CBV = THEIVES.. Student loan defaulted in 1999

So Johnny, let's just clear the air once and for all.

In your last post you stated "Let me guess. You work for Scotiabank, GSLAC, or NSLSC, right?" Nothing could be further from the truth. I am not employed by or have I ever been associated with these organizations and your arrogance to suggest that I am either employed by or associated with these organizations is a true reflection of your business acumen and personal character.

I have never been employed by or associated with any bank or financial institution in Canada, any credit grantor or mortgage lender, any collection agency or debt buyer, any government or agency thereof, be it Federal, Provincial/Territorial or Municipal, or the Canada Revenue Agency. If you or anyone else chooses to read my posts, It will be "daylite clear" that I am NOT an advocate for a creditor or a consumer as you have so stated. My "tagline" says it all. EDUCATING ONE CONSUMER AT A TIME.

I offer nothing for sale including my time, knowledge, expertise and experience, or would I accept anything in return.

Now, let's get right to the matter at hand.

In a previous post that I had written to "pabloottawa" explaining to him that his Federal student loan that was issued in 1997 or 1998 was issued under the Canada Student Financial Assistance Act and as such was more commonly referred to as a "Risk-Shared" loan. Because this loan was issued in Ontario by Scotiabank, even though it is a Federal student loan, in the event of default, it could fall squarely within the provisions of the new Ontario Limitations Act, 2002 if applicable. I further explained how a student loan could get caught by the provisions detailed in the new Ontario Limitations Act, 2002 should the student loan default prior to January 1, 2004.

After analyzing the details as supplied by "pabloottawa", I concluded that this Federal student loan fell within the provisions of Paragaph 16(1)(k) of the Ontario Limitations Act, 2002 and as such there is NO LIMITATION PERIOD for the commencement of a legal proceeding.

You responded in a later post that "...if you reside and took out the loan in Ontario, the Ontario Limitation Act does not apply here. That is because the loan is a federal matter and not a provincial. Federal law supersedes provincial law."

What a lot of rubbish!!!!! I don't know where you got that idea from. I challenge you to report on this forum the Statute, Act or Regulation including Section, Subsection, Paragraph, etc. that supports that statement. Furthermore, report any case law or jurisprudence including Court Docket Number, in which Court the trial was held, the date of the trial, the parties at trial and the judge or justices who rendered the decision.

Here is the backgound for the application of a Limitation period for Federal student loans. Under the Canada Student Loans Act and pursuant to Section 19.1 it provides for a Limitation period of 6 years in which to commence a legal proceeding. Under the Canada Student Financial Assistance Act and pursuant to Section 16.1, it too provides for a Limitation period of 6 years in which to commence a legal proceeding. At the time that these Acts were proclaimed in force, every Limitation Act in every Province and Territory was silent about student loans including both Federal and Provincial/Territorial, including Ontario. Therefore, in the event that a Federal student loan went into default, the provisions of both the Canada Student Loans Act and the Canada Student Financial Assistance Act prevailed.

Fast forward to 2002 when the former Ontario Limitations Act was substantially changed and a new Ontario Limitations Act, 2002 was proclaimed in force effective January 1, 2004. Among the major changes were that the general limitation period was reduced from 6 years to 2 years to commence an action and that there is now NO LIMITATION PERIOD for commencing a legal action to recover monies owing on a defaulted student loan issued under the Canada Student Loans Act, the Canada Student Financial Assistance Act or the Ministry of Training, Colleges and Universities Act. This is very clearly stated in Paragraph 16(1)(k). Section 24 of this Act provides for the "Transitional" rules when a defaulted debt including a student loan falls between both Limitation Acts. In essence, the rules are relatively simple. If a debt ( including a student loan debt ) defaults prior to January 1, 2004, count forward 6 years. If the date ends before January 1, 2004, then the limitation provisions of the former Act prevail. If the debt is a Federal student debt, it is then governed by the provisions of the Canada Student Loans Act or the Canada Student Financial Assistance Act. If on the other hand, by counting forward 6 years, the date ends after January 1, 2004, then the student loan is now caught by the provisions of the new Ontario Limitations Act, 2002 in which there is NO LIMITATION PERIOD for commencing an action. Currently, Ontario is the only province or territory in which a Federal student loan is caught by the provisions of a provincial/territorial Limitation Act. In all other jurisdictions, the provisions of the Canada Student Loans Act and the Canada Student Financial Assistance Act apply.

I do not know of any court case or jurisprudence whereby the legality of Paragraph 16(1)(k) of the Ontario Limitations Act, 2002 has been challenged. I know of no ruling or court order by a Judge of the Ontario Superior Court of Justice or a Justice of the Ontario Court of Appeal who has ordered that Paragraph 16(1)(k) of the Ontario Limitations Act, 2002 be struck down, or ruled that this Paragraph is "Ultra Vires" ( meaning outside the authority ) of the Ontario Limitations Act, 2002. or must be amended or repealed.

Need further evidence? Are you seeking a second opinion? I suggest that you contact the Law Society of Upper Canada and request lawyer referral service. After being connected, ask to be referred to a lawyer who specializes in limitation matters and more specifically, to Federal student loans issued in Ontario to which they have gone into default.