Bill No. 77 of 1941. A BILL RESPECTING THE SUSPENSION OF PRO­ CEEDINGS IN RESPECT OF CERTAIN KINDS OF DEBTS NOTE. The purpose of this Bill is to empower the Lieutenant Governor in Council in certain circumstances to prohibit the bringing of any action or other proceedings relating to debts contracted prior to July 1st, 1936, for a certain period to be specified in the Order in Council. Debts in­ curred since the first day of July, 1936, would not be af­ fected by such Order in Council and many other debts are also exempted from the operation of the Order, these debts being set out in

section 2. W. S. GRAY, Acting Legislative Counsel. (This note does not form any part of the Bill but is offered in explanation of its provisions.)

BILL No. 77 of 1941.

An Act respecting the Suspension of Proceedings in Respect of Certain Kinds of Debts. (Assented to , 1941.) HIS MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of Alberta, enacts as follows: 1. This Act may be cited as "The Debt Proceedings Sus­ pension Act, 1941." 2. In this Act unless the context otherwise requires,- (a) "Debt" means any obligation to pay any money which is in the nature of a liquidated demand created by or founded on or arising out of any con­ tract, agreement, covenant or stipulation whether express or implied, and includes the liability of any person under any guarantee for the payment of any such debt, but does not include,- (

i) any debt which was originally created at any time after the first day of July, 1936; (ii) (iii) (iv) (v) (vi) (vii) any debt owing by or to the Crown in the right of Canada or the Crown in the right of the Province; any debt owing to the Canadian Farm Loan Board or the Soldier Settlement Board; any indebtedness for assessments, rates or taxes payable pursuant to any statute or pursuant to the terms of any agreement providing for the consolidation and pay­ ment of taxes, rates or assessments; any debt owing by or to any city, town, vil­ lage, municipal district, improvement dis­ trict, irrigation district, drainage district, municipal hospital district or the board of trustees of any school district or any school division or special area established under The Special Areas Act, 1939; any debt the payment of which is guaran­ teed by the Crown in the right of the Prov­ ince; any debt owing by a company other than a family corporation;

(viii) (ix) (x) (xi) (xii) (xiii) (xiv) 2 any debt owing by or to any society within the meaning of The Alberta Rural Co-oper­ ative Credit Act; any debt in respect of advances made in the year 1936 pursuant to any of the pro­ visions of The Seed Grain and Other Ad­ vances Security Act, being

chapter 65 of the Statutes of Alberta, 1936; any debt owing to or by any hospital which is an approved hospital for the purposes of The Hospitals Act, being

chapter 60 of the Revised Statutes of Alberta, 1922; any debt due and owing to an insurance company which was made on the sole secur­ ity of a policy of insurance issued by the company; any debt being an advance made after the first day of July, 1936, by a mortgagee or a vendor of land, or his respective assigns or successors in title for the pay­ ment of taxes, seed grain, fire insurance premiums, hail insurance premiums, im­ provements or repairs to the land or other expenditures which the vendor or mort­ gagee is entitled to make under the terms of the mortgage or agreement for sale creating the debt; any debt owing or due by a debtor who is domiciled and resident outside of the Prov­ ince other than a debt owing by a debtor under any mortgage, charge lien or encum­ brance upon any land in the Province, or under any agreement for sale of any land, if and so long as,- 1.

The registered owner thereof under The Land Titles Act is either domiciled and resident in the Province or is a body cor­ porate carrying on business in the Prov­ ince, or 2. such land is in the occupation or pos­ session of a person resident and domiciled in the Province or a body corporate carry­ ing on business in the Province who is the transferee of the land or the purchaser thereof under an agreement for sale thereof or is for the time being entitled to exercise the rights of the purchaser under any agreement for the sale thereof; any debt due or payable pursuant to any judgment or order made in an action for divorce, judicial separation, alimony, or in any proceeding under The Domestic Rela­ tions Act;

3 (xv) any debt due and owing by a person against whom a Writ of Attachment may be issued pursuant to the Rules of Court relating to absconding debtors; (xvi) any debt owing for the purchase money or for rentals or for royalties payable in respect of the right to win, work, or get any of the following minerals, namely; coal, petro­ leum, natural gas and bitumen, and any debt the payment of which is secured by any mortgage, charge, lien, encumbrance or other security however created, upon the right to win, work or get any of the said minerals; (xvii) any debt secured on any chattel in respect of which the creditor has proved to the sat­ isfaction of the Debt Adjustment Board that the chattel has been abandoned, and a permit has been issued by the Board pur­ suant to the provisions of The Debt Adjust­ ment Act, 1937; (xviii) any debt being a claim for wages; (xix) any debt owing by an individual to an in­ dividual; (b) "Family Corporation" means a corporation seventy­ five per centum of the stock of which is owned or controlled directly or indirectly by the members of one family, one or more of which members reside in Alberta, and take an active

part in the business operations of the corporation, or a corporation, eighty per centum of the stock of which is owned by persons actively employed in the business of the corporation or by such persons and their families; (c) "Individual" includes a partnership, a family cor­ poration and a corporation acting as an executor of the last will and testament of a deceased indi­ vidual, as administrator or trustee of the estate of a deceased individual, or as a trustee for an in­ dividual, and a corporation incorporated under the provisions of The Co-operative Marketing Associa­ tions Act, being

chapter 5 of the Statutes of Alberta, 1924, or The Co-operative Associations Act, being

chapter 66 of the Statutes of Alberta, 1937, but does not include any other body corporate or politic. 3. The Lieutenant Governor in Council may at any time and from time to time by order,- (

a) prohibit until after a day fixed thereby, the issue of processes out of all of the Courts of the Province or out of any Courts specified therein for the re­ covery of or in respect of any debt either generally

4 or in such judicial districts as are specified therein, and the execution of all or any processes issued in such actions; (

b) prohibit until after a day fixed thereby, the issue of proceedings by way of distress, re-possession and extra judicial proceedings of any nature whatsoever in respect of or for the purpose of enforcing any debt; (

c) stay until after a day fixed thereby, proceedings pending in all civil actions and matters, and all pro­ ceedings pending by way of distress, re-possession and extra judicial proceedings or any nature what­ soever, in respect of or for the purpose of enforc­ ing any debt. 4.

The time during whi,ch the issuance of process for the purpose of enforcing payment of a debt is prohibited by this Act shall not be included in the time within which any action or other proceeding is to be commenced under The Limitation of Actions Act, 1935, or under any other statute or law for the time being in force in the Province limiting or prescribing the time within which actions or proceed­ ings are to be commenced; and any party to an action or other proceeding which has been prohibited by this Act shall have the same time for continuing such action or pro­ ceeding after the expiry of the said period as he would have had if the action or proceeding had not been prohibited, and shall not be prejudiced by reason of the delay. 5.

This Act shall come into force on the day upon which it is assented to.

No. 7'1. FIRST SESSION NINTH LEGISLATURE 5 GEORGE VI 1941 BILL

An Act respe.cting the Suspension of Proceedings in Respect of Cer­ tain Kinds of Debts. Received and read the First time ..................................... . Second time .................................. .. Third time ..................................... . RON. MR. MAYNARD. EDMONTON: A. Sbnltka, King's Printer 1 \I • 1 Title: 1941 (9th, 1st) Bill 77,

An Act respecting the Suspension of Proceedings in Respect of Certain Kinds of Debts