest rate under a high-cost credit agreement is not a floating rate but is nevertheless subject to change, the high-cost credit grantor shall, within 30 days after the date on which the annual interest rate is increased by 1% or more over the rate most recently disclosed to the borrower, deliver to the borrower a disclosure statement for the high-cost credit agreement containing the following information:

(a) the date of the statement;

(b) the new annual interest rate and the date on which the new rate took effect; and

Disclosure regarding increases in outstanding principal

186( 1) Within 30 days after an increase in the outstanding principal under a scheduled-payments high-cost credit agreement, the high-cost credit grantor shall deliver to the borrower a notice in writing if

(a) the outstanding principal increases because of

( i) the compounding of interest on a missed or late payment, or

( ii) the imposition of a default charge, and

186( 2) A notice referred to in subsection (1) shall specify

(a) that the outstanding principal has increased and why the outstanding principal has increased,

(b) that, because of the increase in the outstanding principal, the subsequent scheduled payments will not cover the interest that will accrue in each payment period, and

(c) what the outstanding balance will be at the end of the term if the amount of subsequent scheduled payments is not adjusted.

Disclosure regarding amendment

187( 1) This section does not apply to changes effected by a renewed agreement to which section 188 applies.

187( 2) If a high-cost credit agreement is amended, the high-cost credit grantor shall, within 30 days after the amendment is made, deliver to the borrower a supplementary disclosure statement that meets the requirements of subsection (3).

187( 3) A supplementary disclosure statement shall set out the information that, as a result of the amendment to the high-cost credit agreement, is changed from the initial disclosure statement but is not required to repeat any information that is unchanged from the initial disclosure statement.

187( 4) If an amendment consists only of a revision to the schedule of payments, a supplementary disclosure statement is not required to state any change in the APR or any decrease in the total cost of credit or total payments.

Disclosure regarding renewal of a high-cost credit agreement

188 If a high-cost credit agreement is renewed, the high-cost credit grantor shall deliver to the borrower on or before the effective date of the renewed agreement a disclosure statement containing the following information:

(a) the effective date of the renewed agreement;

(b) the outstanding balance as of the effective date of the renewed agreement;

(d) the term of the renewed agreement;

(e) the relevant interest rate information referred to in paragraph 184(1)( h) or ( i);

(f) the APR;

(g) the amount and timing of all payments to be made in connection with the renewed agreement;

(h) the total of all payments to be made in connection with the renewed agreement;

(i) the total cost of credit;

(j) the amortization period; and

(k) a statement of the conditions, if any, under which the borrower may make prepayments and any charge for prepayment.

Division H

Open Credit

Application

189 This Division applies to high-cost credit agreements for open credit.

Advertising for open credit

190 A high-cost credit grantor shall ensure that an advertisement that is published by or on behalf of the high-cost credit grantor and that gives any specific information about the cost of open credit states

(a) the current annual interest rate for the open credit, and

(b) any initial or periodic non-interest finance charges for the open credit.

Advertising interest-free periods

191( 1) A high-cost credit grantor shall ensure that an advertisement that is published by or on behalf of the high-cost credit grantor and that states or implies that no interest is payable for a certain period in respect of a transaction under a high-cost credit agreement states whether

(a) the transaction is unconditionally interest free during the period, or

(b) interest accrues during the period but will be forgiven under certain conditions.

191( 2) If interest accrues during the period but will be forgiven under certain conditions, the high-cost credit grantor shall ensure that the advertisement also states

(a) the conditions, and

(b) the annual interest rate for the period, assuming the conditions are not met.

191( 3) An advertisement referred to in subsection (1) that does not contain the information required to be disclosed under paragraph (1)( b) and subsection (2) shall be deemed to represent that the transaction is unconditionally interest free during the relevant period.

Initial disclosure statement for open credit

192( 1) A high-cost credit grantor shall ensure that the initial disclosure statement for a high-cost credit agreement contains the following information:

(a) the effective date of the statement;

(b) the credit limit;

(d) the initial annual interest rate and the compounding period;

(e) if the annual interest rate may change, the method of determining the annual interest rate at any time;

(f) the date on which interest begins to accrue on advances or different types of advances and the details of any grace period;

(g) the nature and amount, or the method of determining the amount, of any non-interest finance charges that may become payable by the borrower in connection with the high-cost credit agreement;

(h) the nature, amount and timing of charges for any optional services purchased by the borrower that are payable to or through the high-cost credit grantor and the conditions under which the borrower may terminate the services;

(i) a description of the subject matter of any security interest;

(j) the nature of any default charge provided for by the high-cost credit agreement;

(k) how often the borrower will receive statements of account; and

(l) a telephone number in accordance with subsection 193(3).

192( 2) A high-cost credit grantor does not contravene subsection (1) by reason only of failing to ensure that the credit limit referred to in paragraph (1)( b) is contained in the initial disclosure statement if the high-cost credit grantor ensures that the credit limit is disclosed

(a) in the first statement of account delivered to the borrower, or

(b) in a separate statement delivered to the borrower on or before the date on which the borrower receives the first statement of account.

192( 3) A high-cost credit grantor does not contravene subsection (1) by reason only of failing to ensure that information that relates to a specific transaction under the high-cost credit agreement or that information referred to in paragraph (1)(h) about optional services is contained in the initial disclosure statement if the high-cost credit grantor ensures that the information is disclosed in a separate document delivered to the borrower before the transaction occurs or the optional services are provided.

Statements of account

193( 1) Subject to subsection (2), the high-cost credit grantor shall deliver to the borrower, at least monthly, a statement of account that contains the following information:

(b) the outstanding balance at the beginning of the period covered by the statement;

(c) the amount, description and posting date of each transaction or charge added to the outstanding balance during the period covered by the statement;

(d) the amount and posting date of each payment or credit subtracted from the outstanding balance during the period covered by the statement;

(e) the annual interest rate or rates in effect during the period covered by the statement or any part of the period;

(f) the total of all amounts added to the outstanding balance during the period covered by the statement;

(g) the total of all amounts subtracted from the outstanding balance during the period covered by the statement;

(h) the outstanding balance at the end of the period covered by the statement;

(i) the credit limit;

(j) the minimum payment;

(k) the due date for payment;

(l) the amount that the borrower must pay on or before the due date in order to take advantage of a grace period;

(m) the borrower’s rights and obligations regarding the correction of billing errors;

(n) a telephone number in accordance with subsection (3); and

(o) any other information prescribed by regulation.

193( 2) A high-cost credit grantor is not required to send a statement of account to a borrower at the end of any period during which there has been no advance or payment if

(a) the outstanding balance at the end of the period is zero, or

(b) the borrower is in default under the high-cost credit agreement and the high-cost credit grantor has

( i) demanded payment of the outstanding balance, and

( ii) notified the borrower that the privilege of obtaining advances under the high-cost credit agreement has been cancelled or suspended due to the default.

193( 3) The high-cost credit grantor shall, for the purposes of paragraphs (1)( n) and 192(1)( l),

(a) provide a telephone number that the borrower can call to obtain information about the borrower’s account during the high-cost credit grantor’s normal business hours without incurring any charges for the call, and

(b) ensure that the information is available at the telephone number during those hours.

193( 4) A transaction is sufficiently described for the purposes of paragraph (1)( c) if the description in the statement of account, along with any transaction record included with the statement of account or made available to the borrower at the time of the transaction, can reasonably be expected to enable the borrower to verify the transaction.

Credit card may only be issued on application

194 A credit card issuer shall not issue, deliver or cause to be delivered a credit card to an individual who has not applied for the card unless the credit card that is issued to the individual is to replace or renew a credit card that was applied for and issued to that individual.

Application for credit card

195( 1) A credit card issuer shall ensure that the application form for a credit card contains the following information respecting the high-cost credit agreement in relation to the credit card:

(a) if the interest rate under the high-cost credit agreement is not a floating rate, the annual interest rate;

(b) if the interest rate under the high-cost credit agreement is a floating rate, the index rate and the relationship between the index rate and the annual interest rate;

(d) the nature and amount of any non-interest finance charges that are payable or may become payable by the credit card holder; and

(e) the date as of which the information referred to in paragraphs ( a) to ( d) is current.

195( 2) A credit card issuer does not contravene subsection (1) by reason only of failing to ensure that the application form contains the information referred to in paragraphs (1)( a) to ( e) if the application form states a telephone number that the individual may call during the credit card issuer’s normal business hours, without incurring any charges for the call, to obtain the information referred to in paragraphs (1)( a) to ( e) and the credit card issuer ensures that

(a) the categories of the information available at the telephone number for the purposes of this subsection appear on the application form, and

(b) the information referred to in paragraphs (1)( a) to ( e) is available at the telephone number during the credit card issuer’s normal business hours.

195( 3) If a credit card issuer communicates directly with an individual, whether in person or by mail, telephone or electronic means, for the purpose of inviting the individual to apply for a credit card, the credit card issuer shall disclose in the communication the information referred to in paragraphs (1)( a) to ( e).

195( 4) A credit card issuer does not contravene subsection (3) by reason only of failing to disclose the information referred to in paragraphs (1)( a) to ( e) if, in the communication, the credit card issuer discloses a telephone number that the individual may call during the credit card issuer’s normal business hours, without incurring any charges for the call, to obtain the information referred to in paragraphs (1)( a) to ( e) and the credit card issuer ensures that

(a) the categories of the information available at the telephone number for the purposes of this subsection are disclosed to the individual in the communication, and

(b) the information referred to in paragraphs (1)( a) to ( e) is available at the telephone number during the credit card issuer’s normal business hours.

195( 5) Despite subsections (2) and (4), if an individual applies for a credit card in person, by telephone or by electronic means, the credit card issuer shall disclose the information referred to in paragraphs (1)( a) to ( e) when the individual makes the application.

195( 6) An individual who applies for a credit card without signing an application form shall be deemed, on using the credit card for the first time, to have entered into a high-cost credit agreement in relation to the credit card.

195( 7) Nothing in this section relieves the credit card issuer of the requirement to deliver an initial disclosure statement referred to in sections 157, 192 and 196.

Additional disclosure for credit card

196( 1) In addition to the information required to be disclosed under section 192,

(a) a credit card issuer shall ensure that the initial disclosure statement for a high-cost credit agreement in relation to a credit card states the credit card holder’s maximum liability for unauthorized use of the credit card if the credit card is lost or stolen, and

(b) if a credit card holder is required under the high-cost credit agreement to pay the outstanding balance on receiving each statement of account, a credit card issuer shall ensure that the initial disclosure statement for the high-cost credit agreement in relation to the credit card states

( i) that the outstanding balance is payable on receipt of each statement of account,

( ii) the period after receipt of a statement of account within which the credit card holder must pay the outstanding balance in order to avoid being in default under the agreement, and

( iii) the annual interest rate that will apply to any amount that is not paid when due.

196( 2) The credit card issuer shall notify the credit card holder of any change in the information disclosed in the initial disclosure statement for the high-cost credit agreement in relation to the credit card,

(a) in the case of any of the following changes, in the next statement of account following the change or in a document that is given to the credit card holder with the next statement of account:

( i) a change in the credit limit;

( ii) a decrease in the interest rate or the amount of any other charge;

( iii) an increase in the length of an interest-free period or grace period; or

( iv) a change in a floating rate, or

(b) in the case of any other change, at least 30 days before the date that the change takes effect.

Liability of credit card holder

197( 1) A credit card holder who has, orally or in writing, reported a lost or stolen credit card, or the unauthorized use of the credit card or credit card number, to the credit card issuer is not liable for any debt incurred through the use of that credit card or credit card number after the credit card issuer receives the report of the loss, theft or unauthorized use.

197( 2) The maximum total liability of a credit card holder arising from the unauthorized use of a lost or stolen credit card before the credit card issuer receives notice under subsection (1) is the lesser of

(a) $50, and

(b) the maximum amount set by the high-cost credit agreement in relation to the credit card.

197( 3) Subsection (2) does not apply to the use of a credit card together with a personal identification number at an automated teller machine or ATM.

Division I

Lease of Goods

Definitions

198 The following definitions apply in this Division.

“assumed residual payment” means, (versement résiduel présumé)

(a) in the case of an option lease under which the option price at the end of the term is less than the estimated residual value, the option price, and

(b) in any other case, the sum of the estimated residual value and of any amount that the lessee will be required to pay in the ordinary course of events at the end of the term.

“capitalized amount” means the amount calculated by (montant capitalisé)

(a) adding

( i) the cash value of the leased goods, and

( ii) the amount of any other advances made to the lessee at or before the beginning of the term, and

(b) subtracting from the amount calculated under paragraph ( a) the total amount of all payments made by the lessee at or before the beginning of the term, other than

( i) any refundable security deposit, or

( ii) any periodic payment.

“implicit finance charge” means the amount calculated, subject to the conditions and assumptions contained in the regulations, by (frais de financement implicites)

(a) adding

( i) all non-refundable payments required to be made by the lessee at or before the beginning of, or during, the term of the lease, and

( ii) the assumed residual payment, and

(b) subtracting from the amount calculated under paragraph ( a) the total amount of the advances received by the lessee.

“option price” means the amount of the additional payment that the lessee must make in order to exercise the option under an option lease. (prix de l’option)

“realizable value”, in relation to leased goods, means the actual value of the leased goods at the end of the term as calculated in accordance with the regulations. (valeur marchande)

“total lease cost” means the total of any non-refundable payments that the lessee will be required to make in the ordinary course of events. (coût total du bail)

Advertisement for lease

199( 1) A lessor shall ensure that an advertisement that is published by or on behalf of the lessor and that gives specific information about the cost of a lease contains the following information respecting the lease:

(a) that the transaction is a lease;

(b) the term of the lease;

(c) the nature and amount of any payments that are payable by a lessee at or before the beginning of the term of the lease;

(d) the amount, timing and number of the periodic payments;

(e) the nature and amount of any other payments that are payable by a lessee in the ordinary course of events;

(f) the APR; and

(g) the limitations, if any, imposed in accordance with the regulations regarding extra charges that may be charged based on usage of the leased goods.

199( 2) Despite subsection (1), a lessor shall ensure than an advertisement on radio, television, a billboard or another medium with similar time or space limitations that gives any specific information about the cost of a lease

(a) contains the information referred to in paragraphs (1)( a) to ( d) and ( f), or

(b) contains the information referred to in paragraphs (1)( a), ( c) and ( d) and states

( ii) a reference to a written publication having general circulation in the area and containing the information referred to in paragraphs (1)( b) and ( f).

199( 3) If any of the information required to be disclosed under subsection (1) would not be the same for all leases to which the advertisement relates, the lessor shall ensure that the information is for a representative transaction and is identified as being for a representative transaction.

199( 4) For the purposes of subsection (3), a transaction is a representative transaction if its terms are typical of the terms of the leases to which the advertisement relates.

Initial disclosure statement for lease

200( 1) A lessor shall ensure that the initial disclosure statement for a lease contains the following information:

(a) the effective date of the statement;

(b) that the transaction is a lease;

(d) the term of the lease;

(e) the cash value of the leased goods;

(f) the nature and amount of any other advance received, and of each charge incurred, by the lessee in connection with the lease at or before the beginning of the term of the lease;

(g) the nature and amount of each payment made by the lessee at or before the beginning of the term of the lease;

(h) the capitalized amount;

(i) the amount, timing and number of the periodic payments;

(j) the estimated residual value of the leased goods;

(k) for an option lease,

( i) how and when the option may be exercised,

( ii) the option price if the option is exercised at the end of the term of the lease, and

( iii) the method of determining the option price if the option is exercised before the end of the term of the lease;

(l) for a residual obligation lease,

( i) the estimated residual cash payment, and

( ii) a statement that the lessee’s maximum liability at the end of the term of the lease is the sum of

( A) the estimated residual cash payment, and

( B) the estimated residual value less the realizable value of the leased goods;

( i) the circumstances, and

( ii) the amount of the payment or the method of determining the amount;

(o) the implicit finance charge;

(p) the APR; and

(q) the total lease cost.

200( 2) The circumstances referred to in paragraph (1)( n) include unreasonable wear or excess use of the leased goods.

Disclosure regarding amendment

201( 1) If a lease is amended, the lessor shall, within 30 days after the amendment is made, deliver to the lessee a supplementary disclosure statement that meets the requirements of subsection (2).

201( 2) A supplementary disclosure statement referred to in subsection (1) shall set out the information that, as a result of the amendment to the lease, is changed from the initial disclosure statement but is not required repeat any information that is unchanged from the initial disclosure statement.

201( 3) If an amendment consists only of a revision to the schedule of payments, a supplementary disclosure statement referred to in subsection (1) is not required to state any change in the APR or any decrease in the implicit finance charge or the total lease cost.

Maximum liability under residual obligation lease

202 The lessee’s maximum liability at the end of the term of a residual obligation lease after returning the leased goods to the lessor shall be calculated in accordance with the regulations.

Division J

General

Provision of information

203 A high-cost credit grantor or a lessor shall provide to the Director the information or documents prescribed by regulation at the times prescribed by regulation and in the form determined by the Director.

Late fees

204 A high-cost credit grantor or a lessor that provides a document or information to the Director after the time required by the regulations referred to in section 203 shall pay the late fee prescribed by regulation.

Minimum working capital

205 If the Director considers it appropriate to do so, the Director may require a high-cost credit grantor or a lessor to maintain the minimum working capital prescribed by regulation.

Joint liability

206 If a high-cost credit product is arranged by one high-cost credit grantor or lessor and provided by another high-cost credit grantor or lessor, both high-cost credit grantors or lessors, as the case may be, are jointly and severally liable

(a) to the borrower or to the lessee, as the case may be, for any amount to be refunded or reimbursed to the borrower or the lessee under this Part or the regulations relating to this Part, and

(b) to comply with any other requirements set out in this Part or the regulations relating to this Part.

Assignees

207 An assignee of a high-cost credit grantor’s rights under a high-cost credit agreement or a lessor’s rights under a lease that is a high-cost credit product has no greater rights than the assignor and takes subject to any defence that the borrower or lessee would have had against the assignor.

Recommendations to Minister

208 The Commission may make recommendations to the Minister on matters in respect of high-cost credit products and high-cost credit grantors and lessors.

PART 8

PAYDAY LOANS

Division A

Definitions, Interpretation and Application

Definitions

209 The following definitions apply in this Part.

“APR” means the APR as defined in Part 6. (TAP)

“borrower” means an individual who has entered into, or who is negotiating to enter into, a payday loan agreement for personal, family or household purposes who receives or will receive credit from a payday lender, but does not include a guarantor. (emprunteur)

“cash card” means a card or other device other than a credit card that (carte porte-monnaie électronique)

(a) can be used to obtain cash or acquire goods or services, and

(b) is issued by a payday lender to a borrower instead of advancing cash or transferring money to the borrower or to the order of the borrower.

“Internet payday loan” means a payday loan under a payday loan agreement between a borrower and a payday lender that is formed by Internet communications. (prêt sur salaire par Internet)

“optional service” means a service that is offered to a borrower in connection with a payday loan agreement and that the borrower does not have to accept in order to enter into the payday loan agreement. (service facultatif)

“payday lender” means a credit grantor who offers, arranges or provides a payday loan. (prêteur sur salaire)

“payday loan” means a loan of money (prêt sur salaire)

(a) with a principal of no more than $1,500,

(b) with a term that is no longer than 62 days, and

(c) that is made in exchange for a post-dated cheque, a pre-authorized debit or a future payment of a similar nature but not for any guarantee, suretyship, overdraft protection or security on property and not through a margin loan, pawnbroking, a line of credit or a credit card.

“payday loan agreement” means a credit agreement in relation to a payday loan. (convention de prêt sur salaire)

“rollover” means (reconduction)

(a) the extension or renewal of a payday loan that imposes additional fees or charges on the borrower, other than interest, or

(b) the advancement of a new payday loan to pay out an existing payday loan.

“term” means, in relation to the duration of a payday loan, the period between the first advance and the last payment anticipated by the payday loan agreement. (durée)

“third party service charge” means, in relation to a cash card, any fee, rate, commission, charge or other amount that is charged or required by a person who is not the payday lender, or that is paid to that person, for use of the cash card. (frais de services offerts par un tiers)

(a) the value given or to be given, within the meaning of subsection 210(3), by the borrower in connection with a payday loan agreement, and

(b) the value received or to be received, within the meaning of subsection 210(1), by the borrower in connection with a payday loan agreement.

“wages” includes salary and periodic payments in respect of loss of future income or loss of earning capacity. (salaire)

Value received and value given

210( 1) Subject to subsection (2), the following constitute value received or to be received by a borrower in connection with a payday loan agreement:

(a) money transferred or to be transferred by the payday lender to the borrower or to the order of the borrower; and

(b) any other thing prescribed by regulation.

210( 2) The following do not constitute value received or to be received by a borrower in connection with a payday loan agreement unless they relate to an optional service or to a thing prescribed for the purposes of paragraph (1)(b):

(a) insurance provided or paid for or to be provided or paid for by the payday lender in connection with the payday loan agreement;

(b) money paid or to be paid, an expense incurred or to be incurred or anything done or to be done by the payday lender for the purpose of arranging, documenting, securing or administering the payday loan agreement; and

210( 3) The following constitute value given or to be given by a borrower in connection with a payday loan agreement:

(a) money transferred or to be transferred from the borrower to the payday lender for any purpose in connection with the payday loan agreement;

(b) money transferred or to be transferred from the borrower to a person other than the payday lender in respect of a charge for services that the payday lender requires the borrower to obtain or pay for in connection with the payday loan agreement, unless it is for an expense for which the regulations under paragraph (1)(b) would have applied if the expense had been incurred initially by the payday lender and then charged by the payday lender to the borrower; and

Statement of purpose for entering payday loan agreement

211 A person may rely on a statement made by an individual in a payday loan agreement or other document regarding the purpose for which the individual has entered into or is to enter into a payday loan agreement if

(a) the statement is signed by the individual, and

(b) the person believes in good faith that the statement is true.

Application

212( 1) Subject to subsection (2), this Part applies to

(a) a payday loan offered, arranged or provided by a payday lender that carries on business in the Province,

(b) a payday loan offered to, arranged for or provided to a borrower who is resident in the Province, and

212( 2) This Part does not apply to financial products or services regulated under

(a) the Loan and Trust Companies Act,

(b) the Credit Unions Act, or

Division B

Licensing

Licence required

213( 1) No person shall offer, arrange or provide a payday loan from a location except under the authority of a valid payday lender licence issued under Part 12 to the person or the person’s employer for that location.

213( 2) No person shall offer, arrange or provide an Internet payday loan from a location that is a website to a borrower in the Province except under the authority of a valid payday lender licence issued under Part 12 to that person or the person’s employer that specifies that the person or employer may offer, arrange or provide Internet payday loans from that website.

213( 3) For greater certainty, a person who wishes to offer, arrange or provide a payday loan or an Internet payday loan from more than one location shall hold a separate valid payday lender licence issued under Part 12 for each location.

Division C

Payday Loan Agreements, Disclosure Requirements and Rights of Borrowers

Payday loan agreements

214( 1) A payday lender shall ensure that the terms of a payday loan are included in a written payday loan agreement that is signed and dated by the borrower.

214( 2) A payday lender shall ensure that the payday loan agreement includes all the following terms, information and statements:

(a) the payday lender’s name and any business name used by the payday lender;

(b) the payday lender’s business address and, if different, the payday lender’s mailing address;

(c) the payday lender’s licence number, telephone number and, if the payday lender has a fax number or email address, that fax number and email address;

(d) the borrower’s name;

(e) the date the payday loan agreement was entered into;

(f) the date on which the first advance will be made to the borrower or to the order of the borrower;

(g) the date or dates on which any other advances will be made to the borrower or to the order of the borrower;

(h) the principal of the payday loan;

(i) the term of the payday loan;

(j) with respect to each advance referred to in paragraphs ( f) and (g), the amount of cash to be advanced to the borrower or the amount of money to be transferred to the borrower or to the order of the borrower;

(k) the amount of credit available on a cash card issued to the borrower;

(l) if a cash card issued to the borrower has an expiry date, that expiry date;

(m) the total cost of credit and the APR;

(n) the rate of interest that applies, together with a statement of the total amount of interest that is payable under the agreement;

(o) each of the fees, penalties, rates, commissions or charges regulated under this Part or the regulations relating to this Part that apply, together with a statement of the amount of each of those fees, penalties, rates, commissions or charges;

(p) the amount and timing of any payments to be made by the borrower;

(q) a statement that the payday loan is a high-cost loan;

(r) a statement of the borrower’s rights of cancellation under section 218, setting out how those rights can be exercised and identifying the time within which the borrower can exercise them;

(s) a statement of the remedies available to the borrower under subsection 224(2), 227(2) or (3) or 230(2);

(t) if a cash card is to be issued to the borrower, a statement identifying that third party service charges may apply for use of the cash card; and

(u) any other term, information or statement prescribed by regulation.

214( 3) The payday lender shall ensure that the terms, information and statements required under subsection (2) are written in a clear and understandable manner.

214( 4) A payday lender may base information required by subsection (2) to be included in a payday loan agreement on an estimate or assumption if

(a) the information required to be included depends on other information that is not ascertainable by the payday lender at the time the payday loan agreement is entered into, and

(b) the estimate or assumption is reasonable and is clearly identified as an estimate or assumption.

214( 5) Before the borrower signs the payday loan agreement, the payday lender shall review with the borrower the matters described in paragraphs (2)( m) and (r) and require that the borrower initial each provision of the agreement that deals with those matters.

214( 6) The payday lender shall give the borrower a copy of the payday loan agreement at the time it is signed by the borrower, together with a notice of cancellation, containing the information prescribed by regulation and in a form approved by the Director, which may be used by the borrower for the purposes of subsection 218(3).

Guidelines

215( 1) To assist payday lenders in developing payday loan agreements that are clear and understandable, the Commission may issue guidelines about the form of those agreements.

215( 2) The Regulations Act does not apply to guidelines issued under subsection (1).

Disclosure in advertisements

216 If a payday lender who publishes an advertisement or on whose behalf an advertisement is published is, as a result of disclosing certain information in the advertisement, required under this Part to include additional information in the advertisement, the payday lender shall ensure that,

(a) the additional information is disclosed prominently,

(b) if the additional information is the APR, the APR is disclosed at least as prominently as is the information that necessitated the inclusion of the APR, and

Advertising for fixed credit

217( 1) This section applies in respect of advertisements that

(a) offer fixed credit, and

(b) state the interest rate or amount of any payment.

217( 2) A payday lender shall ensure that an advertisement that is published by or on behalf of the payday lender states

(a) the APR, and

(b) the term of the payday loan agreement.

217( 3) If any of the information required to be disclosed under subsection (2) would not be the same for all payday loan agreements to which the advertisement relates, the payday lender shall ensure that the information is for a representative transaction and is identified as being for a representative transaction.

217( 4) For the purposes of subsection (3), a transaction is a representative transaction if its terms are typical of the terms of the payday loan agreements to which the advertisement relates.

Cancellation – payday loans

218( 1) A borrower may cancel a payday loan within 48 hours, excluding Sundays and other holidays, after receiving the first advance or a cash card enabling the borrower to access funds under the loan.

218( 2) In addition to having a cancellation right under subsection (1), a borrower may cancel a payday loan at any time, if

(a) the payday lender did not notify the borrower of the right under subsection (1) to cancel the loan,

(b) the notice of cancellation given to the borrower does not meet the requirements of subsection 214(6), or

(c) the payday lender did not hold a valid payday lender licence issued under Part 12 at the time the payday lender entered into the payday loan agreement with the borrower.

218( 3) To cancel a payday loan under subsection (1) or (2), the borrower shall

(a) give written notice of the cancellation to the payday lender, and

218( 4) For the purposes of paragraph (3)( b),

(a) if the first advance was made in the form of a cheque, a return of the unnegotiated cheque to the payday lender shall be considered a repayment of the first advance, and

(b) if the first advance was made in the form of a cash card that enabled the borrower to access funds under the payday loan, returning that card to the payday lender shall be considered a repayment of the first advance to the extent of the credit balance remaining on the card.

218( 5) On the cancellation of a payday loan under this section,

(a) the payday lender shall immediately give the borrower a receipt, that is in a form approved by the Director containing the information prescribed by regulation, for the amount that the borrower paid or returned to the payday lender on cancelling the loan, and

(b) the payday lender shall immediately reimburse the borrower, in cash, for all amounts paid, and the value of any other consideration given, by or on behalf of the borrower in relation to the total cost of credit for the loan, less any amount deducted or withheld from the advances or from the repayment of them under paragraph (3)( b).

218( 6) The cancellation of a payday loan under this section extinguishes every liability and obligation of the borrower under, or related to, the payday loan agreement.

218( 7) No payday lender shall charge or require or accept the payment of, or arrange for or permit any other person to charge or to require or accept the payment of, any amount or consideration for, or as a consequence of, the cancellation of a payday loan under this section.

218( 8) The cancellation rights under this section are in addition to, and do not affect, any other right or remedy the borrower has under the payday loan agreement or at law.

Cancellation – optional services

219( 1) A borrower may cancel an optional service of a continuing nature that is provided by the payday lender or an associate of the payday lender by giving 30 days’ notice, or a shorter period of notice if it is provided for by the agreement under which the service is provided.

219( 2) A borrower who cancels an optional service under subsection (1)

(a) is not liable for charges relating to any portion of the service that has not been provided at the time of cancellation, and

(b) is entitled to a refund of any amount already paid for those charges.

Prepayment

220( 1) A borrower is entitled to prepay the outstanding balance of a payday loan agreement at any time without any prepayment charge or penalty.

220( 2) If a borrower prepays the outstanding balance of a payday loan agreement for fixed credit, the payday lender shall refund or credit the borrower with a portion of any non-interest finance charge paid by the borrower or added to the outstanding balance.

220( 3) The portion of each non-interest finance charge that shall be refunded or credited to the borrower under subsection (2) shall be calculated in accordance with the regulations.

220( 4) A borrower is entitled, on any scheduled payment date or at least monthly, to prepay a portion of the outstanding balance of a payday loan agreement for fixed credit without any prepayment charge or penalty but, in that event, is not entitled to a refund or credit in respect of any non-interest finance charge.

Information to be posted

221( 1) At each location at which the payday lender is licensed to offer, arrange or provide payday loans, the payday lender shall, in accordance with the regulations, prominently post signs that clearly and understandably set out, in the form required by the regulations,

(a) all components of the total cost of credit, including all fees, penalties, rates, commissions, charges, interest and other amounts and consideration for a representative payday loan transaction, and

(b) any other information required by the regulations.

221( 2) For the purposes of subsection (1), a transaction is a representative payday loan transaction if its terms are typical of the terms of the payday loan agreements to which the advertisement relates.

221( 3) For greater certainty, the requirement in subsection (1) applies with the necessary modifications to the posting of information at a location that is a website for which a payday lender is licensed to offer, arrange or provide Internet payday loans.

Division D

Cash Cards

Payout of balances on cash cards

222( 1) In subsection (6), “delinquent borrower” means a borrower who fails to repay a payday loan by the end of the term of the payday loan.

222( 2) If a payday lender issues a cash card to the borrower in respect of a payday loan, the borrower is entitled to be paid in cash the amount of the balance of credit remaining on the card in either of the following circumstances:

(a) the balance of credit remaining on the cash card is less than the amount prescribed by regulation; or

(b) the payday loan has been repaid by the borrower and the cash card has expired.

222( 3) If a borrower is entitled under subsection (2) to be paid a balance of credit remaining on a cash card and returns the cash card to the payday lender, the payday lender shall pay the balance to the borrower, in cash, immediately on demand by the borrower or the Director.

222( 4) On the return of a cash card by a borrower to a payday lender under this section, the payday lender shall immediately give the borrower a receipt for the cash card.

222( 5) On the payment of an amount to a borrower under subsection (3), a payday lender shall

(a) include in the receipt given to the borrower under subsection (4) a statement of the amount paid, or

(b) immediately give the borrower a separate receipt indicating the amount paid.

222( 6) The balance of credit remaining on an expired cash card issued to a delinquent borrower may, in accordance with the regulations, be applied by the payday lender as payment towards the payday loan.

Division E

Prohibited Practices and Remedies

Assisting unlicensed persons prohibited

223 No payday lender shall assist or allow any other person to assist a person to offer, arrange or provide a payday loan or an Internet payday loan from a location, including a location that is a website, if the person does not hold a valid payday lender licence issued under Part 12 for that location.

Exceeding maximum total cost of credit prohibited

224( 1) No payday lender shall, in relation to a payday loan, charge or require or accept the payment of, or arrange for or permit any other person to charge or to require or accept the payment of, any amount or consideration that would result in the total cost of credit, or any component of the total cost of credit, of the loan being greater than the maximum allowed by regulation.

224( 2) If a payday lender contravenes subsection (1),

(a) the borrower is not liable for any amount charged in relation to the total cost of credit for the payday loan, and

(b) the payday lender shall reimburse the borrower, in cash, immediately on demand by the borrower or the Director, for the total of all amounts paid and the value of any other consideration given in respect of the borrower’s total cost of credit for the payday loan.

Taking security prohibited

225 No payday lender shall, as security for the payment of a payday loan or the performance of an obligation under a payday loan agreement, require, take or accept, directly or indirectly,

(a) real or personal property,

(b) an interest in real or personal property, or

Tied selling prohibited

226 No payday lender shall make a payday loan contingent on the purchase of insurance or other goods or services.

Rollovers prohibited

227( 1) No payday lender shall grant a rollover.

227( 2) If a payday lender contravenes subsection (1) by granting a rollover that is an extension or renewal of a payday loan,

(a) the borrower is not liable for any amount charged in relation to the total cost of credit for the payday loan, and

227( 3) If a payday lender contravenes subsection (1) by granting a rollover that is an advancement of a new payday loan to pay out an existing payday loan,

(a) the borrower is not liable for any amount charged in relation to the total cost of credit for the existing payday loan, and

Concurrent payday loans prohibited

228 No payday lender shall enter into a payday loan agreement with a borrower if

(a) the borrower has already entered into a payday loan agreement with the payday lender, and

(b) the payday loan agreement mentioned in paragraph ( a) is still in effect.

Payday loans exceeding maximum credit prohibited

229 No payday lender shall enter into a payday loan agreement with a borrower under which the amount of credit to be extended to the borrower is in excess of the maximum percentage allowed by regulation of the net wages or other net income that will be received by the borrower during the term of the payday loan.

Default penalties prohibited unless authorized by regulation

230( 1) No payday lender shall, in relation to any default by the borrower under a payday loan, charge or require or accept the payment of, or arrange for or permit any other person to charge or to require or accept the payment of, any penalty or other amount unless authorized by regulation.

230( 2) If a payday lender contravenes subsection (1),

(a) the borrower is not liable for any amount charged in relation to the borrower’s default under the payday loan, and

(b) the payday lender shall reimburse the borrower, in cash, immediately on demand by the borrower or the Director, for any amount paid by the borrower in respect of that default.

Assignment of wages prohibited

231( 1) In this section, “assignment of wages” includes an order or direction by an employee to pay all or any part of their wages to another person.

231( 2) An assignment of wages is not valid if it is given in consideration of a payday loan or an advance under a payday loan or to secure or facilitate a payment in relation to a payday loan.

231( 3) No payday lender shall request or require a person to make an assignment of wages in relation to a payday loan.

Other prohibited practices

232 No payday lender shall engage in any practice that is prohibited by regulation.

Division F

General

Provision of information

233 A payday lender shall provide to the Director the information or documents prescribed by regulation at the times prescribed by regulation and in the form determined by the Director.

Late fees

234 A payday lender that provides a document or information to the Director after the time required by the regulations referred to in section 233 shall pay the late fee prescribed by regulation.

Minimum working capital

235 A payday lender shall, at all times, maintain the minimum working capital prescribed by regulation.

Joint liability

236 If a payday loan is arranged by one payday lender and provided by another payday lender, both payday lenders are jointly and severally liable

(a) to the borrower for any amount to be refunded or reimbursed to the borrower under this Part or the regulations relating to this Part, and

(b) to comply with any other requirements set out in this Part or the regulations relating to this Part.

Recommendations to the Lieutenant-Governor in Council

237 The Commission may make recommendations to the Lieutenant-Governor in Council regarding desirable changes in, or additions to, the regulations made under paragraph 359(1)(a), (b), (c) or (d).

Recommendations to Minister

238 The Commission may make recommendations to the Minister on matters in respect of payday loans and payday lenders.

PART 9

GOVERNMENT CHEQUE CASHING FEES

Government cheque cashing fees

239( 1) The following definitions apply in this Part.

“government cheque” means a cheque, or other written order to pay, drawn on an account of (chèque du gouvernement)

(a) the Government of Canada,

(b) the Government of New Brunswick,

(d) an organization prescribed by regulation.

“government cheque cashing fee” means a fee, rate, commission, charge or other amount or consideration charged, paid or given for cashing or negotiating a government cheque. (frais d’encaissement de chèque du gouvernement)

“local government” means a local government as defined in subsection 1(1) of the Local Governance Act. (gouvernement local)

“payer” means a person who pays or is charged or required to pay a government cheque cashing fee. (payeur)

239( 2) No person shall charge or require or accept the payment of, or permit any other person to charge or to require or accept the payment of, a government cheque cashing fee unless authorized by regulation.

239( 3) If a person contravenes subsection (2),

(a) the payer is not liable to pay the government cheque cashing fee or any part of it, and

(b) the person shall reimburse the payer, in cash, immediately on demand by the payer or the Director, for the total amount paid as a government cheque cashing fee and the value of any other consideration given.

PART 10

COLLECTIONS AND DEBT SETTLEMENT SERVICES

Definitions

240 The following definitions apply in this Part.

“collection agency” means a person, other than a collector, that, whether the head office of the collection agency is within or outside the Province, (agence de recouvrement)

(a) carries on the business of collecting debts for other persons in consideration of the payment of a commission on the amount collected or for other remuneration, or

(b) provides debt settlement services.

“collector” means a person employed, appointed or authorized by a collection agency to solicit business for the agency, to collect debts for the agency or to provide debt settlement services on behalf of the agency. (agent de recouvrement)

“debt settlement services” means the offering or undertaking to act for a debtor in arrangements or negotiations with the debtor’s creditors or the receiving of money from a debtor for distribution to the debtor’s creditors if the services are provided in consideration of a fee, commission or other remuneration that is payable by the debtor. (services de règlement de dettes)

“debt settlement services agreement” means an agreement under which a collection agency provides debt settlement services to a debtor. (convention de services de règlement de dettes)

“payment” means any compensation, however described, that a debtor is or will be required to pay a collection agency or any other person as a condition of entering into a debt settlement services agreement. (paiement)

Non-application

241 This Part does not apply to

(a) a practising member of the Law Society of New Brunswick who carries on the business of a collection agency as part of the member’s law practice,

(b) persons licensed or acting under the Business Corporations Act, the Companies Act, the Judicature Act, the Bankruptcy and Insolvency Act (Canada) and the Winding-up and Restructuring Act (Canada) in respect of the provision of debt settlement services,

(d) a bank listed in Schedule 1 or 2 of the Bank Act (Canada) in respect of the business of the bank,

(e) a loan company or a trust company licensed under the Loan and Trust Companies Act in respect of the business of the company,

(f) a credit union incorporated under the Credit Unions Act in respect of business of the credit union, or

(g) a corporation that operates on a not-for-profit basis in respect of the business of the corporation.

Licence required

242( 1) No person shall carry on the business of a collection agency that collects debts for other persons in consideration of the payment of a commission on the amount collected or for other remuneration, except under the authority of a valid collection agency licence issued to the person under Part 12.

242( 2) No person shall operate a branch office of a collection agency that collects debts for other persons in consideration of the payment of a commission on the amount collected or for other remuneration, except under the authority of a valid collection agency branch licence issued to the person under Part 12.

242( 3) No person shall carry on the business of a collection agency that provides debt settlement services except under the authority of a valid debt settlement services licence issued to the person under Part 12.

242( 4) No person shall operate a branch office of a collection agency that provides debt settlement services except under the authority of a valid debt settlement services branch licence issued to the person under Part 12.

242( 5) No person shall act as a collector except under the authority of a valid collector licence issued to the person under Part 12.

242( 6) A person who holds a collector licence

(a) shall not act as a collector except when the person is a genuine agent of a collection agency,

(b) shall not act as a collection agency, and

Use of unlicensed collection agency prohibited

243 No person shall employ a collection agency that does not have the licence required by section 242 or cause letters to be sent to or oral demands to be made on debtors or alleged debtors by a collection agency not having the licence referred to in that section.

Prohibited representations

244 A collection agency or collector shall not communicate or cause to be communicated any representation relating to a debt settlement services agreement that is prohibited by regulation.

Requirements – debt settlement services agreement

245( 1) No collection agency shall provide debt settlement services to a debtor and no collector shall provide those services to a debtor on behalf of a collection agency unless the agency has

(a) entered into a debt settlement services agreement with the debtor

( i) that is in writing,

( ii) that contains a clear and detailed explanation of the effect that the debt settlement services agreement will have on the debtor’s credit rating, and

( iii) that meets any requirements prescribed by regulation, and

(b) delivered a written copy of the debt settlement services agreement to the debtor.

245( 2) No collection agency shall enter into more than one debt settlement services agreement with the same debtor while there is a debt settlement services agreement between the parties that has not expired.

Cancellation of debt settlement services agreement

246( 1) A debtor who is a party to a debt settlement services agreement may, without any reason and without charge, cancel the agreement at any time within 10 days after receiving a written copy of the agreement.

246( 2) In addition to the right under subsection (1), a debtor who is a party to a debt settlement services agreement may, without charge, cancel the agreement within one year after the date of entering into it if the debtor does not receive a written copy of the agreement.

246( 3) The cancellation of a debt settlement services agreement under this section operates to cancel the agreement as if the agreement had never existed.

Notice of cancellation and obligations on cancellation

247( 1) A debt settlement services agreement is cancelled under section 246 when the debtor gives a notice of cancellation in accordance with this section.

247( 2) A debtor may give a notice of cancellation to a collection agency by

(a) personal service, or

(b) sending it to the collection agency by registered mail, prepaid courier, fax or any other method that permits the debtor to provide evidence of the cancellation.

247( 3) A notice of cancellation that is given in accordance with paragraph (2)( b) shall be deemed to have been given when sent.

247( 4) Subject to subsections (2) and (3), a notice of cancellation is adequate if it indicates the intention of the debtor to cancel the debt settlement services agreement.

247( 5) If a debt settlement services agreement is cancelled under section 246, the collection agency shall refund the money received under the agreement to the debtor within 15 days after the notice of cancellation has been delivered or sent.

Restrictions on payments for debt settlement services

248( 1) No collection agency or collector that provides debt settlement services shall require or accept any payment or any security for payment, directly or indirectly,

(a) in advance of providing the debt settlement services, unless it is permitted by regulation, or

(b) in excess of the maximum amount prescribed or determined in accordance with the regulations.

248( 2) Every arrangement by which a collection agency or collector takes security in contravention of subsection (1) is void.

Prohibited activities

249( 1) No collection agency or collector shall offer, pay or provide any gift, bonus, premium, reward or other compensation or benefit of any kind in order to induce a debtor to enter into a debt settlement services agreement.

249( 2) No collection agency or collector shall lend money or provide credit to a debtor.

Refusal to accept settlement

250 If a creditor of a debtor refuses to accept a settlement of the debtor’s debt proposed by a collection agency or collector, the collection agency or collector shall inform the debtor within 30 days after the refusal.

PART 11

CREDIT REPORTING SERVICES

Division A

Definitions

251 The following definitions apply in this Part.

“consumer” means an individual who acts for personal, family or household purposes, and does not include a person who acts for business purposes. (consommateur)

“credit information” means information about a consumer’s name, age, occupation, place or places of residence, previous places of residence, marital status, spouse’s or common law partner’s name and age, number of dependants, particulars of education or professional qualifications, employers, previous employers, estimated income, paying habits, outstanding debt obligations, cost of living obligations and assets and about fines imposed on and restitution orders made against the consumer. (renseignements sur la solvabilité)

“credit repair” means goods or services that are intended to improve a credit report, credit information or file, including a credit record, credit history or credit rating. (redressement de crédit)

“credit repairer” means (redresseur de crédit)

(a) a supplier of credit repair, or

(b) a person who holds themselves out as a supplier of credit repair.

“credit report” means any release of information pertaining to a consumer by a credit reporting agency, whether in written, oral or other form. (rapport de solvabilité)

“credit reporting agency” means a person who, for gain or profit, provides credit reports or creates and maintains files from which credit reports are directly generated and provided. (agence d’évaluation du crédit)

“end-user” means a person who receives or uses a credit report from a credit reporting agency, but does not include a consumer to whom the credit report pertains. (utilisateur final)

“file” means all information pertaining to a consumer that is recorded and retained by a credit reporting agency, regardless of the manner, form or location in which the information is stored. (dossier)

Division B

Credit Reporting

Licence required

252( 1) No person shall carry on business as a credit reporting agency except under the authority of a valid credit reporting agency licence issued to the person under Part 12.

252( 2) No licence holder or former licence holder shall sell, lease or transfer title to its files except to a person who holds a valid credit reporting agency licence issued to the person under Part 12.

Information in the files of a credit reporting agency

253( 1) No credit reporting agency and no officer or employee of a credit reporting agency shall knowingly provide any information from the files of the credit reporting agency to any person except

(a) in response to a warrant or order of a court having jurisdiction to issue the warrant or order,

(b) in response to an order or direction made under this Act,

( i) to an end-user who has obtained the consent of the consumer in accordance with section 255,

( ii) to a third party by an end-user who has obtained the consent of the consumer in accordance with section 255, or

( iii) to an end-user in accordance with subsection 261(5), or

(d) to the consumer to whom the information pertains, in accordance with section 260 or 261.

253( 2) No person shall knowingly obtain any information from a consumer’s file held by a credit reporting agency except in the circumstances referred to in subsection (1).

253( 3) Despite subsections (1) and (2), a credit reporting agency may provide identifying information respecting any consumer, limited to the consumer’s name, places of residence, former places of residence, employers and former employers to

(a) the Government of Canada,

(b) the government of a province or territory of Canada,

(d) an agency of a government referred to in paragraph (a), (b), or (c), or

(e) a police officer or other peace officer acting in the course of the officer’s duties.

253( 4) A credit reporting agency shall maintain in a consumer’s file all the information of which the consumer is entitled to disclosure under subsection 260(1).

Requirements – credit reports

254( 1) A credit reporting agency shall adopt all procedures reasonable for ensuring accuracy and fairness in the contents of its credit reports.

254( 2) A credit reporting agency shall not maintain in its files nor include in a credit report information about a consumer’s

(a) health or medical history, including information about a physical or mental disability, and

(b) gender identity or expression, sex, sexual orientation, political belief or activity, creed or religion, race, colour, ancestry or national origin.

254( 3) A credit reporting agency shall not include any of the following information in a credit report:

(a) information regarding any debt of a consumer if it is more than six years after the date of the last payment on the debt, unless the creditor or the creditor’s agent confirms that the debt is not statute-barred and the confirmation appears in the consumer’s file;

(b) information regarding any debt of a consumer if no payment has been made and it is more than six years after the date on which the default in payment occurred, unless the creditor or the creditor’s agent confirms that the debt is not statute-barred and the confirmation appears in the consumer’s file;

(c) information regarding the payment or non-payment by a consumer of taxes or lawfully imposed fines or monetary penalties if it is more than six years after the date they were imposed by a government or government agency;

(d) information regarding a criminal charge against a consumer if

( i) the charge has been dismissed, set aside or withdrawn, or

( ii) an absolute discharge or conditional discharge has been granted;

(e) subject to paragraph ( f), information regarding a consumer’s conviction for a crime if it is more than six years after the date of conviction or, if the conviction resulted in imprisonment, if it is more than six years after the date of release or parole;

(f) information regarding a consumer’s conviction for a crime if a pardon was granted or a record suspension was ordered and the pardon or record suspension remains in effect;

(g) information regarding a monetary judgment against a consumer, unless mention is made of

( i) the name of the judgment creditor,

( ii) the address of the judgment creditor or their agent on the date of entry of the judgment, if available, and

( iii) the amount;

(h) information regarding a monetary judgment against a consumer if it is more than six years after the judgment was given, unless paragraph ( g) is complied with and the judgment creditor or their agent confirms that it remains unpaid in whole or in part and the confirmation appears in the consumer’s file;

(i) information regarding the bankruptcy of a consumer who has been bankrupt only once if

( i) the bankruptcy has been discharged, and

( ii) it is more than six years after the date of the discharge;

(j) information regarding the first bankruptcy of a consumer if

( i) the consumer has been bankrupt only twice,

( ii) both bankruptcies have been discharged, and

( iii) it is more than six years after the date of the discharge of the first bankruptcy;

(k) information regarding any other legal proceedings involving a consumer, unless the current status of the proceeding has been ascertained and is included in the credit report; and

(l) any other adverse item of information pertaining to a consumer if it is more than six years after the information was acquired or last reaffirmed.

254( 4) A credit reporting agency shall not include any information in a credit report, unless

(a) the source of the information is included in the credit report,

(b) the source’s mailing address and telephone number are included in the credit report or can be readily ascertained by the consumer to whom the credit report pertains, and

(c) the source of the information and the source’s mailing address and telephone number are recorded in the consumer’s file.

Consent

255( 1) An end-user who asks for a consumer’s consent to the release of a credit report pertaining to the consumer to the end-user shall inform the consumer about

(a) the purpose for obtaining the credit report and how it will be used,

(b) the purpose of the release if the consent permits the release of the credit report to a third party by the end-user,

(d) whether

( i) the consent expires on a specified date, or

( ii) the consent continues during the term of an agreement.

255( 2) The consent to the release of a credit report is void if an end-user provides false or misleading information respecting the consent to obtain the consent.

255( 3) A consumer may consent to the release of a credit report in writing, including by electronic means, or orally.

255( 4) An end-user who obtains a consumer’s consent for the release of a credit report pertaining to the consumer shall take reasonable steps to verify the identity of the consumer and record the steps taken.

255( 5) If a consumer is asked by an end-user to give consent in writing to the release of a credit report pertaining to the consumer, the end-user shall ensure that the text of the consent form

(a) is clear and easily understood, and

(b) contains the information required under subsection (1).

255( 6) The end-user shall provide a copy of the signed consent form to a consumer within a reasonable time after the consent form has been signed by the consumer.

255( 7) If a consumer is asked by an end-user to give consent by electronic means to the release of a credit report pertaining to the consumer, the end-user shall ensure that

(a) the information required under subsection (1) is provided to the consumer in a clear and easily understood manner before the consumer consents to the release of the credit report, and

(b) the consent and information related to it as required under subsection (1) is in a form capable of being retained or printed by the consumer.

255( 8) If a consumer is asked by an end-user to give consent orally to the release of a credit report pertaining to the consumer, the end-user shall ensure that the information required under subsection (1) is provided to the consumer in a clear and easily understood manner before the consumer consents to the release of the credit report.

255( 9) The end-user who obtains an oral consent shall, in a form that can be reproduced, record

(a) that the information required under subsection (1) was provided to the consumer and by whom, and

(b) the name of the individual representing the end-user who received the consent and the date and time when the consent was given by the consumer.

255( 10) The end-user who obtains an oral consent shall, within a reasonable time after the consumer has given the consent, provide the information recorded under subsection (9) to the consumer in a form capable of being retained or printed by the consumer.

255( 11) A consumer may, by giving reasonable notice, withdraw their consent to the release of a credit report at any time, subject to any legal or contractual restrictions.

255( 12) An end-user who receives the withdrawal of consent shall inform the consumer of the implications of the withdrawal.

Publication of policies

256 A credit reporting agency shall make all information regarding its disclosure period policies accessible to the public and ensure that the information is presented in a manner that is complete, accurate and easily understood by a reasonable consumer.

Communication with credit reporting agencies

257 A credit reporting agency shall maintain a toll-free telephone number that provides service to all regions in Canada in which the credit reporting agency conducts business.

Notice to consumer of adverse impact of credit report

258( 1) An end-user who relies on a credit report from a credit reporting agency shall give notice to the consumer to whom the credit report pertains when the contents of the credit report play a role in the end-user

(a) denying the consumer a benefit, good or service,

(b) increasing the cost to a consumer of a benefit, good or service, or

258( 2) An end-user shall give the notice referred to in subsection (1) in person or by mail to the latest known address of a consumer within 15 days after taking an action referred to in paragraph (1)(a), (b) or (c).

258( 3) A consumer who receives a notice referred to in subsection (1) may request from the end-user the name and address of the credit reporting agency that provided the credit report, and the end-user shall give that information to the consumer within a reasonable time after receiving the request.

258( 4) A request referred to in subsection (3) shall be made in writing by the consumer within 60 days after receiving the notice referred to in subsection (1).

258( 5) An end-user shall ensure that the notice referred to in subsection (1) contains notice of a consumer’s right to request the information referred to in subsection (3) and the time limit for making that request.

Clarity of information

259( 1) Any information provided to a consumer from a credit reporting agency must be easily understood by a reasonable consumer.

259( 2) If a system of codes or notation or technical terminology is used in providing the information, the credit reporting agency shall provide a plain-language explanation of how the codes, notation or technical terminology is to be understood.

Right of consumer to disclosure

260( 1) A credit reporting agency shall, within a reasonable time after the making of a written request by a consumer, disclose

(a) the nature and substance of all information pertaining to the consumer at the time of the request that is held by the credit reporting agency,

(b) the sources of credit information pertaining to the consumer,

(c) the names of end-users to whom the credit reporting agency has provided a credit report pertaining to the consumer within the one-year period preceding the request,

(d) all written credit reports pertaining to the consumer provided by the credit reporting agency to end-users within the one-year period preceding the request, and

(e) particulars of all oral credit reports pertaining to the consumer provided by the credit reporting agency to end-users within the one-year period preceding the request.

260( 2) Before making disclosures under subsection (1), a credit reporting agency shall take reasonable steps to verify that the person requesting the disclosure is the consumer and shall record the steps taken.

260( 3) Subject to subsection (9), information disclosed under subsection (1) shall be provided by the credit reporting agency in writing or in any other form prescribed by regulation.

260( 4) A credit reporting agency responding to a request under subsection (1) shall inform the consumer in writing of the consumer’s rights under sections 261 and 272 to dispute any information contained in the file and the manner in which a dispute may be made.

260( 5) A consumer is entitled on a request under subsection (1) to receive the information referred to in that subsection from the credit reporting agency free of charge once per calendar year.

260( 6) If a consumer requests the information referred to in subsection (1) more than once during the calendar year, the credit reporting agency may charge a fee not greater than the fee prescribed by regulation for each additional disclosure of information requested.

260( 7) If a consumer receives a notice under subsection 258(1) in relation to a credit report and the consumer makes a request to the relevant credit reporting agency, the consumer is entitled to receive a copy of the credit report free of charge.

260( 8) Subject to subsection (9), a copy of a credit report referred to in subsection (7) shall be provided by the credit reporting agency in writing or in any other form prescribed by regulation within a reasonable time after the making of the request by the consumer.

260( 9) If a consumer making a request under subsection (1) or (7) has a disability, the credit reporting agency shall take all reasonable measures to provide the information or the copy of the credit report, as the case may be, in a format that accommodates the disability.

Correction of errors

261( 1) If a consumer disputes the accuracy or completeness of any item of information contained in the consumer’s file, the credit reporting agency shall within a reasonable time use its best endeavours to confirm or complete the information and shall correct, supplement or delete the information in accordance with good practice.

261( 2) If a credit reporting agency corrects, supplements or deletes information under subsection (1),

(a) the credit reporting agency shall within a reasonable time give notice in writing to the consumer of the correction, supplement or deletion and of the consumer’s right to make a request under subsection (5), and

(b) the consumer is entitled, on request, to receive from the credit reporting agency a copy of the information contained in the file that reflects the correction, supplement or deletion free of charge.

261( 3) Subject to subsection (4), a copy of the information referred to in paragraph (2)( b) shall be provided by the credit reporting agency in writing or in any other form prescribed by regulation within a reasonable time after the making of the request by the consumer.

261( 4) If a consumer making a request under paragraph (2)( b) has a disability, the credit reporting agency shall take all reasonable measures to provide the copy of the information in a format that accommodates the disability.

261( 5) If a credit reporting agency corrects, supplements or deletes information under subsection (1), the credit reporting agency shall, within a reasonable time after the making of a request by the consumer, provide a credit report reflecting the correction, supplement or deletion to the end-users specifically designated by the consumer from among those who have been provided by the credit reporting agency with a credit report based on the unamended file within the six-month period preceding the correction, supplement or deletion.

261( 6) Credit reports provided under subsection (5) shall be provided by the credit reporting agency in writing or in any other form prescribed by regulation.

Consumer’s statement of dispute

262( 1) A consumer may provide to a credit reporting agency a statement declaring that a dispute exists with respect to the accuracy or completeness of an item contained in the consumer’s file and, subject to subsections (2) to (7), the credit reporting agency is required to include the statement in all subsequent credit reports that include the item to which the statement pertains.

262( 2) A credit reporting agency may, after giving notice to a consumer, limit the consumer’s statement of dispute to 700 characters.

262( 3) A credit reporting agency may refuse to include in credit reports a consumer’s statement that it has reasonable grounds to believe is libellous.

262( 4) A credit reporting agency that receives a consumer’s statement that it does not intend to include in credit reports because it has reasonable grounds to believe the statement is libellous shall

(a) inform the consumer in writing that the statement will not be included in credit reports and the reason why, and that a revised statement may be submitted,

(b) provide reasonable advice in writing to the consumer on how to submit a statement that is not libellous, as well as a reasonable opportunity to make a revised statement, and

(c) inform the consumer in writing that a standard statement of dispute exists and may be used instead of a statement by the consumer.

262( 5) A credit reporting agency may determine the content of a standard statement of dispute if it is clear and easily understood by a reasonable end-user.

262( 6) When no acceptable revised statement is agreed to, the consumer may request that a standard statement of dispute be included by the credit reporting agency in all credit reports that include the item to which the statement of dispute pertains.

262( 7) A credit reporting agency shall comply with a request under subsection (6) within a reasonable time after receiving the request.

Security alert statements

263( 1) A consumer may request a credit reporting agency to include a security alert statement in the consumer’s file that gives notice to end-users to verify the identity of any person purporting to be the consumer.

263( 2) A credit reporting agency shall provide a telephone number that a consumer can call, at any time and without incurring any charges for the call, to request that a security alert statement be included in or removed from the consumer’s file or that the information provided under subsection (3) be amended.

263( 3) When making a request under subsection (1), the consumer shall provide the credit reporting agency with a telephone number at which the consumer may be contacted for the purposes of verifying the consumer’s identity and with any other information prescribed by regulation.

263( 4) Within a reasonable time after receiving a request made in accordance with subsection (3), the credit reporting agency shall include the security alert statement in the consumer’s file.

263( 5) A telephone number provided by a consumer under subsection (3) or paragraph (6)( b), as the case may be, shall be included in the security alert statement by the credit reporting agency.

263( 6) A consumer may request that a credit reporting agency

(a) remove a security alert statement from the consumer’s file, or

(b) amend the information provided under subsection (3).

263( 7) A credit reporting agency shall comply with a request under subsection (6) within a reasonable time after receiving it.

263( 8) Before complying with a consumer’s request under subsection (1) or (6), a credit reporting agency shall take reasonable steps to verify that the person making the request is the consumer and record the steps taken.

263( 9) Before complying with the consumer’s request under subsection (1), a credit reporting agency shall inform the consumer of the date, if any, that the security alert statement will expire.

263( 10) No person shall charge, require or accept a fee in relation to a security alert statement except in accordance with the regulations.

263( 11) If a consumer’s file includes a security alert statement, the credit reporting agency shall give this alert to every end-user to whom the credit reporting agency provides a credit report pertaining to that consumer.

263( 12) An end-user who receives a credit report that includes a security alert statement shall not proceed with a transaction without first taking reasonable steps to verify that the person involved in the transaction is the consumer and shall record the steps taken.

Division C

Credit Repair

Requirements – agreements for credit repair

264 Every agreement for credit repair between a consumer and a credit repairer shall be made in writing and in accordance with the requirements prescribed by regulation, and a written copy of the agreement shall be delivered to the consumer by the credit repairer.

Advance payments prohibited

265( 1) No credit repairer shall require or accept any payment or any security for a payment, directly or indirectly, from or on behalf of a consumer until the credit repairer causes a material improvement to the credit report, credit information, file, credit record, credit history or credit rating of the consumer.

265( 2) An arrangement by which a credit repairer takes security in contravention of subsection (1) is void.

Cancellation

266( 1) A consumer who is a party to an agreement for credit repair may, without any reason and without charge, cancel the agreement at any time within 10 days after receiving a written copy of the agreement.

266( 2) In addition to the right under subsection (1), a consumer who is a party to an agreement for credit repair may, without charge, cancel the agreement within one year after the date of entering into it if the consumer does not receive a written copy of the agreement.

266( 3) The cancellation of an agreement for credit repair in accordance with this section operates to cancel the agreement as if the agreement had never existed.

Notice of cancellation and obligations on cancellation

267( 1) An agreement for credit repair is cancelled under section 266 when the consumer gives a notice of cancellation in accordance with this section.

267( 2) A consumer may give a notice of cancellation to a credit repairer by

(a) personal service on the credit repairer, or

(b) sending it to the credit repairer by registered mail, prepaid courier, fax or any other method that permits the consumer to provide evidence of the cancellation.

267( 3) A notice of cancellation that is given in accordance with paragraph (2)( b) shall be deemed to have been given when sent.

267( 4) Subject to subsections (2) and (3), a notice of cancellation is adequate if it indicates the intention of the consumer to cancel the agreement for credit repair.

267( 5) If an agreement for credit repair is cancelled under section 266, the credit repairer shall refund the money received under the agreement to the consumer within 15 days after the notice of cancellation has been delivered or sent.

Officers and directors

268 The officers and directors of a credit repairer are jointly and severally liable for any remedy in respect of which a person is entitled to commence a proceeding against the credit repairer.

Prohibited representations

269 A credit repairer shall not communicate or cause to be communicated any representation that is prohibited by regulation.

Division D

General

Complaints

270( 1) The Director may receive and handle complaints respecting credit reporting agencies or credit repairers.

270( 2) If the Director considers it appropriate, the Director may refuse to handle or to continue to handle a complaint.

Information respecting complaint

271( 1) If the Director receives a written complaint in respect of a credit reporting agency or credit repairer, the Director may give a direction in writing requiring the credit reporting agency or credit repairer to provide the Director with any information respecting the complaint that the Director requires.

271( 2) A direction under subsection (1) shall indicate the nature of the complaint involved.

Order by Director

272( 1) The Director may order a credit reporting agency to amend or delete any information, or by order restrict or prohibit the use of any information, that in the Director’s opinion is inaccurate or incomplete or that does not comply with the provisions of this Part or the regulations under this Part.

272( 2) The Director may order a credit reporting agency to notify any person who has received a credit report of any amendments, deletions, restrictions or prohibitions imposed by the Director.

272( 3) An order under this section may be made on the application of the consumer to whom the information pertains or on the Director’s own motion.

PART 12

LICENCES

Application

273 This Part applies to the following classes of licence:

(a) a direct seller’s licence referred to in subsection 76(1), authorizing the holder to engage in direct selling as a supplier under Part 5;

(b) a salesperson’s licence referred to in subsection 76(2), authorizing the holder to engage in direct selling as a salesperson of a supplier under Part 5;

(c) a high-cost credit business licence referred to in section 152, authorizing the holder to offer, arrange or provide high-cost credit products under Part 7;

(d) a payday lender licence referred to in section 213, authorizing to the holder to offer, arrange or provide payday loans or Internet payday loans under Part 8;

(e) a collection agency licence referred to in subsection 242(1), authorizing the holder to carry on business as a collection agency that collects debts for other persons under Part 10;

(f) a collection agency branch licence referred to in subsection 242(2), authorizing the holder to operate a branch office of a collection agency that collects debts for other persons under Part 10;

(g) a debt settlement services licence referred to in subsection 242(3), authorizing the holder to carry on the business of a collection agency that provides debt settlement services under Part 10;

(h) a debt settlement services branch licence referred to in subsection 242(4), authorizing the holder to operate a branch office of a collection agency that provides debt settlement services under Part 10;

(i) a collector licence referred to in subsection 242(5), authorizing the holder to act as a collector under Part 10; and

(j) a credit reporting agency licence referred to in section 252, authorizing the holder to carry on business as a credit reporting agency under Part 11.

Requirements – application for licence

274( 1) An applicant for a licence or for the renewal of a licence shall

(a) apply to the Director on a form provided by the Director,

(b) provide the Director with

( i) a phone number, fax number and email address,

( ii) an address for service in the Province, and

( iii) any other information prescribed by regulation,

(d) comply with any other requirements prescribed by regulation.

274( 2) If required by regulation, an applicant for a class of licence prescribed by regulation shall provide proof satisfactory to the Director that the applicant is authorized to carry on business in the Province.

274( 3) If required by regulation, an applicant for a class of licence prescribed by regulation shall acquire and maintain a bond or other form of security that meets any requirements prescribed by regulation, and the applicant shall provide the Director with proof of the bond or other form of security in accordance with any requirements prescribed by regulation.

274( 4) Despite subsection (3), the Director may require an applicant for a class of licence that is not required by regulation to acquire and maintain a bond or other form of security to do so and to provide the Director with proof of the bond or other form of security.

Additional requirements – application for salesperson’s licence

275( 1) An applicant for a salesperson’s licence shall provide the Director with a notice given by a supplier that holds a direct seller’s licence stating that the applicant, if granted a salesperson’s licence, is authorized to act as an agent of that supplier.

275( 2) A salesperson’s licence shall specify the supplier that has given a notice under subsection (1) as the principal of the licence holder.

Additional requirements – application for high-cost credit business licence or payday lender licence

276( 1) An applicant for a high-cost credit business licence or for a payday lender licence shall provide the Director with the following information:

(a) the location from which the applicant wishes to offer, arrange or provide high-cost credit products or wishes to offer, arrange or provide payday loans; or

(b) if the location is a website, the website from which the applicant wishes to offer, arrange or provide high-cost credit products or wishes to offer, arrange or provide Internet payday loans.

276( 2) An applicant who wishes to offer, arrange or provide credit by way of high-cost credit products, payday loans or Internet payday loans at more than one location shall apply for a separate licence for each location.

Additional requirements – application for collector licence

277( 1) An applicant for a collector licence shall provide the Director with a notice given by a collection agency that holds a licence referred to in paragraph 273(e), (f), (g) or (h) stating that the applicant, if granted a collector licence, is authorized to act as an agent of that collection agency.

277( 2) A collector licence shall specify the collection agency that has given a notice under subsection (1) as the principal of the licence holder.

Director may require additional information or material

278( 1) At any time, the Director may require an applicant for a licence or for the renewal of a licence to provide additional information or material within a specified time.

278( 2) The Director may require an applicant for a licence or for the renewal of a licence to verify, by affidavit or otherwise, the authenticity, accuracy or completeness of any information or material provided to the Director under this Part.

Issuance or renewal of licence

279 The Director may

(a) issue a licence to an applicant or renew the licence of a licence holder if the Director is satisfied that the applicant

( i) meets all the qualifications and satisfies all the requirements of this Part and the regulations in relation to the application for the licence or for the renewal of the licence, and

( ii) is suitable to hold the licence, or

(b) refuse under section 282 to issue a licence to an applicant or under section 283 to renew the licence of a licence holder.

Terms and conditions on licence

280( 1) The Director may at any time restrict a licence by imposing any terms and conditions that the Director considers appropriate on the licence.

280( 2) The Director shall not impose terms and conditions on a licence without giving the applicant or licence holder an opportunity to be heard.

Requirement to comply with terms and conditions

281 A licence holder shall comply with the terms and conditions imposed by the Director under section 280 and with any terms and conditions on the licence set out in the regulations.

Refusal to issue licence

282( 1) The Director may refuse to issue a licence to an applicant if

(a) the applicant has been charged with or convicted of

( i) an offence under this Act or the regulations, or

( ii) an offence under the Criminal Code (Canada) or any other Act or any regulation under any other Act that involves fraud, theft or misrepresentation,

(b) the applicant is an undischarged bankrupt,

(d) a licence previously issued to the applicant under this Part, or by an authority of any jurisdiction responsible for issuing licences with respect to the subject matter of the licence, is suspended or has been cancelled, or the applicant has applied for a renewal of such a licence and the renewal has been refused,

(e) the applicant fails to meet any qualification or satisfy any requirement of this Part or the regulations relating to this Part,

(f) in the Director’s opinion, the applicant will not carry on business according to law and with integrity and honesty,

(g) in the Director’s opinion, the applicant is not suitable to hold the licence, or

(h) in the Director’s opinion, it is not in the public interest to issue a licence to the applicant.

282( 2) The Director may refuse to issue a licence to

(a) a corporation if a director or officer of the corporation could be refused a licence under subsection (1), or

(b) a partnership if a member of the partnership could be refused a licence under subsection (1).

282( 3) The Director shall not refuse to issue a licence to an applicant without giving the applicant an opportunity to be heard.

Refusal to renew or suspension or cancellation

283( 1) The Director may refuse to renew or may suspend or cancel a licence

(a) for any reason for which the Director may refuse to issue a licence under section 282,

(b) if the licence holder fails to provide information or documents required by the Director or the regulations, or provides incomplete, false, misleading or inaccurate information to the Director,

(d) if the licence holder contravenes or fails to comply with a term or condition of the licence.

283( 2) The Director shall not refuse to renew nor suspend or cancel a licence under this section without giving the licence holder an opportunity to be heard.

Cancellation of licence at licence holder’s request

284( 1) The Director may cancel a licence on the written request of the licence holder.

284( 2) For greater certainty, the Director shall not give a person who requests the cancellation of their licence under this section an opportunity to be heard.

Automatic suspension – failure to maintain a bond or other form of security

285( 1) A licence holder that is required under the regulations to maintain a bond or other form of security shall maintain the bond or other form of security in accordance with any requirements prescribed by regulation.

285( 2) A licence holder that is required by the Director to maintain a bond or other form of security under subsection 274(4) shall maintain the bond or other form of security.

285( 3) If a licence holder fails to maintain the bond or other form of security required under subsection (1) or (2), the holder’s licence is automatically suspended.

285( 4) For greater certainty, the Director shall not give a person whose licence is automatically suspended under this section an opportunity to be heard.

Automatic suspension – failure to maintain working capital

286( 1) A licence holder that is required to maintain a minimum working capital prescribed by regulation shall, at all times, maintain that working capital.

286( 2) If a licence holder fails to maintain the working capital required under subsection (1), the holder’s licence is automatically suspended.

286( 3) For greater certainty, the Director shall not give a person whose licence is automatically suspended under this section an opportunity to be heard.

Automatic suspension – salesperson’s licences

287( 1) A salesperson’s licence is automatically suspended if the direct seller’s licence held by the supplier identified as the licence holder’s principal in the salesperson’s licence is suspended or cancelled.

287( 2) For greater certainty, the Director shall not give a person whose salesperson’s licence is automatically suspended under this section an opportunity to be heard.

Automatic suspension – collector licences

288( 1) A collector licence is automatically suspended if the licence referred to in paragraph 273(e), (f), (g) or (h) held by the collection agency identified as the licence holder’s principal in the collector licence is suspended or cancelled.

288( 2) For greater certainty, the Director shall not give a person whose collector licence is automatically suspended under this section an opportunity to be heard.

Effect of suspension or cancellation

289( 1) A person whose licence is suspended or cancelled under this Part shall return the licence to the Director immediately.

289( 2) If a person whose licence is suspended or cancelled holds money in trust, the Director may order the financial institution that holds the money to refrain from paying out all or any part of the money for the period of the suspension or cancellation.

Application for licence after refusal or cancellation

290( 1) A person who has been refused a licence or whose licence has been cancelled under this Part shall not reapply for a licence unless

(a) the waiting period prescribed by regulation has passed since the refusal or cancellation, and

(b) the person satisfies the Director that new or other evidence is available or that material circumstances have changed.

290( 2) Subsection (1) does not apply to a person whose licence was cancelled on their own request under section 284.

Change in circumstances

291( 1) A licence holder shall immediately notify the Director in writing of any change to the licence holder’s phone number, address for service, fax number or email address previously provided to the Director.

291( 2) An applicant for a licence or a licence holder shall, within seven days after a change in circumstances prescribed by regulation, notify the Director in writing of the change in circumstances.

Director’s signature on licence

292 A licence shall contain the signature of the Director, which may be printed, stamped or otherwise mechanically reproduced on the licence.

Expiry of licences

293( 1) Subject to subsections (2) and (3), a licence expires on the last day of the twelfth month following the issuance of the licence.

293( 2) A salesperson’s licence expires on the day that the direct seller’s licence held by the supplier identified as the licence holder’s principal in the salesperson’s licence expires.

293( 3) A collector licence expires on the day that the licence referred to in paragraph 273(e), (f), (g) or (h) held by the collection agency identified as the licence holder’s principal in the collector licence expires.

Licence is not transferable or assignable

294 A licence is not transferable or assignable.

295( 1) The Director shall maintain a register of licence holders that contains the following information for each licence:

(a) the name and contact information of the licence holder;

(b) whether terms and conditions apply to the licence;

(d) any other information prescribed by regulation.

295( 2) The register shall be accessible to the public at the offices of the Commission during normal business hours.

PART 13

RECORD KEEPING, ADVERTISING, COMPLIANCE REVIEWS AND
ADMINISTRATIVE PENALTIES

Division A

Definitions

296 The following definitions apply in this Part.

“administrative penalty” means a penalty imposed by the issuance of a notice of administrative penalty under section 305. (pénalité administrative)

“licence holder” means a person who holds a valid licence issued under Part 12. (titulaire d’un permis)

“registered person” means a person who holds a valid registration under Part 6 as a credit grantor, a lessor or a credit broker. (titulaire d’un enregistrement)

“regulatory authority” means a person empowered by the laws of a jurisdiction to regulate the activities of a registered person or licence holder. (organisme de réglementation)

Division B

Record Keeping and Advertising

Record keeping

297( 1) A registered person or licence holder shall keep books, records and documents that are necessary for the proper recording of its business and affairs and shall keep any other books, records and documents that are otherwise required under this Act or the regulations.

297( 2) A registered person or licence holder shall keep the books, records and documents at a safe location and in a durable form.

297( 3) A registered person or licence holder shall retain the books, records and documents for a minimum period of seven years after the date of the transaction to which the books, records or documents relate.

297( 4) A registered person or licence holder shall deliver to the Director, or to any other employee of the Commission, at any time that the Director or other employee requires

(a) any of the books, records and documents that are required to be kept by the registered person or licence holder under this Act or the regulations, and

(b) any filings, reports or other communications made to any other regulatory authority.

False or misleading advertisement

298( 1) No person shall make any false, misleading or deceptive statements in any advertisement, circular, pamphlet or similar material prepared or used in respect of a regulated activity.

298( 2) No person shall publish or otherwise distribute an advertisement, circular, pamphlet or similar material prepared or used in respect of a regulated activity that is on the whole misleading even if it does not contain a particular statement that is false, misleading or deceptive.

298( 3) If, in the opinion of the Director, a person has made a false, misleading or deceptive statement in any advertisement, circular, pamphlet or similar material, the Director may order the immediate cessation of the use of that material.

298( 4) If, in the opinion of the Director, a person has published or otherwise distributed an advertisement, circular, pamphlet or similar material that is on the whole misleading, the Director may order the immediate cessation of the use of that material.

298( 5) The Director may order the immediate cessation of the use of any advertisement, circular, pamphlet or similar material that, in the opinion of the Director, contravenes or fails to comply with this Act or the regulations.

Division C

Compliance Reviews

Compliance officers – appointment

299( 1) The Commission may appoint in writing a person as a compliance officer for the purpose of ensuring compliance with this Act and the regulations.

299( 2) The Commission shall issue to every compliance officer a certificate of appointment, and every compliance officer, in the execution of the officer’s duties under this Act or the regulations, shall produce the certificate of appointment on request.

Compliance review

300( 1) For the purpose of determining whether this Act and the regulations are being complied with, a compliance officer, in carrying out a compliance review, may

(a) enter, during normal business hours, the premises of a person who engages in a regulated activity,

(b) require a person who engages in a regulated activity or an officer or employee of the person to produce for inspection, examination, auditing or copying any books, records or documents relating to the business or affairs of the person,

(c) inspect, examine, audit or copy the books, records or documents relating to the business or affairs of a person who engages in a regulated activity, and

(d) question a person who engages in a regulated activity or an officer or employee of the person in relation to the business or affairs of the person.

300( 2) In carrying out a compliance review, a compliance officer may

(a) use a data processing system at the premises where the books, records or documents are kept,

(b) reproduce any book, record or document, and

(c) use any copying equipment at the premises where the books, records or documents are kept to make copies of any book, record or document.

300( 3) A compliance officer may carry out a compliance review within or outside the Province.

300( 4) A compliance officer shall not enter a private dwelling unless the compliance officer has the consent of the occupier or has obtained an entry warrant under the Entry Warrants Act.

300( 5) Before or after attempting to enter or to have access to any premises, a compliance officer may apply for an entry warrant under the Entry Warrants Act.

300( 6) The Commission may, in circumstances prescribed by regulation, require a person in respect of which a compliance review was carried out to pay the Commission any fee prescribed by regulation and to reimburse the Commission for any expenses prescribed by regulation.

Removal of documents

301( 1) A compliance officer who removes books, records or documents to make a copy or extract of them or any part of them shall give a receipt to the occupier of the premises for the books, records or documents removed and return the books, records or documents as soon as the circumstances permit after the making of copies or extracts.

301( 2) A copy or extract of any book, record or document related to a compliance review and purporting to be certified by a compliance officer is admissible in evidence in any action, proceeding or prosecution and is proof, in the absence of evidence to the contrary, of the original without proof of the appointment, authority or signature of the person purporting to have certified the copy or extract.

Misleading statements

302 No person shall knowingly make a false or misleading statement, either orally or in writing, to a compliance officer while the compliance officer is engaged in carrying out the officer’s duties under this Act or the regulations.

Obstruction

303( 1) No person shall obstruct or interfere with a compliance officer who is carrying out or attempting to carry out a compliance review under this Part, or withhold, destroy, conceal, alter or refuse to produce any information or thing reasonably required by a compliance officer for the purposes of the compliance review.

303( 2) A refusal of consent to enter a private dwelling is not and shall not be considered to be interfering with or obstructing within the meaning of subsection (1), except if an entry warrant has been obtained.

Division D

Administrative Penalties

Administrative penalty officers – appointment

304 The Commission may appoint in writing a person as an administrative penalty officer for the purpose of

(a) promoting compliance with this Act and the regulations, or

(b) preventing a person from deriving, directly or indirectly, an economic benefit from the contravention of or failure to comply with this Act or the regulations.

Administrative penalty

305 An administrative penalty officer may impose an administrative penalty by issuing a notice of administrative penalty if the administrative penalty officer

(a) determines that a person has contravened or failed to comply with a provision of this Act or the regulations, including

( i) a decision, ruling, order, temporary order or direction of the Commission, the Director or the Tribunal made or given under this Act or the regulations, or

( ii) a written undertaking made by that person to the Commission, the Director or the Tribunal under this Act or the regulations, and

(b) is satisfied that a hearing is not necessary to determine whether the person has contravened or failed to comply with this Act or the regulations.

Maximum amount of administrative penalty

306 The amount of an administrative penalty shall not exceed

(a)  $10,000 for an individual, and

(b)  $25,000 for a person other than an individual.

Determination of amount of administrative penalty

307 In determining the amount of an administrative penalty, an administrative penalty officer shall consider the following matters:

(a) whether the contravention of or failure to comply with this Act or the regulations involved an individual or a person other than an individual;

(b) the nature and duration of the contravention or failure to comply;

(c) the extent to which the individual or the person other than an individual tried to mitigate any loss or take any remedial action;

(d) the economic benefit that the individual or the person other than an individual derived or reasonably could have expected to derive from the contravention or failure to comply, directly or indirectly;

(e) the extent of the actual or potential harm to others resulting from the contravention or failure to comply;

(f) the risk of harm to public confidence in a regulated activity resulting from the contravention or failure to comply;

(g) whether the individual or the person other than an individual had contravened or failed to comply with a provision of this Act or the regulations within the five-year period before the contravention or failure to comply; and

(h) any other matter prescribed by regulation.

Notice of administrative penalty

308( 1) A notice of administrative penalty shall include the following information:

(a) the name of the person required to pay the administrative penalty;

(b) the provision of this Act or the regulations that the person contravened or failed to comply with and a description of that contravention or failure to comply;

(d) the amount of the administrative penalty and the consequences for failing to respond to the notice;

(e) the date by which the administrative penalty is required to be paid and how to pay the administrative penalty;

(f) a statement that the person may request a review of the administrative penalty in accordance with subsection 312(1); and

(g) any other information prescribed by regulation.

308( 2) A notice of administrative penalty shall not be issued if the contravention or failure to comply is the subject of a hearing before the Tribunal under section 330.

308( 3) A notice of administrative penalty shall not be issued more than one year after the administrative penalty officer first had knowledge of the contravention or failure to comply.

Withdrawal of notice of administrative penalty

309 An administrative penalty officer may withdraw a notice of administrative penalty if, in the opinion of the administrative penalty officer, the withdrawal of the notice is warranted in the circumstances.

Time for paying or disputing administrative penalty

310 Subject to section 311, no later than the date set out in a notice of administrative penalty, the person who received the notice shall

(a) pay the administrative penalty, or

(b) apply for a review of the administrative penalty under section 312.

Extension of time for paying administrative penalty

311 An administrative penalty officer may extend the time set out in a notice of administrative penalty for paying the administrative penalty if, in the opinion of the administrative penalty officer, the extension is reasonable.

Review of administrative penalty

312( 1) A person who receives a notice of administrative penalty may request that the Director review the administrative penalty by applying to the Director on a form provided by the Director no later than the date set out in the notice of administrative penalty.

312( 2) The Director shall not make a decision with respect to a review without giving the person who received the notice of administrative penalty an opportunity to be heard.

312( 3) The Director may confirm or rescind the administrative penalty or may vary the amount of the administrative penalty.

312( 4) If the Director confirms the administrative penalty or varies the amount of the administrative penalty, the person who received the notice of administrative penalty shall pay the administrative penalty within 30 days after the Director makes the decision or within a longer period specified by the Director.

312( 5) The decision of the Director under this section is not subject to appeal to the Tribunal.

Administrative penalty payable to Commission

313 An administrative penalty is payable to the Commission.

Filing notice or decision – Court of King’s Bench

314( 1) If a person who is required to pay an administrative penalty under section 310 or subsection 312(4) fails to do so, the amount of the administrative penalty constitutes a debt due to the Commission.

314( 2) The Commission may file a certified copy of a notice of administrative penalty or of a decision of the Director under section 312 with a clerk of the Court of King’s Bench, and, on being filed, the notice or decision has the same force and effect as if it were a judgment of the Court of King’s Bench.

314( 3) If a notice of administrative penalty or a decision of the Director is filed under subsection (2), the administrative penalty required to be paid to the Commission under the notice or decision may be collected as a judgment of the Court of King’s Bench for the recovery of a debt.

Misleading statements

315 No person shall knowingly make a false or misleading statement, either orally or in writing, to an administrative penalty officer while the administrative penalty officer is engaged in carrying out the officer’s duties under this Act or the regulations.

PART 14

INVESTIGATIONS

Provision of information to Director

316( 1) The Director may make an order under subsection (2)

(a) for the administration of this Act or the regulations, or

(b) to assist in the administration of similar legislation of another jurisdiction.

316( 2) By an order applicable generally or to one or more persons named or otherwise described in the order, the Director may require a person who engages in a regulated activity or who was formerly engaged in a regulated activity to provide information or to produce books, records or documents or classes of books, records or documents specified or otherwise described in the order within the period or at the intervals specified in the order.

316( 3) The Director may require that the authenticity, accuracy or completeness of information provided or of a book, record or document or a class of books, records or documents produced under an order under subsection (2) be verified by affidavit.

316( 4) The Director may require that the information provided or that the books, records or documents or classes of books, records or documents produced under an order made under subsection (2) be delivered in electronic form if the information or the books, records or documents or classes of books, records or documents are already available in that form.

Investigation order

317( 1) The Commission may, by order, appoint a person as an investigator to make any investigation that the Commission considers expedient

(a) for the administration of this Act or the regulations, or

(b) to assist in the administration of similar legislation of another jurisdiction.

317( 2) In its order, the Commission shall specify the scope of an investigation to be carried out under subsection (1).

Powers of investigator

318( 1) An investigator may, with respect to the person who is the subject of the investigation, investigate, inspect and examine

(a) the business or affairs of that person,

(b) any books, records, documents or communications connected with that person, and

(c) any property or assets owned, acquired or disposed of, in whole or in part, by that person or by a person acting on behalf of or as agent for that person.

318( 2) For the purposes of an investigation under this Part, an investigator may inspect and examine any book, record, document or thing, whether in possession or control of the person in respect of whom the investigation is ordered or any other person.

318( 3) An investigator making an investigation under this Part may, on production of the order appointing them,

(a) enter the business premises of any person named in the order during normal business hours and inspect and examine any book, record, document or thing that is used in the business of that person and that relates to the order,

(b) require the production of any book, record, document or thing referred to in paragraph ( a) for inspection or examination, and

(c) on giving a receipt, remove the book, record, document or thing inspected or examined under paragraph ( a) or ( b) for the purpose of further inspection or examination.

318( 4) Inspection or examination under this section shall be completed as soon as the circumstances permit, and the books, records, documents or things shall be returned promptly to the person who produced them.

318( 5) No person shall withhold, destroy, conceal, alter or refuse to give any information or withhold, destroy, conceal, alter or refuse to produce any book, record, document or thing reasonably required under subsection (3) by an investigator.

Power to compel evidence

319( 1) An investigator making an investigation under this Part has the same power to summon and enforce the attendance of witnesses, to compel witnesses to give evidence under oath or in any other manner and to compel witnesses to produce books, records, documents and things or classes of books, records, documents and things as the Court of King’s Bench has for the trial of civil actions.

319( 2) On the application of an investigator to the Court of King’s Bench, the failure or refusal of a person to attend, to take an oath, to answer questions or to produce books, records, documents and things or classes of books, records, documents and things in the custody, possession or control of the person makes the person liable to be committed for contempt as if in breach of an order or judgment of the court.

319( 3) A person giving evidence under this section may be represented by legal counsel.

319( 4) Testimony given by a person under this section shall not be admitted into evidence against that person in any prosecution other than for perjury in the giving of that testimony or the giving of evidence contradictory to that testimony.

Investigators authorized as peace officers

320 Every investigator in carrying out the investigator’s duties under this Act and the regulations is a person employed for the preservation and maintenance of the public peace and has and may exercise all the powers, authorities and immunities of a peace officer as defined in the Criminal Code (Canada).

Seized property

321( 1) On request to the investigator by the person who, at the time of the seizure, was in lawful possession of books, records, documents or things seized under this Part, the books, records, documents or things seized shall, at a time and place mutually convenient to that person and the investigator, be made available for consultation and copying by that person.

321( 2) If books, records, documents or things are seized under this Part and the matter for which the books, records, documents or things were seized is concluded, the investigator shall return those books, records, documents or things to the person who was in lawful possession of them at the time of the seizure within 60 days after the day that the matter is concluded.

321( 3) If books, records, documents or things are seized under this Part and the person who was in lawful possession of the books, records, documents or things at the time of the seizure alleges that the books, records, documents or things are not relevant in respect of the matter for which they were seized, that person may apply by notice of motion to the Court of King’s Bench for the return of the books, records, documents or things.

321( 4) On a motion under subsection (3), the Court of King’s Bench shall order the return of any books, records, documents or things that it determines are not relevant to the matter for which they were seized to the person who was in lawful possession of the books, records, documents or things at the time of the seizure.

Report of investigation

322( 1) At the request of the Commission, an investigator who made an investigation under this Part shall provide a report of the investigation to the Commission or any transcripts of evidence or any material or other things in the investigator’s possession relating to the investigation.

322( 2) A report that is provided to the Commission under this section is privileged and is inadmissible in evidence in any action or other proceeding.

Prohibition against disclosure

323( 1) For the purpose of protecting the integrity of an investigation under this Part, the Commission may make an order that applies for the duration of the investigation prohibiting a person from disclosing to any person other than the person’s lawyer the following information:

(a) the fact that an investigation is being conducted;

(b) the name of any person examined or sought to be examined;

(d) the nature or content of any demands for the production of any document or other thing; or

(e) the fact that any document or other thing was produced.

323( 2) An order under subsection (1) does not apply to disclosures authorized by the regulations or by the Director in writing.

323( 3) An investigator making an investigation under this Part may make, or authorize the making of, any disclosure of information that may be required for the effectual conduct of the investigation.

Non-compellability

324 None of the following persons is compellable to give evidence in any court or in any proceeding of a judicial nature concerning any information that comes to the knowledge of the person in the exercise of the powers or performance of the duties of that person in relation to an investigation under this Part:

(a) an investigator;

(b) the Commission;

(d) an employee of the Commission;

(e) a member of the Tribunal; and

(f) a person engaged by the Commission under section 18 of the Financial and Consumer Services Commission Act.

PART 15

ENFORCEMENT

Offences generally

325( 1) A person who does any of the following commits an offence, and is liable on conviction for each offence, if an individual, to a fine of not more than $50,000 or to imprisonment for a term of not more than one year, or to both; and if a person other than an individual, to a fine of not more than $250,000:

(a) makes a statement in any information or material submitted, provided, produced, delivered or given to or filed with the Commission, the Director, a compliance officer, an investigator or any person acting under the authority of the Commission or the Director that is misleading or untrue or does not state a fact that is required to be stated or that is necessary to make the statement not misleading;

(b) makes a statement in any information or material required to be submitted, provided, produced, delivered, given or filed under this Act or the regulations that is misleading or untrue or does not state a fact that is required to be stated or that is necessary to make the statement not misleading;

(c) withholds, destroys, conceals, alters or refuses to produce any information or thing reasonably required for the purposes of an administrative proceeding under this Act or the regulations;

(d) violates or fails to comply with a provision of this Act that is listed in Schedule A;

(e) violates or fails to comply with a decision, ruling, order, temporary order or direction of the Commission, the Director or the Tribunal made or given under this Act or the regulations;

(f) violates or fails to comply with a written undertaking made by that person to the Commission, the Director or the Tribunal under this Act or the regulations; or

(g) violates or fails to comply with any provision of the regulations.

325( 2) Without limiting the availability of other defences, no person commits an offence under paragraph (1)( a) or ( b) if

(a) the person did not know and in the exercise of reasonable diligence could not have known that the statement was misleading or untrue or that it omitted to state a fact that was required to be stated or that was necessary to make the statement not misleading in light of the circumstances in which it was made, and

(b) on becoming aware that the statement was misleading or untrue or that it omitted to state a fact that was required to be stated or that was necessary to make the statement not misleading, the person notified the Commission.

Compensation or restitution orders

326( 1) If a person is convicted of an offence under section 325, in addition to imposing a penalty under that section, the court may order the person to pay an amount to an aggrieved person as compensation or restitution for loss or damage suffered by that person as a result of the commission of the offence.

326( 2) If a person does not comply with an order made under subsection (1) within the period specified in the order, the aggrieved person may file the order in the Court of King’s Bench and the filed order shall be entered and recorded, and when entered and recorded, may be enforced as a judgment obtained in the court by the aggrieved person against the person named in the order for a debt in the amount specified in the order.

Misleading or untrue statements

327 In carrying on a regulated activity, no person shall make a statement that the person knows or reasonably ought to know is misleading or untrue or does not state a fact that is required to be stated or that is necessary to make the statement not misleading.

Interim preservation of property

328( 1) On the application of the Commission, the Tribunal may make one or more of the following orders if the Tribunal considers it expedient for the administration of this Act or the regulations or to assist in the administration of similar legislation of another jurisdiction:

(a) an order directing a person having on deposit or under control or for safekeeping any funds, securities or property to retain the funds, securities or property and to hold them;

(b) an order directing a person to refrain from withdrawing the person’s funds, securities or property from any other person having any of them on deposit or under control or for safekeeping; or

(c) an order directing a person to hold all funds, securities or property of clients or others in the person’s possession or control in trust for any interim receiver, custodian, trustee, receiver, receiver-manager or liquidator appointed under the Business Corporations Act, the Companies Act, the Judicature Act, the Bankruptcy and Insolvency Act (Canada), the Winding-up and Restructuring Act (Canada) or any other Act of the Legislature or of Canada.

328( 2) An order under subsection (1) that names a financial institution shall apply only to the branches of the financial institution identified in the order.

328( 3) An order under subsection (1) is effective for seven days after its making, but the Commission may apply to the Court of King’s Bench to continue the order or for any other order that the court considers appropriate.

328( 4) An order under subsection (1) may be made without notice, but, in that event, copies of the order shall be immediately sent by any means that the Tribunal determines to all persons named in the order.

328( 5) A person in receipt of an order under subsection (1) who is in doubt as to the application of the order to any funds, securities or property or as to a claim being made to that person by any person not named in the order may apply to the Tribunal for direction or clarification.

328( 6) The Tribunal, on the application of the Commission or of a person directly affected by the order, may revoke an order under subsection (1) or permit the release of any funds, securities or property in respect of which the order was made.

328( 7) A notice of an order under subsection (1) may be registered or recorded against the lands or claims identified in the order by submitting the notice to the appropriate registry office established under the Registry Act or to the appropriate land titles office established under the Land Titles Act.

328( 8) The Tribunal may order a notice submitted under subsection (7) to be revoked or modified, and, if an order is made, the Commission shall submit a copy of the revocation or modification to the appropriate registry office or land titles office.

328( 9) On submission of a notice under subsection (7) or a copy of a written revocation or modification under subsection (8), the notice or the copy of the revocation or modification shall be registered or recorded in the registry office or land titles office, as the case may be, by the registrar and has the same effect as the registration or recording of a certificate of pending litigation.

Orders in the public interest

329( 1) On the application of the Commission, the Tribunal, if in its opinion it is in the public interest to do so, may make one or more of the following orders:

(a) an order that a registration granted under Part 6 be suspended or restricted for the period specified in the order or be cancelled, or that terms and conditions be imposed on the registration;

(b) an order that a licence issued under Part 12 be suspended or restricted for the period specified in the order or be cancelled, or that terms and conditions be imposed on the licence;

(c) an order that any exemptions contained in this Act or the regulations do not apply to a person permanently or for any period specified in the order;

(d) an order that a person cease conducting all or any regulated activities;

(e) an order that a person submit to a review of the person’s practices and procedures relating to regulated activities and institute any changes directed by the Tribunal;

(f) if the Tribunal is satisfied that this Act or the regulations have not been complied with, an order that any document or statement described in the order

( i) be provided by a person,

( ii) not be provided to a person, or

( iii) be amended to the extent that amendment is practicable;

(g) an order that a person be reprimanded;

(h) an order that a person amend, in the manner specified in the order, any information or material of any kind described in the order that is disseminated to the public;

(i) an order that a person cease contravening or comply with, and that the directors and officers of the person cause the person to cease contravening or to comply with, this Act and the regulations;

(j) if a person has not complied with this Act or the regulations, an order requiring the person to disgorge to the Commission any amounts obtained as a result of the non-compliance.

329( 2) The Tribunal may impose any terms and conditions that the Tribunal considers appropriate on an order under this section.

329( 3) A person who is the subject of an order made under this section shall comply with any terms and conditions imposed on the order.

329( 4) Unless the parties and the Tribunal consent, no order shall be made under this section without a hearing.

329( 5) Despite subsection (4), if in the opinion of the Tribunal the length of time required to hold a hearing could be prejudicial to the public interest, the Tribunal, without a hearing, may make a temporary order under paragraph (1)( a), ( b), ( c), ( d) or ( g).

329( 6) The temporary order shall take effect immediately and shall expire on the fifteenth day after its making unless extended by the Tribunal.

329( 7) If a hearing is commenced within the 15-day period referred to in subsection (6), the Tribunal may extend the temporary order until the hearing is concluded.

329( 8) The Commission shall immediately give written notice of an order or temporary order made under this section to any person directly affected by the order or temporary order.

Administrative penalty

330( 1) On the application of the Commission and after conducting a hearing, the Tribunal may order a person to pay an administrative penalty of, if an individual, not more than $25,000; and if a person other than an individual, not more than $100,000, if the Tribunal

(a) determines that the person has contravened or failed to comply with this Act or the regulations, and

(b) is of the opinion that it is in the public interest to make the order.

330( 2) Subject to subsection (3), the Tribunal may make an order under this section despite the imposition of any other penalty on the person or the making of any other order by the Tribunal, the Commission or the Director related to the same matter.

330( 3) The Tribunal shall not conduct a hearing or make an order under this section if a notice of administrative penalty has been issued to the person under section 305 for the contravention or failure to comply.

Directors and officers

331 If a person other than an individual contravenes or fails to comply with this Act or the regulations, a director or officer of the person who authorized, permitted or acquiesced in the contravention or the failure to comply shall be deemed also to have contravened or failed to comply with this Act or the regulations, whether or not any proceeding has been commenced against the person under this Act or the regulations or any order has been made against the person under section 329.

Resolution of administrative proceedings

332( 1) Despite any other provision of this Act or the regulations, an administrative proceeding conducted by the Commission, the Tribunal or the Director under this Act or the regulations may be disposed of by

(a) an agreement approved by the Commission, the Tribunal or the Director, as the case may be,

(b) a written undertaking made by a person to the Commission, the Tribunal or the Director that has been accepted by the Commission, the Tribunal or the Director, as the case may be, or

(c) a decision of the Commission, the Tribunal or the Director, as the case may be, made without a hearing or without compliance with a requirement of this Act or the regulations, if the parties have waived the hearing or compliance with the requirement.

332( 2) An agreement, written undertaking or decision made, accepted or approved under subsection (1) may be enforced in the same manner as a decision made by the Commission, the Tribunal or the Director under any other provision of this Act or under the regulations.

Limitation period

333 No proceeding under this Act or the regulations shall be commenced more than six years after the date of the occurrence of the last event on which the proceeding is based.

Evidence re offence under section 135 or 194

334 In a prosecution of an offence under section 135 or 194, the following is proof, in the absence of evidence to the contrary, that the credit card issuer issued the credit card to the individual named in the information:

(a) evidence that the name of the accused credit card issuer appears on the face of a credit card alleged to have been issued to the individual named in the information; and

(b) evidence that the name appearing on the face of the credit card as the name of the individual to whom it was issued is the same name as the individual alleged in the information to have been issued the credit card.

Certificate evidence

335( 1) A certificate purporting to be signed by the Director or a person designated by the Commission and containing the following statements is, without proof of the appointment, authority or signature of the person who has signed the certificate, admissible in evidence and is, in the absence of evidence to the contrary, proof of the facts stated in the certificate:

(a) that a person that is required to be registered under Part 6 is or is not registered;

(b) that the registration of a person that is required to be registered under Part 6 is suspended or cancelled;

(d) that the licence of a person that is required to hold a valid licence under Part 12 is suspended or cancelled; or

(e) that a person that is required to be registered under Part 6 or a person that is required to hold a valid licence under Part 12 has submitted, provided, produced, delivered, given or filed or has failed to submit, provide, produce, deliver, give or file any information or document required to be submitted, provided, produced, delivered, given to or filed with the Commission or the Director under this Act or the regulations.

335( 2) A certificate referred to in subsection (1) shall not be received in evidence unless the party intending to produce it has given the person against whom it is to be produced reasonable notice of the intention, together with a copy of the certificate.

335( 3) A person against whom a certificate referred to in subsection (1) is produced may, with leave of the court, require the attendance of the person who signed the certificate for the purposes of cross-examination.

PART 16

MISCELLANEOUS AND GENERAL

Definitions

336 The following definitions apply in this Part.

“agreement” means (convention)

(a) an agreement for credit repair,

(b) a consumer agreement,

(d) a debt settlement services agreement,

(e) a high-cost credit agreement,

(f) a lease, or

(g) a payday loan agreement.

“person with obligations under this Act” means (personne ayant des obligations prévues par la présente loi)

(a) a collection agency,

(b) a credit grantor,

(d) a high-cost credit grantor,

(e) a lessor,

(f) a payday lender, or

(g) a supplier.

“person with rights, benefits or protections under this Act” means (personne bénéficiant de droits, d’avantages ou de protections prévus par la présente loi)

(a) a borrower as defined in Part 6, 7 or 8,

(b) a consumer as defined in Part 1 or 11,

(d) a lessee as defined in Part 1.

Appeal to Tribunal

337( 1) Subject to subsection (6), a person who is directly affected by a decision of the Director may appeal the decision to the Tribunal within 30 days after the date of the decision.

337( 2) Despite subsection (1), the Tribunal may extend the period for appealing a decision, before or after the expiry of the time, if it is satisfied that there are reasonable grounds for an extension.

337( 3) The Director is a party to an appeal of a decision of the Director under this section and is entitled to be heard by the Tribunal on the appeal.

337( 4) The Tribunal may, by order, confirm, vary or rescind the whole or any part of a decision under appeal or make any other decision that the Tribunal considers appropriate.

337( 5) Despite the fact that an appeal is held under this section, a decision under appeal takes effect immediately, but the Tribunal may grant a stay of the decision until the disposition of the appeal.

337( 6) The following decisions of the Director are not subject to appeal:

(a) a decision to order the immediate cessation of the use of any advertisement, circular, pamphlet or similar material under section 298;

(b) a decision to confirm, vary or rescind an administrative penalty under section 312; and

337( 7) For greater certainty, the automatic suspension of a person’s licence under section 285, 286, 287 or 288 is not subject to appeal.

Application to Court of King’s Bench – damage or losses arising from failure to comply with this Act or the regulations

338( 1) A person who has suffered damage or loss as a result of the failure of a person engaged in a regulated activity to comply with this Act or the regulations may apply to the Court of King’s Bench to commence an action under this section.

338( 2) In an action commenced under subsection (1), the Court of King’s Bench may

(a) award damages,

(b) award punitive or exemplary damages,

( i) the specific performance of an agreement,

( ii) the recovery of property or funds, or

( iii) the rescission of an agreement,

(d) grant an order in the nature of an injunction restraining the person engaged in a regulated activity from contravening this Act or the regulations, or

(e) make any directions and grant any other relief the court considers appropriate.

338( 3) In determining whether to grant any relief under this section and the nature and extent of the relief, the Court of King’s Bench shall consider whether the applicant made a reasonable effort to minimize any damage resulting from the failure of the person engaged in the regulated activity to comply with this Act or the regulations or to resolve the dispute with that person before commencing the action.

338( 4) The Court of King’s Bench may award costs in accordance with the Rules of Court.

Application to Small Claims Court – damage or losses arising from failure to comply with this Act or the regulations

339 Subject to the jurisdiction of the Small Claims Court, a person may apply to that court to commence an action under subsection 338(1).

Publication of court orders, judgments or other relief

340( 1) If the Court of King’s Bench grants relief under section 338 or under Part 2, 3, 4 or 5, it may make a further order requiring a supplier to advertise to the public the particulars of any order, judgment or other relief granted by the court.

340( 2) In making an order under subsection (1), the Court of King’s Bench may prescribe

(a) the methods of making the advertisement so that it will ensure prompt and reasonable communication to consumers,

(b) the contents or form, or both, of the advertisement,

(d) any other conditions the court considers appropriate.

Publication of information by Director

341( 1) The following definitions apply in this section.

“licensed person” means a person that holds or is required to hold a valid licence issued under Part 12. (titulaire d’un permis)

“registered person” means a person that is registered or is required to be registered under Part 6. (titulaire d’un enregistrement)

341( 2) The Director may publish information in relation to the following:

(a) the status of a registered person, including whether the person is or is not registered under Part 6 or whether the registration is suspended or cancelled;

(b) the status of a licensed person, including whether the person holds or does not hold a valid licence issued under Part 12 or whether the licence is suspended or cancelled;

(d) a court order made under this Act;

(e) an order made by the Tribunal under section 328 or 329;

(f) a decision or order made by the Director under this Act or the regulations;

(g) the imposition of an administrative penalty by notice of administrative penalty under section 305;

(h) the imposition of an administrative penalty by order of the Tribunal under section 330;

(i) a charge or conviction for an offence under this Act; and

(j) any other matter prescribed by regulation.

341( 3) Without limiting the generality of subsection (2), the Director may publish

(a) an individual’s name,

(b) the amount of any penalty, and

341( 4) The Director may publish the information referred to in subsection (2) in whatever form or manner the Director considers appropriate.

Service of notices and other documents by the Director

342( 1) A notice or other document to be served on a person by the Director under this Act or the regulations shall be served

(a) by delivering a copy of it to the person or to an officer or employee of the person,

(b) by sending a copy of it by registered mail to the person

( i) at the latest address on record with the Commission for the person or the person’s business, or

( ii) if there is no address on record with the Commission, at the address for the person or the person’s business that is publicly available, or

342( 2) A notice or other document sent to a person in accordance with paragraph (1)(b) shall be deemed to have been served on the person not later than the fifth day after the date of mailing.

Advertisements in relation to regulated activities

343( 1) Any advertisement in relation to a regulated activity that is published by or on behalf of a person engaged in the regulated activity shall state the name of the person or, if different, the name under which the person carries on business.

343( 2) The Director may require a person engaged in a regulated activity

(a) to provide to the Director any advertisement in relation to the regulated activity that is published by or on behalf of the person, and

(b) to verify, by affidavit or otherwise, the authenticity, accuracy or completeness of any advertisement provided to the Director under paragraph (a).

Publication of reviews

344( 1) A person with obligations under this Act shall not include a provision in an agreement that prohibits a person with rights, benefits or protections under this Act from publishing a review of the agreement or the person with obligations under this Act.

344( 2) No action or other proceeding lies or shall be instituted against a person for the publication of a negative review or other communication by the person in respect of the conduct of a person with obligations under this Act unless the review or communication is malicious, vexatious or harassing or otherwise made in bad faith.

Documents to be clear and concise

345 If this Act or the regulations require information to be contained in a document, the document shall express the required information clearly, concisely, in a logical order and in a manner that is likely to bring the information to the reader’s attention.

Supplier obligations – information disclosed or provided to consumers

346( 1) If a supplier is required to disclose information to a consumer under this Act, the information shall be expressed clearly, concisely, in a logical order and in a manner that is likely to bring the information to the consumer’s attention.

346( 2) If a supplier is required to provide information to a consumer under this Act, the information shall be in writing or in an electronic form that is capable of being retained or printed by the consumer.

Ambiguous provisions or statements in agreements

347 If a provision or statement in an agreement or any related document provided to a person with rights, benefits or protections under this Act by a person with obligations under this Act is ambiguous, the provision or statement shall be construed in favour of the person with rights, benefits or protections under this Act.

Cancellation of pre-authorized payments under an agreement

348 If an agreement is cancelled in accordance with this Act and the regulations, the person with obligations under this Act shall cancel any future payments or charges that have been authorized by the person with rights, benefits or protections under this Act.

Agreements – prohibitions re applicable law and court

349( 1) A provision in an agreement stating that the agreement is wholly or partly governed by a law other than an Act of the Legislature or of Canada is prohibited.

349( 2) A provision in an agreement that requires a person with rights, benefits or protections under this Act to submit a dispute to a court other than a court in the Province is prohibited.

349( 3) A provision that contravenes subsection (1) or (2) is void.

Agreements – provisions for more than one type of agreement may apply

350( 1) Subject to subsection (2), if an agreement meets the definition of more than one type of agreement under this Act, all the applicable provisions of this Act apply to that agreement.

350( 2) If there is a conflict or inconsistency between provisions that apply to an agreement, the provision that is most beneficial to the person with rights, benefits or protections under this Act applies.

Vicarious liability

351 For greater certainty, for the purposes of this Act, an act or omission of an employee or agent of a person is deemed also to be an act or omission of the person if the act or omission occurred

(a) in the course of the employee’s employment with the person, or

(b) in the course of the agent’s exercising the powers or performing the duties on behalf of the person under their agency relationship.

Immunity – complaint or assistance with compliance review or investigation

352 No action or other proceeding lies or shall be instituted against a person as a result of

(a) a complaint or other communication by the person to the Minister or Director, a compliance officer, administrative penalty officer, investigator or any other person acting under this Act in respect of the conduct of a person with obligations under this Act,

(b) assistance provided by the person in a compliance review under section 300 or an investigation under Part 14, or

Prohibited representations

353 A person that is registered under Part 6 or that holds a licence issued under Part 12, as the case may be, shall not represent, expressly or by implication, that the registration or licence held by the person is an endorsement or approval of the person by the Commission or Government of New Brunswick.

Conflict with the Right to Information and Protection of Privacy Act

354 If a provision of this Act is inconsistent or in conflict with a provision of the Right to Information and Protection of Privacy Act, the provision of this Act prevails.

Determinations of application of Act

355 In determining whether this Act applies to a person, representation or transaction, a court, the Tribunal or the Director shall consider the real substance of the person, representation or transaction and in so doing may disregard the outward form.

No derogation from other rights or remedies

356 The rights and remedies in this Act are in addition to and do not derogate from any other right or remedy that a person may have at law.

No derogation from power or jurisdiction of court

357 Nothing in this Act limits, restricts or derogates from the powers or jurisdiction of a court.

Administration

358 The Commission is responsible for the administration of this Act.

Regulations and rules

359( 1) The Lieutenant-Governor in Council may make regulations

(a) respecting the maximum total cost of credit that may be charged, required or accepted or the maximum amount that may be charged, required or accepted in respect of any component of the total cost of credit, for the purposes of subsection 224(1);

(b) respecting the maximum percentage of net wages or other net income that credit extended under a payday loan may not exceed for the purposes of section 229;

(d) authorizing the charging, requiring or accepting of the payment of a government cheque cashing fee for the purposes of subsection 239(2).

359( 2) The Lieutenant-Governor in Council may make regulations and the Commission may make rules

(a) prescribing

( i) persons or classes of persons for the purposes of paragraph 4(1)(c),

( ii) transactions or classes of transactions for the purposes of paragraph 4(1)(d), and

( iii) terms or conditions for the purposes of subsection 4(2);

(b) respecting waivers or releases in relation to a person’s rights, benefits or protections under this Act or the regulations, including expressly permitting waivers or releases;

(c) respecting limits imposed on a person’s rights, benefits or protections under this Act or the regulations, including expressly permitting limits;

(d) specifying circumstances for the purposes of paragraph 9(1)(e);

(e) specifying unfair practices for the purposes of paragraph 10(2)(ee);

(f) prescribing requirements for a notice of cancellation for the purposes of subsection 15(2);

(g) prescribing the period within which a consumer may commence an action for the purposes of subsection 15(6);

(h) prescribing the period for a consumer to demand a refund in relation to unsolicited goods or services;

(i) prescribing the period for a supplier to give a refund in relation to unsolicited goods or services;

(j) prescribing matters or activities for the purposes of subparagraph (a)(iv) of the definition “personal development services” in section 26;

(k) respecting distance sales contracts, including

( i) prescribing an amount for the purposes of paragraph 28(2)(a),

( ii) prescribing information to be

( A) disclosed to a consumer before entering into a distance sales contract,

( B) contained in a distance sales contract, and

( C) contained in a request to a credit card issuer under subsection 37(1),

( iii) respecting the manner of providing copies of a distance sales contract to a consumer,

( iv) in relation to a distance sales contract that has been cancelled, prescribing

( A) the obligations of suppliers and consumers in relation to the return of goods, and

( B) the requirements for and the manner of returning goods;

(l) respecting internet sales contracts, including

( i) prescribing an amount for the purposes of paragraph 28(2)(a),

( ii) prescribing information to be

( A) disclosed to a consumer before entering into an internet sales contract,

( B) contained in an internet sales contract, and

( C) contained in a request to a credit card issuer under subsection 37(1),

( iii) prescribing requirements in relation to disclosing the information referred to in clause (ii)(A),

( iv) respecting the manner of providing copies of an internet sales contract to a consumer,

( v) in relation to an internet sales contract that has been cancelled, prescribing

( A) the obligations of suppliers and consumers in relation to the return of goods, and

( B) the requirements for and the manner of returning goods;

(m) respecting future performance contracts, including

( i) prescribing requirements in relation to making, amending, renewing or extending a future performance contract,

( ii) prescribing an amount for the purposes of paragraph 38(2)(a),

( iii) prescribing information to be

( A) contained in a future performance contract, and

( B) contained in a request to a credit card issuer under subsection 47(1),

( iv) respecting the manner of providing copies of a future performance contract to a consumer,

( v) in relation to a future performance contract that has been cancelled, prescribing

( A) the obligations of suppliers and consumers in relation to the return or repossession of goods, and

( B) the requirements for and the manner of returning, repossessing or otherwise dealing with goods;

(n) respecting personal development services contracts, including

( i) prescribing an amount for the purposes of paragraph 48(2)(a),

( ii) respecting requirements in relation to making a personal development services contract, including prescribing information to be disclosed to a consumer before entering into the contract,

( iii) prescribing information to be contained in a personal development services contract,

( iv) prescribing a maximum period for the term of a personal development services contract,

( v) in relation to an agreement for the use of an alternative facility, prescribing

( A) requirements in relation to making the agreement,

( B) information to be contained in the agreement and the period the agreement is valid, and

( C) requirements in relation to a permission for the purposes of subsection 52(2), including prescribing information to be contained in the permission and the period the permission is valid,

( D) requirements in relation to a subsequent agreement or permission for the purposes of subsection 52(4),

( vi) prescribing requirements in relation to amending a personal development services contract,

( vii) prescribing requirements in relation to renewing a personal development services contract, including prescribing information to be contained in reminder notices, the time and manner for giving reminder notices and what constitutes delivery of a reminder notice, and

( viii) prescribing requirements for instalment payment plans for personal development services contracts,

( ix) in relation to a personal development services contract that has been cancelled, prescribing

( A) obligations of suppliers and consumers in relation to the return or repossession of goods, and

( B) requirements for and the manner of returning, repossessing or otherwise dealing with goods;

(o) respecting gift cards, including

( i) prescribing goods or services for the purposes of paragraph 62(2)(c),

( ii) prescribing purposes for the purposes of paragraph 62(2)(d),

( iii) imposing restrictions, prohibitions and other terms and conditions on

( A) the issuance or sale of gift cards, and

( B) the redemption, replacement or use of gift cards,

( iv) permitting the issuance or sale of gift cards with an expiry date,

( v) permitting the charging of a fee for a gift card, including prescribing the amount of a fee or a method for determining the amount,

( vi) prescribing an amount for the purposes of subsection 65(1) and the obligations of consumers and suppliers in relation to refunds of balances remaining on gift cards,

( vii) prescribing information to be disclosed at the time a gift card is issued or sold and the manner and form of providing that information,

( viii) prescribing requirements in relation to the cancellation of a gift card agreement,

( ix) prescribing requirements in relation to keeping records of gift card sales by suppliers, and

( x) prescribing prohibited practices for suppliers of gift cards;

(p) respecting rewards points agreements, including

( i) prescribing an amount for the purposes of paragraph 67(2)(a),

( ii) prescribing requirements for the purposes of paragraph 67(2)(b),

( iii) prescribing information to be disclosed to a consumer before entering into a rewards points agreement and the form and manner of providing that information,

( iv) permitting the expiry of rewards points due to the passage of time alone,

( v) permitting the expiry of rewards points following the conversion of rewards points into another unit of exchange,

( vi) prescribing limits on rewards points agreements that provide for the expiry of rewards points due to reasons other than the passage of time alone,

( vii) prescribing limits on unilateral amendments to rewards points agreements and prescribing the period for sending a notice of a unilateral amendment,

( viii) prescribing requirements in relation to the transfer of rewards points between consumers, including after the death of a consumer,

( ix) respecting the impact of inactivity on rewards points agreements, portions of consumer agreements that relate to rewards points and on rewards points, and

( x) prescribing requirements in relation to the termination of rewards points agreements and portions of consumer agreements that relate to rewards points;

(q) respecting direct selling, including

( i) prescribing places for the purposes of paragraph 74(2)(h),

( ii) prescribing goods for the purposes of paragraph 74(3)(m),

( iii) prescribing services for the purposes of paragraph 74(4)(d),

( iv) in relation to salespersons who may engage in direct selling for a supplier without a valid salesperson’s licence, prescribing

( A) an amount for the purposes of paragraph 76(5)(a),

( B) requirements to be satisfied by the supplier,

( C) requirements to be satisfied by the salesperson, and

( D) other information to be contained in an identification card;

( v) in relation to a direct sales contract,

( A) respecting the format of a direct sales contract,

( B) prescribing information to be contained in a direct sales contract,

( C) respecting the format of a statement of cancellation rights,

( D) prescribing information to be contained in a statement of cancellation rights,

( E) specifying other requirements for a direct sales contract,

( vi) prescribing places for the purposes of subsection 86(1),

( vii) prescribing goods or services for the purposes of subsection 86(1),

( viii) prescribing methods and circumstances for the purposes of subsection 86(3),

( ix) prescribing requirements for the purposes of paragraph 87(e), and

( x) permitting the giving of gifts, premiums, prizes or other benefits for the purposes of section 88;

(r) respecting the APR, including the calculation of the APR;

(s) defining “high-ratio mortgage” for the purposes of Part 6 or the regulations, or both;

(t) respecting the conditions and assumptions to which the calculation of the total cost of credit is subject;

(u) prescribing things

( i) that constitute value received or to be received by a borrower or lessee,

( ii) that do not constitute value received or to be received by a borrower or lessee, and

( iii) that constitute value given or to be given by a borrower or lessee;

(v) prescribing Acts for the purposes of paragraph 98(2)(c);

(w) exempting a credit grantor, lessor or credit broker or a class of credit grantors, lessors or credit brokers from the application of Part 6;

(x) respecting registration as a credit grantor, lessor or credit broker under Part 6, including

( i) prescribing

( A) requirements for registration,

( B) documents or information to be provided with an application for registration,

( C) fees for registration, including late fees and expedited service fees, and

( D) the period during which a registration remains in effect,

( ii) respecting the imposition of terms and conditions on a registration or on the suspension or cancellation of a registration,

( iii) respecting the withdrawal, suspension or cancellation of a registration, and

( iv) respecting certificates of registration;

(y) prescribing fees for matters or services supplied by the Director or the Commission;

(z) prescribing expenses, charges or fees for the purposes of paragraph 108(3)(a) or (b);

(aa) respecting a waiver of the time for delivering an initial disclosure statement for the purposes of subsection 108(4);

(bb) prescribing notices or other documents for the purposes of subsection 111(3);

(cc) respecting the calculation of the portion of a non-interest finance charge for the purposes of subsection 115(4), 165(3) or 220(3);

(dd) respecting the conditions and assumptions to which the calculation of an implicit finance charge is subject;

(ee) respecting the calculation of the realizable value of leased goods;

(ff) respecting limitations regarding extra charges that may be charged based on the usage of leased goods;

(gg) respecting the calculation of a lessee’s maximum liability at the end of a residual obligation lease;

(hh) respecting bonds or collateral security provided to the Director for the purposes of section 144, including the forfeiture of a bond or collateral security and the disposition of the proceeds;

(ii) respecting communications or contacts or attempted communications or contacts between a credit grantor or a lessor and any other person for the purposes of the collection or recovery of a debt owed to a credit grantor by a borrower or to a lessor by a lessee, including prohibiting or limiting those communications, contacts or attempts;

(jj) respecting the collection or recovery of a debt owed to a credit grantor by a borrower or to a lessor by a lessee, including,

( i) prohibiting the use of any particular method in the collection or recovery of debts by a credit grantor or lessor,

( ii) prescribing the nature and amount of fees and other charges that a credit grantor or lessor may recover from a borrower or lessee in respect of debt collection activities carried on by the credit grantor or lessor, and

( iii) prohibiting the bringing of any action by a credit grantor or lessor for the recovery of debt in any court of this Province;

(kk) respecting the compensation or penalties payable by a lessee on the early termination of a lease;

(ll) respecting the circumstances under which a credit grantor may accelerate payment by the borrower so as to require payment of the outstanding balance of a credit agreement, other than a credit agreement in relation to a mortgage loan;

(mm) for the purposes of the definition “high-cost credit product” in section 146, prescribing

( i) criteria to be met for

( A) a loan of money,

( B) a credit sale,

( C) a line of credit or a similar credit product, and

( D) a lease,

( ii) products that are not loans of money, and

( iii) products that are high-cost credit products;

(nn) prescribing Acts for the purposes of subparagraph 151(2)(c)(iii);

(oo) respecting high-cost credit agreements and leases that are high-cost credit products, including prescribing

( i) terms, information and statements to be contained in the front page of a high-cost credit agreement or of a lease,

( ii) terms, information and statements to be contained in a high-cost credit agreement or a lease,

( iii) other requirements, and

( iv) matters to be reviewed with a borrower for the purposes of subsection 153(5) and with a lessee for the purposes of subsection 153(6);

(pp) respecting renewals, extensions or amendments of high-cost credit agreements and leases that are high-cost credit products, including prescribing requirements for the purposes of section 154;

(qq) respecting documents to be given to a borrower with a high-cost credit agreement and to a lessee with a lease that is a high-cost credit product, including prescribing the information to be contained in those documents;

(rr) prescribing notices and other documents for the purposes of subsection 160(3);

(ss) respecting the cancellation of high-cost credit agreements, including prescribing

( i) information to be contained in a notice of cancellation,

( ii) other manners for a borrower to repay the outstanding balance of advances made under a high-cost credit agreement, and

( iii) information to be contained in a receipt given by a high-cost credit grantor to a borrower on a cancellation;

(tt) specifying whether a liability or obligation is related to a high-cost credit agreement for the purposes of subsection 163(7);

(uu) prescribing requirements for the purposes of paragraph 164(3)(b);

(vv) respecting the posting of signs by high-cost credit grantors and by lessors, including the form and content of the information to be to be set out in a sign;

(ww) prescribing the time for making a first advance under a high-cost credit agreement;

(xx) respecting cash cards for the purposes of section 169, including

( i) prescribing an amount for the purposes of paragraph 169(2)(a),

( ii) prescribing terms and conditions,

( iii) respecting the expiry of cash cards, and

( iv) respecting the application of the balance of credit remaining on an expired cash card as payment towards a high-cost credit product;

(yy) prescribing fees, penalties, charges or amounts for the purposes of paragraph 171(d);

(zz) prohibiting practices for the purposes of section 176;

(aaa) prescribing information for the purposes of paragraph 193(1)(o);

(bbb) prescribing information, documents and times for the purposes of section 203;

(ccc) prescribing a late fee for the purposes of section 204;

(ddd) prescribing the minimum working capital to be maintained by a high-cost credit grantor or by a lessor for the purposes of section 205;

(eee) respecting the offering, arranging or providing of high-cost credit products from a website, including varying or prescribing additional requirements for high-cost credit products that are offered, arranged or provided from a website;

(fff) prescribing Acts for the purposes of paragraph 212(2)(c);

(ggg) respecting payday loans, including

( i) prescribing additional terms, information and statements to be contained in a payday loan agreement, and

( ii) varying or prescribing additional requirements for Internet payday loans;

(hhh) prescribing the time for making a first advance under a payday loan agreement;

(iii) respecting the cancellation of a payday loan, including prescribing

( i) information to be contained in a notice of cancellation,

( ii) other manners for a borrower to repay the outstanding balance of advances made under a payday loan, and

( iii) information to be contained in a receipt given by a payday lender to a borrower on a cancellation;

(jjj) specifying whether a liability or obligation is related to a payday loan agreement for the purposes of subsection 218(6);

(kkk) respecting the posting of signs by payday lenders, including the form and content of the information to be to be set out in a sign;

(lll) respecting cash cards for the purposes of section 222, including

( i) prescribing an amount for the purposes of paragraph 222(2)(a),

( ii) prescribing terms and conditions,

( iii) respecting the expiry of cash cards, and

( iv) respecting the application of the balance of credit remaining on an expired cash card as payment towards a payday loan;

(mmm) prohibiting practices for the purposes of section 232;

(nnn) prescribing information, documents and times for the purposes of section 233;

(ooo) prescribing a late fee for the purposes of section 234;

(ppp) prescribing the minimum working capital to be maintained by a payday lender for the purposes of section 235;

(qqq) prescribing organizations for the purposes of paragraph (d) of the definition “government cheque” in subsection 239(1);

(rrr) respecting collection agencies, including,

( i) prohibiting the use of any particular method in the collection or recovery of debts by a collection agency or collector,

( ii) respecting the manner in which a collection agency keeps its accounts and the manner in which it holds, accounts for and pays over money collected,

( iii) respecting returns to be made and information to be provided by a collection agency,

( iv) prescribing the nature and amount of fees and other charges that a collection agency may recover or attempt to recover for its services from its clients or its clients’ debtors and the amount or maximum amount of the fees and other charges, and

( v) prohibiting the bringing of any action by a collection agency for the recovery of debt in any court of this Province;

(sss) respecting debt settlement services agreements, including

( i) prohibiting representations relating to a debt settlement services agreement,

( ii) prescribing requirements for the purposes of subparagraph 245(1)(a)(iii), and

( iii) prescribing requirements for amending, renewing or extending a debt settlement services agreement;

(ttt) prescribing payments or security that may be accepted or required in advance of providing debt settlement services;

(uuu) prescribing a maximum amount or prescribing a method of determining that amount for the purposes of paragraph 248(1)(b);

(vvv) prescribing the form in which information shall be provided for the purposes of subsections 260(3) and 261(3);

(www) prescribing a fee for the purposes of subsection 260(6);

(xxx) prescribing the form in which a credit report shall be provided for the purposes of subsections 260(8) and 261(6);

(yyy) prescribing information for the purposes of subsection 263(3);

(zzz) specifying circumstances in which a fee in relation to a security alert statement may be charged, required or accepted and prescribing maximum fees;

(aaaa) respecting fees or maximum fees a credit reporting agency may require to be paid for the provision of a service, including specifying circumstances in which fees may not be charged;

(bbbb) prescribing requirements in relation to agreements for credit repair;

(cccc) prohibiting representations for the purposes of section 269;

(dddd) respecting applications for a licence or for the renewal of a licence, including prescribing

( i) information to be provided to the Director for the purposes of subparagraph 274(1)(b)(iii),

( ii) fees, and

( iii) requirements;

(eeee) prescribing classes of licence for which an applicant for the licence is required to provide proof of being authorized to carry on business in the Province;

(ffff) prescribing classes of licence for which an applicant for the licence is required to acquire and maintain a bond or other form of security;

(gggg) respecting bonds and other forms of security referred to in paragraph (ffff), including prescribing

( i) the terms, conditions and amount of a bond or other security,

( ii) the forfeiture of bonds and other security and the disposition of proceeds of the forfeiture,

( iii) the powers and duties of the Director or Commission in respect of bonds and other security, and

( iv) requirements for the purposes of subsection 285(1);

(hhhh) respecting the provision of proof of a bond or other form of security to the Director, including prescribing requirements for that proof;

(iiii) respecting terms and conditions for the purposes of section 281;

(jjjj) prescribing a waiting period for the purposes of paragraph 290(1)(a);

(kkkk) prescribing changes in circumstances for the purposes of subsection 291(2);

(llll) prescribing other information to be contained in a register of licence holders for the purposes of paragraph 295(1)(d);

(mmmm) prescribing books, records or documents the purposes of subsection 297(1);

(nnnn) prescribing circumstances, fees and expenses for the purposes of subsection 300(6);

(oooo) prescribing other matters to be considered in determining the amount of an administrative penalty for the purposes of paragraph 307(h);

(pppp) prescribing other information to be included in a notice of administrative penalty for the purposes of paragraph 308(1)(g);

(qqqq) respecting procedures to be followed for a review of an administrative penalty, including procedures for giving a person an opportunity to be heard;

(rrrr) authorizing disclosures for the purposes of subsection 323(2);

(ssss) prescribing matters in relation to which information may be published by the Director for the purposes of paragraph 341(2)(j);

(tttt) prescribing manners of serving notices or other documents for the purposes of paragraph 342(1)(c);

(uuuu) respecting the cancellation of future payments or charges, including prescribing requirements for the purposes of section 348;

(vvvv) prescribing fees payable under this Act or the regulations;

(wwww) respecting agreements, notices, receipts, invoices or other documents required under this Act or the regulations, including prescribing the form or content, or both, of a document if not otherwise provided in the Act;

(xxxx) respecting forms to be used for the purposes of this Act or the regulations;

(yyyy) defining any word or expression used but not defined in this Act for the purposes of this Act, the regulations or both;

(zzzz) generally for the better administration of this Act.

359( 3) The Lieutenant-Governor in Council may, by order, amend or repeal a rule made by the Commission.

359( 4) Subject to the approval of the Minister, the Commission, concurrently with making a rule, may make a regulation that amends or repeals any provision of a regulation made by the Lieutenant-Governor in Council under this Act or by the Commission under this subsection that in the opinion of the Commission is necessary or advisable to implement the rule effectively.

359( 5) A regulation made under subsection (4) is not effective before the rule referred to in that subsection comes into force.

359( 6) Subject to subsection (5), a regulation made under subsection (4) may be retroactive in its operation.

359( 7) A regulation or rule authorized by this section may incorporate by reference, in whole or in part, any laws, by-laws or other regulatory instruments or any codes, standards, procedures or guidelines as they are amended from time to time before or after the making of the regulation or the rule or as they read at a fixed time and may require compliance with any law, by-law or other regulatory instrument or any code, standard, procedure or guideline so incorporated.

359( 8) Regulations or rules may vary for or be made in respect of different persons, matters or things or different classes or categories of persons, matters or things.

359( 9) A regulation or a rule may be general or particular in its application, may be limited as to time or place or both and may exclude any place from the application of the regulation or rule.

359( 10) The Regulations Act does not apply to the rules made under this Act.

359( 11) If there is a conflict or an inconsistency between a regulation made by the Lieutenant-Governor in Council under this Act and a rule made under this Act the regulation prevails but in all other respects a rule has the same force and effect as a regulation.

Notice and publication of rules

360( 1) As soon as the circumstances permit after a rule is made under section 359, the Commission shall

(a) publish the rule electronically, and

(b) publish in The Royal Gazette notice of the rule in accordance with the regulations made under the Financial and Consumer Services Commission Act.

360( 2) As soon as the circumstances permit after the Commission makes a rule, it shall make a copy of the rule available for public inspection at each of the Commission’s offices during the normal business hours of the Commission.

360( 3) When notice of a rule has been published in The Royal Gazette in accordance with paragraph (1)(b), a person affected by the rule shall be deemed to have notice of it on the date the rule is published in accordance with paragraph (1)(a).

Changes by Secretary of the Commission

361 The Secretary of the Commission may make changes respecting form, style, numbering and typographical, clerical or reference errors in a rule made by the Commission without changing the substance of the rule if the changes are made before the date the rule is published in accordance with paragraph 360(1)(a).

Consolidated rules

362( 1) The Secretary of the Commission may maintain a consolidation of the rules made by the Commission.

362( 2) In maintaining a consolidation of the rules, the Secretary of the Commission may make changes respecting form and style and respecting typographical errors without changing the substance of a rule.

362( 3) The Commission may publish the consolidated rules in the frequency that it considers appropriate.

362( 4) A consolidated rule does not operate as new law but shall be interpreted as a consolidation of the law contained in the original rule and any subsequent amendments.

362( 5) In the event of an inconsistency between a consolidated rule published by the Commission and the original rule or a subsequent amendment, the original rule or amendment prevails to the extent of the inconsistency.

PART 17

TRANSITIONAL PROVISIONS, CONSEQUENTIAL AMENDMENTS, REPEALS AND COMMENCEMENT

Continued application of the Gift Cards Act and regulation under that Act

363( 1) Subject to subsection (2), on the commencement of this section, despite the repeal of the Gift Cards Act, chapter 165 of the Revised Statutes, 2011, and of New Brunswick Regulation 2008-152 under that Act, and despite any inconsistency with any provision of this Act and any regulation under this Act, the provisions of that Act and regulation, as they existed immediately before the commencement of this section, continue to apply to a gift card to which that Act applied that was issued or sold before the commencement of this section.

363( 2) If a gift card agreement in relation to a gift card referred to in subsection (1) is amended or renewed after the commencement of this section, subsection (1) ceases to apply and the provisions of Division E of Part 4 apply.

Registrations under the Cost of Credit Disclosure and Payday Loans Act

364( 1) Despite the repeal of the Cost of Credit Disclosure and Payday Loans Act, chapter C-28.3 of the Acts of New Brunswick, 2002, and despite any inconsistency with any provision of this Act, a credit grantor who held a valid registration under Part 2 of that Act immediately before the commencement of this section shall be deemed to hold a valid registration under Part 6.

364( 2) Despite the repeal of the Cost of Credit Disclosure and Payday Loans Act, chapter C-28.3 of the Acts of New Brunswick, 2002, and despite any inconsistency with any provision of this Act, a lessor who held a valid registration under Part 2 of that Act immediately before the commencement of this section shall be deemed to hold a valid registration under Part 6.

364( 3) Despite the repeal of the Cost of Credit Disclosure and Payday Loans Act, chapter C-28.3 of the Acts of New Brunswick, 2002, and despite any inconsistency with any provision of this Act, a credit broker who held a valid registration under Part 2 of that Act immediately before the commencement of this section shall be deemed to hold a valid registration under Part 6.

364( 4) For greater certainty, any terms and conditions that existed on a registration referred to in subsection (1), (2) or (3) immediately before the commencement of this section continue to exist on the registration that is deemed to be held under Part 6.

364( 5) A registration referred to in subsection (1), (2) or (3) shall remain in effect until the expiry of the period prescribed by New Brunswick Regulation 2010-104 under the Cost of Credit Disclosure and Payday Loans Act, chapter C-28.3 of the Acts of New Brunswick, 2002, unless suspended or cancelled by the Director in accordance with Part 6 or withdrawn by the credit grantor, lessor or credit broker, as the case may be, in accordance with Part 6.

High-cost credit products under the Cost of Credit Disclosure and Payday Loans Act

365( 1) The following definitions apply in this section.

“credit broker” means a credit broker who held a valid registration under Part 2 of the Cost of Credit Disclosure and Payday Loans Act, chapter C-28.3 of the Acts of New Brunswick, 2002, immediately before the commencement of this section. (courtier en crédit)

“credit grantor” means a credit grantor who held a valid registration under Part 2 of the Cost of Credit Disclosure and Payday Loans Act, chapter C-28.3 of the Acts of New Brunswick, 2002, immediately before the commencement of this section. (prêteur)

“high-cost credit product” means high-cost credit product as defined in section 146. (produit de crédit à coût élevé)

“lessor” means a lessor who held a valid registration under Part 2 of the Cost of Credit Disclosure and Payday Loans Act, chapter C-28.3 of the Acts of New Brunswick, 2002, immediately before the commencement of this section. (bailleur)

365( 2) Subject to subsection (4) and despite any inconsistency with any provision of this Act, a credit grantor referred to in subsection 364(1) who holds a valid registration under Part 6 is authorized to continue to collect accounts receivable owing to the credit grantor in relation to a credit agreement for fixed credit entered into before the commencement of this section that extends credit to a borrower by way of a high-cost credit product and the credit grantor may otherwise deal with transactions in relation to that credit agreement.

365( 3) Subject to subsection (5) and despite any inconsistency with any provision of this Act, a lessor referred to in subsection 364(2) who holds a valid registration under Part 6 is authorized to continue to collect accounts receivable owing to the lessor in relation to a lease that is a high-cost credit product that was entered into before the commencement of this section and the lessor may otherwise deal with transactions in relation to that lease.

365( 4) If a credit agreement referred to in subsection (2) is amended, renewed or extended after the commencement of this section, that subsection ceases to apply and the credit grantor is required to hold a valid high-cost credit business licence issued under Part 12.

365( 5) If a lease referred to in subsection (3) is amended, renewed or extended after the commencement of this section, that subsection ceases to apply and the lessor is required to hold a valid high-cost credit business licence issued under Part 12.

Licences issued under repealed Acts

366( 1) Despite the repeal of the Direct Sellers Act, chapter 141 of the Revised Statutes, 2011, and despite any inconsistency with any provision of this Act, a person who held a valid licence to act as a vendor under that Act immediately before the commencement of this section shall be deemed to hold a valid direct seller’s licence issued under Part 12.

366( 2) Despite the repeal of the Direct Sellers Act, chapter 141 of the Revised Statutes, 2011, and despite any inconsistency with any provision of this Act, a person who held a valid licence to act as a salesperson under that Act immediately before the commencement of this section shall be deemed to hold a valid salesperson’s licence issued under Part 12.

366( 3) Despite the repeal of the Cost of Credit Disclosure and Payday Loans Act, chapter C-28.3 of the Acts of New Brunswick, 2002, and despite any inconsistency with any provision of this Act, a payday lender that held a valid licence under Part 5.1 of that Act immediately before the commencement of this section shall be deemed to hold a valid payday lender licence issued under Part 12.

366( 4) Despite the repeal of the Collection and Debt Settlement Services Act, chapter 126 of the Revised Statutes, 2011, and despite any inconsistency with any provision of this Act, a collection agency that held a valid licence under that Act to carry on the business of a collection agency immediately before the commencement of this section shall be deemed to hold a valid collection agency licence issued under Part 12.

366( 5) Despite the repeal of the Collection and Debt Settlement Services Act, chapter 126 of the Revised Statutes, 2011, and despite any inconsistency with any provision of this Act, a collection agency that held a valid licence under that Act to operate a branch office of a collection agency immediately before the commencement of this section shall be deemed to hold a valid collection agency branch licence issued under Part 12.

366( 6) Despite the repeal of the Collection and Debt Settlement Services Act, chapter 126 of the Revised Statutes, 2011, and despite any inconsistency with any provision of this Act, a collection agency that held a valid licence under that Act to provide debt settlement services immediately before the commencement of this section shall be deemed to hold a valid debt settlement services licence issued under Part 12.

366( 7) Despite the repeal of the Collection and Debt Settlement Services Act, chapter 126 of the Revised Statutes, 2011, and despite any inconsistency with any provision of this Act, a collection agency that held a valid licence under that Act to operate a branch office of a collection agency that provides debt settlement services immediately before the commencement of this section shall be deemed to hold a valid debt settlement services branch licence issued under Part 12.

366( 8) Despite the repeal of the Collection and Debt Settlement Services Act, chapter 126 of the Revised Statutes, 2011, and despite any inconsistency with any provision of this Act, a collector who held a valid licence under that Act immediately before the commencement of this section shall be deemed to hold a valid collector licence issued under Part 12.

366( 9) Despite the repeal of the Credit Reporting Services Act, chapter 27 of the Acts of New Brunswick, 2017, and despite any inconsistency with any provision of this Act, a credit reporting agency that held a valid licence under that Act immediately before the commencement of this section shall be deemed to hold a valid credit reporting agency licence issued under Part 12.

366( 10) For greater certainty, any terms and conditions that existed on a licence to which this section applies immediately before the commencement of this section continue to exist on the licence that is deemed to be issued under Part 12.

Bonds or other security provided under repealed Acts

367( 1) Despite the repeal of the Direct Sellers Act, chapter 141 of the Revised Statutes, 2011, and despite any inconsistency with any provision of this Act, any bond that was held by the Commission immediately before the commencement of this section that was delivered to the Director by a vendor under section 19 of that Act is valid and shall be deemed to have been provided in accordance with the regulations under this Act.

367( 2) Despite the repeal of the Cost of Credit Disclosure and Payday Loans Act, chapter C-28.3 of the Acts of New Brunswick, 2002, and despite any inconsistency with any provision of this Act, any bond or other form of security that was held by the Commission immediately before the commencement of this section that was provided by an applicant for a licence to offer, arrange or provide payday loans under subsection 37.15(1) of that Act is valid and shall be deemed to have been provided under a regulation referred to in subsection 274(3).

367( 3) Despite the repeal of the Cost of Credit Disclosure and Payday Loans Act, chapter C-28.3 of the Acts of New Brunswick, 2002, and despite any inconsistency with any provision of this Act, any bond or collateral security that was held by the Commission immediately before the commencement of this section that was provided by a credit grantor, lessor or credit broker under subsection 59(2) of that Act is valid and shall be deemed to have been provided under section 144.

367( 4) Despite the repeal of the Collection and Debt Settlement Services Act, chapter 126 of the Revised Statutes, 2011, and of New Brunswick Regulation 84-256 under that Act, any bond that was held by the Commission immediately before the commencement of this section that was delivered to the Director by a collection agency under subsection 9(1) or section 10 of that Regulation is valid and shall be deemed to have been provided in accordance with the regulations under this Act.

367( 5) Any bond or security that was held by the Commission immediately before the commencement of this section that was delivered to the Director under section 3 of the Auctioneers Licence Act, chapter 117 of the Revised Statutes, 2011, is cancelled and shall be paid over or returned by the Commission to the person who delivered it.

Decisions, orders and proceedings under repealed Acts

368( 1) In this section and in section 369, “repealed Act” means

(a) the Collection and Debt Settlement Services Act, chapter 126 of the Revised Statutes, 2011;

(b) the Cost of Credit Disclosure and Payday Loans Act, chapter C-28.3 of the Acts of New Brunswick, 2002;

(d) the Direct Sellers Act, chapter 141 of the Revised Statutes, 2011; and

(e) the Gift Cards Act, chapter 165 of the Revised Statutes, 2011.

368( 2) Despite any inconsistency with any provision of this Act, any decision, ruling, order, temporary order or direction of the Commission, the Tribunal or the Director made or given under a repealed Act or regulation under a repealed Act that was valid and effective immediately before the commencement of this section shall be deemed to be a decision, ruling, order, temporary order or direction made or issued under this Act and continues to be valid and effective.

368( 3) Despite any inconsistency with any provision of this Act, a proceeding commenced under a repealed Act before the commencement of this section and not disposed of before the commencement of this section continues as a proceeding under this Act and shall be disposed of in accordance with this Act.

Appointments under repealed Acts

369( 1) A person who held a valid appointment as a compliance officer under a repealed Act immediately before the commencement of this section shall be deemed to hold a valid appointment under section 299.

369( 2) A person who held a valid appointment as an investigator under a repealed Act immediately before the commencement of this section shall be deemed to hold a valid appointment under section 317.

Consumer Product Warranty and Liability Act

370 Subsection 20(2) of the Consumer Product Warranty and Liability Act, chapter C-18.1 of the Acts of New Brunswick, 1978, is amended by striking out “section 23 of the Cost of Credit Disclosure and Payday Loans Act” and substituting “section 115, 165, or 220 of the Consumer Protection Act”.

Financial and Consumer Services Commission Act

371( 1) Section 1 of the Financial and Consumer Services Commission Act, chapter 30 of the Acts of New Brunswick, 2013, is amended in the definition “financial and consumer services legislation”

(a) by repealing paragraph (b);

(b) by repealing paragraph (c);

(d) by repealing paragraph (g.1);

(e) by repealing paragraph (i);

(f) by repealing paragraph (k); and

(g) by adding after paragraph (e) the following:

(e.1) the Consumer Protection Act,

371( 2) Subsection 21(6) of the Act is amended

(a) by repealing paragraph (a);

(b) by repealing paragraph (b.1);

(d) by repealing paragraph (d);

(e) by adding before paragraph (b) the following:

(a.1) paragraph 329(1)(j) of the Consumer Protection Act;

Pre-arranged Funeral Services Act

372 Paragraph 31(y) of the Pre-arranged Funeral Services Act, chapter 109 of the Revised Statutes, 2012, is amended by striking out “direct selling, within the meaning of the Direct Sellers Act,” and substituting “direct selling, within the meaning of Part 5 of the Consumer Protection Act,”.

Regulation under the Pre-arranged Funeral Services Act

373 Paragraph 11(c) of New Brunswick Regulation 88-32 under the Pre-arranged Funeral Services Act is amended by striking out “direct selling as defined in the Direct Sellers Act” and substituting “direct selling as defined in the Consumer Protection Act”.

Sheriffs Act

374( 1) The heading “Sheriffs are licenced auctioneers” preceding section 6 of the Sheriffs Act, chapter 131 of the Revised Statutes, 2014, is repealed and the following is substituted:

Sheriffs shall charge prescribed fees when holding auction

374( 2) Section 6 of the Act is repealed and the following is substituted:

Sheriffs shall charge prescribed fees when holding auction

6 When holding an auction, the Chief Sheriff, the Deputy Chief Sheriff or a regional sheriff, sheriff or deputy sheriff shall charge the fees prescribed by regulation under this Act.

Repeal of the Auctioneers Licence Act

375 The Auctioneers Licence Act, chapter 117 of the Revised Statutes, 2011, is repealed.

Repeal of the Collection and Debt Settlement Services Act

376 The Collection and Debt Settlement Services Act, chapter 126 of the Revised Statutes, 2011, is repealed.

Repeal of regulation under the Collection and Debt Settlement Services Act

377 New Brunswick Regulation 84-256 under the Collection and Debt Settlement Services Act is repealed.

Repeal of the Cost of Credit Disclosure and Payday Loans Act

378 The Cost of Credit Disclosure and Payday Loans Act, chapter C-28.3 of the Acts of New Brunswick, 2002, is repealed.

Repeal of regulations under the Cost of Credit Disclosure and Payday Loans Act

379( 1) New Brunswick Regulation 2010-104 under the Cost of Credit Disclosure and Payday Loans Act is repealed.

379( 2) New Brunswick Regulation 2017-23 under the Cost of Credit Disclosure and Payday Loans Act is repealed.

Repeal of the Credit Reporting Services Act

380 The Credit Reporting Services Act, chapter 27 of the Acts of New Brunswick, 2017, is repealed.

Repeal of the Direct Sellers Act

381 The Direct Sellers Act, chapter 141 of the Revised Statutes, 2011, is repealed.

Repeal of regulation under the Direct Sellers Act

382 New Brunswick Regulation 84-151 under the Direct Sellers Act is repealed.

Repeal of the Gift Cards Act

383 The Gift Cards Act, chapter 165 of the Revised Statutes, 2011, is repealed.

Repeal of regulation under the Gift Cards Act

384 New Brunswick Regulation 2008-152 under the Gift Cards Act is repealed.

Commencement

385 This Act or any provision of it comes into force on a day or days to be fixed by proclamation.

SCHEDULE A

Number of provision

6(1)
11(1)
25(3)
35(1)
37(3)
44(1)
46(1)
47(3)
51(1)
51(2)
57(1)
57(2)
60(3)
61(a)
61(b)
63(1)
64(1)
64(2)
64(4)
65(2)
66(1)
69(1)
69(3)
76(1)
76(2)
76(3)
76(4)(a)
76(4)(b)
78(1)
78(2)
78(3)
78(4)
78(5)
78(6)
81
82
85(1)(a)
86(1)
89
92(3)
99(1)
99(2)
99(3)
99(4)
103(1)(a)
103(1)(b)
103(2)(a)
103(2)(b)
103(3)(a)
103(3)(b)
107(2)
107(3)
108(1)
108(2)
108(3)
109
110(1)
111(4)
113(2)
115(3)
116(1)
118(5)
119(2)
119(3)
119(8)
121
122(2)
122(3)
122(5)
124(1)
124(2)
125(1)
125(2)
126(1)
127(2)
128(1)
128(2)
128(3)(a)
128(5)
129
131
133(1)
134(1)
134(3)
135
136(1)
136(3)
136(5)
137(1)(a)
137(1)(b)
137(2)(a)
137(2)(b)
140(1)
140(2)
140(3)
141(1)
142(1)
152(1)
152(2)
153(1)
153(2)
153(3)
153(4)
153(5)
153(6)
153(7)
153(10)
157(1)
157(2)
158
159(1)
160(4)
162(2)
163(6)(a)
163(6)(b)
163(8)
165(2)
166(1)
168(1)
169(4)
169(5)
170
171
172
173
174
175(3)
176
177(2)
178(4)
179(2)
179(3)
179(7)
181
182(2)
182(3)
182(5)
184(1)
184(2)
185(1)
185(2)
186(1)
187(2)
188
190
192(1)
193(1)
193(3)
194
195(1)
195(3)
195(5)
196(1)(a)
196(1)(b)
196(2)(a)
196(2)(b)
199(1)
199(2)
199(3)
200(1)
201(1)
203
205
213(1)
213(2)
214(1)
214(2)
214(3)
214(5)
214(6)
216
217(2)
217(3)
218(5)(a)
218(5)(b)
218(7)
220(2)
221(1)
222(4)
222(5)
223
224(1)
225(a)
225(b)
225(c)
226
227(1)
228
229
230(1)
231(3)
232
233
235
239(2)
242(1)
242(2)
242(3)
242(4)
242(5)
242(6)(a)
242(6)(b)
242(6)(c)
243
244
245(1)(a)
245(1)(b)
245(2)
247(5)
248(1)
249(1)
249(2)
250
252(1)
252(2)
253(1)
253(2)
253(4)
254(1)
254(2)
254(3)(a)
254(3)(b)
254(3)(c)
254(3)(d)
254(3)(e)
254(3)(f)
254(3)(g)
254(3)(h)
254(3)(i)
254(3)(j)
254(3)(k)
254(3)(l)
254(4)
255(4)
255(5)
255(6)
255(7)
255(8)
255(9)
255(10)
255(12)
256
257
258(1)
258(2)
258(3)
258(5)
259(1)
259(2)
260(1)
260(2)
260(3)
260(4)
260(8)
260(9)
261(1)
261(2)(a)
261(3)
261(4)
261(5)
261(6)
262(1)
262(4)
262(7)
263(2)
263(4)
263(5)
263(7)
263(8)
263(9)
263(10)
263(11)
263(12)
264
265(1)
267(5)
269
274(3)
274(4)
278(1)
278(2)
281
285(1)
285(2)
286(1)
289(1)
291(1)
291(2)
297(1)
297(2)
297(3)
297(4)(a)
297(4)(b)
298(1)
298(2)
302
303(1)
315
318(5)
327
329(3)
343(2)(a)
343(2)(b)
348