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Collection Acts and Regulations - Cross-Canada

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Collection Acts and Regulations - Cross-Canada

  1. 1. 1 of 11| P a g e COLLECTION ACTS AND REGULATIONS ACROSS CANADA Alberta British Columbia Manitoba New Brunswick Newfoundland & Labrador Northwest Territories & Nunavut Nova Scotia Ontario Prince Edward Island Quebec Saskatchewan Yukon GOVERNING LEGISLATION Fair Trading Act, RSA 2000, c. F-2 & Collection and Debt Repayment Practices Regulation, Alta Reg 194/1999 Business Practices and Consumer Protection Act (Part 7) SBC 2004 c 2 & Debt Collection Industry Regulation, BC Reg 295/2004 Consumer Protection Act CCSM, c. C200 (Part XII) Collection Agencies Act, RSNB 2011, c. 126 & General Regulation, NB Reg 84-256 Collections Act, RSNL 1990, c. C-22 & Collections Regulations, CNLR 986/96 Consumer Protection Act, RSNWT 1988, c. C- 17 & Debt Collection Practice Regulations R-049- 2003 Collection Agencies Act, RSNS 1989, c77 & Collection Agencies Regulations, NS Reg 104/75 Collection and Debt Settlement Services Act, RSO 1990, c C.14 & General Regulation, RRO 1990, Reg 74 Collection Agencies Act RSPEI, 1988, c C-11 & General Regulation, The Act Respecting the Collection of Certain Debts CQLR c R-2.2 & Regulation Respecting the Application of the Act Collection Agents Act R.S.S. 2000, c. 53 & Collection Agents Regulation Consumers Protection Act 2002, c.40 Collection Agency (“CA”) Licence Must be licensed (s.111(1)Act & s.3(2)Reg.) Must be licensed (s.143 Act) Must be licensed (s.76(1) Must be licensed and notice of license published in Royal Gazette (s.3(1) Act) Must be registered (s.12(1) Act) Must be licensed (s. 85(1) Act) Must be licenced (s.5(1)(a) Act) Must be registered if debtor or CA or C is located in Ontario when the dealing takes place (s.2(0.1)Act) Must be licensed (s.3(2) Act) Must hold a permit (s.7 Act) Must be licensed (s.4(a) Act) Must be licensed (see s.75 Act) Collector (“C”) Licence Must be licensed (s. 111(2) Act & s.3(4) Reg.) Must be licensed (s.143 Act) NO licence IF employed by licensed CA but is subject to registration requirements (s.76(2)) Must be licensed and notice of license published in Royal Gazette (s.3(1) Act) Does not need to be registered if C is employed and supervised by a registered CA (s.13 Act) Must be licensed (s.85(2) Act) Must be licenced (s.5(1)(b) Act) Must be registered if debtor or CA or C is located in Ontario when the dealing takes place (s.2(0.1)Act) Must be licensed (s.3(1)Act) Must hold a permit (s.7 Act) Must be licensed (s.4(b)Act) Must be licensed (see s.75 Act) Lawyers as Collectors Lawyers exempt from “Collection Practices” Part of Act if acting in the practice of their profession (s.110 (2) Act) Lawyers exempt from requirement to have a licence if in the regular practice of their profession (s.3 (a) Reg.) Definition of CA does NOT include a barrister or solicitor who is entitled to practice in Manitoba and acting in that capacity (s.1 (1) Act does not apply to members of the Bar of the Province of New Brunswick (s.2(1)(a) Act) BUT does apply to a member of the Bar of ANY PROVINCE who carries on a CA in a name other than his or her own (s.2(2) Act) Must be registered if carrying on a CA in a name other than his or her own BUT Act does NOT apply to lawyers in the practice of his or her profession or to an articled clerk under the direction of a lawyer in the practice (s.3(2)(Act) Exempt from Act if entitled to practice in NWT and acting in that capacity (s.1 Act) Act does not apply to any barrister or firm of barristers of the Supreme Court (s.3 Act) Act does not apply to a barrister or solicitor in the regular practice of his or her profession or to his or her employees (s.2(1)(b) Act) Act does not apply to any solicitor or barrister or firm of solicitors and barristers of the Supreme Court of PEI (s.5 Act) Act does not apply to an advocate or a notary (s.6(1) Act) Act (except s.29(2)) does not apply to any barrister or solicitor or his employee in the regular practice of his profession (s.22(1)(a) Act) A “collection agent” does not include a “lawyer acting in that capacity” (s.1(k) Act) Before Collection: Originating Information and Identification Requirements If CA must use name on licence unless approval from Director and must provide CA contact number when leaving message. (s.12(1)(c)Reg.) A C cannot attempt to collect or initiate verbal communication with debtor UNTIL 5 DAYS after notifying debtor in writing: name of creditor, amount Must provide name of creditor, balance owing and identity and authority of person making the demand for payment (s.98(m)) Before attempting to collect or communicate with debtor (via phone or personal call) must wait UNTIL 5 DAYS after providing written notice naming Cannot communicate in any way with debtor unless debtor first provided with written notice (s.12(1)(f) Reg) Must provide private written notice, naming the creditor, balance owing, name of CA, name of individual providing notice and the authority Cannot use verbal communication UNLESS notice provided in writing first (s.20(1)(f)Act) Any written communication: by CA must use CA Cannot demand payment or attempt to demand payment unless sent by ordinary mail a private written notice with name of creditor, Cannot verbally communicate with debtor until 5 DAYS after sending notice of payment in paper form, conforming to model prescribed by regulation Cannot make a demand by phone, personal call or by writing without indicating name of creditor, balance of account, and identity and authority of Cannot make any demand for payment by phone, personal call or in writing without indicating name of creditor, balance owing, and identity and
  2. 2. 2 of 11| P a g e COLLECTION ACTS AND REGULATIONS ACROSS CANADA Alberta British Columbia Manitoba New Brunswick Newfoundland & Labrador Northwest Territories & Nunavut Nova Scotia Ontario Prince Edward Island Quebec Saskatchewan Yukon If C, cannot collect or attempt to collect a debt without providing i) name and ii) name of CA (s.12(1)(d) Reg.) Cannot refuse to provide information on request of debtor of identity of original and current creditor of the debt and details of debt ((12(1)(t) Reg) owing and identity of CA IF debtor has not received notice, must send notice to address provided by debtor (s.115(1-3) Act) AND at time C communicates with debtor, C must first indicate name of creditor, amount of debt and identity and authority of C to collect debt (s.116 (3)Act) creditor, balance owing, name of CA, name of C, authority of CA or C to collect account (s.14(1)(j) and 14(3) Reg) Cannot communicate or attempt to communicate by any means without indicating name of creditor, balance owing and name of CA or name of C and the CA that s/he is working for (s.14(1)(k)Reg) AND when contacting debtor by phone shall immediately identify as a CA and cannot use any device, comment or statement to infer otherwise (s.12(2) Reg) in respect of debt (s.1(2) Reg) Must wait 10 DAYS after written notice is mailed or 5 DAYS after written notice is personally delivered before initiate verbal contact (s.1(3) Reg) IF debtor advises did not receive written notice must provide written notice (s.1(4) Reg) Each time a CA or C contacts a debtor, must provide name of creditor, balance owing, name of CA, name of individual and authority with respect to debt (s.2 Reg) licenced name (s.26(1)Reg), by C shall include name and signature of C and name of CA (s.26 (2)(a)Reg) any verbal communication by C must identify C’s name, stated that C is a licensed C and the name of the CA (s.26(2)(b) Reg) Cannot make a demand by phone, in person or writing without indicating name of creditor, balance and identity and authority of person making demand (s.20 (1)(n) Act) balance owing, identity of CA or C and authority of CA or C to demand payment (s.21(1)(Reg) No telephone call or personal call until 6th DAY after mailing written notice (s.21(2) Reg) BUT written demand for payment CAN be included in written notice (s.21(3) Reg) If debtor says has not received notice must send notice to address provided by debtor and wait another 6 days (s.21(4) Reg) (s.34(1)Act) Must wait another 5 DAYS after sending a second notice if debtor advises s/he did not receive first one (s.34(1.1)Act) With every communication CA or C must identity self (s.4 Act) person making call (s.29(1)(k) Act) authority of person making demand (s.72(m) Act) Contact Time 7am-10pm (s.12(1)(g) Reg) 7am – 9pm (s.118 (2)(a) Act) 7am-9pm (s.98(j)) 7am-9pm (14(1)(d) Reg) 8am-10pm (s.12(1)(c)Reg) 9am-7pm (s.8(c)Reg) 8am-9pm (s.20(1)(k)(ii) Act) 7am-9pm (Outside these hours allowed if at request of person being contacted) (s.22(6)(1) Reg) 8am – 9pm (s.5(f)Reg) 8am – 8pm (s.34(4) Act) 8am-9pm (s.29(1)(h)Act) 7am-9pm (s.72(j) Act) Sunday Calls 7am-10Pm (s.12(1)(g)(Reg) (No restrictions on Sundays in Act or Reg) 1pm-5pm (s.118(2)(b) Act) NO (s.98(j) 1pm-5pm (s.14(1)(d)Reg) 8am-10pm (s.12(1)(c)(Reg) 1pm-5pm (s.8(a) Reg) NO (s.20(1)(k)(i)Act) 1pm-5pm (Outside of these hours allowed if at request of person being contacted) (s.22(6)(1)Reg) 8am-9pm (No other restrictions in Act or Reg) NO (s.34(4) Act) NO (s.29(1)(h) Act) NO (s.72(j)Act) Holiday Calls 7am-10pm (s.12(1)(g)No Restrictions on Holidays in Act or NO (s.118 Act) NO (s.98(j) NO ((s.14(1)(d) Reg) 8am-10pm- No restrictions in Act or Reg. NO (s.8(b) Reg) 8am-9pm (No restrictions stated in Act or Reg) NO (Specific holidays listed at s.22(7)(Reg) (s.22(6)(1)(Reg) 8am-9pm (No other restrictions in Act or Reg) NO (s.34(4) Act) NO (s.29 (1)(h) Act) NO (s.72(j)Act)
  3. 3. 3 of 11| P a g e COLLECTION ACTS AND REGULATIONS ACROSS CANADA Alberta British Columbia Manitoba New Brunswick Newfoundland & Labrador Northwest Territories & Nunavut Nova Scotia Ontario Prince Edward Island Quebec Saskatchewan Yukon Reg Other Restrictions on Contact CANNOT exceed 3 unsolicited contacts on behalf of same creditor in 7 day period (not including contact with 3rd party to locate, mistaken contact with 3rd party or by traditional mail) (s.12(1)(v)(Reg) N/A N/A N/A N/A N/A N/A Once CA or C speaks with person being contacted by phone call or personal call the CA or C cannot contact person more than 3 times in a 7 day period on behalf of the same creditor (not including ordinary mail, contact consented to or requested or contact of a person other than the debtor where the purpose is to locate the debtor (s.22(6(2), 8-9) Reg) Cannot conduct inquiries through persons other than the debtor to demand payment of the debt (s.5 (e)(i) Reg) N/A N/A N/A Communication / Contact with Others NO communication with any person about debt or existence of debt OTHER THAN with debtor, guarantor of debt, debtor’s representative or the creditor of the debt, UNLESS debtor provides express consent (s.12(1)(p)Reg) AND CANNOT contact debtor’s spouse, partner, relative neighbour, friend or acquaintance UNLESS to obtain address, or NO communication with family, relative, neighbour, friend or acquaintance UNLESS to obtain home address or phone number of debtor OR the person contacted is the guarantor OR the debtor has authorized the C to discuss the debt (s.117(1) Act) Cannot give by implication, inference or statement, any false information to any person that may be detrimental to debtor or spouse or common-law partner (s.98(l)) Cannot make phone calls or personal calls of such a nature or with such frequency as to constitute harassment of ANY person in an effort to Cannot communicate or attempt to communicate with anyone other than debtor UNLESS it is at that person’s request or with the debtor’s approval if at debtor’s employment (s.14(1)(b- d) Reg) Cannot communicate with debtor’s acquaintances, friends, relatives or neighbours UNLESS to obtain debtor’s address OR that person is surety for the debtor (s.12(1)(h) Reg) Cannot communicate with any member of debtor’s family or household, any relative, neighbour, friend or acquaintance UNLESS contacting to obtain address or phone number OR the individual guaranteed the debt OR the debtor, in writing, has requested the CA or C to contact the individual and s/h does not object to contact (s.5 Reg) Cannot communicate with acquaintances, friends, relatives or neighbours UNLESS person is a surety OR to obtain address of debtor (s.20(1)(o) Act) Cannot contact spouse, family or household, relative, neighbour, friend or acquaintance UNLESS guarantor of debt, debtor has requested CA or C to discuss debt with that person OR the CA or C does not have debtor’s home address or phone number and contact is for SOLE purpose of obtaining (s.22(3)Reg) Cannot communicate with debtor’s relatives, neighbours or friends UNLESS to obtain debtor’s address (s.5(l)Reg) Cannot include debtor’s spouse in court actions or other attempts to collect when only one party is liable for debt (s.5(b) Act) Cannot communicate with spouse, civil union spouse, family, friends, acquaintances, neighbours EXCEPT on ONE occasion ONLY to obtain address or phone number OR if that person was a surety (s.4 Act)
  4. 4. 4 of 11| P a g e COLLECTION ACTS AND REGULATIONS ACROSS CANADA Alberta British Columbia Manitoba New Brunswick Newfoundland & Labrador Northwest Territories & Nunavut Nova Scotia Ontario Prince Edward Island Quebec Saskatchewan Yukon personal or business phone number (s.12(1)(l) Reg) determine the whereabouts of a debtor, spouse, or common law partner or family (s.98(n)) Employer / Place of Employment NO contact with employer UNLESS to confirm debtor’s employment status, business title and address of the business IN PREPARATION for legal proceedings (s.12(1)(m) Reg) NO contact at place of employment IF the debtor requests CA or C not contact them there, makes reasonable arrangements to discuss the debt AND discusses the debt in accordance with arrangement (s.12(1)(o) Reg.) Cannot communicate with employer UNLESS for purpose of confirming employment, business title and business address OR if authorized in writing by debtor (s.117 (2) Reg.) NO contact at place of employment UNLESS contact solely for purpose of getting home address or phone number, C has failed in attempts to contact debtor at home address or phone number (BUT can only make ONE attempt at work) OR C had been authorized by debtor to contact at work (s.116(1-2) Act) N/A Cannot communicate with debtor or anyone at debtor’s place of employment, except with debtor’ approval (s.14(1)(c)Reg.) Cannot contact debtor at place of employment (s.12(1)(a) Reg) AND cannot contact employer without debtor’s consent (s.12(1)(b) Reg) Cannot contact debtor at place of employment UNLESS debtor requests that they do (s.3(1) Reg) OR can contact debtor at employment ONLY ONCE to obtain address or phone number of debtor if not provided already OR if CA or C has made a number of unsuccessful attempts at phone number already provided by debtor (s.3(2) Reg) Cannot contact employer UNLESS they are guarantor of debt OR it is in respect of payments from employer pursuant to a wage assignment OR payment for a court order or judgment in favour of CA or creditor OR the debtor has authorized contact of employer in writing (s.4(1)(a-c Reg) ALSO may contact employer ONCE a year to verify Cannot communicate with employer UNLESS employer is surety of debt OR to obtain debtor’s address (s.20(1)(o) Act) Cannot give or threaten to give to the person who employs the debtor, his spouse or family member ANY information that may adversely affect the employment or employment opportunities of the debtor, his spouse or family member (s.20(1)(m) Act) Cannot contact employer UNLESS employers is guarantor, debtor has provided written authorization to contact employer, contact occurs only ONCE and is for sole purpose of confirming debtor’s employment, business title, and/or business address OR the contact is in respect of payments pursuant to a wage assignment given to a credit union or caisse populaire OR an order or judgment by a court (s.4(a- d)Reg) Cannot communicate with debtor’s employer UNLESS to obtain debtor’s address (s.5(l)Reg) Cannot conduct inquiries at place of employment without debtor’s approval (s.5(e)(ii) Reg) Cannot contact debtor or surety at place of employment without express authorization EXCEPT on ONE occasion which is permitted if the CA does not know the address or telephone number of debtor or surety OR the CA has tried unsuccessfully to reach debtor or surety at their home number (s.4 Act) Cannot contact employer EXCEPT on one occasion to obtain address or phone number OR if employer is surety (s.4 Act) Cannot give or threaten to give inference or statement to employer of debtor or spouse or family member information that may adversely affect their employment or employment opportunities (s.29(1)(j) Act)
  5. 5. 5 of 11| P a g e COLLECTION ACTS AND REGULATIONS ACROSS CANADA Alberta British Columbia Manitoba New Brunswick Newfoundland & Labrador Northwest Territories & Nunavut Nova Scotia Ontario Prince Edward Island Quebec Saskatchewan Yukon debtor’s employment, business title, and business address (s.4(2) Reg) Stop Contact Cannot continue to contact any person who has informed CA or C they are not the debtor OR the debtor if s/he has notified the CA or C that the debt is in dispute and wants the matter to go to court (s.12(1)(k) OR when the debtor has notified the CA in writing to communicate only with debtor’s representative and has provided current address and phone number of representative and s/he makes reasonable arrangements to discuss AND discusses the debt with CA Or C (s.12(1)(n) Reg) Must stop communication with debtor – 1) except in writing if debtor asks for communication in writing only and has provided mailing address OR 2) except through lawyer if debtor asks and provides address of lawyer OR 3) debtor notifies C and the creditor that debt is in dispute and wants to go to court (s.116(4) Act) Must stop demand for payment if debtor gives notice by registered mail to CA of a claim for set-off or counter- claim UNTIL CA has submitted matter to court OR the debtor and CA have agreed in writing to amount still owing by debtor in respect of claim after deducting amount agreed on for set- off or counterclaim (s.98(k)) If written notice provided by debtor – can only communicate in writing if address provided, or with legal advisor if address provided, or must stop communication if debtor has provided notice to the creditor and CA or C by registered mail that debt is disputed and matter to go to court. (s.14(1)(l)(Reg.) N/A Must stop communication with debtor (other than in writing) if debtor has made a written request to communicate only in writing AND has provided the CA or C with an address at which the debtor can be contacted (s.12 (1) Reg) Also, must stop communication other than through legal counsel if debtor has notified in writing and provided legal counsel name, address and phone number (s.12(2) Reg) Also, must stop communication if notified in writing that debt is in dispute and wants debt taken to court UNLESS debtor is not represented by legal counsel and communication is related to court proceeding that CA has express Cannot communicate with debtor if debtor has notified in writing to communicate with legal advisor (s.20(1)(e)Act) Cannot contact debtor unless debtor consents or requests contact IF debtor has notified by registered mail that debtor disputes amount and matter to be taken to court (s.22(1) Reg) OR if debtor, lawyer or licensed paralegal sends CA by registered mail request for communication only with lawyer or paralegal and provides address and phone number CANNOT contact debtor unless debtor consents or requests contact (s.22(2)Reg) N/A Cannot communicate with debtor when notified in writing to communicate with legal advisor (s.3(2) Act) Cannot communicate verbally with debtor if debt is disputed and debtor informs in writing that creditor may proceed with legal action (if collection of a debt by Government prohibition only applies as of 120 days following demand for payment) (s.3(2.1)Act) and s.34(2.1) Act) Cannot communicate verbally with debtor if debtor advised in writing requesting written communication only (s.34(2)Act) N/A Cannot make further demand for payment if debtor gives notice by registered mail of a claim of set-off or counterclaim until the matter is submitted to court OR the debtor and CA have agreed in writing to amount still owing after deducting for set- off or counterclaim (s.72(k) Act)
  6. 6. 6 of 11| P a g e COLLECTION ACTS AND REGULATIONS ACROSS CANADA Alberta British Columbia Manitoba New Brunswick Newfoundland & Labrador Northwest Territories & Nunavut Nova Scotia Ontario Prince Edward Island Quebec Saskatchewan Yukon written authority to commence (s.13 Reg) Harassment No use of threatening, profane, intimidating or coercive language; no use of undue excessive or unreasonable pressure OR no use of telephone or email to call of send messages excessively (s.12(1)(i) Reg.) Cannot communicate with a frequency as to constitute harassment (s.114(1)Act) Cannot use threatening, profane, intimidating or coercive language; cannot exert undue, excessive or unreasonable pressure; or publish or threaten to publish a debtor’s failure to pay (s.114(2) Act) Cannot make phone or personal calls of such a nature or frequency which constitutes harassment of debtor, spouse, common-law partner or family (s.98(f)) Cannot communicate with such frequency as to constitute harassment, including using threatening, profane, intimidating or coercive language; undue, excessive or unreasonable pressure or making public or threatening to make public debtor’s failure to pay (s.14(1)(a)Reg). Cannot use coercive language, threaten loss of employment or loss of community ranking (s.12(1)(e)Reg) Cannot make phone or personal calls of such a nature or frequency as to constitute harassment of debtor, spouse or member of his or her family (s.12(1)(g) Cannot communicate in such a manner with such frequency using such means or using content of such a nature as to constitute harassment of debtor or individual contacted (s.7(1) Reg) Examples of harassment include use of threatening, profane, intimidating or coercive language; use of undue, excessive or unreasonable pressure; threat to publish or publication of debtor’s failure to pay debt (s.7(2) Reg) Cannot in any way threaten, abuse or intimidate a debtor either orally or in writing to induce a person to pay a debt (s.20(1)(i) Act) Cannot make telephone calls or personal calls or written communications of such nature or with such frequency as to constitute harassment of debtor, his spouse or any member of his family (s.20(1)(j) Act) Cannot publish or threaten to publish debtor’s failure to pay (s.22(6)(3)Reg) Cannot use threatening, profane, intimidating or coercive language (s.22(6)(4)Reg) Cannot use undue, excessive or unreasonable pressure (s.22(6)(5)Reg) Cannot otherwise communicate in such manner or frequency as to constitute harassment (s.22(6)(6)Reg) Cannot use coercive language, cite loss of employment or loss of community ranking (s.5(f)Reg) OR make such frequent communication as to constitute harassment (s.5(j)Reg) OR give any false or misleading information detrimental to a debtor OR any information that may adversely affect the debtor’s employment or that of any member of his family (s.5(k)Reg) Cannot use harassment, threats or intimidation (s.3(3) Act) Cannot disclose information that might cause injury to the debtor, his or her surety, their married or civil union spouses or member of their families (s.3(4) Act) Cannot threaten to reveal debtor’s failure to pay or threaten to publish failure to pay or have unfavourable entry of it made (s.34(5) Cannot make phone call or personal calls of such nature or with such frequency as to constitute harassment of the debtor, his spouse, or any member of his family (s.29(1)(g)Act) Cannot make phone calls or personal calls of such nature or frequency as to constitute harassment of any person in effort to determine whereabouts of debtor, his spouse or any member of his family (s.29(1)(l) Act) Cannot make phone or personal calls of such a nature or with such frequency as to constitute harassment of the debtor, the debtor’s spouse or family (s.72(f) Act) Restrictions on Fees Cannot charge any fee to a person for whom CA or C acts in addition to fees provided under agreement (s.12(1)(b)(Reg.) Cannot charge a fee to a debtor beyond the debt that is due and Cannot communicate with a person by a means that results in costs of that communication being payable by that person (s.119 Act) A C cannot collect or attempt to Cannot collect amount greater than amount owing to creditor and fees allowed by any statute or regulation made thereunder (s.98(a)) Notwithstanding any agreement Cannot communicate with a person by means that enables the charges or costs of communication be payable by the debtor or other person (s.14(1)(e)Reg) Notwithstanding Cannot send a telegram or make a phone call for which charges are payable by the addressee or person to whom the call is made (s.11(1)(c)Act) Cannot collect money in addition Cannot communicate by a means that would result in charges of that communicated being payable by debtor or by individual to whom communication directed (s.9 Reg) Cannot collect money in excess of amount owing by debtor to creditor (s.20(1)(a)Act) Cannot make any charge against a person for whom a CA acts in addition to those in agreement with Cannot collect any money in addition to amount owing by debtor (s.22(a) Act) Cannot communicate by a means that enables the charges or costs of the Cannot collect any additional money than what is owing by the debtor (s.5)(a)Reg) Cannot send a telegram or phone call for which charges are payable by addressee or Cannot claim a sum of money from anyone other than debtor or surety (s.3(7) Act) Cannot collect or claim from a debtor a sum of money greater than that which is due (s.3(5) Act) Cannot collect any moneys in addition to amount owing by debtor (s.29(1)(a) Act) Cannot make any charge against a person for whom he acts in addition to those contained Cannot collect greater amount than the sum of amount actually owing AND the amount of fees allowed by any statute or regulations thereunder (s.72(a)(Act)
  7. 7. 7 of 11| P a g e COLLECTION ACTS AND REGULATIONS ACROSS CANADA Alberta British Columbia Manitoba New Brunswick Newfoundland & Labrador Northwest Territories & Nunavut Nova Scotia Ontario Prince Edward Island Quebec Saskatchewan Yukon owing from the debtor to the creditor EXCLUDING a reasonable fee for a dishonoured cheque, if the fee was disclosed to the debtor in writing prior to the submission of the cheque (s.12(1)(s) Reg.) collect money that exceeds amount of debt (s.120(a)Act) A CA cannot charge fees and disbursements to a debtor except as authorized by an enactment (s.128(1)Act) Despite an agreement to contrary with debtor any charges made or incurred by CA or creditor I collecting debt are NOT part of the amount owing by debtor AND a CA must NOT collect from debtor any charges that are not part of amount owing by debtor (s.128(4) Act) (A bailiff’s reasonable fees and disbursements are deemed to be part of amount owing by debtor – s.128(3)Act) between creditor and debtor, cannot collect any fee or commission payable by the creditor to the CA under any agreement between creditor and CA (s.98(b)) OR cannot use a telegram or phone call to debtor which debtor has to pay for (s.98(c) Cannot collect from debtor amount greater than provided by regulation for acting for debtor in making arrangements or negotiating with creditors on behalf of debtor or receiving money from debtor for distribution to his creditors (s.98(o) Act) No CA shall obtain any benefit, from the conduct of his business as a CA other than the agreed schedule of fees payable by creditor and amounts not in excess of any fees under the Act or other Act or regulations (s.103(1) Act) When CA has any agreement to contrary between a debtor and creditor, CANNOT collect any amount that exceeds amount owing by debtor, including but not limited to any charges made or incurred by the CA or branch office of the CA and any charges incurred by creditor for services of the CA(s.14(2)(b) Reg) to the amount owing by debtor (s.11(1) Act) Notwithstanding an agreement to the contrary between debtor and creditor, the costs incurred by CA or by creditor in collecting debt CANNOT be considered to be a part of the amount owing by the debtor and shall not be recoverable by the creditor or by the CA (s.11(2) Act) Cannot add to the amount owing by the debtor any charges made or incurred by a CA or C in respect of the collection or incurred by a creditor in employing a CA or C (s.104.2(1) Act) A CA or C cannot collect or attempt to collect any money in addition to the amount owing on debt by debtor (s.104.2(2) Act) that person (s.20(1)(c)Act) Cannot send any telegram or make a call for which the charges are payable by the addresses or person to whom call made (s.20(1)(d)Act) Notwithstanding any agreement to the contrary between a debtor and creditor any charges made or incurred by the CA or incurred by creditor in employing CA are NOT part of the amount owing by the debtor and CANNOT be recoverable (s.20(2)Act) communication to be payable by that person (s.22(b) Act) Cannot receive or make an agreement for additional payment by debtor either on its own account or for the creditor and whether as a charge, cost, expense or otherwise in consideration for any forbearance, favour, indulgence, intercession or other conduct by the CA (s.22(c)Act) Charges incurred by a CA or C in collecting a debt or incurred by creditor DO NOT form part of the debt owed by debtor and cannot attempt to collect such charges (s.25(1)(Reg) HOWEVER, a CA or C may collect as part of the debt owed all reasonable charges incurred by CA or C for debtor’s DISHONOURED CHEQUES IF agreement person called (s.5(b)Reg) Cannot claim the performance of an obligation in addition to that which is owing, particularly as a collection fee or in consideration of a time allotted for payment (s.34(7) Act) Cannot undertake to assume the judicial costs which might be incurred by reason of the collection of a debt (s.34(8) Act) in the agreement with that person (s.29(1)(b) Act) Cannot send any telegram or make any call for which the charges are payable by addresses or the person to whom call made (s.29(1)(c)Act) Despite any agreement to the contrary between the creditor and a debtor cannot collect any fee or commission payable by the creditor to a CA under any agreement or understanding between the creditor and CA (s.72(b) Act) Cannot send any telegram or make any call to a debtor if charges are payable by addressee of telegram or the person to whom call made (s.72(c)Act) Penalty for wrongful collection of debt – if CA or creditor charges a debtor with any amount not rightfully collectible debtor may recover from the creditor an amount equal to three times the amount of the charge as a debt due to the debtor OR if amount has not been paid or partly paid – set- off an amount equal to three times the amount of the charges
  8. 8. 8 of 11| P a g e COLLECTION ACTS AND REGULATIONS ACROSS CANADA Alberta British Columbia Manitoba New Brunswick Newfoundland & Labrador Northwest Territories & Nunavut Nova Scotia Ontario Prince Edward Island Quebec Saskatchewan Yukon collected from debtor an amount for his services under clause 98(o)(above) CA cannot collect a fee or any amount from the creditor of that debtor with respect to the debt collected (double fees prohibited) (s.103(2) Act between creditor and debtor provides so and sets out the amount; the creditor has provided information to debtor and debtor knows or reasonably ought to know of his or her liability for such charges OR the collection of such charges is permitted by law (s.25(2)Reg) against the amount rightfully owing to creditor (s.74(1) Act) No CA shall obtain any benefit, either directly or indirectly, from the conduct of business as a CA other than the agreed schedule of fees payable by the credit grantor using the collection agent’s services in amount not in excess of any fees prescribed under this or any other Act or regulations made thereunder, or any Act of Parliament or regulations made thereunder.(s.76 Act) Restrictions on Use of Court Forms Before Litigation A C cannot use, without lawful authority, a summons, notice, demand or other document that suggests or implies a connection with any court inside or outside Canada (s.123 Act) No CA shall use any form that, in the opinion of the director, is an avoidance or breach of the Act (s.104) Cannot use without lawful authority any summons, notice, demand or other document expressed in language of general style of Cannot use without lawful authority any summons, notice, demand or other document that suggests or implies a connection with any court (s.14(1)(i) Reg) Cannot use without lawful authority a summons, notice, or demand or other document expressed in language of the general style of a court of the province (s.11(1)(g) Act) Cannot use without lawful authority, any summons, notice, demand or other document that suggests or implies a connection with any court (s.10(2)(b) Reg) Cannot use without lawful authority any summons, notice or demand or other document expressed in language of the general style or purport of any form used in any court in the Province or printed in the general appearance of such form Cannot use without lawful authority, any summons, notice, demand or other document that states, suggest or implies that it is authorized or approved by a court in Canada or another jurisdiction (s.24(c)Reg) Cannot use any notice having the general appearance of a form used in any court in the province (s.5(g)Reg) Cannot use a writing that might be mistaken for a document used, authorized, issued or approved by a tribunal, a government, a municipality, or an agency of any of these (s.3(6) Act) Cannot use without lawful authority any summons, notice or demand or other document expressing in language of the general style or purport of any form used in any court in the province or printed or written or in the general appearance or format of any such Cannot use without lawful authority a summons, notice demand or other document in general language, appearance or format of any form used in any court in Yukon (s.72(e)Act)
  9. 9. 9 of 11| P a g e COLLECTION ACTS AND REGULATIONS ACROSS CANADA Alberta British Columbia Manitoba New Brunswick Newfoundland & Labrador Northwest Territories & Nunavut Nova Scotia Ontario Prince Edward Island Quebec Saskatchewan Yukon any form used in any court in the province or with general appearance of any form used in court in the province (s.98(e)) (s.20(1)(h) Act) form (s.29(1(f) Act) Representation as Law Firm / Lawyer / Legal Proceedings Cannot indicate to debtor or any other person that CA or C is part of a law firm or legal department of a business, including a legal department of the CA itself or of the creditor of the debt (s.12(1)(q)(Reg) C cannot indicated that it is a legal collector, litigation specialist or the like (s.12(1)(r) Reg) If debt assigned to C, C cannot bring or continue a legal proceeding UNLESS debtor notified of assignment OR bring a legal proceeding UNLESS C gives notice to debtor that C intends to bring proceeding (s.121(1) Act) A C must not recommend to creditor that a legal proceeding be brought UNLESS C first tells debtor intends to recommend proceeding BUT a C must not threaten or state an intention to bring or continue legal proceeding for recovery of debt if no written authority from creditor or if no lawful authority (s.121 (2-4) Act) Cannot verbally or in writing attempt to collect by stating intention or threat to proceed with any action for which does not have lawful authority (s.98(d)) No CA shall commence or continue legal proceedings in the name of CA unless debt has been assigned to the CA by written instrument for valuable consideration and written notice provided to the debtor (s.14(2)(a) Reg) Cannot commence a legal proceeding for the recovery of debt in name of CA if debt has been assigned to the CA, or recommend to the creditor to commence legal proceeding UNLESS debtor has been provided with written notice that CA intends to (or recommends to) commence legal proceedings 9s.14(2)(a-b) Reg) Cannot threaten or state an intention to commence legal Cannot threaten to proceed with an action for which CA or C does not have authority (s.12(1)(d) Reg) Cannot raise an action in its own name for recovering a debt on behalf of a client (s.13 Reg) No CA or C shall threaten to proceed with any action which the CA or C does not have lawful authority (s.14 Reg) Cannot threaten commencement of court proceeding or intention to commence court proceeding on behalf of creditor unless creditor has provided CA with express written authority (s.15(1)Reg) No CA or C shall recommend to creditor to commence court proceeding without providing written notice to debtor that CA or C intends to make recommendation (s.15(2) Reg) AND NO CA or C can commence court proceedings unless written notice provided to debtor that CA intends to commence Cannot commence or continue an action for recovery of debt in name of CA or C as plaintiff unless such debt has been assigned to the CA or C in good faith by instrument in writing for valuable consideration and notice of assignment has been given to debtor (s.20(1)(p) Act) Cannot threaten or state an intention to commence a legal proceeding unless the CA or C has the written authority of the creditor or the proceeding is not otherwise prohibited by law (s.23(1)Reg) No CA or C shall recommend to a creditor that a legal proceeding be commenced unless CA or C first gives notice to debtor of intention to give recommendation (s.23(2) No CA or C shall commence legal proceedings in name of creditor unless CA or C has written authority; OR as Plaintiff unless creditor has assigned the debt by written instrument for valuable consideration, if proceeding Cannot threaten to proceed with any action for which he does not have lawful authority (s.5(h) Reg) Cannot include debtor’s spouse in court actions or other attempts to collect when only one party is liable for debt (s.5(c) Reg) Cannot represent that failing payment judicial proceedings will be instituted (s.34(6) Act) Cannot represent that failing payment the debtor is liable to arrest or penal proceedings (s.3(1) Cannot commence or continue an action for recovery of a debt in the name of CA as plaintiff UNLESS debt has been assigned to CA in good faith by instrument in writing for valuable consideration and notice of assignment has been given to debtor (s.29(1)(m) Act) Cannot verbally or in writing, collect or attempt to effect seizure of goods by stating intention or threat to proceed with any action for which the person does not have lawful authority (s. 72(d)Act)
  10. 10. 10 of 11| P a g e COLLECTION ACTS AND REGULATIONS ACROSS CANADA Alberta British Columbia Manitoba New Brunswick Newfoundland & Labrador Northwest Territories & Nunavut Nova Scotia Ontario Prince Edward Island Quebec Saskatchewan Yukon proceeding for which the CA does not have written authority from creditor or for which there is no lawful authority (s.14(1)(f) Reg) proceedings (s.15(3) Reg) A CA shall not start or continue any court proceeding unless a creditor has by written instrument assigned the debt to CA in good faith and for valuable consideration and written notice provided to debtor (s.104.3 Act) already commenced the CA or C has given written notice to debtor of assignment, if proceeding not commenced the CA or C must provide written notice of assignment and notice of intention to commence a legal proceeding (s.23(3)(Reg) Miscellaneous / Agreements / Assignment Cannot make any arrangement with a debtor to accept a sum of money less than amount owing as final settlement without prior consent from creditor (s.12(1)(e) Reg.) Cannot cancel or alter a payment agreement with debtor if s/he has complied and financial circumstances have not changed materially, UNLESS debtor has misrepresented financial circumstances (s.12(1)(w) Reg) A term of an agreement entered into by a CA is void if misrepresents Cannot assign an account to a CA without first cancelling in writing any previous assignment to any other CA; but one CA can act for or on behalf of another CA or a barrister or solicitor (s.98(g) Cannot enter into an agreement with a person for whom the CA acts unless a copy of the form of the agreement is filed with the registrar (s.11(1)(d) Act) Cannot enter into any agreement with a person for whom the CA acts unless a copy of the form of the agreement is filed with the Registrar (s.29(1)(d)Act) Cannot refer or assign an account for collection or seizure of goods to a collection agent without first cancelling in writing any previous referral or assignment to any other collection agent; but one collection agent may act for or on behalf of another collection agent or a lawyer; (s.72(g)Act)
  11. 11. 11 of 11| P a g e COLLECTION ACTS AND REGULATIONS ACROSS CANADA Alberta British Columbia Manitoba New Brunswick Newfoundland & Labrador Northwest Territories & Nunavut Nova Scotia Ontario Prince Edward Island Quebec Saskatchewan Yukon rights and powers of person collecting, misrepresents obligations or legal liabilities of debtor, is misleading or otherwise contravenes Act or Reg (s.12(2)(Reg) Cannot enter into or arrange any wage assignments with debtor or employer (s.12(1)(u) Reg)

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