RSNL1990 CHAPTER P-5 - PENSION PLANS DESIGNATION OFBENEFICIARIES ACT

RSNL1990 CHAPTER P-5 PENSION PLANS DESIGNATION OF BENEFICIARIES ACT Amended: 2022 c13 CHAPTER P-5 AN ACT RESPECTING THE DESIGNATION OF BENEFICIARIES UNDER PENSION AND OTHER PLANS Analysis 1. Short title 2. Definitions 3. Designation of beneficiary 4. Revocation of designation 4.1 Electronic form 5. Designations by will 6. Life Insurance Act 7. Uniform interpretation Short title 1. This Act may be cited as the Pension Plans Designation of Beneficiaries Act. RSN1970 c288 s1 Back to Top Definitions 2. In this Act (a) "designation" means a written instrument referred to in subsection 3(1); (b) "employer" includes the trustee under a plan; (c) "participant" means a person who is participating in a plan established by an employer and who (i) is or has been employed by the employer, or (ii) is an agent or former agent of the employer; and (d) "plan" means a pension, retirement, welfare, or profit-sharing fund, scheme, or arrangement, for the benefit of employees, former employees, agents or former agents of an employer. RSN1970 c288 s2 Back to Top Designation of beneficiary 3. (1) Where, under the terms of a plan, a participant, by a written instrument signed by the participant or on the participant's behalf by another person in the participant's presence and by the participant's direction, has designated a person to receive a benefit payable under the plan in the event of the death of the participant, (a) the employer is discharged on paying to the person designated the amount of the benefit; and (b) the person designated may on the death of the participant enforce payment of the benefit. (2) Where a person designated under subsection (1) seeks to enforce payment of the benefit, the employer may set up a defence that the employer could have set up against the participant or the participant’s personal representative. RSN1970 c288 s3; 2022 c13 s3 Back to Top Revocation of designation 4. A participant may alter or revoke a designation made under a plan but the alteration or revocation may be made only in the manner set out in the plan. RSN1970 c288 s4 Electronic form 4.1 Notwithstanding sections 3 and 4, a designation under subsection 3(1), or the alteration or revocation of a designation under section 4, may be made electronically in accordance with the Electronic Commerce Act . 2022 c13 s4 Back to Top Designations by will 5. (1) Where a designation of a beneficiary is contained in an instrument that is or purports to be a will, the designation shall, notwithstanding another statute or law, have effect from the time it is signed by the person who is, or purports to be, the testator. (2) A designation contained in an instrument purporting to be a will is not invalid by reason only of the fact that the instrument is invalid as a testamentary instrument; and the designation may be revoked or altered by a subsequent designation. (3) Where a designation is contained in a will and subsequently the will is revoked by operation of law or otherwise, the designation is revoked. RSN1970 c288 s5 Back to Top Life Insurance Act 6. This Act does not apply to a designation of a beneficiary to which the Life Insurance Act applies. RSN1970 c288 s6 Back to Top Uniform interpretation 7. This Act shall be interpreted so as to effect its general purpose of making uniform the law of the provinces that enact it. RSN1970 c288 s7