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RULE 13
INTERPLEADER

Analysis



Entitlement to relief by way of interpleader

13.01. Where a person, hereinafter called the "applicant" is sued or expects to be sued in respect of any property in the applicant's possession or under the applicant's control, or to the proceeds thereof, or receives a claim thereto, by or from two or more persons, hereinafter called the "claimants" making adverse claims thereto, and the applicant claims no beneficial interest in the property, the applicant may apply to the Court for relief by way of interpleader.

1986 c42 Sch D rule 13.01

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Claim to property taken by sheriff

13.02. (1) A person who makes a claim to or in respect of property taken or intended to be taken by the sheriff in the execution of any process or to the proceeds of it shall serve a notice of claim on the sheriff in accordance with section 163 of the Judgment Enforcement Act.

             (2)  Sections 163 to 168 of the Judgment Enforcement Act shall apply to a notice of claim served under rule 13.02(1).

69/97 s1

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Mode of application

13.03. (1) An application for interpleader relief shall be made by originating application (inter partes ) unless made in a pending proceeding when it shall be made by interlocutory application (inter partes).

             (2)  A copy of the application shall be served upon every party and claimant, all of whom may attend on the hearing.

             (3)  The application shall be supported by an affidavit showing that the applicant

             (a )  claims no beneficial interest in the property in dispute, other than for charges or costs;

             (b)  does not collude with any claimant of the property; and

             (c )  is willing to deliver the property to the Court or to dispose of it as the Court may direct.

1986 c42 Sch D rule 13.03

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Powers of Court on hearing application

13.04. On the hearing of an application for interpleader relief, the Court may

             (a)  order a claimant to be made a defendant in the proceedings in substitution for or in addition to the applicant;

             (b)  order an issue between the claimants to be stated and tried and may direct which claimant is to be plaintiff and which defendant;

             (c)  where a claimant was served with a copy of the application and failed to appear, or appears and fails or refuses to comply with an order made in the proceeding, make an order declaring the claimant, and all persons claiming under the claimant, forever barred from prosecuting the claim against the applicant, and all persons claiming under the claimant, but the order shall not affect the rights of the claimants as between themselves;

             (d)  stay any further step in the proceeding;

             (e)  make such other order as it thinks just; or

              (f)  where there are interpleader applications pending in several proceedings, make an order that it shall be binding upon all the parties to the various proceedings and the order shall be entitled in all the proceedings.

1986 c42 Sch D rule 13.04

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Summary determination of application by Court

13.05. Where

             (a)  the applicant is the sheriff;

             (b)  all the claimants consent or any of them so requests; or

             (c)  the question at issue between the claimants is a question of law and the facts are not in dispute,

the Court may summarily determine the question at issue between the claimants and make such order as is just.

1986 c42 Sch D rule 13.05

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Power to order sale of goods taken in execution

13.06. Where an application for relief under Rule 13 is made by the sheriff and a claimant alleges that the claimant is entitled, under a bill of sale or otherwise, to the goods or chattels taken by a plaintiff, the Court may order the goods or chattels or any part thereof to be sold and may direct that the proceeds of sale be applied in such manner and on such terms as may be just.

1986 c42 Sch D rule 13.06