Bill 228 (Legislature 18, Session 4)

L18 S4 4412

Alberta — Bills

1978 BILL 228 Fourth Session, 18th Legislature, 27 Elizabeth II ~:~=======-===~-----.--- - THE LEGISLATIVE ASSEMBLY OF ALBERTA Silt. 228

AN ACT RESPECTING CO!"'J5UMER ACCOUNTS AND RECORDS MR. TAYLOR ----- First Reading Second Reading _____________________________________________ _ Committee of the \Vhole ______ ----------------- ------------------ Third Reading _____________________________________ ------- ---------- Royal Assent ___________________ ---- ------------------- -- ---- -- ------------- -- - - Printcd by the Qucen's Printer fo:' the Province of Alhert.3, ED)IO:\TO:\

Bill 228 A1r. Taylor BilL 228 1978

AN ACT RESPECTING CONSUMER ACCOUNTS AND RECORDS (Assented to , 1978) I-IER MAJESTY, by and with the advice and consent of the Legislative Assembly of Alberta, enacts as follows: 1. In this Act, (a) "creditor" means the person who is (

i) the lender in a loan agreement, or (ii) the supplier in a sale agreement; (b) "debtor" means (

i) the borrower in a loan agreement, or (ii) the user in a sale agreement; (c) "record" means information stored or available by any means whatsoever; (d) "statement" means a time sale agreement, memorandum of revision, or periodic statement issued pursuant to sec tion 5 of The Credit and Loan Agreement Act, and in cludes a statement generated partly or completely from records stored in a computer, but, for the purposes of this Act,

section 4(

a) of The Credit' and L{Jwz Agreements Act shall not apply.

Explanatory Notes General. The purpose of this Act is to provide a channel th:-Ollgh which consumers and creditors may handle eHors in billing. It is also to ensure to the consumer a standard of privacy in regard to any information held by the creditor relating to the consumer, and to establish a course of action which will allow the debtor to have any personal information relating to him removed from the creditor's possession. I.

Definitions. Sections 4 and 5 of The Credit and Loan Agreements Act presently read: ,I. This Part does not apply to (

a) a sale for an amount less than S50, 01' (

b) a sale made (

i) by a manufacture!" or dispatcher to a wholesaie., or (jj) by a manufacturer, distributor or \\'holcsalcr to a reta:le:-. (

c) any sale or type of sales to which this Act is declared by t~H~ r,'gulati(ms not to be applicable, 5.

(1) A time sale agreement shall set out,_ (

a) t!~e cash selling price as it appears at the date oC the S8_!e i:1 ad\"(>rtjs~ ments. labels, price lists, c-atalogues and other price mar~3 of the seller or as required from a cash buyer including the cost of trar.s;>ortation ar.d installation of the thing s(;ld. if that cost is cha:-gi.'d se~~ratcly to thE.' buyer, Ib) to the amount of the initial p:lyme;;t by the buyer with 5(';>«:-ate mentio!1 of (il the amount pald in money by the buyer. and , ii) the amount credited to U:.e buyer un the gi\'ing lJ~- H-.!: b"Yi::r of any

article or thing to the sel1er, (CI the amount cf the b:llance of the price on the time sal(' to bE: paid by thE' buyer, (

d) the amount if any charged separatrly at the buyel"s ;'.:q'.1(;st fo:- p!1ysica! damage and liability ir,f'.'ranc<! in respect of the gc{)ds 50!d, (

c) the amount, if any. charged s('pari.',tely for life and for r.,,:,:th ar.d acd dent insurance protection for the b~lyel· at his request. ({) the official fee, if any. (

g) the credit charges expr('ssed (

i) as a money charge. and (ij) as the annual percentage rate that the credit charge bean to the Slim of the amounts stated under clauses (c). (d). Ie) a:-.d (f" (

h) the total of the amounts stated under clauses (c), (d), (e-I , ff' and (g.l to Lc paid th(! se1ter with mention of 0) the amounts by which the total is to be paid, and (ii) the period 01' periods at wl:ich thtse amvunts hre to be pa:d, (

j) the total additional charge, if any. other than court costs, to be p:!.id by the buyer in the event of default, expressed as a rate peo: centum per annum in the m::mner prescribed by the regulat:ons. ",n;l (j) "i clear description of the goods sold,

(2) If the transportatio;l or i!lstallation costs refel red to ir. S'.::)section (1'. clause (

a) are charged sqnrately to the buyer, these costs s~,di be separately set out in the time sale agl cement, (:1) Where any of the terms of a time sale agn:eml'nt (\',"h('t~,.::' e:.i..::l't\ intu before, on or after June 1. 19f)

S) are varied or r('vised oth·!r th:?n by the c:-.:tea slon of new additional credit, the se!1tT. or his assi;::ns. sh<l!l g;\'E' to the buyer a memorandum of revision setting out. where applicable. (

a) the amolmt rcmair,ing unpaid lInd(';' the original agrct:mr:r:t.

2. \Vhcre a debtor receives a statement that he has g:-ouncJs to believe is incorrect, he may, within 10 (1<1YS of rcceipt of the state ment, scnd a notice of error by registercd mail to the creditor, including the fol10\ving information: (

a) the debtor's name and address; (

b) the date of the statement; (

c) file or account numbGr shown on the statcment~ if any; (

d) the amount shown to be due on the statement; (

e) the amount that the debtor alleges is due; and (

f) any other detail of the account that the debtor alleges to be incorrect; and accompanied by payment of that part of the amount due that the debtor alleges is due. 3. Upon receipt of a notice of error from a d~btor, the creditor shall, within 5 days of receipt of the noticc, send to the debtor by registered mail an acknmY1cdgement of such notice. 4. \Vithin 14 days of receipt of the notice of error~ the creditor shall carry out an examination of the debtor's statement and any records from which it has been produced in order to verify or disprove the debtor's allegation, and send to the debtor, by regis tered mail, either (

a) a corrected statement, or (

b) information sufficient to demonstrate to the debtor that the original statement ,vas correct. 5. If the creditor does not send a corrected statement pursuant to

section 4(

a) or if the creditor sends information pursuant to

section 4(b), and the debtor does not thereafter acknm'/1edge in writing that the original statement was correct, nothing in this Act shall oblige the debtor to pay the disputed amount in the state ment, nor shall this Act preycnt the creditor from exercising other legal remedies to collect the debt. 6.

(1) No creditor or agent or employee of a creditor shall releasc information relating to a debtor, his purchases, payments or credit rating which is stored in a computer or any other record kept by the creditor, to any person other than a law enforcement agency, without the written consent of the person re£arding \vhom the information is being kept. ~

(2) The release of any such information to a coHection agency for the purpose of collecting an overdlle debt shall be deemed to be release by permission of the debtor. 2

(h) (e) (

d) the rebate of credit charj;e, if any, C.)!nl~ut{'d as required bv the rC:"l: lations as though the original a.;:recmcnt w::s being fully paid 'in ad\"a:~(', the b:lbnce resulting from s:lhtr':lcting the rellat(' l'tat.:d uno('r dat:s{: (1,'1 from the amOlUlt sta.ted under chuse (a), the official fcc, if any, (

e) the 11('W c!'edlt charges CX!ll'l':;~ed (

i) as a money charge, a!1d (ii) as the annual pel"cent:>.ge rate that the crr-:jit charge b~~rs tn sl.!m of the amounts statcd undcr clat:scs (

c) and (d). (n the total of the nmounts stated under clat:s~'s (c), (

d) and (p) \';:t:l n1t'ntion of (D the amounts by which the total is to be paid. and (iO the period or periods at which these amounts nrc to I.H? p3.id. and (g) ,the total ndditionat' charge. if any. ot;1e;' th~tn court costs. to b~ p<!id 1,y the buyer in the ('vent oC default. e"pl'('3sed <!s a ratl' pcr centum per anmml in the manner prescribed by the l'cgulatio:1s,

(3.1) A time sale agreement and any variatio:1 or revision of a time sale agreem('nt shall be signed by the b;lycr.

(4) The Information l'(·quired to be gI\'en by th!s seetio~l shnll bC? 1'£'t Ol:t in the agreement or memorandum beron! or above the sp:lce inknued for the slgna ture of the buyer. (5) "'here goods arc purch<,s~J tl!"!der a OC:1tbl!n:s dr>ferred I); • ..-men.t pbn, the seller r.hall be de<'mcd to have complied with the requirements of this Act if the terms of the plan are in wri!ing and if the p1<m and t!,e pL'riodlc st<:tc::r.er.~s and the otller dOCl'mcnts supplied hy the seller to the buyer Qr. any cne or rr .. )~~ of them, clearly set out (

a) the particulars mentioned in sl:bscction (1). c!ause (a l , (bl where ap'plicable the partie!.!!:! rs nlCl:t;O:1eo in s .. :hscctinn (1), ('lanse;; t;) t, (c), (d), (

e) and (i), (

c) the total balance owing to the seller hy tne lJUyer as of the date of (·?c:~ statement supp!i('d by t:1e seller and the amount of the next instdn:e::t payahle linde,' the l)lan and the date by which it i!" rcquirNi to he rnid. und (

d) the credit charge, if any, (

i) in the written agreement as a scale of mCllIey ch::rges sho\\'11 i!1 «

schedule of amounts of outstanding b;>1,mce'; and the appliC2.1)le charges. and as an annual percentage l~ite or a scale of annual p('~ centage rates, and (ii) in the periodic statement ~,;; the actual amOl~.nt of m(mey chaY';,;ed with a clear indication cf the balance on which the charge is cal culated and as an annual p~l'centage rate or a scale of annual pc:- c('ntage rates, 2. Notice of error. 3. Acknowledgement of notice of error. 4. Corrected statement or explanation. 5. Remedies at law not affected. 6. Confidentiality of information relating to a debtor, 2

7. A debtor who has discharged all his debt to a creditor may notify the creditor in writing that he no longer wishes to deal with the creditor and that he wishes all records relating to the debtor to be destroyed, and the creditor, unless subject to a court order or a demand by a law enforcement agency to retain such records as evidence, shall, within a period of 30 days, destroy or erase all records he holds in any location pertaining to the debtor from all records in his possession or control. 8. The creditor shall, within 30 days of receil)t of a notifica tion sent pursuant to

section 7, notify the debtor by mail of the conrse of action taken in regard to his file and computer data. 9. \Vhere a debtor sends a notification pursuant to

section 7, and the result is that all records pertaining to any agreement be tween the debtor and the creditor are destroyed, the debtor shall be deemed to have forfeited the right to challenge any statement issued by the creditor under this or any other Act. 10. The creditor, by destroying records pursuant to

section 7, shall thereby be deemed to have forfeited the right to enforce any debt against the debtor which was evidenced by such records. 1-1. Any creditor \vho fails to comply with

section 3 and 4 forfeits the right to collect the amount disputed in the debtor's notice referred to in

section 2. 12. Any creditor who, without just causc, fails to comply with

section 7 or 8 of this Act, shall be liable for a first offence to a fine of not less than $500 or imprisonment for not less than six months, or to both fine and imprisonment, and, for a subsequent offence, to a fine of not less than $1000 or imprisonment for not less than 3 years, or to both fine and imprisonment. 1.3. The following records are exempt from this Act: (

a) records kept by law enforcement agencies, (

b) records kept by ~he Government, a municipal government or their agencies, (

e) records kept by the Better Business Bureau of Edmonton, (

d) records kept by the Better Business Bureau of Calgary, and (

e) such other agencies as are named in the regulations. 14. The Lieutenant Governor in Council may makc regulations (

a) exempting any person from this Act; 3

7. Records destroyed at crl?uitor's request. 3. Confirmation of nction. 9. Debtor may not challenge statement after records destroyed. 10. Creditor may not claim a debt after records destroyed. II. Forfeit of debt. 12. Offences and penalties. 13. Exempt records. 14. Regulations. 3

(

b) exempting any records from this Act; (

c) for the inspection of the records of any creditor where there is reasonable cause to believe that there has been a breach of a provision of this Act. 15. Nothing in this Act shall be construed as limiting or re moving any right or remedy existing in 1mV' at the coming into force of this Act relating to the dispute of an account bctwec!1 a debtor and a creditor. 16. This Act comes into force on the day upon which it is assented to. 4

15. Remedies existing at law not affected. 4 Title: 1978 (18th, 4th) Bill 228,

An Act Respecting Consumer Accounts and Records

Document details

Collection	Alberta — Bills
Citation	L18 S4 4412
Type	bill
Volume / chapter	L18 S4 4412
Language	en
Format	json
Source	PROVINCIAL
Identifier	3313e687c93277416a006ce88a5a7312d41852ac

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