(1) If a 3-month arrears default by a debtor occurs at a particular time in relation to a debt agreement, the administrator of the debt agreement must notify, in writing, each creditor who is a party to the debt agreement of that occurrence within 10 business days of that occurrence.
(2) The administrator of a debt agreement is not required to give a notification under subsection (1) in respect of a 3-month arrears default (the first default ) if:
(a) one or more other 3-month arrears defaults by the debtor have occurred in relation to the debt agreement; and
(b) the 3-month period to which the first default relates overlaps with the 3-month period to which any of those other 3-month arrears defaults relate; and
(c) a notification under subsection (1) has already been given in respect of any of those other 3-month arrears defaults.
(3) For the purposes of this section, a 3-month arrears default by a debtor occurs at a particular time (the test time ) in relation to a debt agreement if:
(a) at the beginning of the 3-month period ending immediately before the test time, one or more payments (the due payments ) in respect of provable debts became due and payable by the debtor under the debt agreement; and
(b) throughout that 3-month period, the debtor was in arrears in respect of any or all of the due payments; and
(i) the total amount that the debtor was so in arrears exceeds $300, or 20% of the total of all of the due payments at the beginning of that 3-month period, whichever is higher; or
(ii) if the total of all of the due payments at the beginning of that 3-month period was $300 or less--no payment was made in that period to reduce any of the due payments.