109. The Minister may cancel a timber supply guarantee
(1) if the guarantee holder fails to perform the obligations set out in this Act or the guarantee;
(2) if the guarantee holder fails to pay the annual royalty or the amounts payable for timber purchased under the guarantee on time; or
(3) if the guarantee holder’s wood processing plant ceased operations at least six months earlier.
The Minister must give the guarantee holder in default prior notice of the Minister’s intention to cancel the guarantee, unless the holder remedies the failure before the expiry of the time specified in the notice.
Moreover, in the case described in subparagraph 3 of the first paragraph, the prior notice must state that the guarantee holder has 60 days to submit a business plan for resuming operations to the Minister. If the holder submits a business plan within the 60-day period, the Minister may not cancel the guarantee before the expiry of 30 days after the plan is submitted.
The resumption of a wood processing plant’s operations for a continuous period of less than one month does not interrupt the six-month period referred to in subparagraph 3 of the first paragraph.
2010, c. 3, s. 109; 2013, c. 2, s. 34.