C-280Financial Protection for Fresh Fruit and Vegetable Farmers Act
An Act to amend the Bankruptcy and Insolvency Act and the Companies’ Creditors Arrangement Act (deemed trust – perishable fruits and vegetables)
Private member's bill, introduced in the House of Commons on June 8, 2022
- Status
- Became law on December 12, 2024 · S.C. 2024, c. 31
What it does
Creates a trust for unpaid perishable fruit and vegetable sales when a buyer goes bankrupt or enters insolvency proceedings.
What it does
- Deems perishable fruits and vegetables, and the money from their sale, to be held in trust for the supplier when a buyer has not fully paid and later becomes bankrupt or is put into receivership.
- Adds the same trust rule under the Companies’ Creditors Arrangement Act when a debtor company asks the court to approve a compromise or arrangement.
- Requires the supplier to give notice on the invoice, or within 30 days after delivery, to claim this protection.
- Sets out when the rule applies, including when payment is due within 30 days or less, and says provincial trust laws also apply unless they conflict with this Act.
Who it affects
- Fresh fruit and vegetable suppliers
- Farmers
- Food wholesalers
- Bankrupt businesses
- Debtor companies
- Receivers and trustees
Background
The bill amends the Bankruptcy and Insolvency Act and the Companies’ Creditors Arrangement Act. It adds a deemed trust rule for certain unpaid sales of perishable fruits and vegetables.
Where it is
House of Commons
First reading
Completed.
Second reading
Completed.
Committee
Completed.
Report stage
Completed.
Third reading
Completed.
Senate
First reading
Completed.
Second reading
Completed.
Committee
Completed.
Report stage
Completed.
Third reading
Completed.
Royal assent
Royal assent
Completed.
Introduced by an MP who is not a minister. These bills compete in a lottery for debate time, and most do not become law. How a bill becomes law
How the House voted
3rd reading and adoption of Bill C-280, An Act to amend the Bankruptcy and Insolvency Act and the Companies’ Creditors Arrangement Act (deemed trust – perishable fruits and vegetables)
Vote 430,
Passed
320 yeato1 nay · 6 paired
Party breakdown for vote 430 Party Position Yea Nay Did not vote Liberal Yea1 broke ranks 150 1 7 Conservative Yea 115 0 2 Bloc Yea 30 0 2 NDP Yea 22 0 3 Green Yea 1 0 1 Independent Yea 2 0 1 Total 320 1 2nd reading of Bill C-280, An Act to amend the Bankruptcy and Insolvency Act and the Companies’ Creditors Arrangement Act (deemed trust – perishable fruits and vegetables)
Vote 331,
Passed
315 yeato0 nay · 8 paired
Party breakdown for vote 331 Party Position Yea Nay Did not vote Liberal Yea 144 0 12 Conservative Yea 110 0 5 Bloc Yea 31 0 1 NDP Yea 25 0 0 Green Yea 2 0 0 Independent Yea 3 0 0 Total 315 0
What MPs said
Each party’s first speech on this bill in the House, from Hansard. Excerpts are the speaker’s opening sentences, unedited.
LiberalArielle Kayabaga· April 19, 2023
“I am pleased to rise to discuss the important matters raised by Bill C-280, which would amend the Bankruptcy and Insolvency Act, or BIA, and the Companies' Creditors Arrangement Act, to provide the claims of the sellers with a deemed trust.”
Read the full speech on openparliament.caConservativeScot Davidson· April 19, 2023
“This bill proposes to amend the Bankruptcy and Insolvency Act and the Companies’ Creditors Arrangement Act to support Canada's fresh produce farmers and sellers through the establishment of a deemed trust. My community of York—Simcoe is home to the Holland Marsh, known as the “soup and salad bowl” of Canada.”
Read the full speech on openparliament.caBlocMaxime Blanchette-Joncas· April 19, 2023
“The bill before us would amend two federal laws, the Bankruptcy and Insolvency Act and the Companies' Creditors Arrangement Act to provide that the perishable fruits and vegetables sold by a supplier to a purchaser, as well as the proceeds of sale of those fruits and vegetables, are to be held in trust by the purchaser for the supplier.”
Read the full speech on openparliament.caNDPNiki Ashton· April 19, 2023
“I rise today to discuss and debate Bill C-280, an act to amend the Bankruptcy and Insolvency Act and the Companies’ Creditors Arrangement Act. We in the NDP are proud to support this bill as it would give protections to long-struggling farmers whose crops we depend on.”
Read the full speech on openparliament.ca
Read the source
LEGISinfo status: Royal assent received. Bill data from LEGISinfo, votes from openparliament.ca and the House of Commons. Last updated October 13, 2026.