Bill 204 — Third Session, 18Th Legislature, 26 Elizabeth Ii the Legislative Assembly'O-F Alberta Bill 204 An Ac'T Respecting Consumer Accounts An10 Records (Legislature 18, Session 3)

L18 S3 5810

Alberta — Bills

1977 Bill 204 Third Session, 18th Legislature, 26 Elizabeth II THE LEGISLATIVE ASSEMBLY'O-F ALBERTA BILL 204 AN AC'T RESPECTING CONSUMER ACCOUNTS AN10 RECORDS MR. TAYLOR First Reading ........................ . Second Reading ......................... . Third Reading Printed by the Queen's Printer for the Province of Alberta, EDMONTON

Mr. Taylor Bill 204 BILL 204 1977

AN ACT RESPECTING CONSUMER ACCOUNTS AND RECORDS (Assented to , 1977) HER 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, memo randum of revision, or periodic statement issued pursuant to

section 5 of The Credit and Loan Agreement Act, and includes a statement generated partly or completely from records stored in a com puter, but, for the purposes of this .Act, clause (

a) of

section 4 of The Credit and Loan Agreements Act shall not apply.

Explanatory Notes General. The purpose of this Act is to provide a channel through which consumers and creditors may handle errors in billing. It is also to ensure 'to the consumer a sltandard 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 pre sen tly read: 4. This Part does not apply to (

a) a sale for an amount less than $50, or (

b) a sale made (

i) by a manufacturer or dispatcher to a wholesaler, or (ii) by a manufacturer, distributor or wholesaler to a retailer, (

c) any sale or type of sales to which this Act is declared by the regulations not to be applicable. [R.S.A. 1970, c. 73, s. 4; 1972, c. 104, s. 2 Eff. Jan. 1/73] 5.

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

a) the cash selling price as it appears at the date of the sale in advertise ments, labels, price lists, catalogues and other price marks of the seller or as required from a cash buyer including the cost of transportation and installation of the thing sold, if that cost is charged separately to the buyer, (

p) the amount of the initial payment by the buyer with separate mention of (

i) the amount paid in money by the buyer, and (ii) the amount credited to the buyer on the giving by the buyer of any

article or thing to the seller, (

c) the amount of the balance of the price on the time sale to be paid by the buyer, (

d) the amount if any charged separately at the buyer's request for physical damage and liability insurance in respect of the goods sold, (

e) the amount, if any, charged separately for life and for hE-alth ami ac cident insurance protection for the buyer at his request, (

f) the official fee, if any, (

g) the credit charges expressed (

i) as a money charge, and (ii) as the annual percentage rate that the credit charge bears to the sum of the amounts stated under clauses (c), (d), (

e) and (fl. (

h) the total of the amounts stated under clauses (c), (d), (e). (fl and (

g) to be paid the seller with mention of (

i) the amounts by which the total is to be paid, and (iO the period or periods at which these amounts are to be paid. (

i) the total additional charge. if any. other than court costs. to be paid by the buyer in the event of default, expressed as a rate per centum per annum in the manner prescribed by the regulations. and (

j) a clear description of the goods sold.

(2) If the transportation or installation costs referred to in subsection (11. clause (

a) are charged separately to the buyer. these costs shall be separately set out in the time sale agreement

(3) Where any of the terms of a time sale agreement (whether entered i~to before. on or after June 1, 1968) ar varied or revised other th.an by the extensIOn of new additional credit, the seller. or his assigns. shall gJve to the buyer a memorandum of revision setting out. where applicable. (

a) the amount remaining unpaid under the original agreement.

2. Where a debtor receives a statement that he has grounds to believe is incorrect, he may, within ten days of receipt of the statement, send a notice of error by registered mail to the creditor, including the following iniorm'ation: (

a) the debtor's name and address (

b) the date of the statement (

c) file or account number shown on the statement, if any (

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

e) the amount that the debtor alleges is due (

f) any other detail 'Of the aeoO'unt th1at the debtO'r al leges to' be incO'rrect and accompanied by payment O'f that part of the amount due that the debtor alleges is due'. 3. Upon receipt of a notice of error from a debtor, the creditor shall, within five days of receipt O'f the notice, send t'O the debtor by registered mail an acknowledgement of such notice. 4. Within fourteen days of receipt of the notice of error, 1jhe creditO'r shall c!arry 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 registered mail, either ('

a) a corrected statement, or (

b) information sufficient to demonstrate to the debtor that the original statement was correct. 5. If the creditor does not send a oO'rrect'ed s,tatement pursU'ant to

section 4, clause (

a) or if the cr~ditor s,ends information pursuant to

section 4, clause (b), and the deb tor does not thereafter acknowledge in writing that the original statement was correct, nothing in this Act shall 'Oblige 1fue debtO'r to p'ay the disputed amount in the state ment, nor shall this Act prevent the creditor from exercis ing other legal remedies to collect the debt. 6.

(1) NO' creditor or agent or employee of a creditor shall release information relating to a debtO'r, his purchases, payments 'Or credit rating whi'Clh' is stored in a computer or any 'Other record kept by the creditor, to any person other than a l'aw enforcement agency, without the written con sent of the person regarding wIh'Om the inf'Orm'ation is being kept.

(2) The release 'Of any such informatiO'n t'O a oollection agency for the purpose O'f collecting an overdue debt shall be deemed to be release by permissiO'n of the debtor. 2

(

b) the rebate of credit charge, if any, computed as required by the regu lations as though the original agreement was being fully paid in advance. (

c) the balance resulting from subtracting the rebate stated under clause (

b) from the amount stated under clause (a). (

d) the official fee, if any, (

e) the new credit charges expressed (

j) as a money charge, and (ii) as the annual percentage rate that the credit charge beal"s to ~um of the amounts stated under clauses (

c) and (d), (n the total of the amounts stated under clauses (c), (

d) and (

e) with mention of (

i) the amounts by which the total is to be paid, and (ii) the period or periods at which these amounts are to be paid. and (

g) the total additional charge, if any, other than court costs, to be paid by the buyer in the event of default, expressed as a rate per centum per annum in the manner prescribed by the regulations.

(3.1) A time sale agreement and any variation or revision of a time sale agreement shall be signed by the buyer.

(4) The information required to be given by this

section shall be set out in the agreement or memorandum before or above the space intended for the signa ture of the buyer.

(5) Where goods are purchased under a continuous deferred payment plan, the seller shall be deemed to have complied with the requirements of this Act if the terms of the plan are in writing and if the plan and the periodic sta.tements and the other documents supplied by the seller to the buyer or. anyone or more of them, clearly set out (

a) the particulars mentioned in subsection (1), clause (a), (

b) where applicable the particulars mentioned in subsection (1). clauses (b), (c), (d), (

e) and (i), (

e) the total balance owing to the seller by the buyer as of the date of each statement supplied by the seller and the amount of the next in stalment payable under the plan and the date by which it is required to be paid, and (

d) the credit charge, if any, (

i) in the written agreement as a scale of money charges shown in a

schedule of amounts of outstanding balances and the a.pplicable charges, and as an annual percentage rate or a scale of annual percentage rates, and (ij) in the periodic statement as the actual amount of money charged with a clear indication of the balance on which the charge is cal culated and as an annual percentage rate or a scale of annual per centage 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 wisihes to deal with the creditor and that he wishes all records re lating to the dehtor to be destroyed, and the credit'Or, unless subject to a court order or a demand by a law enforcement agency to retain such records as evidence, shall, within a peri'Od of thirty days, destroy or erase all records he holds in any l'Ocation pertaining t'O the debtor from all records in his possession 'Or control. 8. The creditor shall, within thirty days of receipt of a notice issued pursuant to

section 8, notify the debt'Or by mlaH of the course of action taken in regard to his file and computer data. 9. Where a debtor issues a notice pursuant to

section 8, and the result of such notice is that all records pertaining to any 'agreement between the debt'Or and the credito:r to whom the notice was issued are destroyed, by the issuing 'Of the notice referred to in

section 8 the debtor thereby forfeits the right to challenge any statement issued by the creditor under this or any 'Other Act. 1.0. The creditor, by destroying records pursuant to sec tion 8, thereby forfeits the right to enforce any debt against the debt'Or which was evidenced by such records. 11. Any creditor who fails to comply with

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

section 2. 12. Any creditor who, without just cause, flails to comply with

section 7 or 8 of this Act, shal!l be liable fO'r a first of fence t'O ,a fine of not less than $500 or imprisonment for n'Ot le'8s than six months, 'Or to both fine and imprisonment, and, f'Or a subsequent .offence, to a fine 'Of n'Ot less than $1,000 'Or imprisonment for not less than three years, or to b'Oth fine and impris'Onment. 13. The following records are exempt form this Act: (

a) records kept by law enforcement agencies, (

b) records kept by the Government, a municipal gov ernment or their agencies, (

c) records kept by the Better Business Bureau of Ed monton (

d) records kept by the Better Business Bureau 'Of Cal gary, 'and (e) 'Such 'Other agencies as are named in the regulations. 3

t. Records destroyed at creditor's request. 8. Confirmation of action. 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. 3

14. The Lieutenant Governor in ,. Oouncil may m,ake reg- ulations (

a) exempting any person from this Act; (

b) exempting any records from this Act; (

c) for the inspection of the records of any creditor where there is reasonable c'aJUse to believe that there has been 'a breach of this Act. 15. Nothing in this Act shaH be construed as limiting or removing any right or rem'edy existing in law at the coming into force of this Act rel'ating to the dispute of an account between a debtor and a creditor. 16. This Act 'Shall come into force on the day upon which it i's 'assented to. 4

14. Regulations. 15. Remedies existing at law not affected. 16. Coming into force. 4 Title: 1977 (18th, 3rd) Bill 204,

An Act Respecting Consumer Accounts and Records

Document details

Collection	Alberta — Bills
Citation	L18 S3 5810
Type	bill
Volume / chapter	L18 S3 5810
Language	en
Format	json
Source	PROVINCIAL
Identifier	f7a30b99c0b8cf0369d6cc7f3961e17af092d554

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