,9t]pret,n ,bullet9         #a
    
,subject3 ,9come ,tax ,act--,m1n+ (
  8,w9d+-up0
,numb]3 ,,it-#abf;,r#b
,date3 ,m>* #bj1 #aiie
,ref];e3 ,subsec;ns #hd7#b7 & #hh7#a7
  7al sec;ns #ff.f & #ff.g1 subsec;n
  #hh7#b7 &! def9i;n ( 84posi;n0 9 sec;n
  #ed7

               ,applic,n
    
  ,? ,bullet9 replaces & c.els
,9t]pret,n ,bullet9 ,,it-#abf;,r dat$
,febru>y #c1 #aige4

                ,summ>y
    
  8,w9d+-up0 is us$ 9 3nec;n )! w9d+-up
(a busi;s &! w9d+-up (a corpor,n's
exi/;e4 ,:ile a busi;s t a corpor,n
3ducts may 2 w.d up )\t a6ect+ !
corpor,n's exi/;e1 ! w9d+-up (a corpor,n
br+s 6an 5d bo? ! exi/;e (!           #a
             ,,it-#abf;,r#b          a#a
corpor,n & t ( xs busi;s4 ,subsec;n
#hd7#b7 applies on ei ! w9d+-up (a
busi;s or ! w9d+-up (a corpor,n :ile
subsec;ns #hh7#a7 or 7#b7 only apply ":
! appropriate corporate proc$ures >e
foll[$ 6br+ a corpor,n's exi/;e 6an 5d4
,h["e1 x is n nec =! corpor,n 6h be5
4solv$ 2f ! 5d (a ye> 6h subsec;n
#hh7#a7 or 7#b7 apply 9 ! ye>4

          ,4cus.n & ,9t]pret,n
            7p>agraphs #a-i7
    
#a4 ,9 ! ,act ! t]m 8w9d+-up0 is us$
  6ref] 6bo? ! w9d+-up (a corpor,n's
  busi;s 7see #b 2l7 &! w9d+-up (!
  corpor,n xf1 t is1 4solu;n 7see #c 6#e
  2l74
#b4 ,subsec;n #hd7#b7 applies 6!
  4tribu;n by1 or appropri,n ( funds or
  prop]ty (1 a corpor,n resid5t 9
  ,canada to1 or =! b5efit (1 xs
  %>ehold]s ": any positive /eps >e tak5
  t[>ds ! w9d+-up1 4cont9u.e or       #b
             ,,it-#abf;,r#b          b#a
  reorganiz,n ( xs busi;s4 ,?us
  circum/.es fall+ %ort (! 4solu;n (a
  corpor,n may result 9 ! applic,n (!
  subsec;n4 ,h["e1 s9ce ! busi;s (a
  corpor,n dep5ds ^u xs corporate
  exi/;e1 ": any positive /ep is tak5
  t[>d ! =mal 4solu;n (! corpor,n1 x is
  3sid]$ 6be w9d+-up or 4cont9u+ xs
  busi;s z well4 ,pursuant 6p>agraph
  #hh7#a77d4#a71 subsec;n #hd7#b7 does n
  apply ": ! rules provid$ 9 subsec;n
  #hh7#a7 apply2 h["e1 subsec;n #hd7#b7
  w g5],y apply on ! w9d+-up (a corpor,n
  t is subject 6! provi.ns ( subsec;n
  #hh7#b74
#c4 ,subsec;n #hh7#a7 applies ": a
  8taxa# ,canadian corpor,n01 z def9$ 9
  subsec;n #hi7#a71 has be5 w.d up4
  ,am;g ! 3di;ns =! applic,n ( subsec;n
  #hh7#a7 is t at l1/ #ij@3p (! issu$
  %>es ( ea* class (! capital /ock (!
  corpor,n >e [n$ 0a taxa# ,canadian
  corpor,n immly 2f ! w9d+-up4 ,subsec;n
  #hh7#b7 applies ": a 8,canadian     #c
             ,,it-#abf;,r#b          c#a
  corpor,n01 z def9$ 9 subsec;n #hi7#a71
  has be5 w.d up &! provi.ns ( subsec;n
  #hh7#a7 >e n applica#4 ,=! purposes (
  ^! subsec;ns1 a corpor,n is 3sid]$ 6h
  be5 8w.d up0
    7a7 ": x has foll[$ ! proc$ures =
      w9d+-up & 4solu;n provid$ 0!
      appropriate f$]al or prov9cial
      -panies act or w9d+-up act1 or
    7b7 ": x has c>ri$ \ a w9d+-up1 o!r
      ?an 0m1ns (! /atutory proc$ures
      3templat$ 9 7a7 abv1 & has be5
      4solv$ "u ! provi.ns ( xs
      9corporat+ /atute4
  ,= a4i;nal 9=m,n on subsec;ns #hh7#a7
  & 7#b71 see ! curr5t v].ns (
  ,,it-#dhh1 ,w9d+-up ( #ij@3p--,[n$
  ,taxa# ,canadian ,corpor,ns &
  ,,it-#adi1 ,w9d+-up ,divid5d1
  respectively4 ,= -;ts on ! situ,n ":
  "! has be5 an un9t5;nal w9d+-up (a
  corpor,n1 see ! curr5t v].n (
  ,,it-#ddd1 ,corpor,ns--,9volunt>y
  ,4solu;ns4                          #d
             ,,it-#abf;,r#b          d#a
#d4 ,g5],y1 ! 4solu;n (a corpor,n is
  au?oriz$ 0! applica# f$]al or
  prov9cial /atute only ": x c 2 %[n t
    7a7 ! debts1 oblig,ns or liabilities
      (! corpor,n h be5 ext+ui%$ or
      provid$ =1 or ! cr$itors h giv5
      3s5t 6! 4solu;n &
    7b7 af ! 9t]e/s ( all cr$itors h be5
      satisfi$1 all rema9+ prop]ty (!
      corpor,n has be5 4tribut$ am;g xs
      %>ehold]s4
#e4 ,": ! =mal 4solu;n (a corpor,n is n
  -plete b "! is sub/antial evid;e t !
  corpor,n w 2 4solv$ )9 a %ort p]iod (
  "t1 =! purpose ( subsec;ns #hh7#a7 &
  7#b7 ! corpor,n is 3sid]$ 6h be5 w.d
  up4 ,evid;e 3firm+ ! propos$ 4solu;n
  wd g5],y require pro( t ! require;ts =
  4solu;n1 z \tl9$ 9 #d abv1 h be5 met4
  ,": a corpor,n is n 4solv$ 9 a "picul>
  ye> 2c (! exi/;e ( \t/&+ litig,n !
  ,de"p;t w a3ept t subsec;n #hh7#a7 or
  #hh7#b7 applies 9 t ye> ":3
                                      #e
             ,,it-#abf;,r#b           #b
    7a7 all (! corpor,n's assets &
      liabilities 7o!r ?an xs "rs &
      oblig,ns "u ! \t/&+ lawsuits t _c
      2 transf]r$ )\t prejudice 6!
      corpor,n7 h be5 4tribut$ 6or
      assum$ 0! corpor,n's %>ehold]s2
    7b7 ! sole r1son =! delay 9 obta9+ !
      =mal 4solu;n is ! exi/;e (! \t/&+
      litig,n2
    7c7 ! corpor,n does n [n or acquire
      any prop]ty or c>ry on any activ;y
      or "utak+ 7o!r ?an s* activ;y z
      may 2 requir$ 6pursue ! litig,n7
      af ! 4tribu;n ( assets & 2f ! =mal
      4solu;n2 &
    7d7 ! corpor,n is =m,y 4solv$ )9 a
      r1sona# "t foll[+ ! resolu;n (!
      \t/&+ litig,n4
#f4 ,sec;n #ff.f & s"eal (! subsec;ns 9
  sec;n #ff.g describe ! acquisi;n (
  res\rce prop]ties by 8pur*ase1
  amalgam,n1 m]g]1 w9d+-up or o!rwise04
  8,w9d+-up0 9 ? 3text m1ns ! w9d+-up (!
  corpor,n 7z 4cuss$ 9 #c 6#e abv7    #f
             ,,it-#abf;,r#b          a#b
  r ?an ! w9d+-up (! busi;s (! corpor,n
  7z 4cuss$ 9 #b abv74
#g4 ,pursuant 6p>agraph #hh7#a77a71
  proce$s ( 4posi;n ( prop]ty o!r ?an
  ,canadian or =eign res\rce prop]ty >e
  det]m9$ at ! po9t 9 "t 8immly 2f !
  w9d+-up04 ,h["e1 ! actual 4tribu;n (
  s* prop]ties may take place at v>i\s
  "ts "?\t ! w9d+-up p]iod4 ,6m9imize !
  pro#ms t cd 5sue f ! di6];e 9 tim+1
  8immly 2f ! w9d+-up0 =a "picul>
  4posi;n w 2 3sid]$ 6m1n immly 2f t
  "picul> 4posi;n4
#h4 ,! phrase 8on ! w9d+-up01 z us$ 9
  subsec;n #hh7#a7 =a corpor,n or 9
  subsec;n #hd7#b7 =a corpor,n's busi;s1
  m1ns t p]iod ( "t dur+ : ! w9d+-up
  takes place4 ,9 ! case (! w9d+-up (a
  corpor,n ! p]iod 5ds at 4solu;n4 ,!
  phrase 8in ! c\rse ( w9d+-up0 9
  subsec;n #hh7#b7 ref]s 6! same p]iod (
  "t4

                                      #g
             ,,it-#abf;,r#b          b#b
#i4 ,pursuant 6subp>agraph 7b77;i7 (!
  def9i;n ( 84posi;n0 9 sec;n #ed1 "! is
  a 4posi;n (! %>es (a corpor,n :5 !
  %>es >e c.ell$4 ,x is ! ,de"p;t's
  posi;n t 9 ! case (a corpor,n 2+ w.d
  up1 ! %>es >e c.ell$ :5 ! c]tificate (
  4solu;n is issu$4 ,9 a4i;n1 ev5 ?\< !
  =mal 4solu;n (a corpor,n has n o3urr$1
  ! ,de"p;t w 3sid] t "! is a 4posi;n (!
  %>es :5 subsec;n #hh7#a7 or 7#b7
  applies 6! corpor,n 9 ! circum/.es
  describ$ 9 #e abv4

  ,if y h any -;ts reg>d+ ! matt]s
4cuss$ 9 ? bullet91 pl1se s5d !m to3

  ,director1 ,te*nical ,public,ns
    ,divi.n
  ,policy & ,legisl,n ,bran*
  ,rev5ue ,canada
  #hge ,h]on ,road
  ,ottawa ,,on ,k#a;,a #j;,l#h

                                      #h
         ,explan,n ( ,*anges ,=       #c
       ,9t]pret,n ,bullet9 ,,it-
      #abf;,r#b ,m1n+ ( 8,w9d+-up0
    
               ,9troduc;n
    
  ,! purpose (! ,explan,n ( ,*anges is
6give ! r1sons =! revi.ns 6an 9t]pret,n
bullet94 ,x \tl9es revi.ns t we h made z
a result ( *anges 6! law1 z well z
*anges reflect+ new or revis$ de"p;tal
9t]pret,ns4

                ,ov]view
    
  ,? bullet9 describes :at is m1nt by
8w9d+-up0 9 ! 3text ( subsec;ns #hd7#b71
#hh7#a7 & 7#b74 ,subsec;n #hd7#b7
applies on ei ! w9d+-up (a busi;s (a
corpor,n or ! w9d+-up (a corpor,n :ile
subsec;ns #hh7#a7 & 7#b7 apply ": !
appropriate corporate proc$ures >e
foll[$ 6t]m9ate a corpor,n's exi/;e4

                                      #i
      ,legislative & ,o!r ,*anges    a#c
    
  ,p>agraph #b has be5 modifi$ 6note t
p>agraph #hh7#a77d4#a7 provides !
legislative au?or;y =! /ate;t t subsec;n
#hd7#b7 does n apply ": subsec;n #hh7#a7
applies & 6-;t t subsec;n #hd7#b7 g5],y
applies ": subsec;n #hh7#b7 applies on !
w9d+-up (a corpor,n4
  ,p>agraph #c has be5 modifi$ 6describe
subsec;ns #hh7#a7 & 7#b7 sep>ately &
6note ": a4i;nal 9=m,n c 2 f.d on
subsec;ns 9 o!r bullet9s4
  ,p>agraph #e has be5 exp&$ 6describe a
situ,n ": ! ,de"p;t w a3ept t subsec;n
#hh7#a7 or 7#b7 w apply not)/&+ t !
corpor,n's exi/;e 0 n t]m9at$ 9 ! ye>4
  ,p>agraph #f has be5 a4$ 6describe t !
ref];es 6w9d+-up 9 sec;ns #ff.f & #ff.g
>e ref];es 6! w9d+-up (! corpor,n's
exi/;e4
  ,p>agraph #g 7=m] p>agraph #f7 has be5
revis$ 6obs]ve t ! 4tribu;n ( prop]ty
may take place at v>i\s "ts dur+ !
                                     #aj
             ,,it-#abf;,r#b          b#c
w9d+-up p]iod & 6relate t 6! det]m9,n (
proce$s ( 4posi;n4
  ,p>agraph #i has be5 a4$ 6-;t on
situ,ns :5 ! ,de"p;t a3epts t "! has be5
a 4posi;n (! %>es (a corpor,n t is 2+
w.d up4
  ,! =m] p>agraph #d7c7 has be5 delet$ z
! f$]al & mo/ (! prov9cial corpor,ns
acts p]mit ! 4solu;n (a corpor,n not)/&+
t x is 9volv$ 9 legal proce$+s4
  ,"?\t ! bullet9 we h *ang$ "s (! ^w+
6improve cl>;y4











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