ground rent

(b) to pay in advance, in addition to the bonus or bid, such Payment of annual ground rent as is fixed by the regulations, and, in addition and royalty. thereto, to pay in cash, at each time of making the returns prescribed in paragraph (d) of this section, such dues as are fixed by the regulations;

(c) to keep correct books of account of his business, and to Accounts to be kept. submit them for the inspection of any authorized agent of the Minister whenever required;

be made at

(d) to make to the timber agent of the district, monthly, or Returns to at such other intervals of time as they are required of him by stated times. regulations made under this Act or by the Minister, returns sworn to by him or by his agent or employee cognizant of the facts, with all the details of his timber operations, in such form and manner as the regulations provide;

waste.

(e) to prevent any unnecessary waste of timber in the pro- Preventing cess of cutting it, and to prevent all avoidable destruction of growing trees which have not yet attained the dimensions described in the license;

(f) to exercise strict and constant supervision to prevent the Precautions origin and spread of fire; and to comply during the term of the against fire. license and of any renewal thereof, with all regulations made in that respect by the Governor in Council, and with all laws or regulations in that respect in force in the province or territory in which the berth is situate.

survey, etc.

55. If, in consequence of any incorrectness in survey or Error in other error or cause whatsoever, a license is found to cover land covered by another license of prior date, or any land sold, granted, leased, or lawfully set apart for any other purpose under this Act, the later license shall be void in so far as it interferes with any such previous lease, license, sale, grant or setting apart.

of rights of

56. Every license of a timber berth shall be subject to the Reservation provisions of this Act, or of any other Act, or of any regulations Crown to made thereunder, dealing with or affecting the disposal of minerals, etc. quarriable stone, salt, petroleum, natural gas, coal, gold, silver, copper, iron or other minerals within or under lands within the boundaries of such berth; and in and by virtue of any grant, lease or permit issued under regulations made as aforesaid, the grantee, lessee or permittee shall have the right to secure, use and hold possession of such land as is described in the grant, lease or permit for quarrying stone, for the boring and operating of any salt, oil, or natural gas wells, or for the working of any mines, and the right to open any roads necessary in connection. with such works Provided that the licensee of the berth shall be paid by the grantee, lessee or permittee the value of all timber cut, damaged or destroyed in making such roads, or in boring or operating any salt, oil or gas wells, or in working any

Prospecting.

Retroactive provision.

Settlement

berths.

quarries or mines, or as a consequence, directly or indirectly, of any such operation or work.

2. Every license of a timber berth shall be subject to the right of the Minister to permit prospecting on the berth for quarriable stone, salt, petroleum, natural gas, coal, gold, silver, copper, iron or other minerals; but the licensee shall be notified of every such permission, and shall be entitled to compensation from the prospector for any timber cut, damaged or destroyed by the prospector or as a consequence of his prospecting of the

berth.

3. The provisions of this section shall apply to all timber berths heretofore disposed of under any Act respecting Dominion lands, as if they had been contained in that Act when it was passed.

57. When any portion of a timber berth has not upon it within timber timber in sufficient quantity to make it commercially valuable of the kind and dimensions described in the license, the Minister may declare that portion fit for settlement and withdraw it from the berth and from the operation of the license covering it: Provided that no withdrawal shall be made unless the licensee or his agent has had one year's notice thereof, or unless the Minister is satisfied that the withdrawal can be made without injuriously interfering with the operations of the licensee on the berth; and that, upon any such withdrawal, the ground rent shall be reduced in proportion to the area withdrawn.

As to forest reserves.

Permits to cut timber.

58. Licenses issued under the authority of this Act, for timber berths which are located within the boundaries of any reserve established by The Dominion Forest Reserves Act, chapter 56 of the Revised Statutes, 1906, or by any Act subsequent thereto which sets apart forest reserves, shall be subject to any provisions contained in that Act, or in regulations made thereunder, providing for the protection of game, the prevention of fires, and the preservation and reproduction of timber: Provided that, when any portion of such a timber berth has not upon it timber in merchantable quantity of the kind and dimension described in the license, the Minister may withdraw that portion from the license, notwithstanding anything in this Act or any other Act or in any regulation made thereunder; and upon such withdrawal the ground rent shall be reduced in proportion to the area withdrawn

Permits to cut Timber.

59. The Governor in Council may make regulations for the issue of permits to cut timber

(a) to actual settlers, for use for building purposes on their farms or for fuel for themselves;

(b) to persons engaged in explorations, in scientific pursuits

or in prospecting;

(c) to steamboat owners, for use on their steamboats;

(d) for the construction of boats;

(e) in connection with quarrying or mining, or salt, oil or gas boring operations;

(f) for the construction of railways, bridges, churches, schools and public buildings, or any public works;

(g) for sale as cordwood.

2. The Governor in Council may make regulations for the issue of

(a) permits to owners of mills who are not the owners of a timber berth under license, to cut timber upon Dominion lands in the provinces of Manitoba, Saskatchewan and Alberta, and in the Northwest Territories, of an area in each case not exceeding one square mile, inclusive of the mill site, upon payment in advance of a fee to be fixed by the regulations;

(b) permits to cut timber as cordwood, fence posts or telegraph poles, or for mining purposes, over tracts of land in each case not exceeding one-quarter of a square mile, upon payment in advance of a fee to be fixed by the regulations:

Provided that no person shall be granted more than one permit at a time; that a permit shall not be transferable; that it shall not be for a longer period than one year, and shall only be renewable for one year thereafter; and that for a renewal there shall be payable the fee fixed by the regulations.

3. The permittee shall be required to make such returns, at such time, and in such form as are required by the regulations, to pay such dues as are thereby fixed, and to comply with all the terms and conditions thereby prescribed as well as conditions prescribed by paragraphs (e) and (f) of section 54 of this Act.

Forfeiture and Recovery of Dues.

60. Every license or permit shall be liable to forfeiture on Forfeiture of the order of the Minister, for violation of any one of the conditions to which it is subject or for any fraudulent return.

2. Before making an order for forfeiture the Minister shall cause written notice to be given to the licensee or permittee that it is his intention so to do, upon the ground set forth in such notice, unless within ninety days after service of such notice the licensee or permittee shows cause to the contrary as hereinafter provided.

3. Service of such notice may be effected by mailing the same, duly registered, to the address or the last known address of the licensee or permittee. and in such case shall be deemed to have been made upon the day on which the notice reached the said address or in due course of mail should have done so.

4. The licensee or permittee may within the said period of thirty days apply by a petition to the judge designated in

license or permit.

Lien of Crown for dues.

Timber liable for dues.

section 99 of this Act for an order declaring that there is no ground or cause for the forfeiture of his license or permit.

5. Upon the filing of such petition the judge shall appoint a time and place for the hearing thereof and shall give directions for the service upon the Minister and upon any other persons interested of a copy of the petition and of a notice of the time and place so fixed.

6. At such time and place, or at any time and place to which an adjournment is duly had, the judge shall hear and dispose of the matter of the petition in a summary way, and by his order in the case shall determine whether or not there is ground or cause for the forfeiture of the license or permit, and if he finds in the affirmative what such ground or cause is.

7. The order of the judge shall be subject to appeal by either side in like manner as any other decision of such judge.

8. Pending the final disposal of the petition the Minister shall not exercise the power of forfeiture.

61. All dues on timber cut within any timber berth or under any permit, which are not paid at the time when they become due, shall bear interest at the rate of five per cent per annum until paid, and shall be a lien on any timber cut within the berth or under the permit; and in case of non-payment, whether, in consequence thereof, the license of the berth or the permit has or has not been cancelled, the timber agent or other person authorized thereto may, with the sanction of the Minister, seize so much of the timber cut on the berth or under the permit as will, in his opinion, be sufficient to secure the payment of the dues, the interest thereon, and the expenses of seizure and sale, and may detain the timber as security for payment; and if payment is not made within three months after the seizure, he may, with the sanction of the Minister, sell the timber by public auction, and after deducting the sum due, the interest thereon and the expenses aforesaid, he shall pay over the balance, if any, to the licensee or permittee, if the timber was in his possession at the time of seizure, or if it was not, to the person who had possession thereof at that time: Provided that, if a bid is not made at the auction, amounting to the sum equal to the claim against the licensee, the timber may be disposed of at private sale.

62. All timber cut under license or permit shall be liable for the payment of the dues thereon, whenever and wherever the said timber, or any part of it, is found, whether it is or is not converted into deals, boards or any other manufacture of wood; and all officers or agents employed in the collection of such dues may follow all such timber and may seize and detain it wherever it is found, until the dues thereon are paid or secured, as provided in the next preceding section.

of Canada.

63. If the payment of the dues on any timber has been Enforcement evaded by any licensee or permittee or other person, by the in case of of payment removal of the timber or the products thereof out of Canada, or removal out otherwise, the amount of dues so evaded, and any expenses incurred in enforcing payment of the said dues under this Act, may be added to the dues remaining to be collected on any other timber cut on any timber berth by the licensee or cut under permit by the permittee or by authority of the licensee or permittee, and may be levied and collected or secured on such timber, together with such last-mentioned dues, in the manner herein before provided; or the amount due of which payment has been evaded may be recovered by action or suit, in the name of the Minister or his agent, in any court of competent jurisdiction.

without

64. The Minister may take or authorize the taking of pro- Notes may be missory notes for any money due, as aforesaid, or, in his dis- taken cretion, of bonds for not less than double the amount of any affecting lien. dues, and the penalties and costs incurred or to be incurred, and may, if it is under seizure, then release any timber upon which the debt would be leviable; but the taking of such notes or bonds shall not affect the right to enforce payment of the debt, and the debt shall be a lien on any timber cut by the licensee or permittee or by his authority, if the sums for which or to secure which the notes or bonds are given are not paid when due.

Liability of Persons Cutting Timber without Authority.

without

65. If any person without authority cuts, or employs or Cutting induces any other person to cut or assist in cutting, any timber timber on Dominion lands, or removes or carries away, or employs or authority. induces or assists any other person to remove or carry away any timber so cut, he shall not acquire any right to such timber or any claim for remuneration for cutting it, preparing it for market, or conveying it to or towards market; and when the timber has been removed out of the reach of the timber officers, or it is otherwise found impossible to seize it, the said person shall incur a penalty not exceeding three dollars for each tree which, or any part of which, he is proved to have cut or removed or carried away, or assisted to cut or remove or carry away, or employed or induced any other person to cut or carry away; and such sum shall be recoverable with costs, at the suit and in the name of the Crown, in any court having jurisdiction in civil matters to the amount of the penalty; and in all cases the burden of proof of authority to do the thing charged shall lie on the person charged; and the averment of the person seizing or prosecuting, that he is duly employed under the authority of this Act, shall be sufficient proof thereof, unless the defendant proves the contrary.