[37] Bill 116 Original (PDF)
Bill 116 2003
An Act exempting
registered retirement plans
from certain enforcement processes
Her Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:
Interpretation
1. In this Act,
"DPSP" means a deferred profit sharing plan as defined in section 147 of the federal Act; ("RPDB")
"enforcement process" means attachment, garnishment, execution, seizure or other legal process for the enforcement of a debt; ("exécution forcée")
"federal Act" means the Income Tax Act (Canada); ("loi fédérale")
"planholder" means,
(a) with respect to a DPSP, a beneficiary within the meaning of section 147 of the federal Act,
(b) with respect to an RRIF, an annuitant as defined in section 146.3 of the federal Act, and
(c) with respect to an RRSP, an annuitant as defined in section 146 of the federal Act; ("participant")
"registered plan" means a DPSP, an RRIF or an RRSP; ("régime enregistré")
"RRIF" means a registered retirement income fund as defined in section 146.3 of the federal Act; ("FERR")
"RRSP" means a registered retirement savings plan as defined in section 146 of the federal Act. ("REER")
Exemption from enforcement processes
2. (1) Subject to subsection (3) but despite any other Act or law, all rights, property and interests of a planholder in a registered plan are exempt from any enforcement process.
Same
(2) Subsection (1) applies despite any provision in any other Act or regulation that states that the provision is to apply despite any other Act or law.
Non-application of subs. (1)
(3) Subsection (1) does not apply with respect to the enforcement of a support order as defined in the Family Responsibility and Supports Arrears Enforcement Act, 1996.
No exemption for payments out
3. (1) Subject to section 4 but despite any other Act or law, a payment out of a registered plan to a planholder or the legal representative of a planholder is not exempt from any enforcement process.
Interplan transfer not a payment out
(2) For the purposes of subsection (1), a transfer of property held in one registered plan to another registered plan does not constitute a payment out of a registered plan.
Interplan transfer not a fraud
(3) A transfer of property held in one registered plan to another registered plan does not constitute a fraud or fraudulent preference under the Assignments and Preferences Act.
Enforcement against payments out
4. For the purposes of enforcing a creditor's rights against payments out of a registered plan to a debtor planholder,
(a) the amount of a payment out of the registered plan is deemed to be a debt due or accruing to the person for or with respect to the person's wages within the meaning of the Wages Act; and
(b) the exemptions set out in the Wages Act apply with necessary modifications.
Commencement
5. This Act comes into force on a day to be named by proclamation of the Lieutenant Governor.
Short title
6. The short title of this Act is the Registered Plan (Retirement Income) Exemption Act, 2003.
EXPLANATORY NOTE
The Bill provides that registered retirement savings plans, registered retirement income funds and deferred profit sharing plans of planholders are exempt from certain enforcement processes brought by their creditors.