C-38 - Companies Act

Section 59 Disposition versions

2004-02-01

59. (1)  Where the proposed reduction of share capital involves either extinction or diminution of liability in respect of unpaid share capital or the payment to any shareholder of any paid-up share capital, and in any other case if the enterprise registrar so directs, every creditor of the company who at the date of the petition for supplementary letters patent is entitled to any debt or claim which, if that date were the commencement of the winding-up of the company, would be admissible in proof against the company, shall be entitled to object to the reduction.

(2)  The enterprise registrar shall settle a list of creditors so entitled to object, and for that purpose shall ascertain the names of such creditors and the nature and amount of their debts or claims. He may thereupon publish notices fixing a period within which creditors not entered on the list are to claim to be so entered or are to be excluded from the right of objecting to the reduction.

(3)  Where a creditor entered on the list does not consent to the reduction, the enterprise registrar may, if he thinks fit, dispense with the consent of that creditor, on the company paying to the creditor his debt or claim in one of the ways hereafter mentioned, as the enterprise registrar may direct, to wit:

(a)  if the company admits the full amount of his debt or claim, or, though not admitting it, is willing to pay it, then the full amount of the debt or claim;

(b)  if the company does not admit or is not willing to provide for the full amount of the debt or claim, or if the amount is contingent or not ascertained, than an amount fixed by the enterprise registrar after the like inquiry and adjudication as if the company were being wound up.

R. S. 1964, c. 271, s. 56; 1966-67, c. 72, s. 23; 1982, c. 52, s. 138; 1999, c. 40, s. 70; 2002, c. 45, s. 278.

1999-10-22

59. (1)  Where the proposed reduction of share capital involves either extinction or diminution of liability in respect of unpaid share capital or the payment to any shareholder of any paid-up share capital, and in any other case if the Inspector General so directs, every creditor of the company who at the date of the petition for supplementary letters patent is entitled to any debt or claim which, if that date were the commencement of the winding-up of the company, would be admissible in proof against the company, shall be entitled to object to the reduction.

(2)  The Inspector General shall settle a list of creditors so entitled to object, and for that purpose shall ascertain the names of such creditors and the nature and amount of their debts or claims. He may thereupon publish notices fixing a period within which creditors not entered on the list are to claim to be so entered or are to be excluded from the right of objecting to the reduction.

(3)  Where a creditor entered on the list does not consent to the reduction, the Inspector General may, if he thinks fit, dispense with the consent of that creditor, on the company paying to the creditor his debt or claim in one of the ways hereafter mentioned, as the Inspector General may direct, to wit:

(a)  If the company admits the full amount of his debt or claim, or, though not admitting it, is willing to pay it, then the full amount of the debt or claim;

(b)  If the company does not admit or is not willing to provide for the full amount of the debt or claim, or if the amount is contingent or not ascertained, than an amount fixed by the Inspector General after the like inquiry and adjudication as if the company were being wound up.

R. S. 1964, c. 271, s. 56; 1966-67, c. 72, s. 23; 1982, c. 52, s. 138; 1999, c. 40, s. 70.

1983-04-01

59. (1)  Where the proposed reduction of share capital involves either extinction or diminution of liability in respect of unpaid share capital or the payment to any shareholder of any paid-up share capital, and in any other case if the Inspector General so directs, every creditor of the company who at the date of the petition for supplementary letters patent is entitled to any debt or claim which, if that date were the commencement of the winding-up of the company, would be admissible in proof against the company, shall be entitled to object to the reduction.

(2)  The Inspector General shall settle a list of creditors so entitled to object, and for that purpose shall ascertain the names of such creditors and the nature and amount of their debts or claims. He may thereupon publish notices fixing a delay within which creditors not entered on the list are to claim to be so entered or are to be excluded from the right of objecting to the reduction.

(3)  Where a creditor entered on the list does not consent to the reduction, the Inspector General may, if he thinks fit, dispense with the consent of that creditor, on the company paying to the creditor his debt or claim in one of the ways hereafter mentioned, as the Inspector General may direct, to wit:

(a)  If the company admits the full amount of his debt or claim, or, though not admitting it, is willing to pay it, then the full amount of the debt or claim;

(b)  If the company does not admit or is not willing to provide for the full amount of the debt or claim, or if the amount is contingent or not ascertained, than an amount fixed by the Inspector General after the like inquiry and adjudication as if the company were being wound up.

R. S. 1964, c. 271, s. 56; 1966-67, c. 72, s. 23; 1982, c. 52, s. 138.

1977-12-31

59. (1)  Where the proposed reduction of share capital involves either extinction or diminution of liability in respect of unpaid share capital or the payment to any shareholder of any paid-up share capital, and in any other case if the Minister so directs, every creditor of the company who at the date of the petition for supplementary letters patent is entitled to any debt or claim which, if that date were the commencement of the winding-up of the company, would be admissible in proof against the company, shall be entitled to object to the reduction.

(2)  The Minister shall settle a list of creditors so entitled to object, and for that purpose shall ascertain the names of such creditors and the nature and amount of their debts or claims. He may thereupon publish notices fixing a delay within which creditors not entered on the list are to claim to be so entered or are to be excluded from the right of objecting to the reduction.

(3)  Where a creditor entered on the list does not consent to the reduction, the Minister may, if he thinks fit, dispense with the consent of that creditor, on the company paying to the creditor his debt or claim in one of the ways hereafter mentioned, as the Minister may direct, to wit:

(a)  If the company admits the full amount of his debt or claim, or, though not admitting it, is willing to pay it, then the full amount of the debt or claim;

(b)  If the company does not admit or is not willing to provide for the full amount of the debt or claim, or if the amount is contingent or not ascertained, than an amount fixed by the Minister after the like inquiry and adjudication as if the company were being wound up.

R. S. 1964, c. 271, s. 56; 1966-67, c. 72, s. 23.