Depository Bills and Notes Act (S.C. 1998, c. 13)
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Act current to 2013-05-26
Depository Bills and Notes Act
S.C. 1998, c. 13
Assented to 1998-06-11
An Act respecting depository bills and depository notes and to amend the Financial Administration Act
Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:
SHORT TITLE
Marginal note:Short title
1. This Act may be cited as the Depository Bills and Notes Act.
INTERPRETATION
Marginal note:Definitions
2. (1) The definitions in this subsection apply in this Act.
“acceptor”
« accepteur »
“acceptor” means the person to whom a depository bill is addressed and who signs it.
“clearing house”
« chambre de compensation »
“clearing house” means a corporation, association, partnership, agency or other entity that carries on in Canada the business of providing its participants with the clearing and settlement of transactions in securities that are deposited with it.
“depository bill”
« lettre de dépôt »
“depository bill” means an order described in section 4.
“depository note”
« billet de dépôt »
“depository note” means a promise described in section 5.
“drawer”
« tireur »
“drawer” means the person who addresses a depository bill.
“endorser”
« endosseur »
“endorser” means a person who, in the case of a depository bill, signs the depository bill otherwise than as drawer or acceptor, or in the case of a depository note, signs the depository note otherwise than as maker.
“issue”
« émission »
“issue” means the first delivery of a depository bill or note, complete in form, to the person to whom it is payable.
“maker”
« souscripteur »
“maker” means the person who makes a depository note.
“participant”
« établissement participant »
“participant” means a person who has entered into a contract of membership with a clearing house.
“party”
« partie »
“party” means a person who signs a depository bill or note.
“person”
« personne »
“person” means a natural person, a corporation, a trust, a partnership, a fund, an unincorporated association or organization, Her Majesty in right of Canada or of a province or the government of a foreign country or of any political subdivision of a foreign country.
“transaction”
« opération »
“transaction” means a transfer, pledge, assignment or hypothecation of a depository bill or note or of an interest in a depository bill or note.
Marginal note:Deposit
(2) For the purposes of this Act, a depository bill or note is deposited with a clearing house if it is accepted for deposit by the clearing house to which it is payable and is in the possession of that clearing house or, subject to the instructions of the clearing house, in the possession of the clearing house’s custodian, or a nominee of either of them.
Marginal note:Payable to clearing house
(3) For the purposes of this Act, a depository bill or note is payable to a clearing house if it is made payable to the clearing house or its nominee, originally or by endorsement.
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