Soldier Settlement Act (R.S.C. 1927, c. 188)

Advances for Improvements

Marginal note:Advances by Board to settler for improvements not to exceed $1,000

• 19  The Board may from time to time advance to any settler to provide, or for application to, permanent improvements on the land of the settler or on the land sold to him by the Board, amounts in money or its equivalent not exceeding in the aggregate one thousand dollars, inclusive of the cost price to the Board of building or other materials supplied by it.

• Marginal note:Advances to constitute first charge

  2. Such advances shall by force of this Act constitute a first charge on the land of the settler or on the land sold to him by the Board and shall be repayable in twenty-five or less equal, consecutive, annual instalments, with interest at five per centum per annum, on the amortization plan, with full privilege of repayment.

• Marginal note:Supervision of Board

  3. Every such advance shall be expended under the supervision of the Board.

Terms of Disposition of Property

Marginal note:Dominion, Indian and school lands to be dealt with as if they were private lands

20 Subject to the provisions of section fifteen of this Act as to soldier grants of Dominion lands, the Board shall deal with and dispose of all Dominion lands, Indian lands or school lands granted or otherwise conveyed or transferred to it pursuant to sections six, ten and eleven of this Act as nearly as may be as if such lands were private lands acquired by it by way of purchase, but the sale price of such lands shall be such as is approved by the Governor in Council.

Marginal note:No sale of land by Board at less than purchase price

• 21  No land which has been acquired or reacquired by the Board, whether by purchase, or by retaking because of default or otherwise, shall be sold or resold by the Board at a price less than the cost to it thereof, calculated as in section seventeen of this Act provided, unless with the approval of the Governor in Council.

• Marginal note:Board to report to Minister if conditions of sale not satisfactory

  2. If the Board determines that the whole or any part of any land or other property purchased by it cannot or ought not to be sold subject, whether as to sale price or otherwise, to the provisions of sections sixteen to eighteen inclusive of this Act, it shall report to the Minister the circumstances, with a statement of the cost to it of such property or of such part thereof and shall recommend another sale price, or other terms of sale, as the case may be, whereafter any sale of such property or of such part thereof shall be made for such sale price, or upon such other terms, as the Governor in Council may direct.

Marginal note:Transfer of lands to province or municipality

21A The Governor in Council may transfer to the province, or the Director of Soldier Settlement with the approval of the Governor in Council may transfer to the municipality in which such land is situate, the interest of the Director of Soldier Settlement in any land which for a period of two years immediately preceding such transfer has not been the subject of a contract of sale.

Resale upon Default

Marginal note:Terms of sale set forth in agreement binding

• 22  All sales of property made pursuant to the provisions of this Act and whereon any balance of the sale price shall remain payable by instalments or otherwise, shall be evidenced by agreement of sale, which shall fully set forth the terms of sale.

• Marginal note:Board may rescind agreement on default of settler

  2. If any instalment mentioned in any such agreement of sale is not punctually made or if the settler makes any other default in performance of the terms of such agreement, the Board may without any formal re-entry or retaking and without resort to proceedings in equity or at law, rescind such agreement and resell or otherwise deal with the property as authorized by this Act.

• Marginal note:Rescission vests property in Board

  3. The effect of such rescission shall be to vest such property in the Board absolutely free and discharged of all rights and claims of the settler, and of all persons claiming or entitled to claim through or under him, for any estate in, or lien, charge or encumbrance upon or against such property.

• Marginal note:Surplus of resale paid to settler; deficiency paid by settler

  4. If and when such property is resold by the Board, any surplus remains in its hands beyond the amount owing to it as balance of the sale price and interest at five per centum per annum and expenses of taking over and reselling the property, the Board shall pay such surplus to the settler; but if, instead, a deficiency arises, that deficiency shall be paid by the settler to the Board, which shall have a right of action against him therefor.

• Marginal note:Board may order payment of the surplus to credit of the Assurance Fund

  5. In the case of a settler who has not, in the opinion of the Board, established an equitable claim to such surplus by having taken possession of the land affected and by effecting improvements thereon or otherwise, or who has abandoned the property without notice, the Board may pay the surplus, or, in the discretion of the Board, that part of the surplus in excess of the initial payment made by the settler, to the Receiver General to the credit of the Soldier Land Settlement Assurance Fund.

• Marginal note:Notice by Board to settler

  6. Before exercising as against land the rights by this section given, the Board shall give to the settler notice of its intention so to do, which notice shall be deemed duly given if mailed in any post office by registered letter addressed to the settler at his last address known to the Board thirty clear days before the Board acts hereunder.

• Marginal note:Agreement of sale rescinded Settler may be reinstated

  (7) In the case of any land the title to which may pass by virtue of subsection five of section four of this Act from the Director of Soldier Settlement by reason of any action or proceeding at the instance of a taxing authority, the agreement of sale shall forthwith upon due publication by the taxing authority of any notice of sale of the said land for arrears of taxes be rescinded as fully and with the same effect as if such agreement had been duly rescinded by the Director of Soldier Settlement, but the settler shall be reinstated in such rights with respect to the land as he had prior to the rescission of his agreement upon due payment by him to the Director of Soldier Settlement of the moneys necessary to effect redemption of the land or upon the production by him to the Director of Soldier Settlement of a certificate of redemption duly completed in respect of such land.

Marginal note:Disposal of property by Board in case of rescission

23 In the event of the rescission of any contract or agreement by the Board it may, subject to the provisions of section twenty-one, in order to recoup itself for its expenditures in connection with the acquirement of the property with reference to which such agreement of sale was made, and other advances, if any, made to the settler under the provisions of this Act or of the former Act or to regain the value of such property, sell, lease, exchange or otherwise dispose of such property to a settler or, with the approval of the Minister, to any other person.

Leasing of Lands

Marginal note:Terms of lease to settler

24 Any land purchased or held for disposition by the Board may, pending such disposition, be leased by the Board to a settler or otherwise upon terms satisfactory to the Minister.

Advances for the Discharge of Encumbrances

Marginal note:Limitation as to advances to settler to discharge encumbrances

• 25  The Board may from time to time advance to a settler, to enable the discharge of encumbrances on agricultural land which is owned and used by him as such, amounts in money not exceeding in the aggregate three thousand five hundred dollars and not exceeding fifty per centum of the value of such land, but so that the total made by

  • (a) the advances of the Board to the settler under this section; and

  • (b) the amounts, exclusive of interest, due by him to the Board in any connection under authority of this Act, shall not exceed five thousand dollars.

• Marginal note:Advances to be first charge secured by first mortgage, terms of repayment, interest, etc.

  2. Such advances shall, by force of this Act, constitute a first charge on the land of the settler with respect to which the advance is made, and repayment thereof shall be secured by a first mortgage upon such land and shall be made in twenty-five or less equal, consecutive, annual instalments with interest at five per centum per annum, on the amortization plan, with full privilege of prepayment.

• Marginal note:Dominion lands

  3. In the case of advances made to a settler holding unpatented Dominion lands such advances shall, further, notwithstanding anything in the Dominion Lands Act or any other matter or circumstance, constitute a first charge against such lands, and no patent shall be issued to the settler therefor until such advances, with accrued interest, have been fully repaid.

• Marginal note:No advance without sufficient security and assurance that settler can make living on land

  4. No advance such as by subsection one of this section authorized shall be made unless the Board is satisfied

  • (a) that the value of the security, ascertained as in section twelve of this Act directed with respect to lands to be acquired by the Board, is sufficient to justify the making of the advance; and

  • (b) that the applicant has the ability to make from the land a fair living for himself and his dependents, if any, after paying interest and amortization charges and other necessary payments with respect to such advances and to the land and the cultivation thereof.

• Marginal note:How advances expended

  5. Every such advance shall be expended under the supervision of the Board.

Charges on Dominion Lands

Marginal note:No patent to issue until amount owing to Board is repaid

26 When a settler obtains or has obtained Dominion lands, whether by soldier grant or otherwise, such lands shall be subject to a first charge in favour of the Board for any sum owing to the Board in respect of any sale or advance thereafter approved for and made to him by the Board pursuant to this Act, and no patent shall be issued to such settler for such lands until the amount of such sum so owing with accrued interest has been fully repaid.

Marginal note:Forfeiture by settler of title to land when he is in default Surplus may be paid to the settler or the Assurance Fund

• 27  Notwithstanding anything in the Dominion Lands Act or in any other Act, in the event of a settler who is holding any Dominion land on which a charge has been imposed, constituted or created by or under this or the former Act, hereinafter referred to as “charged land” being in default with respect to the terms or conditions of any agreement of sale, mortgage or other document executed or made with or to the Board, the Minister, upon request made by the Board, may declare the right, title and interest of the settler to or in such charged land to be forfeited, whereupon, and also in the event of the right, title or interest of the settler to or in such charged land becoming forfeited for default in performance of settlement conditions or for any other reason apart from the provisions of this section, the Minister may declare the said right, title or interest of such settler, and also the right, title or interest of His Majesty to or in such charged land, to be vested in the Board, and it may thereafter, subject to the provisions of section twenty-one of this Act, in order to recoup itself for the amount owing by such settler and charged upon such land, sell, lease, exchange or otherwise dispose of such land to a settler, or, with the approval of the Minister, to any other person; but if any surplus is realized beyond the amount required to recoup the Board as aforesaid, such surplus, except as otherwise provided, may be paid by the Board to the settler if he has completed the settlement conditions required for obtaining patent in accordance with the terms of his entry, or to the Receiver General to the credit of the Soldier Land Settlement Assurance Fund if such compliance by the settler with the conditions of his entry has not been established to the satisfaction of the Board.

• Marginal note:Improvements made by the settler

  2. If a settler who has not complied with the conditions of his entry has effected valuable improvements on the land with his own capital or means to which he has an equitable claim for compensation the Board may, out of the surplus, if any, pay to the settler an amount which the Board has determined that such improvements added to the price realized by the sale of the land.

Limitations upon Sales and Advances

Marginal note:No sale to any settler who obtained soldier grant, advance on his own land, or owns an average farm

28 Notwithstanding anything in this Act, the Board shall not, unless the Minister upon the recommendation of the Board shall approve, sell any lands to any settler who

• (a) has obtained a soldier grant under this or the former Act;

• (b) has secured from the Board, under this or the former Act, any advance of money for the clearing of encumbrances on land owned by the settler; or

• (c) is owner of, or has a vested, possessory interest in, agricultural land of such area as, in the opinion of the Board, constitutes an average farm for the district within which the land is situate, or which, in the opinion of the Board, is of the value of five thousand dollars.