P-40.1, r. 3 - Regulation respecting the application of the Consumer Protection Act

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113. The security must be drawn up using the form provided by the president, and include
(a)  the date on which the security is furnished;
(b)  the total amount of the obligation which the surety is required to meet for the duration of the permit and its renewal as determined in section 104 or sections 108 to 108.1.3.3;
(c)  a solidary undertaking by the surety with the merchant towards the president, in the case of an individual security, or with any member of the group towards the president, in the case of a group security, up to the amount of the security, to pay any amount payable pursuant to section 120, 120.1, 120.2 or 120.3;
(d)  when the security is furnished by the merchant on his own behalf, an undertaking by the merchant, up to the amount of the security, to pay any amount payable pursuant to section 120, 120.1, 120.2 or 120.3;
(e)  a statement that the undertaking is binding on the administrators of the surety or the merchant in the case of security furnished by the merchant;
(f)  a waiver of the benefits of discussion and division, and the fact that the surety is subrogated in the rights of a consumer to whom an indemnity is paid up to the amount disbursed by the surety;
(g)  a statement that the surety or merchant may only terminate the security by sending at least 90 days’ written notice to the president along with proof that a copy of the notice was notified to the merchant, if applicable the notice must be at least 45 days in the case of security furnished for a road vehicle dealer or recycler;
(h)  a statement that, despite the expiry of the security, the obligations of the surety continue to apply and the responsibility of the merchant continues to extend to the merchant’s clients, when, as the case may be,
i.  civil proceedings were instituted within the time prescribed by the Civil Code;
ii.  the agreement or transaction, which was intended to prevent judicial proceedings, was entered into within the same time;
iii.  penal proceedings were instituted within the time prescribed by section 290.1 of the Act;
iv.  the act or omission that is the subject of the civil judgment, the agreement or transaction or, as the case may be, the conviction is related to a contract concluded or fault committed while the security was in effect, or occurred while the security was in effect.
The form must be signed by the surety or by the merchant if furnished by the latter and, at the request of the surety, by the principal debtor.
R.R.Q., 1981, c. P-40.1, r. 1, s. 113; O.C. 1978-85, s. 7; O.C. 495-2010, s. 22; O.C. 815-2015, s. 13; 994-2018O.C. 994-2018, s. 59.
113. The security must be drawn up using the form provided by the president, and include
(a)  the date on which the security is furnished;
(b)  the total amount of the obligation which the surety is required to meet for the duration of the permit and its renewal as determined in section 104 or sections 108 to 108.1.3;
(c)  a solidary undertaking by the surety with the merchant towards the president, in the case of an individual security, or with any member of the group towards the president, in the case of a group security, up to the amount of the security, to pay any amount payable pursuant to section 120, 120.1 or 120.2;
(d)  when the security is furnished by the merchant on his own behalf, an undertaking by the merchant, up to the amount of the security, to pay any amount payable pursuant to section 120, 120.1 or 120.2;
(e)  a statement that the undertaking is binding on the administrators of the surety or the merchant in the case of security furnished by the merchant;
(f)  a waiver of the benefits of discussion and division, and the fact that the surety is subrogated in the rights of a consumer to whom an indemnity is paid up to the amount disbursed by the surety;
(g)  a statement that the surety or merchant may only terminate the security by sending at least 90 days’ written notice to the president along with proof that a copy of the notice was notified to the merchant, if applicable the notice must be at least 45 days in the case of security furnished for a road vehicle dealer or recycler;
(h)  a statement that, despite the expiry of the security, the obligations of the surety continue to apply and the responsibility of the merchant continues to extend to the merchant’s clients, when, as the case may be,
i.  civil proceedings were instituted within the time prescribed by the Civil Code;
ii.  the agreement or transaction, which was intended to prevent judicial proceedings, was entered into within the same time;
iii.  penal proceedings were instituted within the time prescribed by section 290.1 of the Act;
iv.  the act or omission that is the subject of the civil judgment, the agreement or transaction or, as the case may be, the conviction is related to a contract concluded or fault committed while the security was in effect, or occurred while the security was in effect.
The form must be signed by the surety or by the merchant if furnished by the latter and, at the request of the surety, by the principal debtor.
R.R.Q., 1981, c. P-40.1, r. 1, s. 113; O.C. 1978-85, s. 7; O.C. 495-2010, s. 22; O.C. 815-2015, s. 13.
113. The security must be drawn up using the form provided by the president, and include
(a)  the date on which the security is furnished;
(b)  the total amount of the obligation which the surety is required to meet for the duration of the permit as determined in section 104, 108 or 108.1;
(c)  a solidary undertaking by the surety with the merchant towards the president, in the case of an individual security, or with any member of the group towards the president, in the case of a group security, up to the amount of the security, to pay any amount payable pursuant to section 120 or 120.1;
(d)  when the security is furnished by the merchant on his own behalf, an undertaking by the merchant, up to the amount of the security, to pay any amount payable pursuant to section 120 or 120.1;
(e)  a statement that the undertaking is binding on the administrators of the surety or the merchant in the case of security furnished by the merchant;
(f)  a waiver of the benefits of discussion and division, and the fact that the surety is subrogated in the rights of a consumer to whom an indemnity is paid up to the amount disbursed by the surety;
(g)  a statement that the surety or merchant may only terminate the security by sending at least 90 days’ written notice to the president along with proof that a copy of the notice was notified to the merchant, if applicable;
(h)  a statement that, despite the expiry of the security, the obligations of the surety continue to apply and the responsibility of the merchant continues to extend to the merchant’s clients, when
i.  the cause of action concerns a contract made while the security was in effect, or occurred while the security was in effect;
ii.  no more than 3 years have elapsed between the date of the cause of action and the institution of civil proceedings or conclusion of an agreement or transaction.
The form must be signed by the surety or by the merchant if furnished by the latter and, at the request of the surety, by the principal debtor.
R.R.Q., 1981, c. P-40.1, r. 1, s. 113; O.C. 1978-85, s. 7; O.C. 495-2010, s. 22.