Veterans’ Land Act

An Act to assist war veterans to settle upon the land Short title This Act may be cited as the Veterans’ Land Act. Definitions In this Act common-law partner, in relation to an individual, means a person who is cohabiting with the individual in a conjugal relationship, having so cohabited for a period of at least one year; (conjoint de fait) land includes granted or ungranted federal, provincial or private lands, and real or immovable property, messuages, lands, tenements and hereditaments of any tenure, and real rights, easements and servitudes, streams, watercourses, waters, roads and ways, and all rights or interests in, or over, or arising out of, and all charges upon, land; (terre ou bien-fonds) Minister means the Minister of Veterans Affairs; (Ministre) property includes land and goods, chattels, real and personal, and personal or movable property, and all rights or interests in, or over, or arising out of, and all charges upon, property; (biens ou propriété) veteran means a person who at any time during the war declared by His Majesty on the 10th day of September 1939 against the German Reich and subsequently against other powers, has been therein engaged on active service in a naval, army or air force of Canada, or of any of His Majesty’s forces if at the time of his enlistment he was ordinarily domiciled or resident in Canada, and whose service has involved duties required to be performed outside the Western Hemisphere, who has served only in the Western Hemisphere for a period of at least twelve months, not including any period of absence without leave or leave of absence without pay, time served while undergoing sentence of penal servitude, imprisonment or detention, or service in respect of which pay is forfeited, or who, wherever he may have served, is by reason of disability attributable to or incurred during such service in receipt of a pension, and has been honourably discharged from such naval, army, air force, or other of His Majesty’s forces, or has been permitted honourably to resign or retire therefrom; and veteran also means a British subject who was ordinarily domiciled or resident in Canada at the beginning of the said war and who is in receipt of a pension in respect of a disability incurred while serving upon a ship during the said war; (ancien combattant) Western Hemisphere means the continents of North America and South America, the islands adjacent thereto, and the territorial waters thereof, including Newfoundland, Bermuda, and the West Indies but excluding Greenland, Iceland and the Aleutian Islands. (hémisphère occidental) Persons deemed honourably discharged For the purposes of this Act, a person who would be a person described in the definition veteran in subsection (1) if he had been honourably discharged from the force or forces referred to therein shall be deemed to have been honourably discharged from such force or forces on the 30th day of September 1947 if not discharged therefrom before that day; and a person who would be a person described in paragraph 4(2)(a),(b) or (c) of the Veterans Benefit Act if he had been honourably discharged from the force or forces referred to therein or his service with such force or forces had been honourably terminated shall be deemed to have been honourably discharged from such force or forces on the 31st day of October 1953 if not discharged therefrom before that day. The Director, The Veterans’ Land Act The person who from time to time holds the office of the Deputy Minister of Veterans Affairs or such person as the Deputy Minister may designate is, by virtue of holding that office or by virtue of that designation, as the case may be, The Director, The Veterans’ Land Act (in this Act referred to as “the Director”). Administration This Act shall be administered by the Minister and the powers and duties conferred or imposed by this Act on the Director shall be exercised or performed subject to the direction of the Minister. Staff Such officers, instructors, clerks, stenographers and other employees as may be required for the purposes of this Act shall be appointed or employed in the manner authorized by law. Duties and functions All such appointees shall perform such duties and functions as the Director may prescribe. Director to be a corporation sole For the purposes of acquiring, holding, conveying and transferring and of agreeing to convey, acquire or transfer any of the property that he is by this Act authorized to acquire, hold, convey, transfer, agree to convey or agree to transfer, but for such purposes only, the Director is a corporation sole and he and his successors have perpetual succession, and as such he is the agent of Her Majesty in right of Canada. Legal proceedings Actions, suits or other legal proceedings in respect of any right or obligation acquired or incurred by the Director on behalf of Her Majesty, whether in his name or in the name of Her Majesty, may be brought or taken by or against the Director in the name of the Director in any court that would have jurisdiction if the Director were not an agent of Her Majesty. Conveyance to constitute new titles All conveyances from the Director constitute new titles to the land conveyed and have the same and as full effect as grants from the Crown of previously ungranted Crown lands. Property to vest in the Director All property acquired for any of the purposes of this Act shall vest in the Director as such corporation sole; but the provisions of this section do not in any way restrict, impair or affect the powers conferred upon the Director generally by this Act nor subject him to the provisions of any enactment of the Parliament of Canada or the legislature of any province respecting corporations. Seal of Director The Director in his corporate capacity shall have an impress seal inscribed with the words “The Director, The Veterans’ Land Act” and showing the coat of arms of Canada. Execution of documents All documents that require execution by the Director in his corporate capacity shall be deemed validly executed if the said seal is affixed and the name of the Director is signed thereto, the whole in the presence of one other person who has subscribed his name as witness; and every document that purports to be impressed with the seal of the Director and to be sealed and signed in the presence of a witness by the Director is admissible in evidence in all courts in Canada without proof of any such seal or of such sealing or signing. Land deemed to be held by Director as corporation sole Any land vested in the Director in respect of which an assessment has been duly made by a taxing authority is hereby declared for the purpose of recourse to the land itself for realization of taxes based upon such assessment and for such purpose only, to be held by the Director as such corporation sole and not as an agent of Her Majesty in right of Canada. Idem Any land vested in the Director to which a court order or judgment referred to in section 37 applies is hereby declared, for the purpose of the application of that section, to be held by the Director as a corporation sole and not as an agent of Her Majesty in right of Canada. Advances out of C.R.F. There may be advanced out of the Consolidated Revenue Fund such amounts as are required for the purposes of Parts I and III with the exception of amounts payable out of money paid to the Director for a special purpose, amounts granted under sections 45 and 46 and amounts payable out of the Veterans’ Land Act Insurance Account established under section 63. Veterans’ Land Act Fund There shall be established in the Consolidated Revenue Fund an account to be known as the Veterans’ Land Act Fund to which shall be charged the remaining principal cost to the Director of all land, improvements, livestock and farm equipment owned by him on the 30th day of June 1965, with the exception of obligations incurred by the Director under sections 45 and 46; the principal balances on advances outstanding on obligations to the Director under Parts I and III with the exception of obligations incurred to the Director under sections 45 and 46; and every advance made out of the Consolidated Revenue Fund pursuant to subsection (1). Credits There shall be shown as credits to the Veterans’ Land Act Fund all principal amounts received by the Director pursuant to Parts I and III with the exception of money paid to the Director for a special purpose, amounts received for deposit to the Veterans’ Land Act Insurance Account established under section 63 and amounts received under sections 45 and 46. Advances not to exceed prescribed amount No advance under subsection (1) shall exceed five hundred and thirty million dollars less the aggregate of all amounts then standing as a charge against the Veterans’ Land Act Fund. Money paid to the Director for a special purpose For the purposes of this section money paid to the Director for a special purpose includes all money that is paid to an officer of the Director under or pursuant to Parts I and III and that is to be disbursed for a purpose specified in or pursuant to Parts I and III. Training and instruction in agriculture The Director may make provision for placing veterans with selected farmers for practical instruction in farming, and supplying instructors and inspectors to assist veterans with information on and instruction in farming. Arrangements for supplying instructors The Director may make such arrangements as he may deem advisable with any departments of the Government of Canada or the government of a province, the extension departments of Canadian universities and recognized agricultural schools and colleges, for carrying out the purposes of paragraph (1)(b). Purchase, etc., of lands, buildings and other property The Director may, for the purposes of this Part, purchase by agreement, at prices which to him seem reasonable, or in any other manner acquire by consent or agreement from Her Majesty in right of Canada or from any province or municipal authority, or from any person, firm or corporation, such lands and buildings situated in any part of Canada and such other property including building materials, livestock, farm equipment and commercial fishing equipment as the Director may deem necessary. Buildings and improvements erect on land acquired by him such buildings or effect such other improvements as he may deem necessary; enter into a contract with a person, firm or corporation, or with a province, city, town or municipal authority, for the erection of such buildings and for effecting such other improvements as he may deem necessary; and grant a roadway, right-of-way, easement or other right or interest in, over, through or upon such land. Improvements For the purposes of this section improvements includes works for sewage disposal, works for the supply of water, gas, electricity or other services, roads, drainage and the cost of preparing plans of subdivisions and any other plans required for such improvements. Determination of cost to Director The Director shall, for the purposes of this Part, determine the cost to the Director of the land and improvements thereon, building materials, livestock and farm equipment to be sold to a veteran under this Part, which shall be not less than the amount actually expended by the Director therefor. Where the Director acquires land and improvements thereon from a veteran and the veteran has at the time of such acquisition outstanding debts that, in the opinion of the Director, were reasonably incurred to effect improvements to the land and improvements so acquired, the Director may pay the debts on behalf of the veteran, and the cost to the Director of the land and improvements shall include the amount of the debts so paid. Sale of land, etc., to veterans Subject to this Part and the regulations, the Director may contract with a veteran certified by him to be qualified to participate in the benefits of this Part for the sale to such veteran of land and improvements thereon, building materials, livestock and farm equipment up to a total cost to the Director of six thousand dollars, but subject to the following conditions: that the cost to the Director of the land, improvements and building materials shall not exceed six thousand dollars; that the veteran has paid to the Director ten per cent of such cost and the entire cost price of land, improvements and building materials in excess of six thousand dollars; that the cost to the Director of the livestock and farm equipment shall not exceed twelve hundred dollars or the amount by which six thousand dollars exceeds the cost to the Director of the land, improvements and building materials, whichever is less; that the sale price to a veteran of land, improvements, building materials, livestock and farm equipment shall be, in addition to any sum paid by the veteran before contract made, a sum equal to two-thirds of the cost to the Director of the land, improvements and building materials; that the interest rate payable by a veteran shall be three and one-half per cent per annum; that the balance of the purchase price payable by a veteran may be extended over a term not in excess of thirty years with interest at the rate aforesaid on the amortization plan; and that, at the request of the veteran, and at any time and from time to time during the period over which the purchase price is payable, the Director may vary the terms of payment to provide for payment of interest only for a period or periods not exceeding in the aggregate five years, or to provide for annual, semi-annual or monthly payments of principal and interest, but a maximum repayment period of thirty years may not be exceeded. Commercial fishing equipment In this Part, except in subsection (3) of this section, the expression livestock and farm equipment, in the case of a veteran certified by the Director to be a commercial fisherman, includes commercial fishing equipment. Contract with veteran In lieu of the contract for sale described in subsection (1) and subject to this Part and the regulations, the Director may contract with a veteran certified by him to be qualified to participate in the benefits of this Part for the sale to such veteran of land and improvements thereon, building materials, livestock and farm equipment, up to a total cost to the Director of five thousand eight hundred dollars, but subject to the following conditions: that the cost to the Director of livestock and farm equipment shall not exceed the sum of three thousand dollars; that the cost to the Director of land and improvements and building materials shall not exceed an amount by which the sum of five thousand eight hundred dollars exceeds the cost to the Director of livestock and farm equipment; that the veteran has paid to the Director twenty per cent of the cost to the Director of the livestock and farm equipment and ten per cent of the cost to the Director of the land, improvements thereon and building materials; that the sale price to a veteran of land, improvements and building materials and livestock and farm equipment, shall be, in addition to any sum paid by the veteran before contract made, a sum equal to forty per cent of the cost to the Director of the livestock and farm equipment and fifty per cent of the cost to the Director of land, improvements thereon and building materials; that the balance of the purchase price payable by a veteran may be extended over a term not in excess of ten years for the payment of livestock and farm equipment and not in excess of thirty years for the payment of land and improvements thereon and building material; and that livestock and farm equipment shall be sold under this subsection only to a veteran who at the time of such sale enters into a contract under this subsection or has a subsisting contract under this subsection for the purchase of land from the Director or who occupies land under a rental or purchase agreement satisfactory to the Director, and the cost to the Director of such livestock and equipment shall not exceed forty per cent of the value, as estimated by the Director, of the land and improvements thereon sold to the veteran and the cost to the Director of building materials sold to the veteran, and the value of any land occupied by that veteran under a rental or purchase agreement as estimated by the Director. Additional assistance under ss. (1) Where a veteran who entered into a contract with the Director under subsection (3), under which the total cost to the Director was less than five thousand eight hundred dollars, pays in full his indebtedness to the Director thereunder, the Director may enter into a contract with the veteran under subsection (1) subject to the following conditions: that the cost to the Director of the land, improvements, building materials, livestock and farm equipment shall not exceed six thousand dollars less the total cost to the Director under the contract entered into between the Director and the veteran under subsection (3); and that the total cost to the Director under the contract entered into under subsection (3), less the sum paid before contract made and the sale price paid by the veteran, and the cost to the Director under the contract under subsection (1) after deduction of any sum paid before contract made and the sale price payable thereunder, does not exceed two thousand three hundred and twenty dollars, and subject to the conditions set forth in paragraphs (1)(b),(d),(e),(f) and (g). Sale, assignment or other disposition only after all commitments met A veteran who has entered into a contract with the Director under subsection (1) or (3) may not during the term of that contract sell, assign or otherwise dispose of the subject-matter of that contract or any part thereof, except by lease entered into with the permission of the Director after the expiration of ten years from the effective date provided in the contract, unless payment is made in full to the Director of the total outstanding cost to the Director of the land, improvements, livestock and farm equipment; interest charges at the rate specified in the contract and accruing to the day of payment on the total outstanding cost to the Director; and all other amounts owing by the veteran to the Director and secured under the contract. Conveyance or transfer Except upon payment in full to the Director of the amounts set out in paragraphs (5)(a),(b) and (c), no conveyance or transfer of any land being purchased by a veteran from the Director under subsection (1) or (3) shall be given by the Director to the veteran unless ten years have elapsed since the effective date provided in the contract; and the veteran has complied with the terms of the contract throughout that ten-year period. Where contract for sale of livestock and equipment Notwithstanding subsection (5), in the case of any contract for the sale of livestock and equipment made between the Director and a veteran who occupies land under a rental or purchase agreement and who subsequently enters into a contract to buy land from the Director before the terms of the contract for the sale of livestock and equipment have been completely fulfilled, the Director shall not give a conveyance or transfer in respect of the said land or improvements thereon or building materials until the terms of the contract for the sale of the said livestock and equipment have been completely fulfilled. No further contract where default exists in previous contract Except with the approval of the Minister, the Director shall not enter into a contract for the sale of land, improvements, building materials, livestock, farm equipment or commercial fishing equipment with a veteran who is in default in respect of any contract previously entered into under this Act. Spouse or common-law partner may be joined Notwithstanding any other provision of this Act, the Director may, on the request of a veteran, join the spouse or common-law partner of the veteran as a joint purchaser with the veteran in any contract entered into by the veteran pursuant to this section, subject to the following conditions: the veteran and the spouse or common-law partner of the veteran complete, in a form prescribed by the Director, an application to join the spouse or common-law partner; on the death of the veteran or the spouse or common-law partner of the veteran, the survivor becomes the sole purchaser under the contract; the contract cannot be terminated except with the consent of all the parties or as provided under subsection 37(2) of this Act, or by the Director for false or misrepresented information in the application; repayment in full or part of the balance of the sale price may be made at any time without notice or payment of bonus; and on repayment in full of the balance of the sale price, a transfer or conveyance will be issued by the Director to the veteran and the spouse or common-law partner of the veteran, or if one has died, to the survivor. Director may resell livestock, etc., to veteran Notwithstanding anything in this Act, where the Director requires a veteran to repay the cost of the livestock and farm equipment sold to him under a contract made under this Act, the Director may sell to that veteran livestock and farm equipment up to a total cost to the Director of an amount equal to the amount repaid by that veteran. Director may sell all or part of property sold to a veteran Notwithstanding anything in this Part, where the Director has by a contract made under this Part sold property to a veteran certified by the Director to be qualified to participate in the benefits of this Part, the Director, with the consent of the veteran, may in accordance with section 11 or 26 sell to another veteran certified by the Director to be qualified to participate in the benefits of this Part or may sell or otherwise dispose of to any other person, all or any part of the land, improvements, building materials, livestock or farm equipment that was sold by such contract to the first-mentioned veteran. Use of proceeds from sale of land Where the property sold or otherwise disposed of pursuant to subsection (1) consists of land, improvements or building materials, the Director shall, subject to subsection (3), use the proceeds for one or more of the following purposes: to purchase for the veteran other or additional lands, which shall for the purposes of the contract be substituted for any lands so sold; to effect improvements to the land retained by the veteran or to such other or additional lands; to pay debts that, in the opinion of the Director, were reasonably incurred by the veteran to effect improvements on the land retained by him; to reduce the amount owing under the contract or to reduce the cost to the Director as provided in this section; or to pay real estate commission, legal costs and any other costs related to the sale or disposition of the property. Exception Where the land sold or otherwise disposed of consists of mines and minerals or where the land, improvements or building materials sold or otherwise disposed of do not constitute part of the cost to the Director as determined under section 10, the Director may use the proceeds for one or more of the following purposes, in addition to or in lieu of any of the purposes specified in subsection (2): to purchase for the veteran cattle, sheep or swine to be used as basic herd livestock; to purchase for the veteran farm equipment necessary for the economic operation of the veteran’s farm; or to pay debts that, in the opinion of the Director, were reasonably incurred by the veteran for any of the purposes specified in paragraphs (a) and (b). Application of surplus Where a surplus remains after the amounts to be expended, if any, under paragraphs (2)(a) and (b) and (3)(a) to (c) have been determined by the Director, (hereinafter called the “surplus”), if the ten-year period mentioned in subsection 11(5) has expired, the surplus shall be applied in reduction of the amount owing under the contract; if the ten-year period has not expired, and the sale or other disposition was to Her Majesty in right of Canada for public purposes or to a government, authority or corporation described in subsection 29(1), the surplus shall be applied in reduction of the amount owing under the contract and the ten-year period shall be deemed to have expired; and if the ten-year period has not expired, and the sale or other disposition was not to Her Majesty in right of Canada for public purposes or to a government, authority or corporation described in subsection 29(1), the Director shall determine what portion, if any, of the surplus shall be applied in reduction of the amount owing under the contract, and the remainder of the surplus shall be applied in reduction of the cost to the Director. Reduction of cost to Director Where under this section the surplus or any portion thereof is applied in reduction of the cost to the Director, an amount that bears the same proportion to such surplus or portion as the contract sale price bears to the cost to the Director of the land, improvements and building materials, or seventy-six and two-thirds per cent of such surplus or portion whichever is the lesser, shall be applied in reduction of the amount owing under the contract, and for the purposes of subsection 11(5) the total outstanding cost to the Director shall be reduced by the amount of such surplus or portion. Payment of balance of surplus to veteran Subject to subsections (6.1) and (6.2), where by the application of the surplus in accordance with subsections (4) and (5) the amount owing under the contract is paid in full and a balance of the surplus remains, such balance shall be paid to the veteran. Balance of surplus paid into court Where the Director has notice of an unsatisfied court order or judgment obtained against the veteran for the recovery or payment of money or of an unsatisfied court order or judgment referred to in section 37 obtained against the veteran, the Director may pay into court the balance of the surplus referred to in subsection (6) or such part thereof as would satisfy the order or judgment and related costs. Remainder of balance of surplus paid to veteran Where the Director pays less than the total balance of the surplus into court pursuant to subsection (6.1), he shall pay the remainder of the balance to the veteran. Use of proceeds from sale of livestock or farm equipment Where the property sold or otherwise disposed of pursuant to subsection (1) consists of livestock or farm equipment, the Director may use the proceeds for one or more of the following purposes: to purchase for the veteran other or additional livestock or farm equipment, which shall for the purposes of the contract be substituted for the livestock or farm equipment so sold; to purchase, subject to the conditions set out in subsection 11(1), land for sale to the veteran; to effect, subject to the conditions set out in subsection 11(1), improvements to the lands sold to the veteran or to any other lands purchased for sale to him; or to pay debts that, in the opinion of the Director, were reasonably incurred by the veteran to effect improvements on the land sold to him. Acquisition of veterans’ lands by Her Majesty Where all or any part of the land sold by the Director to a veteran by a contract made under this Part is acquired by Her Majesty in right of Canada for public purposes, the compensation money or purchase price shall be ascertained as though the Director were not an agent of Her Majesty and shall for the purposes of this section be deemed to be proceeds of the sale of the land. For the purposes of this section land includes mines, minerals and timber and any rights in respect thereof; (terre ou bien-fonds) proceeds, in the case of a contract for the sale of land, improvements or building materials to a veteran certified by the Director to be qualified to participate in the benefits of this Act, means the amount the veteran would be required to pay to the Director under subsection 11(5) to obtain an immediate transfer, together with the amount, other than the ten per cent of the cost to the Director of the land, improvements and building materials, paid by the veteran under paragraph 11(1)(b) or 11(3)(c) and together with the outstanding amount of any loan under Part III approved by the Director for the purchase of the property and the amount of any payment made by the veteran to the Director under Part III, in the case of a contract for the sale of livestock or farm equipment to a veteran, means an amount equal to the amount that the veteran would be required to pay under subsection 11(5) for an immediate transfer thereof, in the case of a sale or other disposition of property, except timber, to any other person, means the amount received, and in the case of a sale of timber to any person means the stumpage value of that timber, as determined by the Director. (produit) Insurance money For the purposes of this section any money received by the Director under a contract of insurance on property sold to a veteran shall be deemed to be proceeds of the sale of the property. [Repealed, 1980-81-82-83, c. 78, s. 2] Application of proceeds of sales made before December 10, 1949 Where the Director before the 10th day of December 1949, with the consent of the veteran, sold or otherwise disposed of part only of the property that was sold by the Director to the veteran by a contract made under this Part and the contract was not rescinded or otherwise terminated, the proceeds may, at the request of the veteran, be applied as prescribed in this section. Sale of timber Notwithstanding anything in this section, the Director may pay to a veteran, in the event of any sale of timber from land sold to that veteran under a contract entered into under this Part, any amount by which the amount for which the timber was sold exceeds the stumpage value of that timber as determined by the Director. Veteran deemed a tenant at will Every veteran holding or occupying land sold by the Director shall until the Director grants or conveys the land to him be deemed a tenant at will. Title, etc., to remain in the Director The title, ownership and right of possession of all property sold to a veteran shall, save as hereinafter provided, remain in the Director until the sale price and other charges duly made in respect thereof are fully paid. Title to livestock, etc., may be released to veteran The Director may at any time transfer to the veteran the title to any such livestock and farm equipment as he may deem advisable but such release does not relieve the veteran from making the payment therefor as provided under this Part. Agreement of sale All sales of property made pursuant to this Part and whereon any balance of the sale price remains payable by instalments or otherwise, shall be evidenced by agreement of sale, which shall fully set forth the terms of sale. Advances under conditions The Director may make advances to a veteran certified by him to be qualified to participate in the benefits of this Act to enable the discharge of encumbrances on farm land that is owned and used by the veteran as such, for the payment of debts not secured by encumbrances on farm land that, in the opinion of the Director, were reasonably incurred by the veteran to effect improvements on farm land that is owned and used by the veteran as such, for the purchase of livestock and farm equipment and for the effecting of permanent improvements, of amounts not exceeding in the aggregate the sum of four thousand four hundred dollars, but subject to the following conditions: advances for all purposes shall not exceed sixty per cent of the value of the land as established by the Director; advances for the purchase of livestock and farm equipment shall not exceed fifty per cent of the value of the land, and shall not exceed a total of two thousand five hundred dollars, and all such purchases may be subject to the approval of the Director; such advances shall constitute a first charge on the land of the veteran with respect to which the advance is made and repayment thereof shall be secured by a first mortgage or hypothec upon such land; the terms of repayment may be extended over a period of thirty years with interest at the rate of three and one-half per cent per annum on the amortization plan; that, at the request of the veteran and at any time and from time to time during the period over which the advance is repayable, the Director may vary the terms of repayment to provide for payment of interest only for a period or periods not exceeding in the aggregate five years, or for annual, semi-annual or monthly instalments of principal and interest, but a maximum repayment period of thirty years may not be exceeded; and repayment in full of advances made under this section may be made at any time without notice or payment of bonus. Sale of land subject to mortgage Where any land subject to a first mortgage or hypothec in favour of the Director as described in subsection (1) is sold or agreed to be sold by a veteran, notwithstanding anything in this Act or the mortgage or hypothec, the interest payable from the date of such sale or agreement of sale on any remaining indebtedness to the Director under the mortgage or hypothec or under any other mortgage or hypothec taken to secure repayment of the amount then outstanding of any advance made under subsection (1) shall be at the rate or rates in effect for the purpose of this subsection at the time of such sale or agreement of sale. Mortgage or hypothec Notwithstanding any other provision of this Act, the Director, on the request of the person who is a party to a contract for the sale of land, or where there is more than one such person, on the request of every such person, may terminate the contract, or any part of the contract, and may convey title to the land to the person or persons, as the case may be, subject to the following terms and conditions: ten years have elapsed since the effective date provided in the contract; the terms of the contract have been complied with throughout the ten-year period; the balance of the price payable to the Director for the sale of the land constitutes a first charge on the land and repayment thereof is secured by a first mortgage or hypothec on the land; the terms of repayment and the interest rates are the same as in the contract; the Director may, on the request of the person or persons obligated under any mortgage or hypothec executed under this subsection, at any time and from time to time during the period over which the balance of the sale price is repayable, vary the terms of repayment to provide for payment of interest only for a period or periods not exceeding in the aggregate five years, or to provide for annual, semi-annual or monthly payments of principal and interest; and repayment in full or in part of the balance of the sale price may be made at any time without notice or payment of bonus. Assumption only with consent A mortgage or hypothec executed under subsection (1) may be assumed only with the consent of the Director. Costs The costs incurred to convey title to property and to register mortgages or hypothecs and all other immediately related costs shall be borne by the person or persons making the request referred to in subsection (1), but the Director may, at his discretion, pay such costs. Director may require insurance policies While a veteran is indebted to the Director in connection with the sale of land or other property to him, in connection with any mortgage or hypothec taken under section 17 or 17.1, or in connection with any loan made under Part III, the Director may require that the veteran shall insure in favour of the Director any property to the extent of its insurable value and may require the veteran to assign and deliver over unto the Director, as the interest of the Director may appear, the policy or policies of insurance; if the veteran fails or neglects to keep such property insured then it is lawful for the Director to insure such property and all moneys so expended by the Director shall be repaid by the veteran on demand with interest computed from the time of advancing the same at the rate or rates in effect for the purpose of this section at that time, and in the meantime the amount of such payment shall be added to the sale price of or amount outstanding on such property or to the amount of the mortgage or hypothec, as the case may be, and shall become a part of the principal. Veterans’ group insurance Where a veteran or a survivor of a veteran is indebted to the Director in connection with the sale of land or other property to the veteran or deceased spouse or common-law partner of the survivor, in connection with any mortgage or hypothec taken under section 17 or 17.1, or in connection with any loan made under Part III, the Director may, with the approval in writing of the veteran or survivor, enter into a group insurance contract on behalf of the veteran or survivor on such terms as the Director deems appropriate, insuring the life of the veteran or the spouse, common-law partner or survivor of the veteran in an amount sufficient to provide for the repayment to the Director of not less than fifty per cent of the amount of such indebtedness. Director may pay insurance premiums, etc. The premiums payable under any group insurance contract entered into under subsection (1) shall be assessed by the Director against those veterans and survivors on whose behalf the contract was entered into and if any such veteran or survivor fails or neglects to pay any premium so assessed in respect of him or her, the Director may pay the premium on behalf of the veteran or survivor and any amount so expended by the Director shall be repaid by the veteran or survivor on demand with interest from the time the amount was so expended at the rate or rates in effect for the purpose of this subsection at that time, and, until so repaid, shall be added to the sale price of or amount outstanding on the land or other property referred to in subsection (1), or to the amount of the mortgage or hypothec referred to in that subsection, as the case may be, and shall become part of the principal. Definition of survivor In this section, survivor, in relation to a veteran, means the surviving spouse or surviving common-law partner of that veteran. Director may enter into an agreement to collect and pay taxes Where a veteran is indebted to the Director in connection with a sale of land or other property to him, in connection with any mortgage or hypothec taken under section 17 or 17.1, or in connection with any loan made under Part III, the Director may enter into an agreement with the veteran on such terms as the Governor in Council may prescribe providing for the payment by the Director of rates, taxes or assessments in respect of such land or other property; for the payment by the veteran to the Director of such amount or amounts as may be required, in the opinion of the Director, to provide him with sufficient funds to make payment of such rates, taxes or assessments as they become due and payable; and for the adjustment of any surplus or deficiency in relation to such rates, taxes or assessments in the amount collected by the Director from the veteran under paragraph (b). The Director may pay taxes, etc., on arrears Where no agreement is entered into under subsection (1) between the veteran and the Director and the veteran fails or neglects to pay any lawful rates, taxes or assessments due in respect of property in which the Director has under this Act any interest, the Director may pay such rates, taxes or assessments and all moneys so expended by the Director shall be repaid by the veteran on demand with interest computed from the time of such payment by the Director at the rate or rates in effect for the purpose of this subsection at that time, and until so repaid the amount of such payment shall be added to the sale price of or amount outstanding on such property or shall become a part of the principal secured by any charge, mortgage or hypothec in favour of the Director, as the case may be; failure of the veteran to repay the amount of such payment on demand constitutes a default warranting rescission under section 22. Consent of review committee The Director shall not rescind an agreement of sale under subsection 22(1) unless a review committee established under section 21.1 consents to the rescission of that agreement. Constitution A review committee shall consist of three persons appointed in accordance with this section. Appointment by Director The Director shall appoint one member of the review committee. Appointment by Royal Canadian Legion The Director shall, in writing, request the Royal Canadian Legion, or any successor to it, to appoint one member of the review committee within thirty days after receipt of the request. Appointment of Chairperson The two members of the review committee appointed under subsections (2) and (3) shall, within thirty days after the appointment of the second member, appoint a third member as the Chairperson of the review committee. Appointment if default If no member is appointed under subsection (3) or no Chairperson is appointed under subsection (4), the Director shall, after consulting with the chief justice of the province in which the property in question is situated, appoint as Chairperson of the review committee a judge of the superior court of that province. If no member was appointed under subsection (3), the Chairperson appointed under this subsection shall appoint that member. Vacancy If a vacancy occurs in the membership of a review committee, the vacancy shall be filled by appointment in accordance with the provision of this section governing the appointment of the person in respect of whom the vacancy arose. Allowances to members The members of a review committee shall be paid any daily or other allowance with respect to the performance of their duties under subsection 21.2(2) that the Minister may fix. Reference to review committee Without delay after the establishment of a review committee, the Director shall refer to the review committee the Director’s proposed rescission of the agreement in question under subsection 22(1); and notify the veteran concerned of the establishment of the review committee and of the names of its members. Review The review committee shall review the proposed rescission referred to it and shall consent or refuse to consent to the proposed rescission; or establish remedial conditions to be complied with by the veteran concerned which, if not complied with, may result in the rescission of the agreement. Procedure A review committee may determine its own procedure, but shall give the Director and the veteran concerned a full opportunity to present evidence and make representations. Director may rescind agreement in case of default If any instalment mentioned in any agreement of sale under this Part is not punctually paid or if the veteran makes any other default in performance of the terms of such agreement, the Director may, subject to section 21, without any formal re-entry or retaking and without resort to proceedings in equity or at law, rescind such agreement. Rescission or termination with consent The Director may, with the consent of the veteran and without giving the notice required by subsection (4), rescind any agreement of sale under this Part or otherwise terminate any contract made with the veteran under this Part. Property vested in Director The effect of a rescission of an agreement of sale pursuant to subsection (1) or (2) is to vest the property in question in the Director absolutely free and discharged of all rights and claims of the veteran and of all persons claiming or entitled to claim through or under the veteran, for any estate in, or lien, charge or encumbrance upon or against the property; and to empower the Director to resell or otherwise deal with the property as authorized by this Part. Notice before rescission Before exercising as against land the rights given by this section, the Director shall give to the veteran notice of his intention to do so, which notice shall be deemed duly given if mailed in any post office by registered letter addressed to the veteran at his latest address known to the Director thirty clear days before the Director acts hereunder. Disposal of property The Director may dispose of any property to a veteran, or with the approval of the Minister to any other person, at a price not less than the cost to the Director of that property. Surplus paid to veteran Subject to subsections (1.1) to (1.3), where a contract made by the Director with a veteran under this Part is rescinded or otherwise terminated and the property to which the contract relates is sold by the Director for more than the amount owing under the contract, the surplus shall be paid by the Director to the veteran, but in the case of any such sale on a term basis under an agreement of sale, the surplus shall be paid by the Director to the veteran at such time as the Director determines such payment to be warranted having regard to the amount then owing to him in respect of that property. Surplus paid into court Where the Director has notice of an unsatisfied court order or judgment obtained against the veteran for the recovery or payment of money or of an unsatisfied court order or judgment referred to in section 37 obtained against the veteran, the Director may pay into court the surplus referred to in subsection (1) or such part thereof as would satisfy the order or judgment and related costs. Remainder of surplus paid to veteran Where the Director pays less than the total surplus into court pursuant to subsection (1.1), he shall pay the remainder of the surplus to the veteran. Time of payment Notwithstanding subsections (1.1) and (1.2), where the property referred to in subsection (1) is sold on a term basis under an agreement of sale, the surplus may be paid in accordance with subsections (1.1) and (1.2) at such time as the Director determines such payment to be warranted having regard to the amount then owing to him in respect of that property. How surplus calculated For the purposes of subsection (1) the amount owing under the contract is the aggregate of the amount that the veteran would have been required to pay for a transfer, conveyance or discharge of mortgage or hypothec at the date of the rescission or other termination of the contract; the amount of any refund made to the veteran pursuant to subsection (3); taxes and costs of insurance and repairs paid or incurred with respect to such property by the Director since the date of rescission or other termination; costs incurred by the Director since the date of the rescission or other termination in taking over, maintaining and reselling the property; interest from the date of rescission or other termination of the contract on so much of the amounts set out in paragraphs (a) and (b) as consists of principal at the rate or rates that would have been payable thereon under the contract had the contract not been rescinded or otherwise terminated; and interest on the amounts set out in paragraphs (c) and (d) from the time the amounts were paid or incurred by the Director at the rate or rates in effect for the purpose of this paragraph at the time the contract was rescinded or otherwise terminated; minus any income derived by the Director from the property since the date of the rescission or other termination.

Refunding of initial down payment Where the contract between the Director and a veteran was rescinded or otherwise terminated and it is established to the satisfaction of the Director that the property described therein did not deteriorate in value owing to wilful neglect by the veteran during his occupancy, and failure of the veteran to observe the terms of his contract was due to his physical disability, or ill-health of his family, or his general unfitness to farm, or the unsuitability of the property, and that as a consequence thereof the veteran is in necessitous circumstances, the Director may, with the approval of the Governor in Council, refund to the veteran his initial down payment in whole or in part. Sale of livestock, etc. In the event of any sale by the Director, pursuant to an agreement entered into by him with a veteran for the making of a grant under subsection 45(3), of any livestock, machinery or equipment referred to in paragraphs 45(4)(c) to (g), any amount by which the amount realized by the Director in respect of that sale exceeds the cost to the Director of the livestock, machinery or equipment, and any loss sustained by the Director in respect of the land to which that agreement relates, shall be paid by the Director to the veteran. Director may lease land Any land or other property purchased or held by the Director may, pending sale, or re-sale, as the case may be, be leased by the Director or otherwise dealt with upon terms satisfactory to the Minister. Amended sale price If the Director deems that any property acquired by him cannot or ought not to be sold subject, whether as to sale price or otherwise, to the provisions of section 11, 13 or 23, he shall report to the Minister the circumstances, with a statement of the cost of such property, and shall recommend another sale price or other terms of sale, after which any sale of such property may be made for such sale price, or upon such terms, as the Governor in Council may approve, and for the purposes of sections 11, 13 and 24 the cost to the Director shall be deemed to be the sale price so approved. Prior contracts not invalid Any contract for the sale of land made by the Director in accordance with an order of the Governor in Council prior to the 10th day of December 1949 is hereby ratified, and for the purposes of sections 11 and 24 the cost to the Director of the land shall be deemed to be the cost price to the Director of the land as stated in the contract. Sale on new terms Notwithstanding anything in this Act, where a veteran with whom the Director has a subsisting contract under section 11 or 26 notifies the Director that he does not wish to be bound by the provisions of the contract respecting residence or personal operation of the property to which the contract relates, the Director may terminate that contract and enter into another contract with the veteran for the sale of that property for an amount equal to the outstanding indebtedness of that veteran to the Director under this Act, with interest at the rate prescribed by regulation of the Governor in Council and on such other terms and conditions as may be agreed on by the veteran and the Director. Conditions for sale The Director may sell any land that is at his disposal for sale, as a site for a dairy factory, cheese factory, fruit preserving factory, or creamery, or for any educational, religious or charitable purpose, or for any other purpose in the public interest, or to any provincial or municipal authority for any purpose. Local authorities may take lands with consent of Governor in Council Where by an Act of the Parliament of Canada or a provincial legislature, Her Majesty in right of a province, a municipal or local authority or a corporation is empowered to take or to use lands or any interest therein without the consent of the owner, the power may, with the consent of the Governor in Council and subject to any terms that may be prescribed by the Governor in Council, be exercised in relation to lands vested in the Director. Unless the Governor in Council otherwise directs, all matters relating to compulsory taking or using under subsection (1) of lands vested in the Director shall be governed by the statute by which the power is conferred. Payment Any amount that is awarded in respect of the compulsory taking or using of land under this section or that is paid for a transfer or conveyance of land pursuant to this section shall be paid to the Director for the use and benefit of the person, if any, who is entitled to compensation or payment as a result of the exercise of the power referred to in subsection (1), and where the person so entitled is a veteran the amount so awarded shall be distributed in accordance with section 13 and, for the purposes of that section, shall be deemed to be proceeds of the sale of the land. Veteran indebted to Director of Soldier Settlement Except with the approval of the Minister, sales, advances or grants authorized by this Part shall not be made to persons indebted to the Director of Soldier Settlement. Time limit on obtaining benefits No veteran is eligible to participate in the benefits of this Part who is not certified by the Director to be qualified to participate in the benefits of this Act on or before the 31st day of October 1968. Terminal dates for sale, advance, loan or grant No application for a sale, advance, loan or grant under Part I or III shall be accepted by the Director after the 31st day of March, 1975 from a veteran who has not a subsisting contract with the Director on the day of receipt of such application by the Director, and no application for a sale, advance, loan or grant under Part I or III shall be accepted by the Director after the 31st day of March 1977. Commencement of construction or improvement Where an agreement to make an advance, loan or grant has been entered into by the Director for the purpose of financing construction of a building or other improvement on land, no such advance, loan or grant shall be paid to or on behalf of the veteran unless, in the opinion of the Director, the construction or improvement has been commenced in the case of an advance, loan or grant an application for which could not be accepted after the 31st day of March, 1975, on or before the 31st day of March, 1976; and in the case of an advance, loan or grant an application for which could not be accepted after the 31st day of March 1977, on or before the 31st day of March 1978. Certification of veteran A veteran may be certified by the Director to be qualified to participate in the benefits of this Act notwithstanding that the veteran has received an allowance under the Veterans Rehabilitation Act that may be repaid to the Minister under paragraph 10(2)(c) of that Act, or the veteran has received a re-establishment credit under the War Service Grants Act that may be repaid by a compensating adjustment under subsection 16(1) of that Act, and that such allowance or re-establishment credit has not been repaid. Payment by Director Upon approval by the Director of an application by a veteran described in subsection (1) for any sale, grant or loan under Part I or III the Director may repay the amount of the allowance paid to the veteran under the Veterans Rehabilitation Act together with the costs referred to in paragraph 10(2)(c) of that Act, or pay the compensating adjustment under subsection 16(1) of the War Service Grants Act and such payment shall be deemed to have been made on the 31st day of October 1968 for the purposes of subsection 16(2) of that Act, and shall add the sum so paid to the recoverable portion of the sale price or loan or to the grant under section 45 or 46, but no such sum may increase the cost to the Director of property sold under section 11, the amount of the grant under section 45 or 46 or the amount of the loan under Part III beyond the maximum cost to the Director, or maximum grant or loan provided for in the section or subsection under which the sale, grant or loan is made. Repayment to Director Any payment made by the Director under subsection (2) that is not included in a grant under section 45 or 46, or that is included in a grant under section 45 or 46 that becomes repayable, shall be repaid by the veteran to the Director with interest at the rate in effect for the purpose of this subsection at the time of the payment by the Director on such terms, at such times and in such manner as the Director may require. Transfer of part of property sold Notwithstanding anything in this Act, the Director may transfer or convey to a veteran any part of the property sold to the veteran by a contract made under this Act if, in the opinion of the Director, the value of the remaining property is sufficient to secure the repayment of the amount of the veteran’s outstanding indebtedness to the Director. Director may decline to purchase or resell The Director may decline to purchase land for or resell land to a veteran who, for the purpose of qualifying for assistance under this Part, has made a voluntary sale or transfer of land or property suitable for his re-establishment under the provisions of section 11. If immediate relative is occupant and vendor The Director, with the approval of the regional or provincial advisory committee where the land is situated, may decline to sell land to a veteran whose parents or other immediate relative is the occupant and the vendor of the land to the Director and is not incapacitated by reason of age or other disability or if for any other reason the Director, with such approval, considers such transaction not in the public interest. Form and provisions of documents All agreements of sale and all other documents authorized or required by this Part shall be made in such form and contain such provisions as the Director shall prescribe and every such document has effect as if the form thereof were statutory and were provided by and as part of this Part. Priority of Director over mechanics’ lien and other liens For so long as the sale price, or any part thereof or any interest thereon, or any charge in favour of the Director remains unpaid upon any lands that are sold by the Director to a veteran, the mechanics’ lien laws or other lien laws of any province shall not extend or apply in priority to or in prejudice of any claim or charge of the Director against or upon such lands. Rights of spouse, common-law partner and family members enforceable Notwithstanding any other provision of this Act, an order made or a judgment rendered by a court of competent jurisdiction in the province in which the land in question is situated to recognize or enforce the rights, interest or estate of the spouse, the common-law partner or a family member of a veteran in land that is the subject of a contract of sale, mortgage or hypothec under this Act applies to and is binding on the land subject to the rights, interest or estate of the Director in the land. [Repealed, 2000, c. 12, s. 313] Provincial laws The laws of a province relating to the use or state of land or to the erection, use or state of improvements on land apply in respect of any land situated in the province that is vested in the Director and held or occupied by a veteran, except to the extent that such laws are inconsistent with this Act or the regulations. Definition of province In subsection (1), province includes any city, town or other incorporated municipality. Rights and obligations of deceased veteran devolve on heirs, etc. When a veteran dies indebted to the Director under an agreement of sale or otherwise with respect to any property, his rights acquired under this Part devolve upon his heirs, devisees or personal representative, pursuant to the law of the province in which at the time of his death the property is situated, but subject to all rights, claims and charges of the Director respecting or affecting such property, and to performance by such heirs, devisees or personal representatives of all the obligations of his testate or intestate with respect to such property and default on the part of such heir, devisee or personal representative with respect to any right, claim or charge of the Director has the same effect as would default on the part of the veteran but for his death. Evidence of mailing of notice or demand Where under Part I or III or any regulation made thereunder, provision is made for sending a notice or demand by mail, an affidavit of an officer or employee of the Director sworn before a commissioner or other person authorized to take affidavits setting out that he has charge of the appropriate records, that he has knowledge of the facts in the particular case, that such notice or demand was sent by registered letter on a named day to the person to whom it was addressed (indicating such address) and that he identifies as exhibits attached to the affidavit the Post Office certification of the registration of the letter and a true copy of the notice or demand, shall be received as evidence of the sending of the notice or demand. Affidavits, oaths and declarations Affidavits, oaths, statutory declarations or solemn affirmations required to be taken or made for the purposes of this Part, may be taken or made before the judge or clerk of any court, any justice of the peace, commissioner for taking affidavits, notary public, or any person specially authorized by the Minister to take or administer the same. Persons may be appointed to hold inquiries The Governor in Council may appoint a person or persons to hold inquiries in aid of the execution of any of the purposes of this Part, and every person so appointed has all the powers of a commissioner appointed under Part I of the Inquiries Act. [Repealed, 2000, c. 34, s. 62] Director may decline purchase The Director may decline to purchase land for the purposes of this Part where it appears that the owner acquired the land for speculative purposes subsequent to the 10th day of September 1939. Officer, agent or employee of the Director No officer, agent or employee of or under the Director shall directly or indirectly, in his own name or in the name of any other person, except by or under the authority of the Director, purchase, acquire or sell any land or other property of such character as the Director is authorized to purchase, acquire or sell under this Part from or to any veteran who is indebted to the Director or whose application for an advance or to purchase any property from the Director is pending, nor shall such officer, agent or employee act as an agent or otherwise of any person in purchasing, acquiring or selling or otherwise as aforesaid, nor receive any commission or compensation in connection therewith, and any officer, agent or employee violating this subsection is, in addition to any criminal liability incurred pursuant to this Part, liable to summary dismissal on the order of the Director and the liability to or imposition of such penalty does not affect the right that any person may have to bring against him any civil action. [Repealed, 1980-81-82-83, c. 78, s. 10] Agreements with provinces The Minister may, with the approval of the Governor in Council, enter into an agreement with the government of any province for the settlement of veterans on any provincial lands that the provincial government may recommend as being specially suitable for settlement by veterans, and the Minister of Indian Affairs and Northern Development for the settlement of veterans on any federal lands that the Minister of Indian Affairs and Northern Development may recommend as being specially suitable for the settlement by veterans. Terms and conditions An agreement entered into pursuant to subsection (1) shall contain such terms, conditions and limitations with reference to settlement of veterans as the Governor in Council may approve. Amount of grant Subject to the regulations made under this Part the Director may grant an amount not exceeding two thousand three hundred and twenty dollars to a veteran who settles on provincial or federal lands pursuant to an agreement entered into under subsection (1). Purposes A grant made pursuant to subsection (3) shall be used only for one or more of the following purposes: the purchase of essential building materials and other costs of construction; the clearing and other preparation of land for cultivation; the purchase of essential farm livestock and machinery; the purchase of machinery and equipment essential to forestry; the purchase of commercial fishing equipment; the purchase of trapping or fur farming equipment but not breeding stock; the purchase of essential household equipment; and the purchase of improvements on the land at the time the veteran is approved for a grant under this section. Grant not in addition to other grant or sale A veteran who has received a grant under this section is not entitled to enter into a contract with the Director under section 11 or 17 and a veteran who has entered into a contract with the Director under section 11, 17 or 26 is not entitled to a grant under this section unless, in either case, all disbursements made under this Act on behalf or in respect of the veteran together with interest thereon at the rate of three and one-half per cent per annum are repaid to the Director. Grant to Indian veteran The Director may grant an amount not exceeding two thousand three hundred and twenty dollars to an Indian veteran who settles on Indian reserve lands, the said grant to be paid to the Minister of Indian Affairs and Northern Development who shall have the control and management thereof on behalf of the Indian veteran. Disbursements by Minister A grant made pursuant to subsection (1) shall be disbursed by the Minister of Indian Affairs and Northern Development on behalf of the Indian veteran only for one or more of the following purposes: the purchase of machinery or equipment essential to forestry; the purchase of essential household equipment; the acquisition of occupational rights to lands, vacant or improved, located within the boundaries of any Indian reserve; and the purchase of improvements on the Indian reserve lands at the time the Indian veteran is approved for a grant under this section. An Indian veteran on whose behalf a grant has been made under this section is not entitled to enter into a contract with the Director under section 11 or 17, and an Indian veteran who has entered into a contract with the Director under section 11, 17 or 26 is not eligible for a grant under this section unless, in either case, all disbursements made under this Act on behalf of or in respect of the veteran together with interest thereon at the rate of three and one-half per cent per annum are repaid to the Director. Definition of Indian reserve In this section, Indian reserve means a reserve, as defined in the Indian Act; Category IA-N land, as defined in subsection 2(1) of the Naskapi and the Cree-Naskapi Commission Act; or Category IA land, as defined in subsection 2(2) of the Cree Nation of Eeyou Istchee Governance Agreement Act. [Repealed, 2000, c. 34, s. 63] Regulations The Governor in Council may, subject to this Part, make regulations prescribing qualifications necessary in order to entitle veterans to the benefits or assistance or to any particular benefit or assistance under this Part; the manner in which applications for purchase and sale may be made; the manner in and the dates at which amortized or other payments shall commence, be repaid, be consolidated or be changed; the manner in and conditions upon which veterans may transfer their rights; the conditions subject to which land may be acquired for the purposes of this Part; the manner in which lands acquired by the Director may be sold to veterans and others and the conditions as to occupation or otherwise upon which such lands may be sold; the rate of interest to be paid on a contract entered into under section 27; forms of agreements, notices and other documents necessary to the effective operation of this Part; the circumstances and procedure under which and whereby the Director may take over or repossess property in case of default made by veterans in the observance of this Part or of any other covenant or agreement made by veterans with the Director; authority and procedure for the inclusion within the expression “veteran” of persons, who being otherwise qualified to be veterans are not yet discharged from military or other service; and with respect to any other matter concerning which the Minister deems regulations necessary for the execution of the purposes of this Part. [Repealed, 2000, c. 34, s. 64] Authorization by Director The Director may authorize in writing any person, either by name or by title of office, and either generally or subject to conditions set out in the authorization, to exercise or perform any of the Director’s powers or duties. Judicial notice of authorization Judicial notice shall be taken of a written authorization given under subsection (1) without proof of the signature or official character of the person appearing to have signed it, unless it has been called into question by the Director or by a person acting for the Director or for Her Majesty. Financial statement to be tabled At the end of each fiscal year a detailed account of the financial commitments entered into and the expenditures made under the authority of this Part shall be laid before Parliament within fifteen days after the commencement of the next ensuing session. Veteran a Member of Parliament Notwithstanding the Senate and House of Commons Act or any other law, no veteran by reason only of his entering into a contract or receiving a benefit under this Part, is liable for any forfeiture or penalty imposed by the Senate and House of Commons Act or disqualified as a member of the House of Commons or incapable of being elected to, or of sitting or voting in the House of Commons. Newfoundland veterans For the purposes of this Part, the expression naval, army or air force of Canada includes any of the naval or army forces of Newfoundland, and domicile or residence in Newfoundland shall be deemed to be domicile or residence in Canada, but any benefits that would otherwise be available to a member of the forces of Newfoundland under section 11 or section 45 shall be reduced by the amount of similar benefits that he may have received from a government other than that of Canada. In this Part cost to the Director means the cost to the Director of the land and improvements thereon, building materials, livestock and farm equipment sold to a veteran under a Part I contract; (coût, pour le Directeur,) Part I contract means a contract entered into under section 11 or 26 or an agreement relating to an advance made under section 17; (contrat selon la Partie I) prescribed means prescribed by regulation of the Governor in Council; (prescrit) security value means, with respect to farm land, the agricultural value thereof, and with respect to basic herd livestock or farm equipment, the resale value thereof. (valeur de garantie) Assistance loans to full-time farmers Subject to this Part, where a veteran certified by the Director to be a full-time farmer has requested that contemporaneously with the making of a Part I contract there be advanced by way of a loan to him supplementary financial assistance under or in respect of that contract, or has a subsisting Part I contract with the Director and has requested additional financial assistance, the Director may, upon the veteran’s complying with such terms and conditions as the Governor in Council may prescribe, advance by way of a loan to that veteran for one or more of the purposes specified in subsection (2) amounts that, together with the balance then outstanding on any loan previously made under this Part to that veteran and the amount of any cost to the Director outstanding on any contract made under Part I with that veteran do not exceed the lesser of forty thousand dollars, and three-quarters of the security value as determined by the Director of the land, basic herd livestock and farm equipment held by the Director as security for the repayment of amounts owing by that veteran under this Act or to be acquired or taken by the Director as additional security for the repayment of amounts advanced to that veteran under this section. Purposes for which loan may be made The Director may, subject to subsection (3), make an advance by way of a loan to a veteran for one or more of the following purposes: the purchase of farm land to form part of or to be used in connection with the land to which a Part I contract relates; the erection or improvement of buildings or the providing of additions thereto on the lands mentioned in paragraph (a); the clearing, breaking, draining, fencing or irrigating of the lands mentioned in paragraph (a) or the effecting of other improvements of a permanent nature that, in the opinion of the Director, will tend to increase the productive value or promote the conservation of the soil thereof; the purchase of cattle, sheep or swine to be used as basic herd livestock; the purchase of farm equipment necessary for the economic operation of the veteran’s farm; the payment of debts that, in the opinion of the Director, were reasonably incurred by the veteran; or the development on land to which a contract under this Act relates, on such terms and conditions as the Governor in Council may prescribe, of a secondary enterprise not being a farming enterprise. Loans only for establishment of economic farm unit No advance shall be made under this section for any of the purposes specified in paragraphs (2)(a) to (e) by the Director unless the financial assistance requested by the veteran is, in the opinion of the Director, necessary for the development and proper operation by that veteran of an economic farm unit. Assistance loans to other full-time farmers the Director may advance by way of a loan to that veteran for one or more of the purposes set out in paragraphs 71(2)(a) to (g), an amount that, together with the balance then outstanding on any loan previously made under this Part to that veteran and the amount of any cost to the Director outstanding on any contract made under Part I with that veteran does not exceed the lesser of eighteen thousand dollars, and seventy-five per cent of the market value as determined by the Director, or on such terms and conditions as the Governor in Council may prescribe, ninety per cent of the market value as determined by the Director, of the land held by the Director as security for the repayment of the amounts owing by that veteran under this Act or to be acquired or taken by the Director as additional security for the repayment of amounts advanced to that veteran under this section. Assistance loans to part-time farmers and commercial fishermen Subject to this Part, where a veteran certified by the Director to be a part-time farmer or a commercial fisherman the Director may, upon payment to him by that veteran of an amount equal to twenty per cent of the assistance so requested for use by the Director for the purpose for which the loan is to be made, advance, by way of a loan to that veteran for one or more of the purposes specified in paragraphs 71(2)(a) to (c), and for payment of debts that, in the opinion of the Director, were reasonably incurred by the veteran for any of the purposes specified in those paragraphs, amounts not exceeding in the aggregate ten thousand dollars less the aggregate of all amounts advanced by way of any previous loan to that veteran under this Part. Amounts deemed paid to Director For the purposes of subsection (1), there shall be deemed to have been paid to the Director by a veteran who, at the time of any advance made by the Director under this section to the veteran, had any equitable or other interest in the land to which a Part I contract relates, the amount or value of that interest, as determined by the Director. Form and content of agreement Every loan made under this Part shall be evidenced by an agreement entered into between the veteran and the Director, which agreement shall be in such form as the Governor in Council prescribes and shall be supplementary to and form part of the Part I contract entered into between the Director and that veteran, and shall contain a description of the land to which the Part I contract relates and any additional land purchased or to be purchased with the proceeds of the loan, a statement setting forth the amount of the loan, the interest payable in respect thereof, and the terms of repayment thereof, and such additional terms and conditions as the Governor in Council deems necessary or advisable for the purpose of protecting the rights of the Director and of the veteran under this Part or Part I. Amount to be paid by veteran Notwithstanding sections 71, 72 and 73, no amount may be advanced by the Director by way of loan to any veteran unless the veteran, at the time of the making of the loan, pays to the Director in cash for use by the Director for the purpose for which the loan is to be made, an amount by which the total amount that may be required for that purpose, as estimated by the Director, exceeds the amount to be advanced by the Director by way of a loan to him. Interest rates The interest payable on any loan made by the Director under this Part shall be at the rate or rates in effect for the purpose of this subsection at the time of approval by the Director of the veteran’s application for assistance in respect of the loan. Repayment period Subject to section 77, loans made by the Director under this Part shall be repayable in equal instalments of principal and interest over a period not exceeding thirty years. Variation of terms The Director may, where a loan made under this Part is repayable over a period of less than thirty years, extend the period of time over which the loan may be repaid for a period that, together with the original repayment period and any other extensions thereof, does not exceed thirty years; and at any time and from time to time during the repayment period of a loan made under this Part, vary the terms of repayment to provide for payment of interest only for a period or periods not exceeding in the aggregate five years, or to provide for annual, semi-annual or monthly payments of principal and interest, but a maximum repayment period of thirty years may not be exceeded. Consolidation of loans under section 71 or 72 Notwithstanding the maximum repayment period specified in section 76, where the Director enters into more than one agreement with a veteran under section 71 or 72, those agreements may be consolidated into one agreement and for the purposes of such consolidation a uniform repayment period may be provided for all loans under section 71 or 72, which period shall not exceed thirty years from the date of the last such loan. Other terms It shall be a term of every agreement of loan entered into under this Part that, in the event of the sale, lease or other disposition by the veteran of the land upon which the Director has, by virtue of section 81, a first and paramount lien, any portion of the loan then outstanding shall, at the option of the Director, forthwith become due and payable. Director to take security Subject to this Act, the Director shall, as security for a loan made under this Part to a veteran certified to be a full-time farmer, hold farm land, basic herd livestock or farm equipment sufficient, in the opinion of the Director, to secure the repayment of the amount of the veteran’s outstanding indebtedness under that loan. Amount of Director’s security to be in land, etc. The Director shall ensure at all times that not less than sixty per cent of the security held by him to secure repayment of a loan made under this Part and the outstanding cost to the Director owing under a Part I contract by a veteran certified to be a full-time farmer is in farm land and the balance, if any, in basic herd livestock and farm equipment not in excess of such amounts as the Governor in Council may prescribe. Director’s lien As long as any portion of a loan made under this Part remains unpaid, the Director has a first and paramount lien in respect thereof upon the land, livestock or farm equipment to which a Part I contract relates, and upon any land, basic herd livestock or farm equipment purchased or taken as security by the Director under this Part, which lien has priority over all other rights, interests, liens, charges, claims or demands whatever of any other person. Lien where additional land purchased Where proceeds of a loan made under this Part are used by the Director to purchase land, the land so purchased shall be held as security for the repayment of the loan in the same manner and subject to the same terms and conditions, as nearly as may be, as the land to which the Part I contract relates. No transfer, etc. of land subject to Part I contract Subject to this Act, no transfer or conveyance of the land to which a Part I contract relates or discharge of any mortgage thereon shall be given by the Director to any veteran to whom a loan under this Part has been made, until such time as the veteran has repaid in full his indebtedness to the Director under this Part in respect of that loan. Title to land, etc. to be released to veteran The Director may, subject to section 79 and on such terms and conditions as he deems necessary, transfer to a veteran certified to be a full-time farmer the title to any land, livestock or farm equipment held by the Director as security to secure the repayment by that veteran of his indebtedness under this Act, but such release does not relieve that veteran from making repayment thereof as provided by this Part. The Governor in Council may make regulations prescribing the terms and conditions on which a loan may be made to a veteran; prescribing, for the purposes of section 80, the maximum amounts of basic herd livestock or farm equipment that the Director may hold as security to secure a loan made under this Part; for defining, for the purposes of this Act, agricultural value, basic herd livestock, economic farm unit, farm equipment and farm land; and for prescribing the rate or rates of interest in effect for the purpose of subsection 17(2), section 18, subsections 19(2) and 20(2), section 23, paragraph 24(2)(f), and subsections 32(3) and 76(1). Prohibition Notwithstanding anything in this Part, no loan shall be made under this Part except with the approval of the Minister, to a veteran who is in default under a Part I contract, or to a veteran who is indebted in respect of any loan made pursuant to the Veterans’ Business and Professional Loans Act. Transitional: proceedings Proceedings to which any of the provisions amended by the schedule apply that were commenced before the coming into force of section 14 shall be continued in accordance with those amended provisions without any further formality. Every proceeding commenced before the coming into force of this subsection and in respect of which any provision amended by this Act applies shall be taken up and continued under and in conformity with that amended provision without any further formality. Transitional — cross-references In any Act of Parliament, other than in a provision amended by sections 12 to 16, or in any proclamation, regulation, order, instrument or other document, a reference to the Ontario Court (General Division) or the Ontario Court (Provincial Division) shall be construed, with respect to any transaction, matter or event occurring after the coming into force of this section, as a reference to in the case of the Ontario Court (General Division), the Superior Court of Justice or the Superior Court of Justice in and for the Province of Ontario, as the case may require; and in the case of the Ontario Court (Provincial Division), the Ontario Court of Justice.