Forfeited Corporate Property Act, 2015, S.O. 2015, c. 38, Sched. 7

JurisdictionOntario

Forfeited Corporate Property Act, 2015

S.o. 2015, chapter 38
Schedule 7

Consolidation Period: From October 19, 2021 to the e-Laws currency date.

Last amendment: 2020, c. 34, Sched. 6, s. 1-10.

Legislative history: 2015, c. 38, Sched. 7, s. 43; 2017, c. 10, Sched. 4, s. 4; 2019, c. 7, Sched. 17, s. 79; 2020, c. 34, Sched. 6, s. 1-10.

CONTENTS

General

Interpretation

1 (1) In this Act,

“charitable corporation” means a corporation that is incorporated for charitable purposes; (“organisation caritative”)

“charitable property” means,

(a) any property held by a charitable corporation, and

(b) any property held for charitable purposes by a corporation that is not a charitable corporation; (version anglaise seulement)

“charitable purposes” means,

(a) the relief of poverty,

(b) education,

(c) the advancement of religion, and

(d) any other purpose that is beneficial to the community; (“fins de bienfaisance”)

“Crown” means, unless otherwise specified, the Crown in right of Ontario; (“Couronne”)

“encumbrance” means, subject to subsections (2) and (3),

(a) a claim that secures payment or the performance of an obligation, including a charge under the Land Titles Act, a mortgage, a lien, a trust for securing money and a writ of execution,

(b) a security interest, regardless of whether the security interest secures payment or the performance of an obligation,

(c) a restrictive covenant,

(d) a certificate of pending litigation,

(e) a profit à prendre, or

(f) any interest prescribed as an encumbrance; (“grèvement”)

“forfeited corporate personal property” means property described in subsection (6); (“biens meubles sociaux confisqués”)

“forfeited corporate property” means forfeited corporate real property and forfeited corporate personal property; (“biens sociaux confisqués”)

“forfeited corporate real property” means property described in subsections (4) and (5); (“biens immeubles sociaux confisqués”)

“Minister” means, unless the context requires otherwise, the Minister of Economic Development, Employment and Infrastructure or such other member of the Executive Council as may be assigned the administration of this Act under the Executive Council Act, and “Ministry” has a corresponding meaning; (“ministre”)

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

“prior corporate owner”, when used in reference to forfeited corporate property, means the corporation whose dissolution resulted in the property becoming forfeited corporate property; (“personne morale anciennement propriétaire”)

“real property taxes” means real property taxes within the meaning of Part XI of the Municipal Act, 2001 or Part XIV of the City of Toronto Act, 2006, as the case may be; (“impôts fonciers”)

“regulations” means the regulations made under this Act. (“règlements”)

Special liens not encumbrances

(2) Special liens in respect of real property taxes are not encumbrances for the purposes of this Act.

Same

(3) Subsection (2) also applies to special liens in respect of property tax within the meaning of the Provincial Land Tax Act, 2006.

Forfeited corporate real property

(4) Real property and interests in real property are forfeited corporate real property if, as a result of the dissolution of a corporation, they are escheated or forfeited to the Crown.

Same

(5) Real property and interests in real property mentioned in subsection (4) include,

(a) a charge under the Land Titles Act or a mortgage; and

(b) a building or structure that is owned separately from the land on which the building or structure is located or an interest in such a building or structure.

Forfeited corporate personal property

(6) Personal property and interests in personal property are forfeited corporate personal property if one of the following circumstances applies:

1. As a result of the dissolution of a corporation, they are forfeited to or have become the property of the Crown as bona vacantia and the personal property is,

i. located in, on or under forfeited corporate real property, or

ii. not located in, on or under forfeited corporate real property but the Minister, after consulting with the Public Guardian and Trustee, is of the opinion that control over the personal property is necessary for the purposes of,

A. administering forfeited corporate real property, or

B. managing, on forfeited corporate real property, the ongoing operations or a business of the prior corporate owner of the forfeited corporate real property.

2. The personal property is left in, on or under forfeited corporate real property, regardless of who owns the personal property.

Vesting

(7) For greater certainty, forfeited corporate property, other than personal property referred to in paragraph 2 of subsection (6), is vested in the Crown, even if the prior corporate owner is still shown as the registered owner of the property.

Application

2 (1) This Act applies with respect to forfeited corporate property, except as provided in subsection (3).

Same

(2) For greater certainty, this Act applies with respect to forfeited corporate property whether it became forfeited corporate property before or after this section comes into force.

Non-application of Act

(3) This Act does not apply to forfeited corporate property if,

(a) the property is mining lands as defined in the Mining Act;

(b) the property is mining rights, as defined in the Mining Act, that are severed or held separate and apart from surface rights as defined in the Mining Act;

(c) the property is subject to subsection 53 (1) of the Mining Act;

(d) the property is located in, on or under land set apart as a provincial park or a conservation reserve under the Provincial Parks and Conservation Reserves Act, 2006; or

(e) the property is located in, on or under public lands within the meaning of the Public Lands Act.

General effects of becoming forfeited corporate property

Crown’s prior interests

3 (1) If property was subject to liens, rights or other interests in favour of the Crown before it became forfeited corporate property, the liens, rights or other interests do not merge when the property becomes forfeited corporate property.

Debts not passing to Crown

(2) A prior corporate owner’s liabilities and obligations do not become the Crown’s liabilities and obligations as a result of the dissolution of the prior corporate owner.

Obligations and immunities

No obligation, forfeited corporate real property

4 (1) Despite subsections 7 (1) and (2) of the Ministry of Infrastructure Act, 2011, the Minister is not required to secure, maintain or manage forfeited corporate real property or to take any other action in relation to it until the day the Minister registers a notice under section 24 on title to the property indicating that the Crown intends to use the property for Crown purposes. 2015, c. 38, Sched. 7, s. 4 (1).

Same, forfeited corporate personal property

(2) The Minister is not required to secure, maintain or manage forfeited corporate personal property or to take any other action in relation to it until the day the Crown begins to use the property for Crown purposes. 2015, c. 38, Sched. 7, s. 4 (2).

Immunities

(3) No action or other proceeding shall be commenced and no order shall be made against the Crown, the Minister, the Deputy Minister, any servant or agent of the Crown or any other official of or employee of the Crown for any of the following:

1. Any act, neglect, default or omission of any of the following persons that occurs on or otherwise affects forfeited corporate property:

i. A person who entered into an agreement or purported agreement entitling the person to occupy all or part of the property, as described in subsection 15 (6).

ii. A person who is using, occupying or trespassing on the property.

2. Any act, neglect, default or omission of any prior corporate owner of forfeited corporate property.

3. Any act, neglect, default or omission of a person who holds any interest in forfeited corporate property that relates to enforcement of the interest or occurs on or otherwise affects the property.

4. Any act, neglect, default or omission of a director, officer, employee, agent, independent contractor, invitee, shareholder or member of a person mentioned in paragraph 1, 2 or 3. 2015, c. 38, Sched. 7, s. 4 (3).

Same

(4) No action or other proceeding shall be commenced and no order shall be made against the Minister, the Deputy Minister, any servant or agent of the Crown or any other official of or employee of the Crown for any of the following:

1. Any act done or performed in good faith in the performance or intended performance of any duty or function or in the exercise or intended exercise of any power or authority under this Act.

2. Any neglect, default or omission in the performance or exercise in good faith of any duty, function, power or authority under this Act. 2015, c. 38, Sched. 7, s. 4 (4).

Same

(5) Despite subsection 8 (3) of the Crown Liability and Proceedings Act, 2019, subsection (4) does not relieve the Crown of any liability to which it would otherwise be subject. 2015, c. 38, Sched. 7, s. 4 (5); 2019, c. 7, Sched. 17, s. 79.

Effect of subs. (1) to (4)

(6) Subsections (1), (2), (3) and (4),

(a) do not prevent the issuing of an order against the Crown in respect of forfeited corporate property if the order is authorized under another Act and the provisions of that Act authorizing the order bind the Crown;

(b) do not apply to a proceeding to enforce against the Crown its obligations under a written agreement to which it is a party; and

(c) do not impose any new obligation on the Crown in respect of forfeited corporate property. 2015, c. 38, Sched. 7, s. 4 (6).

Section Amendments with date in force (d/m/y)

2019, c. 7, Sched. 17, s. 79 - 01/07/2019

Minister’s decisions final

5 A decision or order of the Minister under this Act is final and not subject to review for any reason...

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