Acts and Regulations

N-11 - Nursing Homes Act

Full text
Appointment of trustee
10(1)Where,
(a) in the opinion of the Minister based on reasonable grounds,
(i) a nursing home is not functioning effectively,
(ii) the operator or the nursing home fails to meet the requirements of this Act and the regulations,
(iii) the operator of a nursing home violates any provision of this Act or the regulations, or
(iv) the operator fails to comply with the terms and conditions to which his licence is subject, or
(b) the licence of a nursing home has been revoked, a renewal of a licence is refused or a licence expires and is not renewed,
the Lieutenant-Governor in Council may appoint a trustee, for a term not exceeding twelve months, in whom shall be vested upon such appointment, without further action, all property, powers, duties and liabilities of the operator in relation to the nursing home, including all bank accounts, safety deposit boxes or trust funds in the name of, or in the control of the operator and also including any trusts controlled or administered by any person on behalf of the operator in relation to the nursing homes or the residents thereof.
10(2)On the appointment of a trustee under subsection (1), any contract or other arrangement for the administration of the nursing home, except a collective agreement, is suspended unless otherwise directed in writing by the trustee.
10(3)The trustee shall have access to all books, records and other documents relating to the operation of the nursing home and, for the purposes of this section, the trustee has the powers of commissioners under the Inquiries Act.
10(4)The trustee may operate the nursing home and may engage, direct and dismiss staff, purchase goods and supplies, enter into contracts and otherwise engage in any activity necessary to the operation of the nursing home.
10(5)The trustee shall be deemed to be the employer for the purposes of any collective agreement in force in relation to employees of the nursing home and for purposes of negotiating and entering into a collective agreement.
10(6)The trustee may take action against the operator of a nursing home on behalf of beneficiaries of any trusts held by the operator.
10(7)A trustee appointed under this section shall from time to time and at all times be indemnified and saved harmless out of the funds of the operator of the nursing home from and against all costs, charges and expenses whatsoever that the trustee sustains or incurs in or about any action, suit or proceeding against him for or in respect of any act, deed, matter or thing whatsoever made, done or permitted by him in or about the execution of his duties as trustee; and also from and against all other costs, charges and expenses that he sustains or incurs in or about or in relation to the affairs thereof, except costs, charges, or expenses that are occasioned by his own wilful neglect or wilful default.
10(8)When the Lieutenant-Governor in Council is satisfied that the reason for appointing a trustee under subsection (1) no longer exists, he may terminate the appointment of the trustee and all property, powers, duties and liabilities vested in or acquired by the trustee are revested or vested in the operator upon such termination, without further action.
10(9)Upon the termination of his appointment under subsection (8) the trustee shall report to the Lieutenant-Governor in Council with respect to the nursing home and the Lieutenant-Governor in Council may make all or any of the trustee’s report public.
10(10)No action shall be taken by the operator of a nursing home for loss of profits during the period of the appointment of a trustee.
10(11)Where the Minister intends to expropriate a nursing home in respect of which a trustee has been appointed under this section, the trustee may, notwithstanding subsection 10(1) of this Act and sections 22 and 37 of the Expropriation Act, continue in possession of the nursing home and to operate the nursing home pending the completion of the expropriation proceeding.
1985, c.4, s.50