This section of the book is from the "Canadian Banking Practice" book, by John T. P. Knight.
Question 571.— Section 88 of the Bank Act requires a return to be made annually of all dividends which have remained unpaid beyond five years. Are not such dividends, as arrears of interest, outlawed in many of the provinces under provisions respecting prescription?
Answer.—Under sec. 90 of the Bank Act the liability of the bank to repay moneys deposited, with the interest, if any, and to pay dividends declared on its capital stock, is exempt from the operation of the Statute of Limitations or any law relating to prescription. This clause is retroactive.