Bill 82, Family Responsibility and Support Arrears Enforcement Act, 1996

Harnick, Hon. Charles Attorney General

Versions

Family Responsibility and Support

Arrears Enforcement Act, 1996

EXPLANATORY NOTE

The Bill repeals and replaces the Family Support Plan Act. The Family Support Plan is replaced by the Family Responsibility Office. Following are some of the other changes in the new legislation.

New or Expanded Enforcement Powers

1. The types of income that must be paid by an income source to the Director of the Family Responsibility Office under a support deduction order are extended to include lump sum payments and up to 100 per cent of income tax refunds and other payments that are attachable under the Family Orders and Agreements Enforcement Assistance Act (Canada). (Subsection 1 (1) definition of "income source", subsection 23 (3))

2. Income sources are required to deduct the amount of support set out in the support order unless a court orders a lower deduction. If a lower deduction is ordered, the Director may ask the court to increase the amount to be deducted if the payor's financial circumstances subsequently improve. (Section 23)

3. Support orders may be registered as security interests under the Personal Property Security Act. (Section 43)

4. The Director may garnishee up to 50 per cent of the money held in joint deposit accounts where one of the account holders is a payor under a support order. The Director shall hold the money garnisheed from a joint account for 30 days to allow the co-holder of the account, who is not the payor, to file a dispute to the garnishment claiming ownership of all or part of the money garnisheed. (Section 45)

5. In a default hearing, the court may order a person who has a financial relationship with a payor to file a financial statement and any other relevant documents or to be a partyto the hearing. If the court finds that the third party who has been made a party to the hearing was involved in sheltering the payor's assets or income from the enforcement of the support order, the court may make any order against the person, except an order for imprisonment, that it can make against the payor, to the extent of the value of the sheltered assets or income. (Section 41)

6. The Director is authorized to report defaulting payors to consumer reporting agencies. (Section 47)

7. The Ontario Lottery Corporation is required to deduct the arrears owed under a support order from lottery winnings, and to pay the deducted amount to the Director if the payor wins a prize of $1,000 or more. (Section 46)

8. Lump sum, as well as periodic, payments under the Workers' Compensation Act are subject to garnishment for support

arrears and deduction under a support deduction order. (Section 71)

9. The Director may direct the Registrar of Motor Vehicles to suspend a payor's driver's licence if he or she owes arrears on a support order. Payors are first given notices and opportunity to pay the arrears in full or enter into a payment arrangement with the Director. On a later day to be proclaimed, the Director will be given the additional power to direct the Registrar of Motor Vehicles to suspend a payor's vehicle permit. (Part V deals with drivers' licences. Section 64 re-enacts Part V on a day to be named by proclamation; the re-enacted Part V deals with both drivers' licences and vehicle permits.)

10. Support orders are given priority over other judgment debts under the Creditors' Relief Act to the full amount of the arrears owing. (Section 66)

11. The Director is given expanded powers to obtain information about payors from any person or public body, the federal government, other provincial and territorial governments and Province of Ontario data banks. (Section 54)

12. Extra-provincial support orders under the Divorce Act (Canada) may be filed with and enforced by the Family Responsibility Office without first being registered in an Ontario court. (Subsection 13 (2))

13. The Director's power to enforce a support order under a deemed support deduction order is extended to apply to support orders made outside Ontario. (Clause 21 (8) (c))

Changes in the Business of the Family Responsibility Office (formerly the Family Support Plan)

1. Payors and recipients under support orders may agree to opt out of enforcement by the Family Responsibility Office. Opted-out recipients will be able to enforce the support orders themselves, although support deduction orders remain enforceable only by the Family Responsibility Office and only if the parties have not opted out. The court that makes a support order may specify that the order must be enforced by the Family Responsibility Office. (Subsections 6 (7), (8), subsection 9 (2), section 16)

2. The Attorney General, subject to the approval of the Lieutenant Governor in Council, is authorized to assign any of the Director's powers, functions or duties under the Act to any person, agency or body or class of them. (Section 4)

3. The Family Responsibility Office is authorized to charge some fees for its services; the fees will be prescribed by regulation. (Section 58, clause 63 (i))

4. The Family Responsibility Office will not be required to enforce Canadian custody orders. (Subsection 6 (5))

5. The Family Responsibility Office will not enforce support orders that are in the nature of property or are not payable directly to the recipient. (Subsection 1 (1) definition of "support order")

6. The Family Responsibility Office may refuse to enforce a support order or support deduction order in cases where enforcement is unreasonable or impractical. The Attorney General may establish policies and procedures for determining when enforcement by the Family Responsibility Office may be refused. (Section 7)

7. The Family Responsibility Office will not enforce cost of living clauses in support orders unless they are calculated in accordance with the formula set out in subsection 34 (5) of the Family Law Act. (Subsections 7 (4), (5), (6), (7))

8. The Family Responsibility Office will not enforce support orders against a payor's estate after receiving notice of the payor's death. (Subsection 8 (2))

Other Amendments

1. Enforcement officers of the Family Responsibility Office are designated as court officers in order to permit the Family Responsibility Office to issue notices of garnishment, writs of seizure and sale, notices of defaultand notices of motion. (Subsection 3 (3))

2. A support deduction order may be signed by the clerk or registrar of the court. (Subsection 11 (4))

3. It is specified that an order staying the enforcement of a support order does not affect the enforcement of the related support deduction order unless the support order is itself stayed. (Subsection 20 (6))

4. It is specified that money collected by the Director is to be applied first to ongoing support obligations, then to arrears, interest, and lastly, to amounts owing to the Director. (Section 57)

Bill1996

An Act to establish the Family

Responsibility Office, protect the interests

of children and spouses through the strict

enforcement of support orders while offering

flexibility to responsible payors and

make consequential amendments to certain

statutes

CONTENTS


PART I INTERPRETATION
1.	Definitions
PART II DIRECTOR OF THE FAMILY RESPONSIBILITY OFFICE

2.	Director of Family Responsibility Office
3.	Enforcement officers
4.	Assignment of Director's powers, etc.
5.	Duty of Director
6.	Powers
7.	Director may refuse to enforce
8.	Director to cease enforcement
PART III SUPPORT ORDERS AND SUPPORT DEDUCTION ORDERS - MAKING AND FILING
9.	Contents of support order
10.	Support deduction orders to be made
11.	Form of support deduction order
12.	Court to file support orders
13.	Orders of other jurisdictions
14.	Minister may file orders
15.	Recipients may file support orders
16.	Withdrawal of orders
17.	Notice of filings and withdrawals
18.	Duty to advise re unfiled support orders
19.	Payor's and recipient's duty to advise of address change
PART IV SUPPORT DEDUCTION ORDERS - ENFORCEMENT
20.	Director to enforce support deduction orders
21.	Support deduction order deemed to be made
22.	Duty of income source
23.	Maximum deduction by income source
24.	Crown bound by support deduction order
25.	Duty to inform re payment interruption
26.	Disputes re income source
27.	Disputes, etc., by payor
28.	Suspension of support deduction order
29.	Income source to keep information confidential
30.	Priority of support deduction orders
31.	Anti-avoidance
32.	Conflict with other Acts
PART V SUSPENSION OF DRIVERS' LICENCES
33.	Definition
34.	First notice
35.	Order to refrain
36.	Second notice
37.	Direction to suspend
38.	Direction to reinstate
39.	Anti-avoidance
PART VI OTHER ENFORCEMENT MECHANISMS
40.	Financial statements
41.	Default hearing
42.	Registration against land
43.	Registration under the Personal Property Security Act
44.	Writs of seizure and sale - amending amounts owing
45.	Garnishment of joint accounts
46.	Deduction of arrears from lottery winnings
47.	Defaulters reported to consumer reporting agencies
48.	Restraining order
49.	Arrest of absconding payor
50.	Recognition of extra-provincial garnishments
PART VII OFFENCES AND PENALTIES
51.	Offences - payors, income sources, delegates
52.	Offences - assignees
53.	Contempt
PART VIII MISCELLANEOUS
54.	Director's access to information
55.	Federal-provincial agreement
56.	Payments pending court decisions
57.	Application of payments
58.	Fees
59.	Protection from personal liability
60.	Acting by solicitor
61.	Disclosure of personal information
62.	Act binds Crown
63.	Regulations
64.	Re-enactment of Part V
PART IX COMPLEMENTARY AMENDMENTS
65.	Courts of Justice Act
66.	Creditors' Relief Act
67-70	Highway Traffic Act
71.	Workers' Compensation Act
PART X REPEALS, COMMENCEMENT AND SHORT TITLE
72.	Repeals
73.	Commencement
74.	Short title

Her Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:

PART I

INTERPRETATION

Definitions

1. (1) In this Act,

"Director" means the Director of the Family Responsibility Office; ("directeur")

"income source" means an individual, corporation or other entity that owes or makes any payment, whether periodically or in a lump sum, to or on behalf of a payor of,

(a) wages, wage supplements or salary, or draws or advances on them,

(b) a commission, bonus, piece-work allowance or similar payment,

(d) a benefit under an accident, disability or sickness plan,

(e) a disability, retirement or other pension,

(f) an annuity,

(g) vacation pay, termination pay and severance pay,

(h) an employee loan,

(i) a shareholder loan or dividends on shares, if the corporation that issued the shares is effectively controlled by the payor or the payor and the payor's parent, spouse, child or other relative or a body corporate which the payor and his or her parent, spouse, child or other relative effectively control, directly or indirectly,

(j) refunds under the Income Tax Act (Canada),

(k) lump sum payments under the Family Orders and Agreements Enforcement Assistance Act (Canada),

(l) income of a type described in the regulations; ("source de revenu")

"payor" means a person who is required to pay support under a support order; ("payeur")

"provisional order" means an order that has no effect until it is confirmed by another court and includes orders made under subsection 18 (2) of the Divorce Act (Canada), sections 3 and 7 of the Reciprocal Enforcement of Support Orders Act and section 44 of the Family Law Act; ("ordonnance conditionnelle")

"recipient" means a person entitled to support under a support order or the parent, other than the payor, of a child entitled to support under a support order; ("bénéficiaire")

"regulations" means the regulations made under this Act; ("règlements")

"support deduction order" means a support deduction order made or deemed to have been made under this Act or its predecessor; ("ordonnance de retenue des aliments")

"support order" means a provision in an order made in or outside Ontario and enforceable in Ontario for the payment of money as support or maintenance, and includes a provision for,

(a) the payment of an amount periodically, whether annually or otherwise and whether for an indefinite or limited period, or until the happening of a specified event,

(b) a lump sum to be paid or held in trust,

(d) payment to an agency of an amount in reimbursement for a benefit or assistance provided to a party under a statute, including a benefit or assistance provided before the date of the order,

(e) payment of expenses in respect of a child's prenatal care and birth,

(f) the irrevocable designation, by a spouse who has a policy of life insurance or an interest in a benefit plan, of the other spouse or a child as the beneficiary, or

(g) interest or the payment of legal fees or other expenses arising in relation to support or maintenance,

and includes such a provision in a domestic contract or paternity agreement that is enforceable under section 35 of the Family Law Act. ("ordonnance alimentaire")

Interpretation - income source

(2) An individual, corporation or other entity continues to be an income source despite temporary interruptions in the payments owed to a payor.

Same - related orders

(3) A support deduction order is related to the support order on which it is based and a support order is related to the support deduction order that is based on it.

PART II

DIRECTOR OF THE FAMILY RESPONSIBILITY OFFICE

Director of Family Responsibility Office

2. There shall be a Director of the Family Responsibility Office who shall be appointed by the Lieutenant Governor in Council.

Enforcement officers

3. (1) The Director may appoint employees of the Director's office as enforcement officers for the purposes of this Act.

Powers

(2) An enforcement officer may act for the Director and in his or her name.

Same

(3) An enforcement officer may, for the purposes of this Act, sign and issue notices of garnishment, writs of seizure and sale, notices of default and notices of motion, as well as notices of the withdrawal, removal or termination of such notices and writs, and every enforcement officer is hereby designated a proper officer of every court in Ontario in order to exercise this power.

Assignment of Director's powers, etc.

4. (1) The Attorney General may, subject to the approval of the Lieutenant Governor in Council, assign to any person, agency or body, or class thereof, any of the powers, duties or functions of the Director under this Act, subject to the limitations, conditions and requirements set out in the assignment.

Same

(2) An assignment may include powers, duties or functions that are not purely administrative in nature, including statutory powers of decision and discretionary powers given to the Director under this Act, and may provide that an assignee may be a party in any action or proceeding instead of the Director.

Same

(3) An assignment may, despite sections 57 and 58, set out the fees, costs, disbursements, and other charges that the assignee may charge, against whom they may be charged, how and when they may be collected and how any money paid to the assignee shall be applied and may exempt the assignee from clause 22 (a) of the Collection Agencies Act.

Duty of Director

5. (1) It is the duty of the Director to enforce support orders where the support order and the related support deduction order, if any, are filed in the Director's office and to pay the amounts collected to the person to whom they are owed.

Transition

(2) Subject to subsection (4), a support order or support deduction order that is filed in the office of the Director of the Family Support Plan immediately before the day this section comes into force shall be deemed to be filed in the Director's office on the day this section comes into force.

Same

(3) If a support deduction order is filed in the office of the Director of the Family Support Plan immediately before the day this section comes into force and the related support order was never filed in his or her office before that day, it is the duty of the Director to enforce the support deduction order so long as it is filed in the Director's office.

Same

(4) If a support deduction order is filed in the office of the Director of the Family Support Plan immediately before the day this section comes into force and the related support order was withdrawn from his or her office before that day, either when the support order was made or later, the support deduction order shall be deemed to be withdrawn from the Director's office on the day this section comes into force.

Powers

6. (1) The Director shall carry out his or her duties in the manner, if any, that appears practical to the Director and, for the purpose, may commence and conduct a proceeding and take any steps in the Director's name for the benefit of recipients, including,

(a) enforcing support deduction orders that are filed in the Director's office, as provided by this Act;

(b) employing any other enforcement mechanisms expressly provided for in this Act;

Transition

(2) The Director may enforce the payment of arrears of support under a support order although they were incurred before the order was filed in the Director's office or before July 2, 1987.

Same

(3) The Director may enforce the payment of the arrears of support owed on the day this section comes into force under an order that,

(a) is not a support order as defined in subsection 1 (1) but was a support order within the meaning of the Family Support Plan Act, as it read immediately before its repeal by this Act; and

(b) is filed in the office of the Director of the Family Support Plan immediately before such repeal.

Same

(4) For the purpose of subsection (3), an order described in that subsection shall be deemed to be a support order as defined in subsection 1 (1).

Same

(5) The Director shall not enforce custody orders made by a Canadian court, even if they were filed with the Director before this section comes into force.

Enforcement alternatives

(6) Enforcement of a support order or support deduction order by one means does not prevent enforcement by other means at the same time or different times.

Enforcement by Director exclusive

(7) Subject to section 4, no person other than the Director shall enforce a support order that is filed in the Director's office.

Same

(8) Subject to section 4, no person other than the Director shall enforce a support deduction order, whether the order is filed in the Director's office or not.

Director may refuse to enforce

7. (1) Despite section 5, the Director may at any time refuse to enforce a support order or support deduction order that is filed in the Director's office if, in his or her opinion,

(a) the amount of the support is nominal;

(b) the amount of the support cannot be determined from the face of the order because it is expressed as a percentage of the payor's income or it is dependent on another variable that does not appear on the order;

(d) arrears of long standing are owed under the order;

(e) the recipient has not complied with reasonable requests to provide the Director with accurate or sufficient information as may be needed in order to enforce the order or respecting the amount of arrears owed under the order;

(f) the whereabouts of the payor or the recipient cannot be determined after reasonable efforts have been made;

(g) the payor is in prison serving a sentence of five years or longer and has no assets or income available to satisfy the support order and any arrears under the order;

(h) the payor is receiving benefits under the Family Benefits Act or assistance under the General Welfare Assistance Act and has no assets or income available to satisfy the support order and any arrears under the order;

(i) the recipient repeatedly accepts payment of support directly from the payor;

(j) the recipient consents to a limitation of enforcement of the support order by the Director;

(k) enforcement of the support order has been stayed by a court; or

(l) enforcement of the order is otherwise unreasonable or impractical.

Policies and procedures

(2) The Attorney General may establish policies and procedures respecting subsection (1) and the Director shall consider them in exercising his or her discretion under that subsection.

Order deemed withdrawn

(3) If the Director refuses to enforce an order under subsection (1), the Director shall notify the payor and the recipient and the support order and the related support deduction order, if any, shall be deemed to be withdrawn from the Director's office on the date set out in the notice.

Cost of living clauses

(4) The Director shall not enforce a cost of living clause in a support order or support deduction order made in Ontario unless it is calculated in accordance with subsection 34 (5) of the Family Law Act.

Same

(5) The Director shall not enforce a cost of living clause in a support order or support deduction order if the support order was made outside Ontario unless it is calculated in a manner that the Director considers similar to that provided in subsection 34 (5) of the Family Law Act.

Same

(6) Where the cost of living clause in an order is not calculated in accordance with subsection 34 (5) of the Family Law Act or, if the order was made outside Ontario, in a manner that the Director considers similar, the Director shall, subject to subsection (1), enforce the order as if it contained no cost of living clause.

Transition

(7) Despite subsections (5) and (6), if an order contains a cost of living clause that is not calculated in accordance with subsection 34 (5) of the Family Law Act or, if the order was made outside Ontario, in a manner that the Director considers similar, which became effective before this section came into force,

(a) the Director shall continue to enforce the order and the cost of living clause at the same amount at which the Director of the Family Support Plan was enforcing them immediately before this section came into force; and

(b) the Director shall not make any further adjustments under the cost of living clause after this section comes into force.

Same

(8) This section applies even if the order was filed in the Director's office before this section comes into force.

Director to cease enforcement

8. (1) The Director shall cease enforcement of a support obligation provided for in a support order or support deduction order filed in the Director's office if the support obligation has terminated; however, if the support order has been assigned to an agency described in subsection 33 (3) of the Family Law Act, the Director shall not cease enforcement of the support obligation without the agency's consent.

Same

(2) The Director shall not enforce a support order or support deduction order against the estate of a payor after he or she is notified, in accordance with the regulations, of the payor's death.

Date of termination

(3) For the purpose of subsection (1), the termination of a support obligation shall be determined in one of the following ways:

1. If the parties to the support order or support deduction order agree in the manner prescribed by the regulations that the support obligation has terminated.

2. If the support obligation is stated in the support order or support deduction order to terminate on a set calendar date.

3. If a court orders that the obligation has terminated.

Notice to Director

(4) Each of the parties to a support order, if the support order or related support deduction order is filed in the Director's office, shall give to the Director notice of the termination of a support obligation under the order, in the manner and at such time as may be prescribed by the regulations.

Disputes

(5) If the parties to the order do not agree or if the agency referred to in subsection (1) does not consent, the court that made the support order shall, on the motion of a party to the order or of the agency, decide if the support obligation has terminated and shall make an order to that effect.

Same

(6) If the support order was not made by a court, the order described in subsection (5) shall be made by the Ontario Court (Provincial Division) or the Family Court.

Order to repay

(7) A court that finds that a support obligation has terminated may order repayment in whole or in part from a person who received support after the obligation was terminated if the court is of the opinion that the person ought to have notified the Director that the support obligation had terminated.

Same

(8) In determining whether to make an order under subsection (7), the court shall consider the circumstances of each of the parties to the support order.

Continued enforcement

(9) The Director shall continue to enforce the support obligation until he or she receives a copy of the court's order terminating the support obligation.

Same

(10) Despite the termination of a support obligation, the Director shall continue to enforce the support obligation in respect of any arrears which have accrued.

Director not a party

(11) The Director is not a party to any proceeding to determine the entitlement of any person to support under a support order or to a motion to decide whether a support obligation has terminated.

PART III

SUPPORT ORDERS AND SUPPORT DEDUCTION ORDERS - MAKING AND FILING

Contents of support order

9. (1) Every support order made by an Ontario court, other than a provisional order, shall state in its operative part that unless the order is withdrawn from the Director's office, it shall be enforced by the Director and that amounts owing under the order shall be paid to the Director, who shall pay them to the person to whom they are owed.

Court may require that order may not be withdrawn

(2) If the court considers it appropriate to do so, it may state in the operative part of the order, instead of the wording prescribed by subsection (1), that the order and the related support deduction order shall be enforced by the Director and that they cannot be withdrawn from the Director's office.

Director retains discretion to not enforce orders

(3) Section 7 applies to every support order worded as provided in subsection (1) or (2), whether the order was made before or after this section comes into force and despite the wording of an order made under subsection (2).

Support deduction orders to be made

10. (1) An Ontario court that makes a support order, as defined in subsection 1 (1), shall also make a support deduction order.

New orders to be made

(2) When a support order is varied, and the varied order is a support order as defined in subsection 1 (1), the court shall also make a support deduction order to reflect the variation.

Transition

(3) When a support order, within the meaning of the Family Support Plan Act as it read immediately before its repeal by this Act, is varied such that the new order is a support order as defined in subsection 1 (1), the court shall also make a support deduction order to reflect the variation.

Order mandatory

(4) A support deduction order shall be made even though the court cannot identify an income source in respect of the payor at the time the support order is made.

Exception

(5) A support deduction order shall not be made in respect of a provisional order.

Form of support deduction order

11. (1) A support deduction order shall be in the form prescribed by the regulations.

Information re payor, income source

(2) Before making a support deduction order, the court shall make such inquiries of the parties as it considers necessary to determine the names and addresses of each income source of the payor and the amounts paid to the payor by each income source.

Same

(3) If the support order is sought on consent or by way of motion for judgment or if the making of the support order is uncontested, the parties shall give the court the particulars described in subsection (2) and such other information as may be prescribed by the regulations.

Completion of form, etc.

(4) The support deduction order shall be completed and signed by the court, or by the clerk or registrar of the court, at the time the support order is made and shall be entered in the court records promptly after it is signed, even if the support order may not have been settled or signed at that time.

Court to file support orders

12. (1) The clerk or registrar of the court that makes a support order shall file it with the Director's office promptly after it is signed.

Court to file support deduction orders

(2) The clerk or registrar of the court that makes a support deduction order shall file it with the Director's office promptly after it is signed, even if the related support order may not have been settled or signed at the time.

Orders of other jurisdictions

13. (1) A support order made by a court outside Ontario that is received by the Ministry of the Attorney General shall be filed by the Ministry with the Director's office promptly after it is made enforceable in Ontario, unless it is accompanied by a notice signed by the person seeking enforcement stating that he or she does not want the order enforced by the Director.

Same - Divorce Act (Canada) orders

(2) A support order made by a court outside Ontario under the Divorce Act (Canada) may be filed in the Director's office by the recipient under the order and, for the purpose of subsection 20 (3) of the Divorce Act (Canada), the order becomes enforceable by the Director upon its filing in the Director's office without it having been registered in a court in Ontario.

Minister may file orders

14. (1) If a recipient has applied and is eligible for, or has received, a benefit under the Family Benefits Act or assistance under the General Welfare Assistance Act, the Minister of Community and Social Services may file the support order in the Director's office, whether or not the payor and recipient have given a notice to withdraw under subsection 16 (1).

Same

(2) If the Minister of Community and Social Services files a support order under subsection (1), the related support deduction order, if any, shall be deemed to be filed in the Director's office at the same time.

Recipients may file support orders

15. Subject to sections 12, 13 and 14, a support order may be filed in the Director's office only by the payor or recipient under the order.

Withdrawal of orders

16. (1) A support order or support deduction order filed in the office of the Director may be withdrawn at any time by a written notice signed by the payor and the recipient unless the support order states that it and the related support deduction order cannot be withdrawn from the Director's office.

Consent of Minister required

(2) A support order and related support deduction order, if any, that have been assigned to the Minister of Community and Social Services may not be withdrawn under subsection (1) except by the Minister or with the Minister's consent so long as the orders are under assignment.

Effect of withdrawal

(3) The Director shall cease enforcement of an order upon its withdrawal from the Director's office.

Same

(4) If there are arrears owing to the Minister of Community and Social Services from a past assignment, the Director may continue to enforce the support order and related support deduction order, if any, to collect the arrears owed to the Minister of Community and Social Services, even if the payor and recipient have withdrawn the orders under this section.

Support and support deduction order must be withdrawn together

(5) If, at any time after this section comes into force, both a support order and the related support deduction order are filed in the Director's office, both must be withdrawn under subsection (1) together.

Refiling

(6) A support order or support deduction order that has been withdrawn under subsection (1) or that has been deemed to have been withdrawn under subsection 7 (3) may be filed in the office of the Director at any time by a written notice signed by either the payor or the recipient.

Support and support deduction orders must be refiled together

(7) A support order cannot be filed under subsection (6) unless the related support deduction order, if any, is also filed and a support deduction order cannot be filed under subsection (6) unless the related support order is also filed.

Transition

(8) Despite subsection 6 (4), subsection (7) does not apply to an order that is not a support order as defined in subsection 1 (1), but was a support order within the meaning of the Family Support Plan Act, as it read immediately before its repeal by this Act, and was filed in the office of the Director of the Family Support Plan immediately before this section came into force.

Notice of filings and withdrawals

17. The Director shall give notice of the filing or withdrawal of a support order or support deduction order to all the parties to the order, and to the Minister of Community and Social Services at his or her request.

Duty to advise re unfiled support orders

18. Where a support deduction order that was made before this section came into force is filed in the Director's office but the related support order was never filed in the Director's office, the recipient shall inform the Director in writing of,

(a) the amount of money received on account of the support order other than through the support deduction order; and

(b) any changes in the amount to be paid under the support order.

Payor's and recipient's duty to advise of address change

19. If a payor or recipient under a support order or support deduction order filed in the Director's office changes address, he or she shall advise the Director of the new address within 10 days of the change.

PART IV

SUPPORT DEDUCTION ORDERS - ENFORCEMENT

Director to enforce support deduction orders

20. (1) The Director shall enforce a support deduction order that is filed in the Director's office, subject to section 7 and to any suspension or variation of the support deduction order, until the related support order is terminated and there are no arrears owing.

Notice of support deduction order to income sources

(2) The Director may serve a notice of a support deduction order to each income source from whom the Director is seeking payment, and may serve new notices when the amount to be paid under a support order changes or arrears are owing.

Contents of notice

(3) The notice shall set out the amount of support owed by the payor under the support order and may also set out any amount in arrears under the support order and the amount required to be paid by the income source to the Director.

Notice to payor

(4) The Director shall send to the payor a copy of every notice sent under subsection (2).

Notice deemed garnishment for Family Orders and Agreements Enforcement Assistance Act (Canada)

(5) A notice of a support deduction order shall be deemed to be a notice of garnishment made under provincial garnishment law for the purposes of the Family Orders and Agreements Enforcement Assistance Act (Canada).

Support deduction order not affected by stay of enforcement of support order

(6) The operation or enforcement of a support deduction order is not affected by an order staying the enforcement of the related support order unless the support order is also stayed.

Support deduction order deemed to be made

21. (1) A support deduction order shall be deemed to have been made in respect of a support order described in subsection (8) if,

(a) the recipient requests that the Director enforce the support order under this Part and the Director considers it practical to do so; or

(b) the Director considers it advisable to enforce the support order under this Part.

Notice to payor

(2) The Director shall give notice to the payor of the Director's intention to enforce the support order under this Part.

When and by what court deemed order is made

(3) The support deduction order shall, 30 days after the notice is served on the payor, be deemed to have been made by the court that made the support order or,

(a) if the support order was made under the Divorce Act (Canada) by a court outside Ontario, by the Ontario Court (General Division) or, where applicable, the Family Court;

(b) if the support order (other than an order under the Divorce Act (Canada)) was made by a court outside Ontario, by a court in Ontario that is the same level as the court that has the jurisdiction to make the order enforceable in Ontario;

(c) if the support order is a domestic contract or paternity agreement, by the Ontario Court (Provincial Division) or the Family Court.

Suspension

(4) The payor may, within 30 days after being served with the notice under subsection (2), commence a motion under section 28 in the court that is deemed to have made the support deduction order for its suspension.

Delay of effective date

(5) If a motion is brought under subsection (4), a deemed support deduction order does not come into force until the motion is determined.

Withdrawal of support deduction order

(6) Section 16 applies to a deemed support deduction order.

No form required

(7) Subsection 11 (1) does not apply to a deemed support deduction order.

Application of this section

(8) This section applies only to support orders filed in theDirector's office that are,

(a) support orders made by an Ontario court before March 1, 1992;

(b) domestic contracts or paternity agreements that are enforceable under section 35 of the Family Law Act;

Duty of income source

22. (1) An income source that receives notice of a support deduction order, whether or not the income source is named in the order, shall, subject to section 23, deduct from the money the income source owes to the payor the amount of the support owed by the payor, or such other amount that is set out in the notice, and shall pay that amount to the Director.

First payment

(2) The income source shall begin making payments to the Director not later than the day the first payment is to be paid to the payor that falls at least 14 days after the day on which the income source is served with the notice.

Payor's duty to pay

(3) Until an income source begins deducting support payments in respect of a support deduction order or if payments by an income source are interrupted or terminated, the payor shall pay the amounts owing under the support order to the Director, if the support order is filed in the Director's office, or to the recipient, if the support order is not filed in the Director's office.

Maximum deduction by income source

23. (1) The total amount deducted by an income source and paid to the Director under a support deduction order shall not exceed 50 per cent of the net amount owed by the income source to the payor.

Deduction must equal ongoing support

(2) Despite subsection (1), the total amount deducted by an income source and paid to the Director under a support deduction order made or deemed to have been made after this section comes into force shall not be less than the amount of ongoing support specified in the support order, even if that amount is greater than 50 per cent of the net income owed by the income source to the payor, unless the court orders otherwise when it makes the support order.

Exception for certain federal payments

(3) Despite subsection (1), up to 100 per cent of a payor'sincome tax refund or other lump sum payment that is attachable under the Family Orders and Agreements Enforcement Assistance Act (Canada) may be deducted and paid to the Director under a support deduction order.

Transition

(4) The Director may, on notice to the payor, bring a motion to the court that made or is deemed to have made a support deduction order before this section comes into force, to increase the amount required to be deducted and paid to the Director up to the amount of the ongoing support specified in the support order, even if that amount is greater than 50 per cent of the net income owed by the income source to the payor.

Interpretation - net amount

(5) For the purposes of this section, "net amount" means the total amount owed by the income source to the payor at the time payment is to be made to the Director, less the total of the following deductions:

1. Income Tax.

2. Canada Pension Plan.

3. Employment Insurance.

4. Union dues.

5. Such other deductions as may be prescribed by the regulations.

Same

(6) Despite any other provision of this Act, no deduction shall be made under a support deduction order in respect of amounts owing to a payor as reimbursement for expenses covered by a medical, health, dental or hospital insurance contract or plan.

Crown bound by support deduction order

24. (1) A support deduction order is effective against the Crown only in respect of amounts payable on behalf of the administrative unit served with notice of the support deduction order to the payor named in the notice.

Welfare benefits excluded

(2) Despite subsection (1), no amounts shall be deducted from any amount payable to a payor as a benefit under the Family Benefits Act or as assistance under the General Welfare Assistance Act in order to comply with a support deduction order.

Definition

(3) In subsection (1),

"administrative unit" means a ministry of the Government of Ontario, a Crown agency within the meaning of the Crown Agency Act or the Office of the Assembly.

Duty to inform re payment interruption

25. (1) Within 10 days after the termination or beginning of an interruption of payments by an income source to a payor, both the income source and the payor shall give written notice of the termination or interruption to the Director, together with such other information as may be required by the regulations.

Same

(2) If notice has been or should have been given under subsection (1),

(a) the payor and the income source, within 10 days after the resumption of payments that have been interrupted, shall give written notice to the Director of the resumption;

(b) the payor, within 10 days of beginning employment with another income source or of becoming entitled to payments from another income source, shall give written notice to the Director of the new employment or entitlement and of the name and address of the income source.

Disputes re income source

26. (1) If an individual, corporation or other entity served with notice of a support deduction order is not an income source of the payor named in the notice, the individual, corporation or other entity shall give written notice in the prescribed form of that fact to the Director within 10 days after the service of the notice.

Same

(2) The Director or an individual, corporation or other entity who has notified the Director under subsection (1) may, on notice to each other, bring a motion to the court that made or is deemed to have made the support deduction order to determine whether the individual, corporation or other entity is an income source.

Same

(3) The Director or an income source may, on notice to each other, bring a motion to the court that made or is deemed to have made the support deduction order to determine,

(a) whether the income source has failed to comply with the order; or

(b) whether the amount the income source is deducting and paying to the Director under the order is correct.

Determination by court

(4) In a motion under subsection (2) or (3), the court shall determine the issue in a summary manner and make such order as it considers appropriate in the circumstances.

Limitation

(5) A motion shall not be brought under subsection (2) by an individual (other than the Director), corporation or other entity until at least 14 days after the individual, corporation or other entity gave written notice to the Director as required by subsection (1).

Same

(6) A motion shall not be brought by an income source under subsection (3) unless the income source has given written particulars of the proposed motion to the Director at least 14 days before serving the Director with notice of the motion.

Liability

(7) An income source is liable to pay to the Director any amount that it failed without proper reason to deduct and pay to the Director after receiving notice of a support deduction order and, in a motion under subsection (3), the court may order the income source to pay the amount that it ought to have deducted and paid to the Director.

Other enforcement

(8) In addition to any other method available to enforce an order in a civil proceeding, any order made under subsection (4) or (7) may be enforced under this Act in the same manner and with the same remedies as a support order.

Disputes, etc., by payor

27. (1) A payor, on motion in the court that made or is deemed to have made the support deduction order,

(a) may dispute the amount being deducted by an income source under a support deduction order if he or she is of the opinion that because of a mistake of fact more is being deducted than is required under this Act;

(b) may dispute whether he or she has defaulted in paying support after a suspension order has been made under section 28;

(c) may seek relief regarding the amount that is being deducted by an income source under a support deduction order for arrears under a support order.

Motion to increase deductions for arrears

(2) If an order has been made on a motion under clause (1) (c), the Director may, on motion in the court that made the order, request that the amount to be deducted by an income source be increased if there has been an improvement in the payor's financial circumstances.

Dispute over entitlement

(3) On a motion under subsection (1) or (2), the payor shall not dispute the entitlement of a person to support under a support order.

Necessary party

(4) The Director is a necessary party to a motion under subsection (1) and the payor is a necessary party to a motion under subsection (2).

Determination by court

(5) The court shall determine the issue in a motion under subsection (1) or (2) in a summary manner and make such order as it considers appropriate in the circumstances.

Same

(6) On a motion under clause (1) (c), the payor shall be presumed to have the ability to pay the amount being deducted for arrears and the court may vary the amount being deducted only if it is satisfied that the payor is unable for valid reasons to pay that amount, but this does not affect the accruing of arrears.

Variation of support deduction order

(7) A court shall not vary the amount to be paid under a support deduction order except under subsection (5) or 23 (4) or if the related support order is varied.

Suspension of support deduction order

28. (1) A court that makes a support deduction order may make an order to suspend its operation at the same time as it makes the order, or, on motion, subsequently.

Same

(2) A court that is deemed to have made a support deduction order may, on a motion made under subsection 21 (4), make an order suspending its operation.

Criteria for suspension

(3) The court may suspend a support deduction order under subsection (1) or (2) only if,

(a) it finds that it would be unconscionable, having regard to all of the circumstances, to require the payor to make support payments through a support deduction order; or

(b) the parties to the support order agree that they do not want support payments collected through a support deduction order and the court requires the payor to post such security as it considers adequate and in accordance with the regulations.

Agency's consent required

(4) If the support order has been assigned to an agency described in subsection 33 (3) of the Family Law Act or if there are arrears owing to the agency from a past assignment, the court shall not suspend the support deduction order in the circumstances described in clause (3) (b) without the agency's consent.

Unconscionable, determination

(5) The following shall not be considered by a court in determining whether it would be unconscionable to require a payor to make support payments through a support deduction order:

1. The fact that the payor has demonstrated a good payment history in respect of his or her debts, including support obligations.

2. The fact that the payor has had no opportunity to demonstrate voluntary compliance in respect of support obligations.

3. The fact that the parties have agreed to the suspension of the support deduction order.

4. The fact that there are grounds upon which a court might find that the amount payable under the support order should be varied.

Security

(6) For the purposes of clause (3) (b), security shall be in a minimum amount equal to the support payable for four months and the security shall be in money or in such other form as may be prescribed in the regulations.

When Director is a party

(7) The Director is not a party to a motion brought to suspend the operation of a support deduction order; however, if the payor brings a motion with respect to a support deduction order deemed to have been made under section 21, the Director must also be served with notice of the motion and may be added as a party.

When Minister of Community and Social Services is a party

(8) If the Minister of Community and Social Services has filed the related support order in the Director's office under subsection 14 (1) or if the related support order has been assigned to the Minister, the Minister must also be served with notice of the motion and may be added as a party.

Completion of form, etc.

(9) A suspension order shall be completed and signed by the court at the time it is made and shall be entered in the court records promptly after it is signed.

Prompt filing

(10) The clerk or registrar of the court that makes a suspension order shall file it in the Director's office promptly after it is made.

Form and effective date

(11) A suspension order shall be in the form prescribed by the regulations and takes effect only when it is filed in the Director's office and every income source affected by the order has received notice of the suspension.

Termination of suspension order

(12) A suspension order is automatically terminated if the payor fails to post security of the type or within the time period set out in the suspension order or if the payor fails to comply with the support order.

Effect of termination

(13) When a suspension order is terminated under subsection (12), the support deduction order is reinstated and the Director may immediately realize on any security that was posted.

Effect of withdrawal of support deduction order

(14) If the support deduction order is withdrawn from the Director's office while a suspension order is in effect, the suspension order is terminated and the Director shall repay to the payor any security that was posted.

Support order not affected by suspension order

(15) A suspension order under this section does not affect the payor's obligations under the support order nor does it affect any other means of enforcing the support order.

Income source to keep information confidential

29. Information about a payor obtained as a result of the application of this Part by an income source or an individual, corporation or other entity believed to be an income source shall not be disclosed by the income source or the individual, corporation or other entity, as the case may be, or any director, officer, employee or agent thereof, except for the purposes of complying with a support deduction order or this Act.

Priority of support deduction orders

30. (1) Despite any other Act, a support deduction order has the same priority over other judgment debts as a support order has under the Creditors' Relief Act and all support orders and support deduction orders rank equally with each other.

Same

(2) If an income source is required to make payments to the Director under a support deduction order and the income source receives a garnishment notice related to the same support obligation, the income source shall make full payment under the support deduction order and the garnishment shall be of no effect until the income source has received notice from the Director that the support deduction order is suspended, terminated or withdrawn from the Director's office.

Anti-avoidance

31. An agreement by the parties to a support order to vary enforcement of a support deduction order that is filed in the Director's office and any agreement or arrangement to avoid or prevent enforcement of a support deduction order that is filed in the Director's office are of no effect.

Conflict with other Acts

32. A support deduction order may be enforced despite any provision in any other Act protecting any payment owed by an income source to a payor from attachment or other process for the enforcement of a judgment debt.

PART V

SUSPENSION OF DRIVERS' LICENCES

Definition

33. In this Part,

"driver's licence" has the same meaning as in subsection 1 (1) of the Highway Traffic Act.

First notice

34. When a support order that is filed in the Director's office is in default, the Director may serve a first notice on the payor, informing the payor that his or her driver's licence may be suspended unless, within 30 days after the day the first notice is served,

(a) the payor makes an arrangement satisfactory to the Director for complying with the support order and for paying the arrears owing under the support order;

(b) the payor obtains an order to refrain under subsection 35 (1) and files the order in the Director's office; or

Order to refrain

35. (1) A payor who receives a first notice may, on notice to the Director, in an application to vary the support order, make a motion for an order that the Director refrain from directing the suspension of the payor's driver's licence under subsection 37 (1), on the terms that the court considers just.

Time limits and variation

(2) A court shall not make an order to refrain after the 30-day period referred to in the first notice, but an order to refrain may be varied, on motion by the payor or the Director, at any time before the application to vary support is determined if there is a material change in the payor's circumstances.

Order re arrears

(3) When determining the variation application, a court that makes an order to refrain,

(a) shall state the amount of the arrears owing, after any variation; and

(b) may make an order respecting payment of the arrears.

Same

(4) For the purpose of clause (3) (b), the court may make any order that may be made under clause 41 (9) (a), (b), (c), (d), (g) or (h) or subsection 41 (16) and, in the case of an order provided by clause 41 (9) (g) or (h), imprisonment does not discharge arrears under the support order.

When Director is a party

(5) The Director is not a party to an application to vary a support order referred to in subsection (1), but the Director and the payor are the only parties to a motion under subsection (1) for an order to refrain.

Filing with Director's office

(6) The court shall file a copy of the order in the Director's office promptly after the order is signed.

Form and effective date

(7) An order to refrain shall be in the form prescribed by the regulations and takes effect only when it is filed in the Director's office.

Duration of order

(8) An order to refrain terminates on the earliest of the day the application to vary is determined, the day the support order is withdrawn from the Director's office and the day that is six months after the order to refrain is made.

Extension of order

(9) The court that makes an order to refrain may, on a motion by the payor before the order terminates and with notice to the Director, extend the order for one further period of three months.

Application of order

(10) An order to refrain is applicable only to the notice in respect of which the motion was made under subsection (1).

Second notice

36. (1) The Director may serve a second notice on the payor if, at any time in the 24 months after the payor made an arrangement under clause 34 (a) or obtained an order under subsection 35 (1) or clause 35 (3) (b), the payor fails to comply with,

(a) the terms of the arrangement made with the Director in response to the first notice;

(b) the terms of an order to refrain under subsection 35 (1); or

Contents

(2) The second notice shall inform the payor that his or her driver's licence may be suspended,

(a) unless, within 15 days after the day the second notice is served,

(i) the payor complies with clause (1) (a), (b) or (c), or

(ii) the payor pays all arrears owing under thesupport order; or

(b) if, within 24 months after the payor makes an arrangement under clause (1) (a) or obtains an order under subsection 35 (1) or clause 35 (3) (b), the payor fails to comply with the arrangement or order.

Interpretation: arrangement in response to notice

(3) For the purposes of this section, an arrangement is made in response to a first notice if it is made within the time referred to in the first notice.

Same

(4) An arrangement that is made in response to a first notice and is then amended by agreement in writing remains an arrangement made in response to the first notice.

Direction to suspend - after first notice

37. (1) The Director may direct the Registrar of Motor Vehicles to suspend a payor's driver's licence if, within the 30-day period referred to in the first notice, the payor does not,

(a) make an arrangement satisfactory to the Director for complying with the support order;

(b) obtain an order to refrain under subsection 35 (1) and file the order in the Director's office; or

Same - after second notice

(2) The Director may direct the Registrar of Motor Vehicles to suspend a payor's driver's licence if, within the 15-day period referred to in the second notice or at any time in the 24-month period referred to in the second notice, the payor does not,

(a) comply with clause 36 (1) (a), (b) or (c); or

(b) pay all arrears owing under the support order.

Form of direction

(3) A direction under this section shall be in a form approved by the Director and the Registrar of Motor Vehicles.

Direction to reinstate

38. (1) The Director shall direct the Registrar of Motor Vehicles to reinstate a driver's licence suspended as a result of a direction under section 37 if,

(a) the payor pays all the arrears owing under the support order;

(b) the payor is complying with the terms of the arrangement made with the Director in response to the first notice;

(c) the payor is complying with the terms of the support order as well as the terms of any order under section 35 or 41 that relates to the support order;

(d) the payor makes an arrangement satisfactory to the Director for complying with the support order; or

(e) the support order is withdrawn under section 16.

Notice revived if payor breaches arrangement

(2) If the Director directs the Registrar of Motor Vehicles to reinstate a driver's licence under clause (1) (d) and the payor fails to comply with that arrangement at any time within the 24-month period after the payor entered into a prior arrangement under clause 34 (a) or obtained an order under clause 35 (3) (b), the Director may proceed to act in accordance with the last notice that was served on the payor under this Part.

Where more than one order in default

(3) Where the payor is in default on one or more other support orders, the Director shall not direct the Registrar of Motor Vehicles to reinstate the driver's licence until all arrears owing under all the support orders are either paid or arranged to be paid on terms satisfactory to the Director.

Discretion to reinstate

(4) The Director may direct the Registrar of Motor Vehicles to reinstate a driver's licence suspended as a result of a direction under section 37 if, in the opinion of the Director, it would be unconscionable not to do so.

Form of direction

(5) A direction under this section shall be in a form approved by the Director and the Registrar of Motor Vehicles.

Anti-avoidance

39. An agreement by the parties to a support order to avoid or prevent its enforcement under this Part is of no effect.

PART VI

OTHER ENFORCEMENT MECHANISMS

Financial statements

40. (1) The Director may request that a payor who is in default under a support order, where the support order or related support deduction order is filed in the Director's office, complete and deliver to the Director a financial statement in the form prescribed by the regulations together with such proof ofincome as may be required by the regulations.

Same

(2) The payor shall deliver the completed financial statement to the Director within 15 days after he or she was served with the request to complete the form.

Changes in information

(3) If a payor discovers that any information was incomplete or wrong at the time he or she completed the financial statement, he or she shall, within 10 days of the discovery, deliver the corrected information to the Director.

Failure to comply

(4) The Ontario Court (Provincial Division) or the Family Court, on the motion of the Director, may order a payor to comply with a request under subsection (1) and subsections 41 (6) and (7) apply with necessary modifications.

Limitation

(5) The Director may request a financial statement under this section once in any six-month period but this does not restrict the Director's right to obtain a financial statement under section 41.

Default hearing

41. (1) When a support order that is filed in the Director's office is in default, the Director may prepare a statement of the arrears and, by notice served on the payor together with the statement of arrears, may require the payor to deliver to the Director a financial statement and such proof of income as may be required by the regulations and to appear before the court to explain the default.

Same

(2) When a support order that is not filed in the Director's office is in default, the recipient may file a request with the court, together with a statement of arrears, and, on such filing, the clerk of the court shall, by notice served on the payor together with the statement of arrears, require the payor to file a financial statement and appear before the court to explain the default.

Persons financially connected to payor

(3) The Director or the recipient may, at any time during a default proceeding under subsection (1) or (2), as the case may be, request that the court order a person who is financially connected to the payor to file a financial statement and any other relevant documents with the court or add such person as a party to the hearing.

Same

(4) If the court is satisfied that there is some evidence that a person who is financially connected to the payor has sheltered assets or income of the payor such that enforcement of the support order against the payor may be frustrated, the court may, by order, having regard to all the circumstances, including the purpose and effect of the dealings and the benefit or expected benefit therefrom to the payor,

(a) add the person as a party to the hearing;

(b) require the person, whether or not such person has been added as a party under clause (a), to file a financial statement and any other relevant documents with the court.

Form of statements

(5) A financial statement and statement of arrears required by subsection (2) shall be in the form prescribed by the rules of the court and a financial statement required by subsection (1) or (4) shall be in the form prescribed by the regulations.

Arrest of payor

(6) Where the payor fails to file the financial statement or to appear as the notice under subsection (1) or (2) requires, the court may issue a warrant for the payor's arrest for the purpose of bringing him or her before the court.

Bail

(7) Section 150 (interim release by justice of the peace) of the Provincial Offences Act applies with necessary modifications to an arrest under the warrant.

Presumptions at hearing

(8) At the default hearing, unless the contrary is shown, the payor shall be presumed to have the ability to pay the arrears and to make subsequent payments under the order, and the statement of arrears prepared and served by the Director shall be presumed to be correct as to arrears accruing while the order is filed in the Director's office.

Powers of court

(9) The court may, unless it is satisfied that the payor is unable for valid reasons to pay the arrears or to make subsequent payments under the order, order that the payor,

(a) pay all or part of the arrears by such periodic payments as the court considers just, but an order for partial payment does not discharge any unpaid arrears;

(b) discharge the arrears in full by a specified date;

(c) comply with the order to the extent of the payor's ability to pay, but an order under this clause does not affect the accruing of arrears;

(d) provide security in such form as the court directs for the arrears and subsequent payment;

(e) report periodically to the court, the Director or a person specified in the order;

(f) provide to the court, the Director or a person specified in the order particulars of any future change of address or employment as soon as they occur;

(g) be imprisoned continuously or intermittently for not more than 90 days unless the arrears are sooner paid; and

(h) be imprisoned continuously or intermittently for not more than 90 days on default in any payment ordered under this subsection.

Order against person financially connected to payor

(10) If the court is satisfied that a person who was made a party to the hearing under clause (4) (a) sheltered assets or income of the payor such that enforcement of the support order against the payor has been frustrated, the court may, having regard to all the circumstances, including the purpose and effect of the dealings and the benefit or expected benefit therefrom to the payor, make any order against the person that it may make against the payor under clauses (9) (a) to (f) to the extent of the value of the sheltered assets or income and, for the purpose, in clause (9) (c), "payor's" shall be read as "person's".

Same

(11) Subsections (6) and (7) apply with necessary modifications to a person with respect to whom an order is made under clause (4) (a) or (b).

Interim orders

(12) The court may make an interim order against the payor, or a person who was made a party to the hearing under clause (4) (a), that includes any order that may be made under subsection (9) or (10), as the case may be.

Power to vary order

(13) The court that made an order under subsection (9) or (10) may vary the order on motion if there is a material change in the payor's or other person's circumstances, as the case may be.

Enforcement of order

(14) The Director may enforce an order against a person made under subsection (10), (12) or (13) in the same manner he or she may enforce an order against the payor.

Imprisonment does not discharge arrears

(15) Imprisonment of a payor under clause (9) (g) or (h) does not discharge arrears under an order.

Realizing on security

(16) An order for security under clause (9) (d) or a subsequent order of the court may provide for the realization of the security by seizure, sale or other means, as the court directs.

Proof of service not necessary

(17) Proof of service of a support order on the payor is not necessary for the purpose of a default hearing.

Joinder of default and variation hearings

(18) A default hearing under this section and a hearing on an application for variation of the support order in default may be held together or separately.

Spouses compellable witnesses

(19) Spouses are competent and compellable witnesses against each other on a default hearing.

Records sealed

(20) A financial statement or other document filed under subsection (4) shall be sealed in the court file and shall not be disclosed except as permitted by the order or a subsequent order or as necessary to enforce an order made under subsection (10) or (12) against a person other than the payor.

Interpretation

(21) In this section,

"court" means the Ontario Court (Provincial Division) or the Family Court.

Registration against land

42. (1) A support order may be registered in the proper land registry office against the payor's land and on registration the obligation under the order becomes a charge on the property.

Sale of property

(2) A charge created by subsection (1) may be enforced by sale of the property against which it is registered in the same manner as a sale to realize on a mortgage.

Discharge or postponement of charge

(3) A court may order the discharge, in whole or in part, or the postponement, of a charge created by subsection (1), on such terms as to security or other matters as the court considers just.

Director to be served

(4) An order under subsection (3) may be made only after notice to the Director.

Registration under the Personal Property Security Act

43. (1) Arrears owing under a support order are, upon registration by the Director or the recipient with the registrar under the Personal Property Security Act of a notice claiming a lien and charge under this section, a lien and charge on any interest in personal property in Ontario owned or held at the time of registration or acquired afterwards by the payor.

Amounts included and priority

(2) The lien and charge is in respect of the arrears owed by the payor under a support order at the time of registration of the notice and the arrears owed by the payor under the support order which accrue afterwards while the notice remains registered and, upon registration of a notice of lien and charge, the lien and charge has priority over,

(a) any perfected security interest registered after the notice is registered;

(b) any security interest perfected by possession after the notice is registered; and

(c) any encumbrance or other claim that is registered against or that otherwise arises and affects the payor's property after the notice is registered.

Exception

(3) For the purpose of subsection (2), the notice of lien and charge does not have priority over a perfected purchase money security interest in collateral or its proceeds and shall be deemed to be a security interest perfected by registration for the purpose of the priority rules under section 28 of thePersonal Property Security Act.

Effective period

(4) The notice of lien and charge is effective from the time assigned to its registration by the registrar or branch registrar until its discharge and, if a financing change statement is filed to amend the amount of the arrears owing under the support order, the financing change statement shall be deemed to have been continuously registered since the initial notice of lien and charge was registered under subsection (1).

Secured party

(5) In addition to any other rights and remedies, if any arrears under a support order remain unpaid, the Director or recipient, as the case may be, has, in respect of the lien and charge,

(a) all the rights, remedies and duties of a secured party under sections 17, 59, 61, 62, 63 and 64, subsections 65 (4), (5), (6) and (7) and section 66 of the Personal Property Security Act;

(b) a security interest in the collateral for the purpose of clause 63 (4) (c) of that Act; and

(c) a security interest in the personal property for the purposes of sections 15 and 16 of the Repair and Storage Liens Act, if it is an article as defined in that Act.

Registration of documents

(6) The notice of lien and charge shall be in the form of a financing statement or a financing change statement as prescribed by regulation under the Personal Property Security Act and may be tendered for registration at a branch office as provided in Part IV of that Act.

Errors in documents

(7) The notice of lien and charge is not invalidated nor its effect impaired by reason only of an error or omission in the notice or in its execution or registration, unless a reasonable person is likely to be materially misled by the error or omission.

Bankruptcy and Insolvency Act (Canada) unaffected

(8) Subject to Crown rights provided under section 87 of the Bankruptcy and Insolvency Act (Canada), nothing in this section affects or purports to affect the rights and obligations of any person under that Act.

Writs of seizure and sale - amending amounts owing

44. (1) If a writ of seizure and sale is filed with a sheriff in respect of a support order, the person who filed the writ may at any time file with the sheriff a statutory declaration specifying the amount currently owing under the order.

Same

(2) When a statutory declaration is filed under subsection (1), the writ of seizure and sale shall be deemed to be amended to specify the amount owing in accordance with the statutory declaration.

Notice from sheriff of opportunity to amend writ

(3) A sheriff who comes into possession of money to be paid out under a writ of seizure and sale in respect of a support order shall, not later than seven days after making the entry required by subsection 5 (1) of the Creditors' Relief Act, give notice to the person who filed the writ of the opportunity to file a statutory declaration under subsection (1).

Same

(4) A sheriff who receives a request for information about the amount owing under a writ of seizure and sale in respect of a support order from a person seeking to have the writ removed from the sheriff's file shall promptly give notice to the person who filed the writ of the opportunity to file a statutory declaration under subsection (1).

Removal of writ from sheriff's file

(5) A sheriff shall not remove a writ of seizure and sale in respect of a support order from his or her file unless,

(a) the writ has expired and has not been renewed;

(b) the sheriff receives written notice from the person who filed the writ to the effect that the writ should be withdrawn;

(c) notice is given under subsection (3) or (4), a statutory declaration is subsequently filed under subsection (1) and the writ, as deemed to be amended under subsection (2), has been fully satisfied; or

(d) notice is given under subsection (3) or (4), 10 days have elapsed since the notice was given, no statutory declaration has been filed under subsection (1) since the giving of the notice and the writ has been fully satisfied.

Delivery of statutory declaration to land registrar

(6) If a copy of a writ of seizure and sale has been delivered by the sheriff to a land registrar under section 136 of the LandTitles Act and a statutory declaration is filed under subsection (1) in respect of the writ, the sheriff shall promptly deliver a copy of the statutory declaration to the land registrar and the amendment deemed to be made to the writ under subsection (2) does not bind land registered under the Land Titles Act until a copy of the statutory declaration has been received and recorded by the land registrar.

Garnishment of joint accounts

45. (1) Upon being served on a financial institution, a notice of garnishment issued by the Director to enforce a support order against a payor attaches 50 per cent of the money credited to a deposit account held in the financial institution in the name of the payor together with one or more other persons as joint or joint and several deposit account holders, and the financial institution shall pay up to 50 per cent of the money credited to the deposit account to the Director in accordance with the notice of garnishment.

Duties of financial institution

(2) The financial institution shall, within 10 days of being served with the notice of garnishment,

(a) pay the money to the Director and, at the same time, notify the Director if the account is held jointly or jointly and severally in the name of two or more persons; and

(b) notify the co-holders of the account who are not named in the notice of garnishment of the garnishment.

Dispute by co-holder

(3) Within 30 days after the financial institution notified the Director under clause (2) (a), a co-holder of the deposit account may file a dispute to the garnishment in the Ontario Court (Provincial Division) or the Family Court claiming ownership of all or part of the money that the financial institution paid to the Director.

Director to hold money for 30 days

(4) If the financial institution notifies the Director under clause (2) (a), the Director shall not release the money received under subsection (1) until 30 days after the financial institution so notified the Director, and the Director may release the money after the 30 days unless a co-holder of the deposit account first serves on the Director a copy of the dispute to the garnishment that the co-holder filed under subsection (3).

Determination by court

(5) In a hearing to determine the dispute to the garnishment, the money paid to the Director shall be presumed to be owned bythe payor and the court shall order,

(a) that the garnishment be limited to the payor's interest in the money that was paid to the Director; and

(b) that all or part of the money that was paid to the Director be returned to the co-holder only if it is satisfied that the co-holder owns that money.

Payment by Director

(6) Upon receipt of a copy of the court's order, the Director shall return to the co-holder any money determined by the court to belong to the co-holder and may release any remaining money, if any, to the recipient.

Action by joint account co-holder against payor

(7) A co-holder may bring an action against the payor in a court of competent jurisdiction,

(a) to recover any money owned by the co-holder that was paid to the Director under subsection (1);

(b) to recover any interest that the co-holder would have earned on the money owned by the co-holder that was paid to the Director under subsection (1).

Director and recipient are not parties

(8) The Director and the recipient are not parties to an action under subsection (7).

Definition

(9) In this section,

"deposit account" includes a deposit as defined in the Deposits Regulation Act and a demand account, time account, savings account, passbook account, checking account, current account and other similar accounts in,

(a) a bank listed in Schedule I or II to the Bank Act (Canada),

(b) a loan corporation or trust corporation as defined in the Loan and Trust Corporations Act,

(d) the Province of Ontario Savings Office, or

(e) a similar institution.

Deduction of arrears from lottery winnings

46. (1) If a payor who owes arrears under a support order that is filed in the Director's office is entitled to a single money prize of $1,000 or more from the Ontario Lottery Corporation in a lottery conducted by the Ontario Lottery Corporation, the Ontario Lottery Corporation shall,

(a) deduct from the prize the lesser of the full amount of the arrears owing and the full amount of the prize;

(b) pay the amount deducted under clause (a) to the Director; and

Director and Corporation to exchange information

(2) For the purposes of subsection (1), the Director shall disclose to the Ontario Lottery Corporation information in the Director's records respecting the names and addresses or other identifying particulars of payors and the status and particulars of their support obligations and the Ontario Lottery Corporation shall disclose to the Director information from its records respecting the names and addresses or other identifying particulars of lottery winners.

Definition

(3) In this section,

"lottery" means a lottery conducted in Ontario that consists of a system or arrangement for the issuance or sale of tickets and the distribution of money to winners selected at random from among the owners of tickets issued or sold.

Defaulters reported to consumer reporting agencies

47. (1) The Director may disclose to a consumer reporting agency registered under the Consumer Reporting Act,

(a) the name of a payor who is in default on a support order filed in the Director's office;

(b) the date of the support order;

(d) the amount of the arrears owing under the support order at the time of the disclosure.

Non-application of Consumer Reporting Act

(2) Sections 14 and 16 of the Consumer Reporting Act do not apply to the information disclosed by the Director.

Restraining order

48. A court, including the Ontario Court (Provincial Division), may make an order restraining the disposition or wasting of assets that may hinder or defeat the enforcement of a support order or support deduction order.

Arrest of absconding payor

49. (1) The Ontario Court (Provincial Division) or the Family Court may issue a warrant for a payor's arrest for the purpose of bringing him or her before the court if the court is satisfied that the payor is about to leave Ontario and that there are reasonable grounds for believing that the payor intends to evade his or her obligations under the support order.

Bail

(2) Section 150 (interim release by justice of the peace) of the Provincial Offences Act applies with necessary modifications to an arrest under the warrant.

Powers of court

(3) When the payor is brought before the court, it may make any order provided for in subsection 41 (9).

Recognition of extra-provincial garnishments

50. (1) On the filing of a garnishment process that,

(a) is issued outside Ontario and is directed to a garnishee in Ontario;

(b) states that it is issued in respect of support or maintenance; and

the clerk of the Ontario Court (Provincial Division) or Family Court shall issue a notice of garnishment to enforce the support or maintenance obligation.

Foreign currencies

(2) If the garnishment process refers to an obligation in a foreign currency, section 121 of the Courts of Justice Act applies with necessary modifications.

PART VII

OFFENCES AND PENALTIES

Offences - payors

51. (1) A payor who knowingly contravenes or knowingly fails to comply with section 19 or subsection 25 (1) or (2) or 40 (2) or (3) is guilty of an offence and on conviction is liable to a fine of not more than $10,000.

Same - income sources

(2) An income source who knowingly contravenes or knowingly fails to comply with subsection 22 (2) or 25 (1) or (2) or section 29 is guilty of an offence and on conviction is liable to a fine of not more than $10,000.

Same - individuals, etc., believed to be an income source

(3) An individual, corporation or other entity that knowingly contravenes or knowingly fails to comply with subsection 26 (1) or section 29 is guilty of an offence and on conviction is liable to a fine of not more than $10,000.

Offences - assignees

52. (1) An assignee under section 4 who knowingly contravenes or knowingly fails to comply with this Act or its regulations or the limitations, conditions or requirements set out in the assignment is guilty of an offence and on conviction is liable to a fine of not more than $10,000.

Same - directors, officers, employees, agents

(2) A director, officer, employee or agent of an assignee who commits an offence described in subsection (1) on conviction is liable to a fine of not more than $10,000.

Same - directors, officers

(3) A director or officer of an assignee is guilty of an offence if he or she,

(a) knowingly causes, authorizes, permits or participates in the commission of an offence described in subsection (1); or

(b) fails to take reasonable care to prevent the commission of an offence described in subsection (1).

Penalty

(4) A person who is convicted of an offence under subsection (3) is liable to a fine of not more than $10,000.

Contempt

53. (1) In addition to its powers in respect of contempt, a court, including the Ontario Court (Provincial Division), may punish by fine or imprisonment, or by both, any wilful contempt of, or resistance to, its process, rules or orders under this Act, but the fine shall not exceed $10,000 nor shall the imprisonment exceed 90 days.

Conditions of imprisonment

(2) An order for imprisonment under subsection (1) may be conditional upon default in the performance of a condition set out in the order and may provide for the imprisonment to be served intermittently.

PART VIII

MISCELLANEOUS

Director's access to information

54. (1) The Director may, for the purpose of enforcing a support order or support deduction order filed in the Director's office or for the purpose of assisting an office or person in another jurisdiction performing similar functions to those performed by the Director,

(a) demand from any person or public body information from a record in the person's or public body's possession or control that indicates the employer, place of employment, wages, salary, other income, assets, liabilities, address or location of a payor or payors;

(b) have access to all records in the possession or control of any ministry, agency, board or commission of the Government of Ontario in order to search for and obtain any information from such records about a payor or payors;

(c) enter into an agreement with any person or public body, including the Government of Canada, a Crown corporation, the government of another province or territory or any agency, board or commission of such government, to permit the Director to have access to a record in the person's or public body's possession or control that may indicate the employer, place of employment, wages, salary, other income, assets, liabilities, address or location of a payor or payors in default on a support order filed in the Director's office in order to search for and obtain such information from the record; and

(d) disclose information obtained under clause (a), (b) or (c) to a person performing similar functions to the Director in another jurisdiction.

Information confidential

(2) Information obtained under subsection (1) shall not be disclosed except,

(a) to the extent necessary for the enforcement of the support order or support deduction order;

(b) as provided in clause (1) (d); or

(c) to a police officer who needs the information for a criminal investigation that is likely to assist the enforcement of the support order or support deduction order.

Order of court for access to information

(3) If, on motion to a court, it appears that,

(a) the Director has been refused information after making a demand under clause (1) (a);

(b) the Director has been refused access to a record under clause (1) (b); or

(c) a person needs an order under this subsection for the enforcement of a support order that is not filed in the Director's office,

the court may order any person or public body to provide the court or the person whom the court names with any information that is shown on a record in the possession or control of the person or public body and indicates the employer, place of employment, wages, salary, other income, assets, liabilities, address or location of the payor.

Costs

(4) If the Director obtains an order under clause (3) (a) or (b), the court shall award the costs of the motion to the Director.

Information confidential

(5) Information obtained under an order under clause (3) (c) shall be sealed in the court file and shall not be disclosed except,

(a) as permitted by the order or a subsequent order;

(b) to the extent necessary for the enforcement of the support order or support deduction order;

(d) to a police officer who needs the information for a criminal investigation that is likely to assist the enforcement of the support order or support deduction order.

Section governs

(6) This section applies despite any other Act or regulation and despite any common law rule of confidentiality.

Federal-provincial agreement

55. (1) The Attorney General may, on behalf of the Government of Ontario, enter into an agreement with the Government of Canada concerning the searching for and the release of information under Part I of the Family Orders and Agreements Enforcement Assistance Act (Canada).

Information obtained from federal government

(2) The Director shall not disclose information obtained under the Family Orders and Agreements Enforcement Assistance Act (Canada) for the enforcement of a support order, except,

(a) to the extent necessary for the enforcement of the order; or

(b) as permitted by the Freedom of Information and Protection of Privacy Act.

Payments pending court decisions

56. (1) The Director shall pay any money he or she receives in respect of a support order or a support deduction order to the recipient despite the commencement of any court proceeding in respect of the support obligation or its enforcement, in the absence of a court order to the contrary.

Exception

(2) If a court orders the Director to hold any of the money received in respect of a support order or a support deduction order pending the disposition of the proceeding, the Director shall, upon receipt of a copy of the order, hold any money he or she receives to the extent required by the court.

Application of payments

57. (1) Money paid to the Director on account of a support order shall be credited,

(a) first to the current ongoing support obligation;

(b) then to the oldest arrears owing, regardless of to whom the arrears are owed, until the arrears are paid in full;

(d) then to any fees charged by the Director for his or her services, any costs ordered by a court in favour of the Director and any amount owed to reimburse the Director for money paid by the Director to the recipient.

Exception

(2) Subsection (1) does not apply if the court orders otherwise.

Fees

58. (1) The Director shall not charge any fee to any person for his or her services except as provided by regulation.

Enforcement of orders to collect fees, etc.

(2) The Director may continue to enforce a support order or support deduction order to collect fees, costs ordered by a court to the Director and any amount owed to the Director as reimbursement for money paid to a recipient, even if the support order or support deduction order with respect to which the fees, costs or other debt were incurred has been withdrawn from the Director's office or if the arrears of support under such order have been ordered rescinded or if the support obligation has terminated.

Protection from personal liability

59. (1) No action or other proceeding for damages shall be instituted against the Director or any employee of the Director's office for any act done in good faith in the execution or intended execution of any duty or authority under this Act or for any alleged neglect or default in the execution in good faith of any duty or authority under this Act.

Crown not relieved of liability

(2) Despite subsections 5 (2) and (4) of the Proceedings Against the Crown Act, subsection (1) does not relieve the Crown of liability in respect of a tort committed by a person mentioned in subsection (1) to which it would otherwise be subject.

Acting by solicitor

60. Anything that this Act requires to be signed or done by a person, or that is referred to in this Act as signed or done by a person, may be signed or done by a lawyer acting on the person's behalf.

Disclosure of personal information

61. (1) The Director shall collect, disclose and use personal information about an identifiable individual for the purpose of enforcing a support order or a support deduction order under this Act.

Same

(2) Any person, agency, board, commission or body that is referred to in section 54 shall disclose personal information about an identifiable individual to the Director for the purpose of that section.

Notice to individual not required

(3) Subsection 39 (2) of the Freedom of Information and Protection of Privacy Act does not apply to the collection of personal information about an identifiable individual under this Act.

Act prevails over confidentiality provisions

(4) This Act prevails over a confidentiality provision in another Act that would, if not for this Act, prohibit thedisclosure of information to the Director.

Act binds Crown

62. This Act binds the Crown.

Regulations

63. The Lieutenant Governor in Council may make regulations,

(a) prescribing forms and providing for their use;

(b) prescribing types of income for the purposes of clause (l) of the definition of "income source" in subsection 1 (1);

(c) prescribing classes of persons and information to be supplied to the court and the manner in which information is to be supplied for the purposes of subsection 11 (3);

(d) prescribing practices and procedures related to the filing and withdrawal of support orders and support deduction orders and to the enforcement, suspension and termination of such orders filed in the Director's office;

(e) prescribing deductions for the purposes of subsection 23 (4);

(f) prescribing information that shall be supplied under subsection 25 (1);

(g) governing the form and posting of security by a payor under section 28 and the realization thereon;

(h) respecting proof of income for the purposes of sections 40 and 41;

(i) prescribing fees to be charged by the Director for administrative services, including preparing and photocopying documents on request, prescribing fees for repeated filings of a support order or support deduction order, as specified in the regulations, and prescribing fees for any steps taken by the Director to enforce a support order in response to the persistent or wilful default by a payor;

(j) prescribing methods of and rules respecting service, filing and notice for the purposes of this Act, including different methods and rules for different provisions and different methods and rules for service on or notice to the Crown;

(k) providing that a support deduction order is not effective against the Crown unless a statement of particulars in the prescribed form is served with the notice of the order;

(l) prescribing anything that is required or authorized by this Act to be prescribed.

64. On a day to be named by proclamation of the Lieutenant Governor, Part V of this Act is repealed and the following substituted:

PART V

SUSPENSION OF DRIVERS' LICENCES AND VEHICLE PERMITS

Definitions

33. In this Part,

"driver's licence" has the same meaning as in subsection 1 (1) of the Highway Traffic Act; ("permis de conduire")

"permit" means a permit, or a portion of a permit, issued exclusively in the name of an individual under subsection 7 (7) of the Highway Traffic Act, but does not include a permit issued in respect of a commercial motor vehicle, as defined in subsection 16 (1) of that Act, or in respect of a trailer. ("certificat d'immatriculation")

First notice

34. When a support order that is filed in the Director's office is in default, the Director may serve a first notice on the payor, informing the payor that his or her driver's licence and permit may be suspended unless, within 30 days after the day the first notice is served,

(a) the payor makes an arrangement satisfactory to the Director for complying with the support order and for paying the arrears owing under the support order;

(b) the payor obtains an order to refrain under subsection 35 (1) and files the order in the Director's office; or

Order to refrain

35. (1) A payor who receives a first notice may, on notice to the Director, in an application to vary the support order, make a motion for an order that the Director refrain from making a direction under subsection 37 (1) on the terms that the court considers just.

Time limits and variation

Order re arrears

(3) When determining the variation application, a court that makes an order to refrain,

(a) shall state the amount of the arrears owing, after any variation; and

(b) may make an order respecting payment of the arrears.

Same

(4) For the purpose of clause (3) (b), the court may make any order that may be made under clause 41 (9) (a), (b), (c), (d), (g) or (h) or subsection 41 (16) and, in the case of an order provided for in clause 41 (9) (g) or (h), imprisonment does not discharge arrears under the support order.

When Director is a party

Filing with Director's office

(6) The court shall file a copy of the order in the Director's office promptly after the order is signed.

Form and effective date

(7) An order to refrain shall be in the form prescribed by the regulations and takes effect only when it is filed in the Director's office.

Duration of order

Extension of order

(9) The court that makes an order to refrain may, on a motion by the payor before the order terminates and with notice to the Director, extend the order for one further period of three months.

Application of order

(10) An order to refrain is applicable only to the notice in respect of which the motion was made under subsection (1).

Second notice

(a) the terms of the arrangement made with the Director in response to the first notice;

(b) the terms of an order to refrain under subsection 35 (1); or

Contents

(2) The second notice shall inform the payor that his or her driver's licence and permit may be suspended,

(a) unless, within 15 days after the day the second notice is served,

(i) the payor complies with clause (1) (a), (b) or (c), or

(ii) the payor pays all arrears owing under the support order; or

Interpretation: arrangement in response to notice

(3) For the purposes of this section, an arrangement is made in response to a first notice if it is made within the time referred to in the first notice.

Same

(4) An arrangement that is made in response to a first notice and is then amended by agreement in writing remains an arrangement made in response to the first notice.

Direction to suspend, etc. - after first notice

37. (1) The Director may direct the Registrar of Motor Vehicles to suspend a payor's driver's licence and permit, or either of them, if, within the 30-day period referred to in thefirst notice, the payor does not,

(a) make an arrangement satisfactory to the Director for complying with the support order;

(b) obtain an order to refrain under subsection 35 (1) and file the order in the Director's office; or

Same - after second notice

(2) The Director may direct the Registrar of Motor Vehicles to suspend a payor's driver's licence and permit, or either of them, if, within the 15-day period referred to in the second notice or at any time in the 24-month period referred to in the second notice, the payor does not,

(a) comply with clause 36 (1) (a), (b) or (c); or

(b) pay all arrears owing under the support order.

Form of direction

(3) A direction under this section shall be in a form approved by the Director and the Registrar of Motor Vehicles.

Direction to reinstate

38. (1) The Director shall direct the Registrar of Motor Vehicles to reinstate a driver's licence and permit suspended as a result of a direction under section 37 if,

(a) the payor pays all the arrears owing under the support order;

(b) the payor is complying with the terms of the arrangement made with the Director in response to the first notice;

(c) the payor is complying with the terms of the support order as well as the terms of any order under section 35 or 41 that relates to the support order;

(d) the payor makes an arrangement satisfactory to the Director for complying with the support order;

(e) the support order is withdrawn under section 16; or

(f) in the case of a permit issued in respect of a vehicle that is registered as a security interest under the Personal Property Security Act, the secured party enforces on the security interest and requests that the Director direct the reinstatement of the permit for that purpose.

Notice revived if payor breaches arrangement

(2) If the Director directs the Registrar of Motor Vehicles under clause (1) (d) and the payor fails to comply with the arrangement referred to in that clause at any time within the 24-month period after the payor entered into an arrangement under clause 34 (a) or obtained an order under clause 35 (3) (b), the Director may proceed to act in accordance with the last notice that was served on the payor under this Part.

Where more than one order in default

(3) Where the payor is in default on one or more other support orders, the Director shall not direct the Registrar of Motor Vehicles to reinstate the driver's licence and permit until all arrears owing under all the support orders are either paid or arranged to be paid on terms satisfactory to the Director.

Discretion to reinstate

(4) The Director may direct the Registrar of Motor Vehicles to reinstate a driver's licence or permit suspended as a result of a direction under section 37 if, in the opinion of the Director, it would be unconscionable not to do so.

Form of direction

(5) A direction under this section shall be in a form approved by the Director and the Registrar of Motor Vehicles.

Anti-avoidance

39. An agreement by the parties to a support order to avoid or prevent its enforcement under this Part is of no effect.

PART IX

COMPLEMENTARY AMENDMENTS TO OTHER ACTS

Courts of Justice Act

65. Paragraph 1 of the Schedule to section 21.8 of the Courts of Justice Act, as enacted by the Statutes of Ontario, 1994, chapter 12, section 8, is amended by striking out "Family Support Plan Act" and substituting "Family Responsibility and Support Arrears Enforcement Act, 1996".

Creditors' Relief Act

66. Clause 4 (1) (a) of the Creditors' Relief Act is repealed and the following substituted:

(a) if the order is for periodic payments, in the amount of the arrears owing under the order at the time of seizure or attachment.

Highway Traffic act

67. The heading to Part XIII of the Act is repealed and the following substituted:

SUSPENSION FOR FAILURE TO PAY

JUDGMENTS OR MEET SUPPORT OBLIGATIONS

68. Section 197 of the Act, as amended by the Statutes of Ontario, 1996, chapter 20, section 30, is repealed.

69. Part XIII of the Act is amended by adding the following sections:

Licence suspension on direction of Director of Family Responsibility Office

198.1 (1) On receiving a direction under section 37 of the Family Responsibility and Support Arrears Enforcement Act, 1996 to suspend the driver's licence of a person, the Registrar shall suspend the person's driver's licence, if it is not already under suspension under this section.

Reinstatement

(2) On receiving a direction under section 38 of the Family Responsibility and Support Arrears Enforcement Act, 1996 to reinstate the driver's licence of a person, the Registrar shall reinstate the licence unless,

(a) the licence is otherwise under suspension;

(b) interest charged or a penalty imposed under subsection 5 (2) has not been paid; or

Personal information

198.2 The Registrar shall, for purposes related to section 198.1, collect and use personal information about an identifiable individual disclosed in a direction from the Director of the Family Responsibility Office.

Protection from personal liability

198.3 (1) No action or other proceeding for damages shall be instituted against the Registrar or any employee of the Ministry for acting in good faith in the execution or intended execution of a duty under this Part.

Crown not relieved of liability

(2) Despite subsections 5 (2) and (4) of the Proceedings Against the Crown Act, subsection (1) does not relieve the Crown of liability in respect of a tort committed by a person mentionedin subsection (1) to which it would otherwise be subject.

70. On a day to be named by proclamation of the Lieutenant Governor, Part XIII of the Act is amended by adding the following section:

Definition

198.4 (1) In this section,

"permit" means a permit, or a portion of a permit, issued exclusively in the name of an individual under subsection 7 (7), but does not include a permit issued in respect of a commercial motor vehicle, as defined in subsection 16 (1), or in respect of a trailer.

Notice of suspension

(2) On receiving a direction under section 37 of the Family Responsibility and Support Arrears Enforcement Act, 1996 to suspend an individual's permit, the Registrar shall give the individual in whose name the permit is held notice in writing that the permit shall be suspended on the day that is 15 days after the day the Registrar received the direction.

Permits suspended

(3) On the day that is 15 days after the day the Registrar received the direction to suspend a permit under section 37 of the Family Responsibility and Support Arrears Enforcement Act, 1996, he or she shall suspend all permits issued to the individual, if they are not already under suspension under this section.

Effect of direction to suspend permit

(4) Effective the day the Registrar receives a notice under section 37 of the Family Responsibility and Support Arrears Enforcement Act, 1996, the individual in whose name the permit is held is not entitled to have any permit validated in his or her name, is not entitled to have any other permit issued, either individually or jointly, is not entitled to renew any permit held individually and is not entitled to transfer the permit to any other person's name.

Reinstatement

(5) On receiving a direction under section 38 of the Family Responsibility and Support Arrears Enforcement Act, 1996 to reinstate an individual's permit, the Registrar shall enter on the Ministry's records a notation that all suspensions imposed under subsection (3) have been removed.

Same

(6) Where a notation is entered in the Ministry's records under subsection (5), the permit shall be reinstated upon the application by the individual to the Ministry and upon theindividual's meeting the requirements of subsection 7 (7).

Notice of reinstatement

(7) Where the Registrar has entered a notation under subsection (5), he or she shall give the individual in whose name the permit was held notice in writing that the permit may be reinstated.

Copies of notices to other holders affected

(8) If a permit consists of two portions, only one of which is to be or has been suspended under this section, the Registrar shall give a copy of the notice given under subsection (2) or (7) to the holder or holders of the other portion of the permit.

When notice given

(9) Notice under subsection (2), (7) or (8) is sufficiently given if delivered personally or sent by registered mail addressed to the person to whom the permit was issued at the latest address of the person appearing on the records of the Ministry and where notice is given by registered mail it shall be deemed to have been given on the fifth day after the mailing unless the person to whom the notice is given establishes that he or she did not, acting in good faith through absence, accident, illness or other cause beyond his or her control, receive the notice.

Offence

(10) Every individual whose permit is suspended under this section and who, while prohibited from having a permit issued in his or her name, applies for the issuance of or procures a permit or has possession of the suspended permit issued to him or her for a vehicle is guilty of an offence and on conviction is liable to a fine of not less than $200 and not more than $2,000 or imprisonment for a term of not more than 30 days, or to both.

Same

(11) Every individual whose permit is suspended under this section is guilty of an offence if the vehicle for which the permit is issued is driven on a highway while the permit is under suspension, unless the vehicle was in the possession of a person other than the holder of the suspended permit without the holder's consent, and on conviction is liable to a fine of not less than $200 and not more than $1,000 or imprisonment for a term of not more than six months, or to both.

Same

(12) Every individual who, after having received a notice from the Director of the Family Support Plan under section 34 of the Family Responsibility and Support Arrears Enforcement Act, 1996 that his or her permit may be suspended or after having received a notice from the Registrar under subsection (2), purports to sell, transfer, encumber or otherwise alienate a vehicle that isregistered exclusively to him or her is guilty of an offence and on conviction is liable to a fine of not less than $500 and not more than $5,000 or imprisonment for a term of not more than six months, or to both, and the purported sale, transfer, encumbrance or alienation is null and void and of no effect.

Police officer's powers

(13) A police officer who has reason to believe that a motor vehicle is being operated on a highway while the permit is under suspension may,

(a) detain the vehicle at any location that is reasonable in the circumstances; and

(b) seize the permits and number plates of the vehicle until the vehicle can be moved without a contravention of this Act occurring.

Seized permit is deemed suspended

(14) Every permit seized under clause (13) (b) shall be deemed to be under suspension for the purposes of subsection (11) while it is in the custody of the officer who seized it.

Costs of detaining vehicle are a lien on vehicle

(15) The costs incurred in detaining a vehicle under subsection (13) are a lien on the vehicle which may be enforced in the manner provided by Part III of the Repair and Storage Liens Act.

Application to court

(16) The person entitled to possession of a vehicle that is detained or the permits or plates of which are seized under subsection (13) may apply to the Ontario Court (General Division) for an order that the vehicle be released or the permits and plates returned, as the case may be.

Director of Family Responsibility Office not a party

(17) The Director of the Family Responsibility Office is not a party to an application under subsection (16).

Security

(18) On an application made under subsection (16), the court may make the order applied for on condition that security for the payment of any fine imposed, in the amount to be determined by the court but not exceeding $5,000 be deposited with the court.

Same

(19) Every security deposited under subsection (18) shall be returned,

(a) upon a final acquittal under all charges arising in connection with a seizure or detention;

(b) where a charge is not laid within six months after the seizure or detention, on the expiration of the six month period; or

Section 51 does not apply

(20) Section 51 does not apply to a suspension under this section.

Workers' Compensation Act

71. Section 48 of the Workers' Compensation Act is repealed and the following substituted:

Deduction for family support

48. (1) This section applies if a person is entitled to compensation under this Act and his or her spouse (as defined in Part III of the Family Law Act) or dependants are entitled to support or maintenance under a court order or domestic contract.

Same

(2) The Board shall pay all or part of the amount owing to the person under this Act,

(a) in accordance with a garnishment notice issued by a court in Ontario or by an enforcement officer of the Family Responsibility Office and served upon the Board; or

(b) in accordance with a notice of a support deduction order served by the Director of the Family Responsibility Office upon the Board.

Limits and procedures

(3) For the purposes of this section,

(a) garnishment of periodic payments is subject to the limits and procedures set out in subsections 7 (1) to (5) of the Wages Act and compensation payable under this Act, other than funds set aside under this Act for the purpose of providing a person who is receiving compensation under this Act with a retirement pension, shall be deemed to be wages for the purposes of the Wages Act;

(b) deduction of compensation under a notice of a support deduction order shall be subject to the limits and procedures set out in the Family Responsibility and Support Arrears Enforcement Act, 1996.

PART X

REPEALS, COMMENCEMENT AND SHORT TITLE

Repeals

72. The Family Support Plan Act and the Family Support Plan Amendment Act, 1991 are repealed.

Commencement

73. This Act comes into force on a day to be named by proclamation of the Lieutenant Governor.

Short title

74. The short title of this Act is the Family Responsibility and Support Arrears Enforcement Act, 1996.