Bill 50 (Legislature 2, Session 4)

L2 S4 10655

Alberta — Bills

BIUL No. 50 o£11913.

An act to regulate the Purchase, f3ale and Transfer of Stocks of Goods iq Bulk. (Asse~ted to ' 1913.) HIS MAJESTY, by and with I the !j.dvice and consent of the Legislative Assembly ~ the Province of Alberta, enacts as follows:- 1. This Act may be cited ~s "The Bulk Sales Act of Short t;tle Alberta". 2.

It shall be the duty of every person who sh~ll ;~~'kh::C' J bargain for, buy or purchase ny stock of goods, wares ~o\t• in or merchandise in bulk, for cash or on credit, before closing d~m.!:'d an the purchase of the same, and b fore paying to the vendor ~~~~t; to any part of the purchase price or giving any promissory :~t;~~nt note or notes, or any security f r the said purchase price, ~f~~";I~'b~ to demand of and receive from such vendor, an.d it shall ~~;[6 !J 0by be the duty of each vendor of s ch goods to furmsh to the •t•t1utor;r h .

"fi d b dec arat1011 pure aser a wntten statement ven e y the statutory declaration of the vendor or is duly authorized agent, or if the vendor is a corporation by the statutory declara- tion of the president, vice-pr sident, secretary-treasurer or manager of such corporati , which statement shall contain the names and addresse of all the creditors of the said vendor, together with the a aunt of the indebtedness or liability due, owing, payabl or accruing due, or to become due and payable by sa d vendor to each of said creditors, which said statement and declaration may be in the form set forth in sched le A hereto, or to a like effect. 3.

Whenever any person shal bargain for or purchase ;~.~~~~r,v any stock of goods, wares or erchandise in bulk, for~~~~~:;;~'.:':.," 1 cash or on credit, and shal pay any part of the and fumi•he l . d . h d sale deemed pure 1ase price or execute or c 1ver to t e ven or or to fraudulent his order, or to any person for hi use, any promissory note ~~~·!~~no•' or other document for or on account of the purchase ~~~it~r:h" price of said goods, or any part tl ereof, without first having of the vend• r demanded and obtained from he vendor, or from his agent, or if the vendor is a corp ration from the president, Yice-president., secretary-treasur or manager thereof, a written statement verified by sta 1tory declaration purport- ing to be such as is provided fo · in the preceding

section of this Act, then such sale sha , in and with respect to any action or proceeding which w'thin sixty days thereafter is brought, had or taken against ch purchaser, to impeach or set aside such transaction, be deemed to be fraudulent and shall be absolutely void as a ainst the creditors of the vcncl.or, and every disposition m e of the purcl].ase money or of a note or other security give therefor by the purchaser ~;hall be fraudulent and void a between the purchaser and creditors of the vendor, unless the whole of the proceeds. ~~~~li~'d 1 i~0"-"etr• of such sale, or sufficient there f to satisfy the claims P"Ymeut of of all creditors of the vendor is in fact actually applied ctob"

2 by the vendor in or tow~ds payment of all his creditors, without giving any pre renee or priority to one over another except such as is provided for by law or previous contract.

(2) Where goods, war s and merchandise purchased in bulk contrary to the rovisions of this Act are resold in bulk, and it appears to he court that the sale and re-sale were made for the purpos of evading this Act, the rights of the creditors of the riginal vendor hereunder shall be capable of enforcemen against the person or persons in possession of such go ds, wares and merchandise, in the same way as though t ey were still in the hands of the original purcha.o;;;er. 4.

Any such purchaser upon obtaining s~ch writt~n ~u'i\.~!er statement and statutory declaration shall etther obtam m 'fu.,h 08""' the written waiver hereinaf er referred to, from the creditors of the vendor, or shall pay he whole of his purchase money or sufficient thereof to sati y the claims of all the creditors of the vendor, or deliver ·s promissory note or notes or other documents securing he same, or part thereof, into the hands of an official a signee, for distribution pro rata ~i•lribution among the creditors of t e said vendor, subject to any o nto·~•Y preferences provided for b law or by previous contract, Such distribution shall be ade in like manner as moneys are distributed by an official assignee under The Assignments Act, and all the provisions f The Assignments Act relating to meetings of creditors, advertising for creditors and proof of claims shall apply proceedings had by an official assignee under this

section The fees of any such official Fee•lor <w•i • r.om~any assignee shall not exceed 3 per cent. of the total proceeds of such sale which shall com to his hands, and shall together with any disbursements b paid by being deducted out of the moneys to be recei ed by the said creditors and shall in no event be ch ged to the debtor; provided further that from and after t e furnishing of such declaration no preference or priority sha l be obtainable by any creditor by attachment or garnishing rocess or otherwise. 5.

If such purchaser upon ceiving such written statement ~on .. ~. tuonce l d I · 11 f "l b h . •f pur b....,r anc statutory ec aratlon s a1 to o serve t e reqmre- ra.ts t> ~arry ments of the last precedi g

section without obtaining ::,~t"~' ~l"tct the written waiver from cr ditors hereinafter referred to, then such purchaser shall b liable to the creditors of the vendor in the amount of the purchase price or such portion thereof as is not or has not be n paid or applied in or towards payment of all the creditors of the vendor pro rata without giving any preference or iority to one over another, except such as is provided y law or previous contrn.ct. 6.

Any sale or transfer o a stock of goods, wares or dwhat ~}'" • een1e a. merchandise, or part thereo , out of the usual course of sate iu utk" business or trade of the ven or, or whenever substantially the entire stock-in-trade of the vendor shall be sold or conveyed, or whenever an in erest in the business or trade of the vendor is sold or c nveyed, or attempted to be sold and conveyed, such ,' le, transfer or conveyance shall be deemed "a sale in ulk" within the meaning of this Act; provided, however, that if the vendor produces If waiv~ and delivers to the vendee a' it ten waiver of the provisions ~;;;ju~' ·~•tors of this Act from his creditor , representing fifty per cent.

Actt sha 1 • • • • DC\ a.pp y m number and value of the cl 1ms as shown by sa1d wntten statement, then the provision of this Act shall not apply.

3 7. This Act shall only apply t.o sales by traders and Only sales l by tradero merchants defined as follows: and merchant. , affected (

a) Persons who as their o1ensible occupatiOn buy and sell goods, wares nd merchandise, ordi narily the subject of trad and commerce; (

b) Commission merchants; (

c) Manufacturers. ff l b d · · · in bulk not a ect any sa e y executors, nnmstrators, receivers, affected 8. Nothing in this Act contaf,ed shall apply to or Certain seJes assignees for the benefit of credit rs or any public official acting under judicial process. 9. This Act shall come into fore~ on the ............... ~~;~,~c~ day of .................. 19 .. .

SCHEDULE A. Statement showing names and a( dresses of all creditors· of ... . . . . . . . . . . . • 0 0. 0 •• 0 0. 0 •• of ........... . .... ..

Name of Post Office Natu e of Amount When Creditors address indet ted- due ne,s ---· I i I i STATU'l'ORY DECL~RATION I, .................. of . . . . . . . . . ................ . in the Province of Alberta, do sol mnly declare that the above is a true and correct stater ent of the names and addresses of all ......................... creditors, and shows correctly the amount of the debtedness or liabilit)r due, owing, payable or accruing ue, or to become due, and payable by. . . . . . . . . . . . . ........ to each of said creditors. (If the declaration £s nade by an agent add) I am the duly authorized agent o the vendor and have a personal knowledge of the mat ers herein declared to.

Or, if the vendor is a corpora ion- I, ..................... of ................. . in the Province of Alberta, do sol mnly declare that the above is a true and correct state ent of the names and addresses of all the creditors of the ..................... . company, and shows correctly the · mount of the indebted ness or liability due, owing, paya le or accruing due, or to become due and payable by su h company to each of said creditors, and that I am the. . . . . . . . ............ . of the said company, and have a personal knowledge of the matters herein declared to.

4 And I make this solemn ~eclaration conscientiously believing it to be true and kno ing that it is of the same force and effect as if made un er oath and by virtue of The Canada Evidence Act. Declared before me at the ) .............. of ....... . . . . . . . . . . . . in the ... 1 •• Provinee of Alberta, tl1i'i J ........... day of ........... A. D. 19 ...

No. 50 FOURTH SESSION ·-· SECOND LEGIHLA'.rUR.E 3 GEORGE V 1913 BILL

An act to regulate the Purchase, Sale and Transfer of Stocks of Goods in Bulk. Receivad and read the F . . 1rst time ................... . Second time . . . . . . . . . . . . . . . . .. Third time .................. . EDMONTON: J. W. JEFFERY, GovERNMENT PRINTER 1 9 1 3 Title: 1913 (2nd, 4th) Bill 50,

An Act to regulate the Purchase, Sale and Transfer of Stocks of Goods in Bulk

Document details

Collection	Alberta — Bills
Citation	L2 S4 10655
Type	bill
Volume / chapter	L2 S4 10655
Language	en
Format	json
Source	PROVINCIAL
Identifier	ba33c6a5c8f7231e39418002e0cc3d66fd9b8585

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