Distinguished Committee Members of the Law Amendments Committee of the Nova Scotia Legislature,

Transcription

1 Distinguished Committee Members of the Law Amendments Committee of the Nova Scotia Legislature, My name is Susan Sheehan, I am a resident of the Halifax Regional Municipality and I am here tonight t o speak in favour of the proposed amendments to the Private Ways Act in Bill 57. For most of us it is easy to take such rights as easements and right of ways for granted. Most of us res t assured that all of the necessities required to maintain our homes and support our lives are available t o us. Services and utilities are provided and paid for by taxes that are collected by our provincial an d municipal governments. However, during the past 4 decades, 3 generations of my family have bee n denied the right to access these services. We live in a home that is not attached to any street. In the mid 1960s my parents bought their home in Jollimore which had what they believed to be a vali d deeded right of way. Shortly after, their neighbors successfully challenged their right of way in the Nov a Scotia Supreme Court. The court's decision rendered the home land-locked with the exception of a narrow public footpath that runs along the water's edge of the North West Arm. The existence of that footpath ruled out the possibility of any other legal remedy through the courts as this footpath wa s deemed adequate for necessity. In the judge's decision it was noted that my parents would possibl y have rights under the Private Ways Act. My parents were not wealthy and the costs associated with th e legal defense that had already been lost were significant. Instead of pursuing the matter and endurin g more financial costs, they accepted the court's decision and like all human beings they learned to adap t to their environment. For thirty years, they used the public footpath to walk along the water's edge of the North West Arm t o get to their home. They used a wheelbarrow to carry groceries the distance and when necessary, a toboggan in the winter. Oil delivery was received only with permission from their neighbors and onl y one oil company was willing to accommodate the situation. Regardless of these difficulties, my parents refused to abandon that home, and they truly believed tha t if there was ever an emergency or insurmountable problem that they could count on the compassion o f neighbors if necessary. Unfortunately, this was not to be the case. As my parents aged the challenges associated with this situation grew, in 1987 my mother chose to forgo medical treatment for stomac h cancer because it was simply too painful to walk or be carried to the nearest road. She died without necessary medical treatment. She was 60 years old. Shortly after my mother's death my father's health too began to decline. The distance became to o difficult and often times too treacherous in winter months, so for several years his life was confined t o his home. In 1997 at the age of 75 my father suffered a seizure and was taken to hospital. While i n hospital he was diagnosed with brain cancer. Within a week he had lost the use of his arms and legs, hi s prognosis was grim and he asked to be returned to his home to die. In his condition, this was simply no t possible without ambulance transportation, so we were forced to ask our neighbours for permission t o remove a fence post and allow for an ambulance to cross their property to bring him home. To ou r shock, this one time request to accommodate a dying man was denied.

2 It was this situation that finally prompted a Private Ways Act application by my father to municipa l council in 1997 but legal arguments made by his neighbors delayed bringing the petition before counci l and he died before his request could be heard. After his death, I carried on with the Private Ways Act application and its process. HRM Council voted i n favour of the petition and a commissioner was appointed as laid out in the Act. The commissioner to o agreed that a right of way was necessary but subsequently determined that the neighboring land s belonged to the Federal Government and therefore the Municipality had no authority to grant a right o f way over Crown land. Shortly after, the Halifax Port Authority accepted ownership of the land an d offered my family a license to construct a roadway which would allow us to access our home. Thi s generous offer was gratefully accepted and for 10 years my family had a legal means of access to ou r home. Oil delivery and other utilities were accessible, and we lived with peace of mind knowing that i f there was an emergency we could get the help of emergency services. During that time however, my neighbors continued to contest. They filed a suit against the Attorney General of Canada, the Halifax Port Authority and while I was also named in that suit, the matter wa s settled between my neighbors and the Federal Government. I was not provided with any documents o r given an opportunity to make submissions nor even notified that the matter was ongoing. As a result of this settlement, public lands were given by way of title grant to my neighbors and no consideration wa s made to the fact that my family would be left without a reasonable means of access to our home onc e again. Subsequently my neighbors removed the roadway and have since placed barriers to prevent th e possibility of vehicle access even for emergency and utility purposes. Further to this action my neighbors preemptively challenged the HRM's authority in the courts wit h regards to the existing Private Ways ALL. The provincial court judge found In my favour recognizing tha t the HRM does have the right to consider my petition. Although that decision has since been appealed, I have once again submitted a Private Ways Act petition to HRM Council some 14 years after the first one. Once again Council has voted in favour of my petition and has recognized my right to access my hom e and my family's right to necessary utilities and services. While this situation has always been difficult, many things have changed in the last 10 years that hav e made matters even worse for us. The fire marshal's office has confirmed that they can no longer acces s our home with necessary vehicles and equipment in the event of a fire. My insurance company has also noted that this is a serious situation and they have informed me that if I cannot resolve the matter m y property may be deemed an unprotected risk. Safety and environmental rules have also changed. The oil companies now consider the situation unsaf e and will not deliver heating oil. Now, in order to heat our home I must carry heating oil in jerry cans. To give you some perspective on how difficult this task is, each jerry can filled with heating oil weigh s approximately 40 pounds, I can only fit 9 in my car, during the coldest weeks this winter I had to do thi s 3 times per week in order to maintain one quarter of a tank of oil. There was a moment when I realize d that my children and I might have to abandon our home. This situation did not go unnoticed. Friends

3 and community members organized an oil relay and on a January weekend, 20 concerned citizen s carried oil until our tank was filled, when it was gone they came back and did it again. Petitions hav e been circulated in favour of this Private Ways Act application and have been submitted to HRM' s Council. I can assure you that Nova Scotians care about this Act. As a committee you are the lawmakers that take stock of what laws and values are worth keeping, a s your constituents, we rely on your wisdom to consider and balance the rights of both the public an d individuals. I recognize that property rights are considered to be essential to many of the persona l rights and freedoms that we hold in high regard. But shouldn't the individual right to safety an d necessity be considered also? The Private Ways Act recognizes that not everyone will answer yes whe n asked that question. And so somewhere in our not so recent history a lawmaker in Nova Scotia mad e sure that there was a mechanism in place so that both property owner's rights could be considered i n the event that someone found themselves in this land-locked situation. My situation is fortunately unique, but it still requires a solution. A ministerial authority can only appl y. an act of expropriation for the purposes of a public road or highway. Instead the Private Ways Ac t provides a solution and does not diminish the ministerial authority's role of responsibility to insure tha t all individual members of the public have equal right to access the services that taxes are paid for, including fire, ambulance, emergency and utility services. Bill 57 solidifies my family's rights and restate s that the Province has assigned the HRM as the ministerial authority with the power to once and for al l enforce a solution in this case because even one more year after 4 decades is too long for a family to live without access to utility and emergency services. My neighbors have stated that the Private Ways Act is an antiquated statute. From my perspective, the fact that my family needs this law demonstrates just how valid it is. My neighbors have also claimed tha t since there aren't any other known cases where the Private Ways Act has been used in the HRM, the ac t is no longer needed. But I would ask you to consider that lack of use of this legislation is nothing mor e than a testament to a reasonable population that behaves in a compassionate and neighborly way wit h mutual respect and a willingness to recognize the needs of others. Further, I am likely to be the onl y home owner in the province and possibly the Country who has had the access to their home taken awa y from them with legal action by a neighbour, not just once but twice. I hope you will agree that it is not reasonable to expect me to seek the permission of my neighbours t o obtain emergency and utility services. I can assure you that the people of Nova Scotia care about th e welfare of its citizens, and so they care about this Act. Thank you for your time and consideration.

4 Property Online Map Date : May 9, : 34:36 P M PID : Owner : SUSAN DAWN SHEEHAN AAN : County : HALIFAX COUNTY LR Status : LAND REGISTRATION Address : 9 MILTON DRIV E HALIFA X Value : $175,400 (2011 RESIDENTIA L TAXABLE ) The Provincial mapping is a graphical representation of property boundaries which approximat e the size, configuration and location of parcels. Care has been taken to ensure the best possibl e quality, however, this map is not a land survey and is not intended to be used for lega l descriptions or to calculate exact dimensions or area. The Provincial mapping is not conclusive a s to the location, boundaries or extent of a parcel [Land Registration Act subsection 21(2)]. THIS I S NOT AN OFFICIAL RECORD. Property Online version 2.0 This page and all contents are copyright ,Government of Nova Scotia, all rights reserved.

5 Pro perty Online Map Date : May 9, :3 2:50 P M PID : Owner : SUSAN DAWN SHEEHAN AAN : COunty : HALIFAX COUNTY Address : 9 MILTON DRIVE Value : $175,400 (2011 RESIDENTIA L LR Status : LAND REGISTRATION HALIFAX TAXABLE ) The Provincial mapping is a graphical representation of property boundaries which approximat e the size, configuration and location of parcels. Care has been taken to ensure the best possibl e quality, however, this map is not a land survey and is not intended to be used for lega l descriptions or to calculate exact dimensions or area. The Provincial mapping is not conclusive a s to the location, boundaries or extent of a parcel [Land Registration Act subsection 21(2)]. THIS I S NOT AN OFFICIAL RECORD. Property Online version 2.0 This page and all contents are copyright ,Government ofnovascotia, all rights reserved.

6 Land Registration View * Indicates interests inherited on subdivision or re-configuration of parce l PID Parcel Type STANDARD PARCEL Status ACTIVE Area SQUARE FEET Parcel Access PRIVATE (BY GRANT) Manag. Unit MU0842 Lot Updated Ian 19, :13 :04PM Created May 22, :15 :00AM PDCA Status APPRoVED Municipal Unit HALIFAX REGIoNAL MUNICIPALITY Manner of Tenure NOT APPLICABLE LR Status LAND REGISTRATION LR Date Aug 25, :13 :02P M Locatio n 9 MILTON DRIVE HALIFAX County Primary Location Sourc e HALIFAX COUNTY Yes Assigned by Municipalit y Comments LOC : [V ] MAP:05N1193NW Assessment Account Value Tax District Tax Ward Tax Sub $175,400 (2011 RESIDENTIAL TAXABLE) Registered Interest s Interest Holde r (Qualifier) SUSAN DAWN SHEEHAN Interest Holder Type Mailing Address Type Year Doc # Book/Page/Plan Registration Date NS Non-Res? FEE SIMPLE 9 MILTON DR HALIFAX NS CA B3P 1A1 DEED Ii View For m View Doc Apr 25, 2008 No Farm Loan Board - Occupants & Mailing Addresse s Name Interest Holder Type Mailing Address No Records Found Benefits to the Registered Interests Benefit Details Interest Holder Type Type Year Doc # Book/Page/Plan Registration Date No Records Found Burdens on the Registered Interest s interest Holder Interest Holder Type Mailing Address Type Year Doc # Book/Page/Plan Registration Date (Qualifier) No Records Foun d Textual Qualifications on Titl e Qualifications Text PROPERTY OWNER HAS A LICENSE TO USE RIGHT OF WAY AGREEMENT. THE LICENSE WILL EXPIRE MAY 30, 2010 Tenants in Common not registered pursuant to the Land Registration Ac t Interest Holder Interest Holder Type Mailing Address Type Year Doc # Book/Page/Plan Registration Date (Qualifier) No Records Foun d Recorded Interest s Interest Holde r (Qualifier) CREDIT UNION ATLANTIC LIMITED MORTGAGE E Interest Holder Type Mailing Address Type Year Doc # Book/Page/Plan Registration Date 7105 CHEBUCTO RD SUITE 35 0 HALIFAX NS CA MORTGAGE L 4W View Form View Do c Sep 28, HALIFAX PORT AUTHORITY PARTY TO AGREEMENT 1215 MARGINAL RD POST OFFICE BOX 336 HALIFAX NS CA B3J 2P6 LICENSE View Form View Doc Jul 08, 2009

7 CREDIT UNION ATLANTIC LIMITED MORTGAGEE 7105 CHEBUCTO RD SUITE 350 HALIFAX NS CA 0 View Form MORTGAGE 2011 B3L 4W8 0 View Doc Jan 18, CHEBUCTO RD SUITE 350 CREDIT UNION ATLANTIC LIMITED MORTGAGEE HALIFAX NS CA B3L 4W8 MORTGAGE View Form Aug 28, View Doc Parcel Description ALL that certain lot, piece or parcel of land in Halifax, County of Halifax, Province of Nova Scotia, more particularly bounded and described as follows : BEGINNING at a point on the southeastern boundary of lands now or formerly of Charles and Rita Cron and the northeastern boundary of lands now o r formerly of Gordon and Robert Finley; THENCE northeasterly along the southeastern boundary of lands now or formerly of Charles and Rita Cron for a distance of 161 feet more or less to a poin t on the southwestern boundary of the Infil l THENCE southeasterly along the Infill a distance of 64 feet more or less to a point on the northwestern boundary of lands now or formerly of Gordon an d Robert Finley; THENCE southwesterly along the northwestern boundary of lands now or formerly of Gordon and Robert Finley for a distance of 147 feet more or less t o point; THENCE northwesterly along the northeastern boundary of lands now or formerly of Gordon and Robert Finley for a distance of 44 feet more or less to a point on the southeastern boundary of lands now or formerly of Charles and Rita Cron, being the point of beginning. The parcel is exempt from the subdivision provisions of Part IX of the municipal Government Act because of Defacto Consolidation. Non-Enabling Documents Inst Type Inst No Year Type Book/Page Registration System Registration Date Documertt View Form View Doc 2009 DEFACTO CONSOLIDATION REGISTRY OF DEEDS Aug 12, Non-Enabling Plans Inst Type Inst No Year Type Plan Name Drawer Number Registration Date No Non Enab/ing P/ans Found AFR Bundle s Inst Type Inst No Year Type Filing Reference Instrument Dat e No AFR Bund/es Foun d Parcel Relationships Related PID Type of Relationshi p No Re/ated PIDs Found This parcel IS REGISTERED PURSUANT TO THE Land Registration Act. The registered owner of the registered interest owns the interest defined in thi s register in respect of the parcel described in the register, subject to any discrepancy in the location, boundaries or extent of the parcel and subject to th e overriding interests [Land Registration Act subsection 20(1)]. No representations whatsoever are made as to the validity or effect of recorded documents listed in this parcel register. The description of the parcel is not conclusive as to the location, boundaries or extent of the parcel [Land Registration Act subsection 21(1)]. Property online version 2.0 This page artd all contents are copyright (c) ,Government of Nova Scotia, all rights reserved. to:propertyonline@gov.ns.ca If you have comments regarding our site please direct them Please feel free to Submit Problems you find with the Property Online web site. Compression : Off

8 Mortgage No S0-1 Reference No MORTGAG E This mortgage is made on, BETWEEN: SUSAN DAWN SHEEHAN Province of Nova Scotia, as the "Mortgagor(s)'' "BORROWER(S) " AND: SHAUN SHEEHAN "SPOUSE OF THE BORROWER" (If spouse not a borrower ) AND: SHAUN SHEEHAN "GUARANTOR" AND : CREDIT UNION ATLANTIC LIMITED, a body corporate, incorporated under and subject to th e Credit Union Act (Nova Scotia), with Its Head Office at 350, 7105 Chebucto Road, Halifax, Nova Scotia, as the "Mortgagee". "CREDIT UNION"

9 In this mortgage you and your mean each person who has signed this mortgage as borrower. We, our and us mean CREDIT UNION ATLANTIC LIMITED. Borrower includes one or more borrowers. Spouse includes the spouses of the borrowers. Guarantor includes one or more guarantors. Your property means the property described below. Loa n amount means the principal amount loaned to you that is outstanding from time to time. Where the context requires, words in the singular include the plural. In return for our making a loan to you in the amount of: ($116,000.00) One Hundred Sixteen Thousand and Canadian dollars (called the principal amount), which you acknowledge having received from us, you hereby give us this mortgage. 1. LEGAL DESCRIPTIO N The legal description of your property covered by this mortgage is described In Schedule "A", see attached. Any buildings on your property and anything now or later attached or fixed to the buildings on your property, including additions, alterations, improvements, furnaces, boners and ventilation equipment, installed or placed on your property are covered by this mortgage. However, no additions, alterations or improvements may be made by yo u without our prior writ en consent Use of Your Property - you may of course continue to remain in possession of your property. However, if you default in any of your obligations to us under this mortgage, we have the right to take immediate possession. You will not use your property for any purpose other than that disclosed to us in the application for this mortgage without our prior written consent 2. WHAT THIS MORTGAGE DOE S As owner of your property, you grant and mortgage your property to us and our successors and assigns (calle d our legal representatives) as security for repayment of your loan. This means you give your entire interest in you r property to us and to anyone to whom this mortgage is transferred in any way. You release to us all of your claim s on your property until you have complied with all of your obligations under this mortgage. Termination of this Mortgage - Our interest in your property terminates when you have: a. Repaid the loan amount and all Interest you may owe us as provided below; and b. Complied with all of your other obligations under this mortgage. 3. INTEREST a. Interest Rate - The interest rate payable by you on the loan amount is 3.90% per year. Interest is payable monthly and calculated half-yearly, not in advance. The first half-yearly calculation of interest after the interest adjustment date (which Is the date on which your mortgage term begins) shall be for the six month perio d commencing on that date. That calculation shall be made six months after the interest adjustment date and half - yearly calculations of interest shall continue to be made every six months thereafter. This interest rate is payabl e on the loan amount both before and after the final payment date as well as both before and after default, until th e loan amount has been paid In full. b. Compound Interest - If on any monthly loan payment date you do not make the payment due on that day, we will charge you interest on any overdue portion of the loan amount and interest until paid to us. This is called compound interest We will also charge interest on the compound interest that is overdue until paid to us. Th e interest rate for compound interest and for interest on compound interest is the same as the interest rate payabl e on the loan as set out herein both before and after the final payment date as well as both before and after default. It shall be paid periodically at intervals that are the same as your monthly loan payment dates. c. All interest and compound interest is a charge on your property. d. At no time under this mortgage shall interest exceed any amount prohibited by any applicable federal and/or. provincial law 4. HOW YOU WILL REPAY YOUR LOA N a. Loan Payments - You shall repay the loan amount and all interest payable on it to us In Canadian dollars. Your regular loan payment and all other payments will be made at our office nearest to your property, or at any other place we may designate, and are payable as follows: Before your regular loan payments begin, you will pay us Interest at the above rate calculated daily, not in advance, on all money we have advanced to you up to the interest adjustment date. Interest will be computed from the date of each advance up to but not Including the interest adjustment date and shall become due and be paid on that date. In this mortgage, the interest adjustment date Is July 10, The principal amount together with interest calculated from the interest adjustment date shall become due and be paid by you in regula r loan payments. You will make the regular loan payments to us in equal installments of. ($ ) Five Hundred Four and dollars each, beginning on August 2009 and continuing on a monthly basis thereafter and ending on July 10*', Each payment consists of a portion of the principa l amount together with the interest due and payable on the loan payment date. You will pay the balance of the principal amount together with all the interest due and payable, on the date last mentioned, which is called the final payment date. b. Application of Loan Payments - Each loan payment will be used first to pay interest due and payable, and next, to reduce the principal amoun t c. Prepayment Privileges - You will have no right or privilege to prepay your principal amount early except in accordance with the provisions of Schedule "B", see attached. CUC868 Rev 09/08 2

10 Mortgage No Reference No MORTGAG E This mortgage is made on _ BETWEEN : SUSAN DAWN SHEEHA N Province of Nova Scotia, as the "Mortgagor(s) " "BORROWER(S)" AND: SHAUN SHEEHAN "SPOUSE OF THE BORROWER" (If spouse not a borrower ) AND: SHAUN SHEEHAN "GUARANTOR" AND : CREDIT UNION ATLANTIC LIMITED, a body corporate, incorporated under and subject to th e Credit Union Act (Nova Scotia), with its Head Office at 350, 7105 Chebucto Road, Halifax, Nov a Scotia, as the "Mortgagee". "CREDIT UNION"

11 In this mortgage you and your mean each person who has signed this mortgage as borrower. We, our and us mea n CREDIT UNION ATLANTIC LIMITED. Borrower includes one or more borrowers. Spouse includes the spouses of the borrowers. Guarantor includes one or more guarantors. Your property means the property described below. Loa n amount means the principal amount loaned to you that is outstanding from time to time. Where the context requires, words in the singular include the plural. In return for our making a loan to you in the amount of : ($120,100.00) One Hundred Twenty Thousand One Hundred and Canadian dollars (called the principa l amount), which you acknowledge having received from us, you hereby give us this mortgage. 1. LEGAL DESCRIPTIO N The legal description of your property covered by this mortgage is described in Schedule "A", see attached. Any buildings on your property and anything now or later attached or fixed to the buildings on your property, includin g additions, alterations, improvements, furnaces, boilers and ventilation equipment, installed or placed on you r property are covered by this mortgage. However, no additions, alterations or improvements may be made by yo u without our prior written consent. Use of Your Property you may of course continue to remain in possession of your property. However, if you default in any of your obligations to us under this mortgage, we have the right to take immediate possession. You will not use your property for any purpose other than that disclosed to us in the application for this mortgag e without our prior written consent. 2. WHAT THIS MORTGAGE DOES As owner of your property, you grant and mortgage your property to us and our successors and assigns (calle d our legal representatives) as security for repayment of your loan. This means you give your entire interest in you r property to us and to anyone to whom this mortgage is transferred in any way. You release to us all of your claims on your property until you have complied with all of your obligations under this mortgage. Termination of this Mortgage Our interest in your property terminates when you have : a. Repaid the loan amount and all interest you may owe us as provided below ; an d b. Complied with all of your other obligations under this mortgage. 3. INTEREST a. Interest Rate - The interest rate payable by you on the loan amount is % per year. Interest i s payable monthly and calculated half-yearly, not in advance. The first half-yearly calculation of interest after th e interest adjustment date (which is the date on which your mortgage term begins) shall be for the six month perio d commencing on that date. That calculation shall be made six months after the interest adjustment date and halfyearly calculations of interest shall continue to be made every six months thereafter. This interest rate is payable on the loan amount both before and after the final payment date as well as both before and after default, until th e loan amount has been paid in full. b. Compound Interest - If on any monthly loan payment date you do not make the payment due on that day, we wilt charge you interest on any overdue portion of the loan amount and interest until paid to us. This is calle d compound interest. We will also charge interest on the compound interest that is overdue until paid to us. Th e interest rate for compound interest and for interest on compound interest is the same as the interest rate payabl e on the loan as set out herein both before and after the final payment date as well as both before and after default. It shall be paid periodically at intervals that are the same as your monthly loan payment dates. c. All interest and compound interest is a charge on your property. d. At no time under this mortgage shall interest exceed any amount prohibited by any applicable federal and/or provincial law. 4. HOW YOU WILL REPAY YOUR LOAN a. Loan Payments You shall repay the loan amount and all interest payable on it to us in Canadian dollars. Your regular loan payment and all other payments will be made at our office nearest to your property, or at an y other place we may designate, and are payable as follows : Before your regular loan payments begin, you will pay us Interest at the above rate calculated daily, not i n advance, on all money we have advanced to you up to the interest adjustment date. Interest will be computed from the date of each advance up to but not including the interest adjustment date and shall become due and b e paid on that date. In this mortgage, the interest adjustment date is August 25th, The principal amount together with interest calculated from the interest adjustment date shall become due and be paid by you in regula r loan payments. You will make the regular loan payments to us in equal installments of : ($ ) Five Hundred Seventy Six and 26/100 dollars each, beginning on September 25 *, 2010 an d continuing on a monthly basis thereafter and ending on February 2 5*, Each payment consists of a portio n of the principal amount together with the interest due and payable on the loan payment date. You will pay the balance of the principal amount together with all the interest due and payable, on the date las t mentioned, which is called the final payment date. b. Application of Loan Payments Each loan payment will be used first to pay interest due and payable, and next, to reduce the principal amount. c. Prepayment Privileges You will have no right or privilege to prepay your principal amount early excep t in accordance with the provisions of Schedule "B", see attached. CUC868 Rev 09/08 2

12 Mortgage No Reference No MORTGAGE This mortgage is made on, BETWEEN : SUSAN DAWN SHEEHAN Province of Nova Scotia, as the "Mortgagor(s) " "BORROWER(S)" AND: CREDIT UNION ATLANTIC LIMITED, a body corporate, incorporated under and subject to th e Credit Union Act (Nova Scotia), with its Head Office at 350, 7105 Chebucto Road, Halifax, Nov a Scotia, as the "Mortgagee". "CREDIT UNION"

13 In this mortgage you and your mean each person who has signed this mortgage as borrower. We, our and us mean CREDIT UNION ATLANTIC LIMITED. Borrower includes one or more borrowers. Spouse includes the spouses of the borrowers. Guarantor includes one or more guarantors. Your property means the property described below. Loan amount means the principal amount loaned to you that is outstanding from time to time. Where the context requires, words in the singular include the plural. In return for our making a loan to you in the amount of. ($150,000.00) One Hundred Fifty Thousand and Canadian dollars (called the principal amount), which yo u acknowledge having received from us, you hereby give us this mortgage. 1. LEGAL DESCRIPTIO N The legal description of your property covered by this mortgage is described in Schedule 'A', see attached. Any buildings on your property and anything now or later attached or fixed to the buildings on your property, includin g additions, alterations, improvements, furnaces, boilers and ventilation equipment, installed or placed on your property are covered by this mortgage. However, no additions, alterations or improvements may be made by yo u without our prior written consent. Use of Your Property - you may of course continue to remain in possession of your property. However, if yo u default in any of your obligations to us under this mortgage, we have the right to take immediate possession. You will not use your property for any purpose other than that disclosed to us in the application for this mortgag e without our prior written consent 2. WHAT THIS MORTGAGE DOES As owner of your property, you grant and mortgage your property to us and our successors and assigns (called our legal representatives) as security for repayment of your loan. This means you give your entire interest in you r property to us and to anyone to whom this mortgage is transferred in any way. You release to us all of your claims on your property until you have complied with all of your obligations under this mortgage. Termination of this Mortgage - Our interest in your property terminates when you have : a. Repaid the loan amount and all interest you may owe us as provided below; an d b. Complied with all of your other obligations under this mortgage. 3. INTEREST a. Interest Rate - The interest rate payable by you on the loan amount is % per year. Interest i s payable monthly and calculated half-yearly, not in advance. The first half-yearly calculation of interest after the interest adjustment date (which is the date on which your mortgage term begins) shall be for the six month perio d commencing on that date. That calculation shall be made six months after the interest adjustment date and half - yearly calculations of interest shall continue to be made every six months thereafter. This interest rate is payable on the loan amount both before and after the final payment date as well as both before and after default, until th e loan amount has been paid in full. b. Compound Interest - If on any monthly loan payment date you do not make the payment due on that day, we will charge you interest on any overdue portion of the loan amount and interest until paid to us. This is calle d compound interest. We will also charge interest on the compound interest that is overdue until paid to us. Th e interest rate for compound interest and for interest on compound interest is the same as the interest rate payabl e on the loan as set out herein both before and after the final payment date as well as both before and after default. It shall be paid periodically at intervals that are the same as your monthly loan payment dates. c. All interest and compound interest is a charge on your property. d. At no time under this mortgage shall interest exceed any amount prohibited by any applicable federa l and/or provincial law. 4. HOW YOU WILL REPAY YOUR LOA N a. Loan Payments - You shall repay the loan amount and all interest payable on it to us in Canadian dollars. Your regular loan payment and all other payments will be made at our office nearest to your property, or at an y other place we may designate, and are payable as follows : Before your regular loan payments begin, you will pay us interest at the above rate calculated daily, not i n advance, on all money we have advanced to you up to the interest adjustment date. Interest will be compute d from the date of each advance up to but not including the interest adjustment date and shall become due and b e paid on that date. In this mortgage, the interest adjustment date is January 13th, The principal amount together with interest calculated from the interest adjustment date shall become due and be paid by you in regular loan payments. You will make the regular loan payments to us in equal installments of. ($ ) Seven Hundred Nineteen and 73/100 dollars each, beginning on February 15th, 2011 and continuing on a monthly basis thereafter and ending on July 13 th, Each payment consists of a portion o f the principal amount together with the interest due and payable on the loan payment date. You will pay the balance of the principal amount together with all the interest due and payable, on the date last mentioned, which is called the final payment date. b. Application of Loan Payments - Each loan payment will be used first to pay interest due and payable, and next, to reduce the principal amount. c. Prepayment Privileges - You will have no right or privilege to prepay your principal amount early excep t in accordance with the provisions of Schedule 'B, see attached. CUC868 - Rev 09/08 2