Acts and Regulations

C-8 - Collection Agencies Act

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Repealed on 1 September 2011
CHAPTER C-8
Collection Agencies Act
Repealed: R.S.N.B. 2011, Schedule A
Definitions
1In this Act
“collection agency” means a person, other than a collector, who carries on the business of collecting debts for other persons in consideration of the payment of a commission upon the amount collected or otherwise, whether the head office of such collection agency is within or without the Province;(agence de recouvrement)
“collector” means a person employed, appointed, or authorized by a collection agency to solicit business or collect debts for the agency;(agent de recouvrement)
“Minister” means the Minister of Justice and Consumer Affairs and includes any person designated by the Minister to act on the Minister’s behalf;(Ministre)
“prescribed” means prescribed by regulation.(prescrit)
R.S., c.31, s.1; 1975, c.14, s.1; 1978, c.D-11.2, s.6; 2006, c.16, s.36
Administration of Act
1.1The Minister is responsible for the administration of this Act and may designate persons to act on his behalf.
1985, c.7, s.1
Licence
2(1)No person shall carry on the business of a collection agency, operate a branch office of a collection agency, or act as a collector until such person has been licensed as provided by this Act and the regulations, and has caused notice of such licence to be published in The Royal Gazette.
2(2)A person who violates or fails to comply with subsection (1) commits an offence punishable under Part II of the Provincial Offences Procedure Act as a category E offence.
R.S., c.31, s.2; 1975, c.14, s.2; 2008, c.11, s.7
Application for licence
3(1)Every application for a licence shall
(a) be made in writing,
(b) be accompanied by such fee as is prescribed, and
(c) furnish such information as required by or in accordance with the regulations.
3(2)The Minister
(a) may, if he is satisfied that the applicant is suitable to be licensed and the proposed licence is not for any reason objectionable, issue a licence to the applicant, or
(b) may, if he is of the opinion, after due investigation made by him or by a person he designates for any reason that the applicant should not be issued a licence, refuse to issue a licence to the applicant.
R.S., c.31, s.3; 1975, c.14, s.3; 1985, c.7, s.2
Offence regarding lack of licence
4A collection agency or collector that carries on business in New Brunswick, either by correspondence, or by serving written demands, or by making verbal demands upon alleged debtors, without the licence required by this Act, commits an offence punishable under Part II of the Provincial Offences Procedure Act as a category E offence.
R.S., c.31, s.4; 1975, c.14, s.4; 2008, c.11, s.7
Offence regarding use of unlicensed agency
5A person who employs a collection agency that does not have the licence required by this Act, or causes or procures letters to be sent or oral demands to be made upon debtors or alleged debtors by a collection agency not having such licence, commits an offence punishable under Part II of the Provincial Offences Procedure Act as a category E offence.
R.S., c.31, s.5; 2008, c.11, s.7
Offence regarding violation of regulations
5.1A collection agency or collector who violates or fails to comply with any provision of the regulations made under this Act commits an offence punishable under Part II of the Provincial Offences Procedure Act as a category B offence.
1984, c.19, s.1; 2008, c.11, s.7
Examination of books and records
5.2(1)A collection agency or a person operating a branch office of a collection agency shall, during normal business hours, make available for examination by the Minister its books and records and shall furnish such information as may be requested by the Minister.
5.2(2)If a collection agency or a person operating a branch office of a collection agency fails to make available for examination its books and records as provided for in subsection (1) or to furnish any information requested thereunder, the Minister may cancel forthwith the licence issued in relation to it.
1985, c.7, s.3
Cancellation of licence
6(1)The Minister may suspend or cancel any licence in accordance with the regulations or where in his opinion such action is in the public interest.
6(2)No person whose licence has been cancelled is entitled to a new licence for one year after the cancellation.
6(3)Any person dissatisfied with any decision of the Minister under this section or under section 3 or subsection 5.2(2) may appeal therefrom to the judge of The Court of Queen’s Bench of New Brunswick sitting in the judicial district in which the applicant has his place of business.
6(4)When a licence has been suspended or cancelled under this Act, the holder of the licence shall forthwith return the licence to the Minister.
6(5)A person who violates or fails to comply with subsection (4) commits an offence punishable under Part II of the Provincial Offences Procedure Act as a category C offence.
R.S., c.31, s.6; 1975, c.14, s.5; 1979, c.41, s.17; 1985, c.7, s.4; 2008, c.11, s.7
Regulations
7The Lieutenant-Governor in Council may make regulations,
(a) respecting the requirements of an application for a licence under this Act and the form, terms and conditions of such licence;
(b) fixing the date of the licence and the period for which it may be issued and the fee to be charged therefor;
(b.1) respecting the suspension and cancellation of a licence;
(c) requiring the giving of security by a collection agency, respecting the nature, form, amount and conditions of forfeiture of such security, and regulating the disposition of the proceeds of that security upon forfeiture;
(c.1) authorizing the Minister, where any money is paid to him in consequence of the forfeiture of any security required under the regulations, to deduct from the money and retain the amount of the costs incurred by him in connection with the recovery and any distribution of the money, including the costs of any investigation of a claim made upon the money;
(d) respecting the manner in which collection agencies are to keep their accounts and the manner in which they are to hold, account for and pay over money collected by them;
(e) prescribing the nature and amount of fees and other charges that collection agencies may recover or attempt to recover for their services from their clients or their clients’ debtors;
(f) prohibiting the use of any particular method in the collection of debts by collection agencies or collectors;
(g) respecting returns to be made and information to be provided by collection agencies;
(h) prohibiting the bringing of any action by a collection agency for the recovery of debt in any court of this Province; and
(i) respecting forms.
R.S., c.31, s.7; 1970, c.13, s.1; 1975, c.14, s.6; 1984, c.19, s.2; 1985, c.7, s.5
Application of Act
8(1)Subject to subsection (2) this Act does not apply to
(a) a member of the Bar of the Province of New Brunswick;
(b) an insurance agent licensed under the Insurance Act in respect of the collection of insurance premiums; or
(c) a chartered bank organized under the laws of Canada, or its officials or servants, in respect of any business of the said bank.
8(2)This Act applies to a member of the Bar of any province who carries on a collection agency in a name other than his own.
R.S., c.31, s.8; 1959, c.34, s.1
N.B. This Act is consolidated to September 1, 2011.