Protecting Farmers from Non-Payment Act (Regulating Agricultural Product Dealers and Storage Operators), 2023

Bills that amended this Act0

No published amendment links yet for this Act.

Sections148

• [s0]

  Part I Interpretation and Application

• 1Definitions

  1 (1) In this Act, “agreement to purchase or sell a designated product” means an agreement to purchase or sell a designated product under section 6; (“entente d’achat ou de vente d’un produit désigné”) “agreement to store a designated product” means an agreement to store a designated product under section 11; (“entente d’entreposage d’un produit désigné”) “agricultural product” means cattle, hogs, poultry, or other livestock, eggs, dairy products, wool, grains, seeds, fruit, vegetables, maple products, honey, tobacco, or any class or part of any such product, or any other product designated as an agricultural product by regulation; (“produit agricole”) “board” means a board established or continued pursuant to this Act; (“commission”) “dealer” means a person, licensed or not, who engages in the business of buying or selling a designated product as a principal or agent, but does not inclu…

• [s2]

  Part II Designation of Agricultural Products

• 2Designation

  2 (1) The Minister may, by regulation, designate an agricultural product as, (a) a Part IV designated product, being a designated product with respect to which Part IV applies; (b) a Part V designated product, being a designated product with respect to which Part V applies; (c) a Part VI designated product, being a designated product with respect to which Part VI applies; (d) a Part VII designated product, being a designated product with respect to which Part VII applies; or (e) a designated product with respect to which two or more of the Parts of this Act referred to in clauses (a) to (d) apply. Limiting application (2) A regulation designating an agricultural product under subsection (1) may provide that a Part referred to in the regulation applies to the designated product subject to such limitations as may be specified in the regulation, and may exclude certain provisions in the Par…

• [s4]

  Part III Administration

• 3Director and Deputy Directors

  3 (1) Subject to section 4, the Minister shall appoint a Director to carry out the duties and exercise the powers of the Director under this Act. Deputy Directors (2) Subject to section 4, the Minister may appoint one or more Deputy Directors to perform such duties as may be assigned by the Director and to act as Director in the Director’s absence. Same (3) Only one Deputy Director may act as Director in the Director’s absence at any one time. Powers of inspector (4) In addition to the powers described in subsections (1) and (2), the Director and a Deputy Director have all the powers of an inspector under this Act. Limitation of authority (5) In an appointment of a Director or Deputy Director, the Minister may limit the appointment to apply only with respect to a specified designated product or may otherwise limit the authority of the Director or Deputy Director in such manner as the Min…

• 4Delegated authority

  4 (1) If a delegated authority has been designated by regulation under Part X for the purposes of administering all or part of the Act and regulations with respect to a designated product, the delegated authority, (a) shall appoint a Director to carry out the duties and exercise the powers of the Director under this Act with respect to the designated product; and (b) may appoint one or more Deputy Directors to perform such duties as may be assigned by the Director and to act as Director in the Director’s absence with respect to the designated product. Limitation (2) A delegated authority shall not appoint a person as Director or Deputy Director under subsection (1) if the person is a member of the delegated authority’s board of directors or the person is not an employee of the delegated authority. Application (3) Subsections 3 (3), (4) and (5) apply with necessary modifications to a Dire…

• [s7]

  Part IV Dealers

• 5Prohibition

  5 (1) No person shall act as a dealer of a Part IV designated product unless the person holds a dealer’s licence with respect to that designated product. No transfer of licence (2) A licensed dealer shall not transfer their dealer’s licence to another person. No use of licence by third parties (3) A licensed dealer shall not, without the written consent of the Director, allow another person to use the dealer’s licence for the purposes of acting on behalf of the dealer in respect of the sale of a Part IV designated product.

• 6Agreement to purchase or sell a designated product

  6 (1) A dealer shall not purchase a Part IV designated product from a producer or sell or offer for sale a Part IV designated product on behalf of a producer unless the dealer and the producer have entered into an agreement to purchase or sell a designated product in relation to the designated product. Same (2) An agreement to purchase or sell a designated product shall be in writing and satisfy any requirements that are prescribed by the regulations.

• 7Payments by dealer

  7 (1) A dealer shall pay for the designated product the dealer purchased from a producer or sold on behalf of a producer at the time the payment becomes due. Same (2) Payments by the dealer shall be made in accordance with the regulations. Timelines for payments (3) Despite subsection (2), if permitted by the regulations, the dealer and producer may enter into an agreement to purchase or sell a designated product that provides when payment for a designated product becomes due and, if they enter into such an agreement, the dealer shall comply with the timeline for payment set out in the agreement to purchase or sell a designated product.

• 8Exemptions for members of a non-governmental organization

  8 (1) Despite subsection 5 (1), a dealer of a Part IV designated product does not require a licence to act as a dealer of the designated product provided the dealer is a member in good standing of a prescribed non-governmental organization. Same (2) The Minister shall not prescribe a non-governmental organization for the purposes of this section unless, (a) the non-governmental organization is a not-for-profit corporation incorporated under the laws of Ontario or of Canada; and (b) the Minister has entered into an agreement with the non-governmental organization. Same (3) The Minister may include such terms and conditions as the Minister believes are reasonably necessary in an agreement referred to in clause (2) (b).

• 9Records, etc.

  9 (1) A dealer of a Part IV designated product shall keep such books and records as may be required by regulation and shall maintain the books and records in accordance with the regulations. Provision of information, etc. (2) A dealer shall provide the Director with such records and information as the Director may require or as may be prescribed.

• [s13]

  Part V Storage Operators

• 10Prohibition

  10 (1) No person shall store a Part V designated product on behalf of the producer or owner of the designated product unless the person holds a storage operator’s licence with respect to that designated product. Exception (2) Despite subsection (1), a storage operator may store a Part V designated product on behalf of the producer or owner of the designated product without a storage operator’s licence if, (a) the storage operator holds such qualifications as may be prescribed; (b) the product is stored in a prescribed manner; and (c) the storage takes place in such circumstances or under such conditions as may be prescribed. No transfer of licence (3) A licensed storage operator shall not transfer the storage operator’s licence to another person.

• 11Agreement to store a designated product

  11 (1) A storage operator shall not store a Part V designated product on behalf of a producer or owner of the designated product unless the person has entered into an agreement to store a designated product with the producer or owner. Same (2) An agreement to store a designated product shall be in writing and satisfy any requirements that are prescribed by the regulations.

• 12Returning a designated product

  12 Upon the demand of the producer or owner of a Part V designated product, the storage operator of the designated product shall provide the actual designated product or an equivalent amount of the same grade of the designated product to the producer or owner.

• 13Exemption for members of a non-governmental organization

  13 (1) Despite subsection 10 (1), a storage operator of a Part V designated product does not require a licence to act as a storage operator of the designated product provided the storage operator is a member in good standing of a prescribed non-governmental organization. Same (2) The Minister shall not prescribe a non-governmental organization for the purposes of this section unless, (a) the non-governmental organization is a not-for-profit corporation incorporated under the laws of Ontario or of Canada; and (b) the Minister has entered into an agreement with the non-governmental organization. Same (3) The Minister may include such terms and conditions as the Minister believes are reasonably necessary in an agreement referred to in clause (2) (b).

• 14Delivery for storage purposes

  14 (1) Part V designated products that are delivered to a storage operator shall be deemed to be delivered for storage purposes and not for the purposes of sale, subject to there being written proof of the contrary. Title to designated product (2) Despite any other Act, the property in and the title to Part V designated products that are stored with a storage operator remains at all time with the owner of the designated products.

• 15Quantity of designated product accepted for storage

  15 (1) A licensed storage operator shall not store, or enter into an agreement to store, any Part V designated product at the storage facility identified in the storage operator’s licence in a greater aggregate quantity than is permitted by the storage operator’s licence. Additional storage (2) Despite subsection (1), a licensed storage operator may enter into agreements to store Part V designated products at the storage facility identified in the storage operator’s licence in a greater aggregate quantity than is permitted in the storage operator’s licence if the storage operator has also entered into an agreement to store the quantity of the Part V designated product that exceeds the amount permitted under the storage operator’s licence with the operator of another storage facility who is licensed under this Act or an Act of the Parliament of Canada. Same (3) For greater certainty, a li…

• 16Proof of quantity stored

  16 (1) Upon delivery of a Part V designated product for storage by the producer or owner of the product, a storage operator shall, (a) create a receipt for the designated product, indicating the quantity of the designated product that has been delivered for storage; (b) provide the receipt to the producer or owner; and (c) keep a copy of the receipt for the storage operator’s records. Receipt (2) The receipt referred to in clause (1) (a) shall include such information and meet such requirements as may be prescribed. Records (3) A storage operator shall keep records, in accordance with the regulations, of the quantity of a Part V designated product kept in storage by the storage operator, of the producers and owners on whose behalf the designated product is stored and of any fluctuations in the quantity over time. Same (4) The records referred to in subsection (3) shall provide an accurat…

• 17Storage operator as dealer

  17 (1) This section applies if, (a) a designated product is designated both as a Part IV designated product and as a Part V designated product; and (b) a licensed storage operator for the designated product is also licensed to act as a dealer of that designated product. Agreement required (2) A licensed storage operator referred to in clause (1) (b) shall enter into an agreement to purchase or sell a designated product with a producer or owner of the designated product before the licensed storage operator, (a) purchases a designated product referred to in clause (1) (a) that is being stored at the licensed storage operator’s facility; or (b) agrees to sell a designated product referred to in clause (1) (a) on behalf of the producer or owner of the product. Content of Agreement (3) An agreement referred to in subsection (2) shall, (a) authorize the licensed storage operator to act as a de…

• 18Insurance

  18 (1) Every storage operator of a Part V designated product shall insure and keep insured with an insurer licensed under the Insurance Act all Part V designated products stored with the storage operator against such loss, damage or perils as may be prescribed. Amount of insurance (2) The amount of the insurance required under subsection (1) shall not be less than the full market value of the designated products that are insured and the amount shall be adjusted to correspond with any fluctuations in the value of the designated products. Place of storage (3) The insurance shall cover all designated products stored by the storage operator of a Part V designated product, whether at the facilities identified in a storage operator’s licence or at a storage facility referred to in subsection 15 (2). Terms of insurance contract (4) A contract of insurance obtained as required under subsection (…

• 19Notice to Director

  19 (1) Every person who intends to take control of a facility used to store a Part V designated product or the business operations of a licensed storage operator shall notify the Director, in writing, of such intention and the location of the facility or premises, as the case may be, prior to taking control of the facility or business operations. Entry by Director (2) Every person who has taken control of a facility used to store a Part V designated product or the business operations of a licensed storage operator shall permit the Director to enter the facility or premises to ascertain the amount of designated product that is stored at the facility or premises. Removal of designated product (3) The Director may, by order issued pursuant to paragraphs 2 or 3 of subsection 68 (1), seize or direct the removal of any or all of the Part V designated product stored in a facility or premises en…

• 20No lien

  20 Unless it is agreed in writing to the contrary, Part V designated products that are stored with a storage operator are not subject to any lien, charge or set-off other than for charges related to the storage or handling of the designated product, including storage charges, conditioning charges, transportation charges, advance payments respecting the designated product and elevation charges, where applicable.

• 21Non-application

  21 The Warehouse Receipts Act and section 2 of the Factors Act do not apply to a Part V designated product that is stored with a storage operator or to a document of title to the designated product.

• [s26]

  Part VI Trusts

• 22Trust constituted

  22 (1) Prescribed amounts of monies that are owed to a dealer from the sale of a Part VI designated product, whether or not due or payable, or are received by or on behalf of a dealer on account of the sale of a Part VI designated product shall constitute a trust fund for the benefit of producers of that Part VI designated products who are owed those amounts. Trustees (2) The dealer who is owed or received the funds is the trustee of the trust fund referred to in subsection (1) and, unless permitted by the regulations, the dealer shall not appropriate or convert any part of the trust fund to the dealer’s own use or to any use inconsistent with the trust until the producers are paid all amounts owed to them. Duties of trustee (3) Trustees shall comply with the following requirements respecting the trust fund: 1. The funds the trustee receives shall be deposited into an account in the trus…

• 23Payments out of trust account, producers

  23 (1) The dealer may make payments out of the trust fund referred to in subsection 22 (1) for the purpose of paying producers of Part VI designated products the amount to which they are entitled on account of a sale of the Part VI designated products. Payments out of trust account, dealers (2) If a dealer has purchased Part VI designated products from a producer, the dealer may pay out of the trust fund referred to in subsection 22 (1) the prescribed amounts in the prescribed circumstances. No pay out for improper purpose (3) A dealer shall not pay any amounts out of a trust fund referred to in subsection 22 (1) that does not comply with the requirements of subsections (1) and (2) of this section. Dispute relating to sale price (4) In the event of a dispute between a dealer of and a producer of a Part VI designated product regarding the sale price of the product or any other prescribed …

• 24Corporations

  24 (1) If a dealer is a corporation and fails to comply with section 22 or 23 with respect to Part VI designated products that are received by the dealer, the following persons may be found liable for breach of trust in an action brought by the producer of the Part VI designated products: 1. The corporation. 2. Every director or officer and any employee or agent of the corporation or any other person who has effective control of the corporation, if the director, officer, employee or agent or other person who has effective control of the corporation assented to, or acquiesced in, conduct that the person knew or ought reasonably to have known amounted to breach of trust by the corporation. Effective control (2) In an action for breach of trust against a dealer with respect to amounts received on account of a sale of Part VI designated products, the question of whether a person has effectiv…

• 25Waiver, etc. void

  25 A written document provided by a producer to a dealer purporting to waive the producer’s rights under, or release the dealer from the requirements provided in, sections 22 and 23 is void.

• [s31]

  Part VII Funds and Boards

• [s32]

  Establishment of Funds and Boards

• 26Establishment of funds

  26 (1) Where an agricultural product is designated under Part II as a Part VII designated product, the Minister shall establish a fund for the benefit of, (a) all producers of the Part VII designated product in Ontario; and (b) any other persons who are entitled to make a claim against the fund by regulation or under section 46. Fund for more than one designated product (2) The Minister may establish a fund under this section with respect to two or more types of Part VII designated products, and the fund shall be for the benefit of, (a) all producers of any of the two or more types of Part VII designated products in Ontario; and (b) any other persons who are entitled to make a claim against the fund by regulation or under section 46. Separate accounting (3) If the Minister establishes a fund with respect to two or more types of Part VII designated products under subsection (2), the Minis…

• 27Establishment of boards

  27 (1) Where an agricultural product is designated under Part II as a Part VII designated product, the Minister shall, for the purpose of administering the fund established under section 26 with respect to the designated product, (a) establish a board by regulation; or (b) designate, by regulation, a delegated authority to act as a board. Regulation (2) A regulation under clause (1) (a) may establish a board to administer two or more funds established under section 26 with respect to two or more Part VII designated products. Same (3) A regulation under clause (1) (a) shall designate the name by which the board shall be known.

• 28Constitution of board

  28 (1) A board established by regulation under section 27 shall be constituted in accordance with this Part and shall exercise such powers and perform such duties as may be specified in this Part. Composition of board (2) A board shall be composed of at least three and not more than nine members to be appointed by the Minister. Corporation without share capital (3) A board established by regulation under section 27 shall be established as a corporation without share capital. Crown agent (4) A board shall be an agent of the Crown in right of Ontario for all of its purposes. Powers of natural person (5) Except as limited by this Act, a board has the capacity, rights and powers of a natural person for the purposes of carrying out its functions. Non-application of Acts (6) The Not-for-Profit Corporations Act, 2010, the Corporations Information Act and the Insurance Act do not apply to a boar…

• 29Functions and powers

  29 A board has the following functions and the powers to carry out those functions: 1. To manage and administer its fund or funds. 2. To investigate all claims made to it under this Act and to determine the extent of their validity. 3. To grant or refuse the payment of claims or any part thereof and determine the amounts and manner of payment. 4. To recover any money to which it is entitled under this Act by suit in a court of competent jurisdiction or otherwise. 5. To carry out the functions, and exercise the powers, under this Act or prescribed by regulation.

• 30Board of directors

  30 (1) The members of the board appointed under subsection 28 (2) shall constitute the board of directors of the board. Remuneration (2) The Lieutenant Governor in Council may fix the remuneration of members of a board who are not public servants employed under Part III of the Public Service of Ontario Act, 2006. Functions of board of directors (3) The board of directors of a board shall manage and supervise the affairs of the board. By-laws (4) The board of directors of a board may, by resolution, make by-laws that are consistent with this Act and the regulations, governing its proceedings and generally for the conduct and management of the affairs of the board, including establishing committees to assist in managing the affairs of the board. Same (5) If a by-law made under subsection (4) is inconsistent with a provision of this Act or the regulations, the by-law is invalid to the exten…

• 31Chair

  31 (1) The Minister shall designate one of the members of a board as the chair of the board of directors. Vice-chair (2) The Minister may designate one or more members of a board as vice-chairs of the board of directors. Acting chair (3) If the chair is absent or unable to act, or if the office of the chair is vacant, a vice-chair shall act as the chair. No meeting (4) A board shall not conduct a meeting unless the chair or a vice-chair is able to act at the meeting.

• 32Quorum

  32 The majority of the members of a board constitutes a quorum of the board of directors for the conduct of the board’s affairs.

• 33Officers, employees, etc.

  33 (1) A board may appoint such officers and employees as it considers necessary for the proper conduct of its affairs. Job categories, etc. (2) A board may establish job categories, salary ranges and conditions of employment for its officers and employees, subject to the approval of, (a) the Lieutenant Governor in Council, in the case of officers and employees who are members of a bargaining unit; or (b) the Minister, in the case of officers and employees who are not members of a bargaining unit. Definition (3) In this section, “bargaining unit” has the same meaning as in the Labour Relations Act, 1995. Experts (4) A board may engage persons other than officers and employees to provide professional, technical or other assistance to the board.

• 34Fiscal year

  34 The fiscal year of a board shall begin on April 1 in a year and end on March 31 in the following year.

• 35Audit

  35 (1) The accounts and financial transactions of a board shall be audited each year by the Auditor General. Audit report (2) The Auditor General shall prepare a report of the audit and submit it to the board and to the Minister.

• 36Annual report

  36 (1) A board shall prepare an annual report, provide it to the Minister and make it available to the public. Content of annual report (2) A board shall comply with such directives as may be issued by the Management Board of Cabinet with respect to, (a) the form and content of the annual report; (b) when to provide it to the Minister; and (c) when and how to make it available to the public. Same (3) A board shall include such additional content in the annual report as the Minister may require. Tabling of annual report (4) The Minister shall table a board’s annual report in the Assembly and shall comply with such directives as may be issued by the Management Board of Cabinet with respect to when to table it.

• 37Immunity of employees, etc.

  37 (1) No cause of action arises against, and no action or other proceeding may be instituted against, any of the following persons as a result of any act done in good faith in the performance or intended performance of the person’s duties under this Act or any alleged neglect or default in the performance in good faith of the person’s duties under this Act: 1. A current or former employee of the Crown. 2. A current or former member of a board or a current or former officer of a board. 3. A current or former employee of a board. Crown liability preserved (2) Despite subsection 8 (3) of the Crown Liability and Proceedings Act, 2019, paragraph 1 of subsection (1) of this section does not relieve the Crown of any liability to which it would otherwise be subject. Liability of boards preserved (3) Subsection (1) does not relieve a board of any liability to which it would otherwise be subject.

• 38Dissolution of funds and boards

  38 (1) The Minister may, by regulation, (a) dissolve a board previously established or constituted under clause 27 (1) (a) of this Act or subsection 2 (1) of the Farm Products Payments Act and provide for the termination of the fund to which the board relates; (b) provide for any transitional matter necessary for the effective dissolution of a board, including, (i) the transfer, without compensation, of any property, including assets, liabilities, rights, obligations, records, databases, accounts and money, that is held by any of the affected boards, and (ii) the assignment, without compensation, of any contracts that a board has entered into before its dissolution; and (c) provide for the disposition of amounts remaining in a fund and such other measures as are necessary for the effective termination of a fund. Immunity of Crown (2) No cause of action arises against the Crown, a ministe…

• [s46]

  Administration of Funds

• 39By-laws

  39 (1) As soon as possible after the appointment of the board of directors of a fund, the board of directors shall make by-laws governing the financial management of its fund, including respecting the borrowing, investing and managing of financial risks. Approval of Minister of Finance (2) The by-laws made under subsection (1) are not effective unless they are approved, in writing, by the Minister of Finance.

• 40Grant to new fund

  40 When a fund is established under section 26, the Minister of Finance may make a grant out of the Consolidated Revenue Fund to the board that administers the fund and the grant shall not exceed $25,000.

• 41Fees, producer

  41 (1) A producer or owner of a Part VII designated product who sells the designated product to a dealer shall pay any prescribed fee with respect to the sale to the board established with respect to the designated product. Same, owner (2) An owner of a Part VII designated product who stores the designated product with a storage operator shall pay any prescribed fee with respect to the storage of that designated product to the board established with respect to the designated product. Same, prescribed person (3) A prescribed person who sells a Part VII designated product to another prescribed person in the prescribed circumstances shall pay any prescribed fee with respect to the sale to the board established with respect to the designated product. Collection and remittance (4) A fee payable under subsection (1), (2) or (3) shall be collected and remitted to the appropriate board in accord…

• 42Payments into funds

  42 (1) All amounts that a board is entitled to receive under this Act shall be paid into the fund that it administers. Consolidated Revenue Fund (2) Despite Part I of the Financial Administration Act, the fees payable to a board under section 41 of this Act and any revenue, income and assets that a board receives from the management of a fund or otherwise under this Act do not form part of the Consolidated Revenue Fund.

• 43Loans

  43 (1) If the amount standing to the credit of a fund is not sufficient for the purposes of making a payment for a claim made against the fund, (a) upon the recommendation of the Minister, the Lieutenant Governor in Council may, by order, authorize the Minister of Finance to make loans to the board that administers the fund in an amount of up to $250,000; (b) the board may borrow such sums as are necessary for the purposes of paying any claims from a bank listed in Schedule I or II of the Bank Act (Canada), a loan corporation or trust corporation registered under the Loan and Trust Corporations Act, a credit union within the meaning of the Credit Unions and Caisses Populaires Act, 2020 or another person; and (c) in the case of a board that administers more than one fund, the board may borrow money from another fund that it administers, subject to such conditions and requirements as may b…

• 44Payments out of fund

  44 A board may make payments out of a fund only for the following purposes: 1. The payment of any claims made against the fund and permitted under this Act. 2. The payment of prescribed expenses that are incurred in the administration of this Act. 3. The repayment of any loans made to the board under clause 43 (1) (a) or (b). 4. The repayment of any payment made by the Province of Ontario as guarantor of a loan under a guarantee given under subsection 43 (3).

• 45Additional funds

  45 (1) Despite section 43, if at any time the amount standing to the credit of the fund is insufficient for the purpose of paying claims, the Lieutenant Governor in Council may, upon the recommendation of the Minister, authorize the Minister of Finance to make a grant to a board, provide a loan to a board or guarantee a loan made to a board out of money appropriated for such purposes by the Legislature. Terms and conditions (2) A grant, loan or guarantee authorized pursuant to subsection (1) shall be on such terms and conditions as the Lieutenant Governor in Council directs. Grant discretionary (3) Nothing in this Act or the regulations requires the Lieutenant Governor in Council to authorize the Minister of Finance to do anything under subsection (1).

• [s54]

  Claims against Funds Claims against funds

• 46Application for payment from a fund

  46 (1) The producer of a Part VII designated product that is sold by or on behalf of the producer may make a claim for payment out of the fund with respect to the Part VII designated product if, (a) the dealer has not paid the producer the price payable under the agreement to purchase or sell a designated product within the prescribed time; or (b) a proceeding under the Bankruptcy and Insolvency Act (Canada) or the Companies’ Creditors Arrangement Act (Canada) has been initiated against the dealer. Same (2) The producer or owner of a Part VII designated product that has been stored with a storage operator may make a claim for payment out of the fund established with respect to that Part VII designated product if one of the following events has occurred: 1. The storage operator failed to deliver all or part of the stored Part VII designated product upon demand by the producer or owner. 2.…

• 47Claims

  47 A person who wishes to make a claim for payment out of a fund under section 46 shall, in accordance with the regulations, submit the claim to the board that administers the fund.

• 48Hearing of claims

  48 (1) If a claim for payment out of a fund is submitted to the board that administers the fund in accordance with the regulations, the chair of the board may appoint a panel to hear the claim. Panel (2) The panel shall be composed of at least three members of the board who have knowledge of the designated product to which the claim relates. Same (3) For greater certainty, the panel may be comprised of all of the members of the board. Chair of panel (4) The chair of the board shall designate one of the members of the panel to be the chair of the panel. Same (5) If the panel is comprised of all members of the board and the chair of the board does not designate another member of the panel to be the chair of the panel, the chair of the board shall be the chair of the panel. Member’s resignation or expiration of term (6) If, before the panel renders its decision with respect to a claim, a me…

• 49Procedures

  49 (1) In determining a claim under section 48, a board and a panel of the board shall follow such rules of practice and procedures as may be prescribed or determined by resolution of the board of directors of the board. Practice and procedures established by board of directors (2) The board of directors of a board may, by resolution, determine its own rules of practice and procedures for hearing claims, including procedures for dealing with claims that are frivolous, vexatious or made in bad faith without holding a full hearing on the merits of the claim. Conflict (3) In the event of a conflict between the rules of practice and procedures passed by resolution of a board of directors and the rules of practice and procedures prescribed by the regulations or provided for in this Act, the rules of practice and procedures prescribed by regulation or provided for in this Act shall prevail. St…

• 50Payment of claims

  50 (1) If a board or a panel of a board determines that all or part of a claim is valid, the board shall pay only the portion of the claim it found to be valid, subject to the regulations. No payment for invalid claims (2) For greater certainty, a board or panel of a board shall not pay for any claim or portion of a claim that it determines is invalid. Refusal of claim (3) A board or panel of a board shall refuse a claim in such circumstances, and subject to such conditions, as may be prescribed. Amount of payment (4) A board or panel of a board that hears a claim shall determine the amount that may be paid out of the fund to satisfy the claim in accordance with the regulations and subject to such limitations and conditions as may be prescribed by the regulations.

• 51Refund

  51 If a claimant has received a payment from a fund and also receives a payment from or on behalf of a dealer, storage operator or other person in full or partial satisfaction of the same debt for which payment was made from the fund, the claimant shall pay to the board that administers the fund the lesser of, (a) the amount the claimant received from or on behalf of the dealer, storage operator or other person; or (b) the amount the claimant received from the fund.

• 52Orders by board

  52 (1) Where a board pays a claim out of a fund as a result of the failure of a dealer, storage operator or prescribed person to pay a debt owing to the claimant, the chair of the board may issue to the dealer, storage operator or prescribed person, (a) an order to reimburse the board for the amount of the claim that was paid by the board to the claimant; and (b) an order to pay the costs of the board associated with conducting the claims proceeding. Content of order to reimburse (2) An order to reimburse a claim issued under clause (1) (a) shall set out, (a) the amount that is to be reimbursed; (b) the time by which the reimbursement is to be paid; and (c) any other matter that may be prescribed. Order for claimant to pay costs (3) The chair of a board may order a claimant to pay the costs of the board associated with conducting a hearing or other proceeding relating to the claim if, (a…

• 53Appeal to Tribunal

  53 (1) Within 15 days after an order to pay costs under clause 52 (1) (b) or subsection 52 (3) is issued, the person against whom the order is made may appeal the order to the Tribunal by serving notice of the appeal on the board who issued the order and on the Tribunal. Appeal hearing (2) Upon receiving notice of an appeal under subsection (1), the Tribunal shall set a date for and hold a hearing to review whether the decision of the chair of the board to issue the order was reasonable. Extension of time for appeal (3) The Tribunal may extend the time for serving notice of appeal, either before or after the end of the 15-day period referred to in subsection (1), if the Tribunal is satisfied that there are reasonable grounds for granting the extension. Stay (4) The serving of a notice of appeal under subsection (1) operates as a stay of the order that is the subject of the appeal until t…

• 54Payment of ordered amounts

  54 (1) A person who is ordered to reimburse a claim or to pay the costs of a claim proceeding under section 52 shall pay the amount ordered, (a) within the time set out in the order, if the person was ordered to reimburse a claim; or (b) if the person gives notice of an appeal of the order under section 53, within 30 days after the Tribunal issues a decision on the appeal that upholds all or part of the order to pay the costs of a claim proceeding. Enforcement of order (2) If a person fails to pay an amount payable under an order made under section 52 within the times required under subsection (1) of this section, the chair of the board that issued the order may file the order with a court of competent jurisdiction and enforce it as if it was an order of the court. Failure to pay order (3) If an order under section 52 was made against a licensed dealer or licensed storage operator and th…

• [s64]

  Part VIII Licences

• 55Application for a licence

  55 A person who wishes to apply for a dealer’s licence or a storage operator’s licence shall submit an application to the Director in accordance with this Act and the regulations and may be required to pay a prescribed fee.

• 56Issuance of licences

  56 (1) The Director shall issue a licence to an applicant who satisfies the prescribed requirements, unless the Director believes, on reasonable grounds, that, (a) based on past conduct of the applicant, any officers, directors or representatives of the applicant or any other person having effective control of the applicant’s operations, the operations that would be authorized by the licence will not be carried out in accordance with this Act, the regulations or any conditions the Director may impose on the licence; (b) the applicant, any officers, directors or representatives of the applicant or any other person having effective control of the applicant’s operations is or are not competent to carry on the business to which the licence relates; (c) the applicant will not have available at its place of business the facilities and equipment necessary to carry out the business authorized by…

• 57Renewal of licence

  57 (1) A person who has a licence may apply to the Director to renew the licence. Application (2) The applicant shall submit the application for renewal to the Director in accordance with this Act and the regulations and shall, (a) pay any prescribed fee; and (b) meet any other prescribed requirements. Deadline (3) The application must be made within the prescribed period or, if no period is prescribed, before the expiry date of the licence. Renewal (4) The Director shall renew the licence of an applicant who satisfies the prescribed requirements unless the Director believes, on reasonable grounds, that, (a) any grounds or circumstances exist that would disentitle the applicant to the issuance of a licence under subsection 56 (1); (b) the premises, facilities and equipment used in the operations authorized by a licence do not comply with this Act or the regulations; (c) the applicant, an…

• 58Conditions and amendments

  58 (1) The Director may at any time, by order and without first holding a hearing, (a) impose conditions on a licence that the Director considers appropriate; or (b) amend a licence in any manner the Director considers appropriate. Conditions of licence (2) A licence is subject to those conditions to give effect to the purposes of this Act that, (a) are imposed by virtue of this Part; or (b) are imposed under this Act or that are required to be imposed under the regulations. Timing (3) An order under subsection (1) takes effect immediately upon the order being served. Removal of conditions (4) The Director may, on the application of a licensee, remove or vary a condition attached to the licence and, if the Director proposes to refuse to remove the condition attached to the licence, section 61 applies. Process (5) If the Director issues an order under subsection (1), the Director shall ta…

• 59Interim order to suspend without hearing

  59 (1) The Director shall, without first holding a hearing, impose an interim order to suspend a licence if, (a) the Director believes on reasonable grounds that the suspension is necessary for the immediate protection of, (i) the safety or health of any person or the public, (ii) the interests of persons selling designated products, (iii) the interests of persons storing designated products, or (iv) any fund established under section 26; or (b) one of the prescribed conditions for issuing the order has been met. Process (2) If the Director issues an order under subsection (1), the Director shall take the steps required by section 61. Timing (3) An interim order to suspend a licence under subsection (1) takes effect immediately upon the order being served. Effect (4) During the suspension, the licensee is not authorized to carry on the operations authorized by the licence. Revocation (5)…

• 60Suspension or revocation of licence

  60 (1) The Director may by order suspend or revoke a licence for any reason that would disentitle the licensee to the renewal of the licence under subsection 57 (4). Proposal to suspend (2) If the Director proposes to suspend or revoke a licence without the licensee’s consent, the Director shall take the steps required by section 61. Appeals to Director

• 61Application

  61 (1) This section applies if the Director does any of the following: 1. Proposes to refuse to issue a licence. 2. Proposes to refuse to renew a licence. 3. Proposes to suspend or revoke a licence. 4. Proposes to refuse to remove a condition on a licence. 5. Issues an order imposing conditions on a licence. 6. Issues an order amending a licence. 7. Issues an interim order suspending a licence. Notice (2) The Director shall give the applicant or licensee written notice of a proposal referred to in paragraphs 1 to 3 of subsection (1). Content of notice or order (3) A notice provided under subsection (2) or an order issued under this Part shall include the following information: 1. The reasons for the proposal or order, as the case may be. 2. Information indicating that the applicant or licensee can request a hearing by the Director about the order and informing the applicant or licensee a…

• 62Right to review

  62 (1) If the applicant or licensee requests a review hearing in writing of the Director’s decision under subsection 61 (7) and informs the Director of this request, within 15 days after the notice under subsection 61 (8) is received the Tribunal shall hold a hearing to review the Director’s decision. Extension of time to appeal (2) The Tribunal may extend the time for requesting a hearing either before or after the expiration of the 15 days if the Tribunal is satisfied that there are reasonable grounds for applying for the extension. Documentary evidence (3) As soon as reasonably possible after receiving a notice to request a hearing, the Director shall provide the Tribunal with a record of the proceeding in which the Director made the decision. New evidence (4) The Tribunal may consider evidence the Director did not consider if the Tribunal is satisfied that it was not possible to pres…

• 63Appeal to Court

  63 (1) A party to a hearing held by the Tribunal may appeal the order of the Tribunal to the Divisional Court. Standard of review (2) In any review of a decision of the Tribunal, the decision of the Tribunal that has been appealed shall not be altered or set aside unless it is not reasonable. Immediate effect (3) Even if the applicant or licensee appeals a decision of the Tribunal, the decision takes effect immediately, unless the Tribunal decides otherwise. Minister to be heard (4) If an appeal is made under this section, the Minister is entitled to be heard on the appeal. Record to be filed in Court (5) The chair of the Tribunal shall file with the Court the record of proceedings before the Tribunal which, together with a transcript of the evidence before the Tribunal if it is not part of the Tribunal’s record, shall constitute the record in the appeal. Powers of Court (6) Upon hearing…

• 64Licence Registry

  64 The Minister may, by regulation, (a) require the Director to establish a publicly available licence registry, which may also include the names of people who are exempted from requiring a licence; (b) prescribe the manner of establishing the registry and the form and location of the registry; (c) prescribe the information to be included in the registry.

• [s75]

  Part IX Inspections and Enforcement

• [s76]

  Inspections

• 65Inspectors

  65 (1) The Director may, for the purpose of ensuring compliance with this Act and the regulations, designate persons as inspectors in accordance with the following: 1. If the Director is appointed by the Minister, the Director may designate only persons employed by the Ministry. 2. If the Director is appointed by the delegated authority, the Director may designate only persons employed by the delegated authority. Designation of inspectors under other Acts (2) Despite subsection (1), the Director may designate an inspector under another Act who is not employed by the Ministry or the delegated authority as an inspector for the purposes of this Act if, prior to the designation, the inspector and the Minister or delegated authority, as the case may be, enter into an agreement that includes the prescribed information. Limitation on inspectors (3) The Director shall not designate as an inspect…

• 66Inspections

  66 (1) For the purposes of carrying out an inspection, an inspector may enter any place or conveyance used for the business of buying, selling or storing a designated product. Dwellings (2) The power to enter and inspect under this section shall not be exercised as a power to enter and inspect a place or conveyance or a part of a place or conveyance that is used as a dwelling unless a warrant under section 158 of the Provincial Offences Act has been issued. Powers of inspector (3) An inspector conducting an inspection may, (a) examine records or anything else that is relevant to the inspection; (b) demand the production of a record or any other thing that is relevant to the inspection; (c) on issuing a written receipt for it, remove a record or any other thing that is relevant to the inspection for review, examination or testing; (d) on issuing a written receipt for it, obtain and remove…

• [s79]

  Enforcement

• 67Compliance orders

  67 (1) This section applies if the Director or an inspector that is permitted by the regulations to issue compliance orders is of the opinion that, (a) a person is committing any act or pursuing any course of conduct that contravenes or does not comply with a requirement established under this Act, the regulations, a licence or a term or condition on a licence; (b) a person is committing any act or pursuing any course of conduct that might reasonably be expected to result in a state of affairs that would contravene or not comply with a requirement established under this Act, the regulations, a licence or a term or condition on a licence; or (c) a person has committed any act or pursued any course of conduct that contravenes or does not comply with a requirement established under this Act, the regulations, a licence or a term or condition on a licence. Order (2) The Director or, in the pr…

• 68Enforcement re stored designated products

  68 (1) The Director may, by order, take the following actions if the Director believes, on reasonable grounds, that such actions are needed to protect the interests of a producer or owner of a designated product being stored with a storage operator: 1. Require the storage operator to cease operating and, if necessary, seal any storage containers, until the amount of the designated product in storage can be ascertained. 2. Seize some or all of the designated product from the storage operator. 3. Move some or all of the designated product to the control of a different storage operator. 4. Distribute the designated product, on a proportionate basis, to the producers or owners of the designated product. 5. Sell some or all of the designated product and distribute the proceeds, on a proportionate basis, to the producers or owners of the designated product. 6. Insure the designated product wit…

• 69Application

  69 (1) An order under this section can be made only with respect to a designated product. Freeze order (2) Upon request of a producer or owner or on the Director’s own initiative, and if any of the conditions in subsection (3) are met, a Director may, in writing, (a) order any person having on deposit or controlling any assets or trust funds of a licensed dealer or licensed storage operator to hold those assets or funds; (b) order a licensed dealer or licensed storage operator to refrain from withdrawing any asset or trust fund from a person having it on deposit or controlling it; or (c) order a licensed dealer or licensed storage operator to hold any asset or trust fund of a producer or owner in trust for the person entitled to it. Conditions (3) The Director may issue an order under subsection (2) if, (a) a dealer is late in making a payment owing to a producer; (b) a dealer, producer …

• [s83]

  Administrative Penalties

• 70Administrative penalties

  70 (1) An administrative penalty can be imposed only with respect to designated products. Interpretation (2) In sections 71 to 78, “appeal body” means the prescribed appeal body or, if no appeal body is prescribed, the Tribunal. Statutory Powers Procedure Act (3) If an appeal body is prescribed, the Statutory Powers Procedure Act does not apply to a hearing held by the appeal body.

• 71Purposes

  71 (1) An administrative penalty may be imposed under section 70 for the following purposes: 1. To promote compliance with the requirements established under this Act and the regulations. 2. To prevent a person or entity from deriving, directly or indirectly, any economic benefit as a result of contravening or failing to comply with a requirement established under this Act. No limit on other regulatory measures (2) An administrative penalty may be imposed alone or in conjunction with any other regulatory measure provided by this Act, including any orders or the imposition of conditions on, amendments to or suspension or revocation of a licence. Order (3) If the Director is satisfied that a person is contravening or not complying with or has contravened or not complied with a requirement established under this Act or the regulations or a term or condition imposed on a licence, the Directo…

• 72Right to appeal

  72 (1) If a person requests a hearing in writing, and informs the Director of this request, within 15 days after the order under subsection 71 (3) is received, the appeal body shall hold a hearing to review the Director’s decision to issue the order. Extension of time to appeal (2) The appeal body may extend the time for requesting a hearing either before or after the expiration of the 15 days if the appeal body is satisfied that there are reasonable grounds for applying for the extension. Effect of appeal (3) If a person requests a hearing, the requirement to pay the penalty is stayed until the appeal body makes a decision. Parties (4) The Director and the person who requested the hearing are parties to the hearing. Powers of appeal body (5) After holding the hearing to review the Director’s decision to issue the order, the appeal body shall, (a) if it finds that the Director’s decision…

• 73Maximum administrative penalty

  73 (1) The amount of an administrative penalty shall reflect the purpose of the penalty, but the amount of the penalty shall not exceed $10,000 for each day or part of a day on which the contravention occurs or continues. Same (2) Despite subsection (1), if a person has profited as a result of a contravention, the amount of the administrative penalty may include the amount earned in profit.

• 74Timing of payment

  74 A person is required to pay the administrative penalty, (a) at the time set out in the order issued under subsection 71 (3) if no request for hearing is made; or (b) 30 days after the day the appeal body makes a decision if the decision is to order the Director to impose the proposed administrative penalty.

• 75Effect of payment

  75 If a person against whom an order imposing an administrative penalty is made pays the penalty in accordance with the terms of the order, the person cannot be charged with an offence under this Act in respect of the same contravention on which the order is based.

• 76Enforcement

  76 (1) If a person fails to pay an administrative penalty imposed under this Part in accordance with the terms of the order imposing the penalty, the Director may file the order with a court of competent jurisdiction and the order may be enforced as if it were an order of the court. Date of order (2) For the purposes of section 129 of the Courts of Justice Act, the day on which the order is filed with the court shall be deemed to be the date of the order. Additional remedies (3) Without limiting the availability of any other remedies, if a person fails to pay an administrative penalty imposed under this Part in accordance with the terms of the order imposing the penalty, the Director may take one or more of the following actions: 1. Pay the administrative penalty from any security the Director holds on behalf of the licenced dealer or licenced storage operator and require a licenced deal…

• 77Proceeds

  77 The following rules apply with respect to the proceeds from the payment of an administrative penalty: 1. If the administrative penalty was imposed by a Director appointed by the Minister or by a delegated authority that is a Crown Agent, the proceeds shall be placed in, i. a fund established for the designated product to which the penalty relates, or ii. if no fund has been established, the Consolidated Revenue Fund. 2. If the administrative penalty was imposed by a Director appointed by a delegated authority that is not a Crown Agent, the proceeds shall be placed in, i. a fund established for the designated product to which the penalty relates, or ii. if no fund has been established, the account of the delegated authority.

• 78Transition

  78 (1) The Director shall not impose an administrative penalty in respect of any contravention or non-compliance that occurred before section 70 came into force. Deeming (2) A contravention that started before and continued after section 70 came into force is deemed to have started on the day section 70 came into force for the purposes of determining the amount of an administrative penalty.

• [s93]

  Part X Delegated Authority

• [s94]

  Delegated Authority

• 79Delegated authority

  79 (1) If the requirements of sections 80 and 81 are met, the Minister may, by regulation, (a) designate a corporation as the delegated authority for the purposes of this Act to administer the delegated provisions; and (b) subject to subsection (3), prescribe the delegated provisions of this Act and the regulations for which a delegated authority is to be delegated authority to administer. Restrictions (2) A delegation described in clause (1) (b) may be restricted to, (a) specified aspects or purposes of the specified provisions; (b) specified persons or classes of persons to whom the specified provisions apply; (c) specified programs or parts of programs; (d) specified parts of Ontario; and (e) specified time periods. Excepted provisions (3) The following provisions of this Act shall not be prescribed as delegated provisions: 1. The provisions in this Part. 2. Sections 116 and 117. 3. W…

• 80Eligibility as delegated authority

  80 A corporation may be prescribed as the delegated authority if it is, (a) a Crown Agency; or (b) a not-for-profit corporation without share capital that is not a Crown Agency and that is incorporated under the laws of Ontario.

• 81Requirement for administrative agreement

  81 (1) A corporation may be prescribed as a delegated authority only if the Minister and the corporation have entered into an administrative agreement with respect to the delegated provisions. Contents (2) The administrative agreement shall include all matters that the Minister considers necessary for delegating the administration of the delegated provisions to the delegated authority, including, at a minimum, (a) requirements relating to the governance of the delegated authority, unless the delegated authority is a Crown Agency; (b) requirements with which the delegated authority shall comply in connection with its administration of the delegated provisions, including a requirement for adequate insurance against liability arising out of that administration; and (c) the financial terms of the delegation, including payments to the Crown, licence fees, royalties and reimbursements for tran…

• 82Revocation of designation and restriction of delegation

  82 (1) If the delegated authority is a Crown Agency, the Minister may, by regulation, revoke the designation of the delegated authority made under clause 79 (1) (a) or restrict the delegation made under clause 79 (1) (b), if the Minister considers it reasonable to do so. Notice (2) If the Minister intends to make a regulation under subsection (1), the Minister shall provide notice to the delegated authority before filing the regulations.

• 83Duty to administer delegated provisions

  83 A delegated authority shall administer its delegated provisions in accordance with this Act and the administrative agreement and shall comply with this Act, the regulations, other applicable law and the administrative agreement.

• 84Duty to advise the Minister

  84 (1) The delegated authority shall promptly inform and advise the Minister with respect to, (a) any material fact that could affect the delegated authority’s ability to perform its duties under this Act or the regulations; or (b) any urgent or critical matter that is likely to require action by the Minister to ensure that the administration of the delegated provisions is carried out properly. Same (2) The delegated authority shall advise or report to the Minister on any matter that the Minister refers to it and that relates to this Act or the administration of the delegated provisions.

• 85Conflicts

  85 In the event of conflict, this Act and the regulations shall prevail over, (a) the administrative agreement; (b) the delegated authority’s constating documents, by-laws and resolutions; and (c) the Not-for-Profit Corporations Act, 2010, the Corporations Information Act or a regulation made under either of those Acts. Liability and indemnification

• 86No Crown liability

  86 (1) No cause of action arises against the Crown or a Crown employee as a direct or indirect result of any act or omission that a person who is not a Crown employee takes or makes in the execution or intended execution of any of the person’s powers or duties under this Act, the regulations or a Minister’s order. No proceeding against the Crown (2) No action or other proceeding for damages, including but not limited to a proceeding for a remedy in contract, restitution, tort or trust, shall be instituted against the Crown or a Crown employee in connection with any cause of action described in subsection (1). Application (3) Without limiting the generality of subsection (2), that subsection applies to any action or other proceeding claiming any remedy or relief, including specific performance, injunction, declaratory relief, any form of compensation or damages, including loss of revenue …

• 87Minister’s policy directions

  87 (1) The Minister may issue policy directions to the delegated authority relating to its administration of the delegated provisions, after giving the delegated authority the notice that the Minister considers reasonable in the circumstances. Part of administrative agreement (2) The policy directions are deemed to form part of the administrative agreement. Compliance (3) The delegated authority shall comply with the policy directions and shall implement measures to do so as soon as is reasonably possible. Conflict (4) In the event of conflict, a policy direction issued under subsection (1) shall prevail over a constating document, by-law or resolution of the delegated authority.

• [s104]

  Application of ss. 89 to 105

• 88Application

  88 Sections 89 to 105 apply where the delegated authority is not a Crown Agency.

• [s106]

  Delegation

• 89Minister’s authority to require reviews

  89 (1) The Minister may, by order, (a) require that policy, legislative or regulatory reviews related to the delegated provisions, the powers and duties of the delegated authority and the administrative agreement be carried out, (i) by or on behalf of the delegated authority, or (ii) by a person or entity specified by the Minister; or (b) require that reviews of the delegated authority, of its operations, or of both, including, without limitation, performance, governance, accountability and financial reviews, be carried out, (i) by or on behalf of the delegated authority, or (ii) by a person specified by the Minister. Access to records and information (2) When a review is carried out under subclause (1) (a) (ii) or (1) (b) (ii), the delegated authority shall give the person specified by the Minister and the person’s employees or agents access to all records and other information required…

• 90Public interest

  90 (1) The Minister may, by regulation, revoke the designation of the delegated authority made under clause 79 (1) (a) or restrict the delegation made under clause 79 (1) (b) if the Minister considers it advisable to do so in the public interest. Non-compliance (2) The Minister may, by regulation, revoke the designation of the delegated authority made under clause 79 (1) (a) or restrict the delegation made under clause 79 (1) (b) if, (a) the delegated authority has failed to comply with this Act, the regulations, other applicable law or the administrative agreement; (b) the Minister has given the delegated authority an opportunity to remedy the default within the period that the Minister considered reasonable under the circumstances; and (c) the delegated authority has failed to remedy the default to the Minister’s satisfaction within that period. No restriction on subs. (1) (3) Nothing …

• [s109]

  Powers and Duties

• 91Duty to comply with orders, directions

  91 (1) If the Minister issues a directive, order or policy direction, the delegated authority shall comply with such directive, order or direction. Additional activities (2) The delegated authority may carry out other activities in accordance with its objects or purposes, subject to subsection (3). Commercial activity (3) The delegated authority shall not engage in commercial activity through an individual, corporation or other entity that is related to the delegated authority unless approved by the Minister, and the Minister may impose any conditions the Minister considers appropriate in such circumstances. Restriction on use of money (4) Despite any order or policy direction issued by the Minister, the delegated authority shall use any money obtained in the administration of the delegated provisions only for the purpose of administering the delegated provisions.

• 92Provision of services in French

  92 (1) A person has the right to communicate in French with and to receive available services in French from the delegated authority. Board to ensure (2) The board of directors of the delegated authority shall take all reasonable measures and make all reasonable plans to ensure that persons may exercise the right to communicate in French and receive services in French given by this section. Limitation (3) The right to communicate in French and receive services in French given by this section is subject to the limits that are reasonable in the circumstances. Definition (4) In this section, “service” means any service or procedure that is provided to the public by the delegated authority in administration of the delegated provisions and includes responding to inquiries from members of the public and any other communications for the purpose of providing the service or procedure. Accessibili…

• 93

  93 The Accessibility for Ontarians with Disabilities Act, 2005 applies to a delegated authority as though it were an organization providing services for the purposes of that Act.

• 94Forms and fees

  94 (1) A delegated authority may, (a) establish forms related to the administration of its delegated provisions and provide for their content; (b) set and collect fees, costs or other charges related to the administration of the delegated provisions, in accordance with processes and criteria established by the delegated authority and approved by the Minister; and (c) make rules governing the payment of the fees, costs and charges described in clause (b). Setting fees (2) In setting the fees, costs and charges described in clause (1) (b), the delegated authority may, subject to the approval of the Minister, specify the amounts or the method for determining the amounts. Publication of fee schedule (3) The delegated authority, (a) shall publish the fees, costs and charges, the processes and criteria and the rules on its website and in any other way described in the administrative agreement;…

• 95Requirement of advisory council, advisory process

  95 The Minister may require the delegated authority to, (a) establish one or more advisory councils; (b) include as members of an advisory council representatives of the public, producers, dealers, agricultural commodity groups, government organizations and other persons the Ministers considers appropriate; and (c) undertake an advisory process in which it ensures that the advisory council seeks advice from one or both of the public and persons with experience or knowledge relating to this Act and the delegated provisions.

• 96Public access to information

  96 (1) The delegated authority shall, within the prescribed time, make available to the public on its website, (a) the prescribed information relating to the compensation of board members, officers and employees and relating to any other payments that it makes or is required to make to them; (b) its corporate by-laws; and (c) any other information that is prescribed. Same, transition (2) For a board member or officer who is in office on the day this section comes into force, or an individual who is an employee on the day this section comes into force, the regulation may require the disclosure of information relating to compensation for a period that began before the day on which this section comes into force. Process and procedures (3) The delegated authority shall follow the prescribed processes and procedures with respect to providing access to the public to records of the authority an…

• [s116]

  Corporate Matters

• 97Minister’s authority regarding change to objects or purposes

  97 (1) The Minister may require that the delegated authority make a specified change to its objects or purposes if the Minister is of the opinion that it is reasonable to do so. Same (2) No change shall be made to a delegated authority’s objects or purposes unless the Minister’s written approval is obtained in advance.

• 98Minister’s authority re board of directors, eligibility and nomination

  98 (1) The Minister may, (a) by order, establish competency criteria for members of the board of directors of the delegated authority; and (b) by regulation, with respect to the board of directors of the delegated authority, establish rules about the nomination of members, the appointment or election process, the length of their terms and whether they may be reappointed or re-elected. Eligibility for appointment, etc. (2) A person is qualified to be appointed or elected as a member of the board of directors of the delegated authority only if the person meets the competency criteria established under clause (1) (a). Appointment by Minister (3) The Minister may appoint one or more members of the board of directors of the delegated authority for a term specified in the appointment, but the Minister cannot appoint sufficient members to form a majority of the board of directors of the delegat…

• 99Power re employees

  99 (1) The delegated authority may, subject to the administrative agreement, employ or retain the services of any qualified person to carry out any of its powers or duties relating to the administration of the delegated provisions. Not Crown employees (2) The following persons are not employees of the Crown and shall not hold themselves out as such: 1. Persons who are employed or whose services are retained under subsection (1). 2. Members, officers and agents of the delegated authority. 3. Members of the board of directors of the delegated authority, including those appointed by the Minister.

• 100Not Crown agency

  100 (1) Despite the Crown Agency Act, the delegated authority is not an agent of the Crown for any purpose and shall not hold itself out as such. Same (2) The following persons are not agents of the Crown and shall not hold themselves out as such: 1. Persons who are employed or whose services are retained under subsection 99 (1). 2. Members, officers and agents of the delegated authority. 3. Members of the board of directors of the delegated authority, including those appointed by the Minister.

• 101Not public money

  101 (1) The delegated authority is not a public entity and the money that it collects in carrying out the administration of its delegated provisions is not public money within the meaning of the Financial Administration Act. Same (2) The delegated authority may use the money described in subsection (1) to carry out activities in accordance with its objects, subject to, (a) subsection 42 (1) (payments into funds); and (b) the administrative agreement.

• 102Audit by Auditor General

  102 (1) The Auditor General appointed under the Auditor General Act may conduct an audit of the delegated authority, other than an audit required under the Not-for-Profit Corporations Act, 2010. Access to records and information (2) When the Auditor General conducts an audit under subsection (1), the delegated authority shall give the Auditor General and employees of the Auditor General access to all records and other information required to conduct the audit.

• 103Report

  103 (1) Each year and at any other time the Minister requires, the board of directors of the delegated authority shall report to the Minister on its activities and financial affairs as they relate to the Act and the administrative agreement. Form and contents (2) The report shall be in a form that is acceptable to the Minister and shall provide the information that the Minister requires. Disclosure by board (3) The board of directors of the delegated authority shall publish the report on the delegated authority’s website and by any other method within the period and in the manner the Minister requires.

• 104Minister’s authority to appoint administrator

  104 (1) The Minister may, by order, appoint an individual as an administrator of a delegated authority for the purposes of assuming control of it and responsibility for its activities under the delegated provisions if the Minister is of the opinion that it is advisable to do so in the public interest because at least one of the following conditions is satisfied: 1. The exercise of the power is necessary to prevent serious harm to the interests of producers or owners of a designated product or a fund the delegated authority is responsible for administering. 2. An event of force majeure has occurred. 3. The delegated authority is facing a risk of insolvency. 4. The number of members of the board of directors of the delegated authority is insufficient for a quorum. Notice of appointment (2) The Minister shall give the board of directors of the delegated authority the notice that the Ministe…

• 105Status of board during administrator’s tenure

  105 (1) On the appointment of an administrator under section 104, the members of the board of directors of the delegated authority cease to hold office, unless the order provides otherwise. Same (2) During the term of the administrator’s appointment, the powers of any member of the board of directors of the delegated authority who continues to hold office are suspended, unless the order provides otherwise. No personal liability (3) No action or other proceeding shall be instituted against a member or former member of the board of directors of the delegated authority for anything done by the administrator or the delegated authority after the member’s removal under subsection (1) or while the member’s powers are suspended under subsection (2). Crown liability (4) Despite subsection 8 (3) of the Crown Liability and Proceedings Act, 2019, subsection (3) of this section does not relieve the C…

• [s126]

  Part XI Prohibitions and Offences

• 106Prohibition re false or misleading information

  106 No person shall give false or misleading information to the Director, a Deputy Director, an inspector or any other person in the performance of their duties under this Act.

• 107Prohibition re obstruction

  107 No person shall hinder, obstruct or interfere with or attempt to hinder, obstruct or interfere with, (a) the Director or Deputy Director in fulfilling the duties of the Director or Deputy Director under this Act; or (b) an inspector conducting an inspection.

• 108Type A offences

  108 (1) Every person who contravenes or fails to comply with any of the following provisions is guilty of a Type A offence: 1. Subsection 5 (1). 2. Section 7. 3. Subsection 10 (1). 4. Section 12. 5. Subsections 41 (1), (2) and (3). 6. Section 106. 7. Section 107. 8. Any other provision of this Act or the regulations prescribed as a Type A offence. Same re conditions of licence (2) Every person who fails to comply with a condition of their licence is guilty of a Type A offence. Same re orders (3) Every person who fails to comply with an order made under section 67, 68 or 69 is guilty of a Type A offence. Same re seals (4) Every person who breaks or removes any seal that is placed on a storage container within a storage facility pursuant to paragraph 1 of subsection 68 (1) is guilty of a Type A offence.

• 109Type B offences

  109 Every dealer, or if the dealer is a corporation, every director, officer, employee or agent of the corporation or other person who has effective control of the corporation, who contravenes or fails to comply with any of the following provisions is guilty of a Type B offence: 1. Subsections 22 (2), (3), (5), (6) and (7). 2. Subsections 23 (3), (4) and (5). 3. Any other provision of this Act or the regulations prescribed as a Type B offence.

• 110Type C offences

  110 Every person who contravenes or fails to comply with any of the following provisions is guilty of a Type C offence: 1. Subsections 5 (2) and (3). 2. Section 6. 3. Section 9. 4. Subsections 10 (2) and (3). 5. Section 11. 6. Subsections 15 (1) and (3). 7. Subsections 16 (1) to (4) and, unless the Director has issued a shortfall permit, subsection (5). 8. Subsection 17 (2) and clause 17 (3) (b). 9. Section 18. 10. Subsection 19 (1). 11. Section 114. 12. Any other provision of this Act or the regulations prescribed as a Type C offence. Penalties

• 111Type A offences

  111 (1) A person who is convicted of a Type A offence under this Act is liable to a fine of, (a) for a first offence, not more than $10,000; and (b) for any subsequent offence, not more than $25,000. Type B offences (2) A person who is convicted of a Type B offence under this Act is liable to a fine of, (a) for a first offence, not more than $25,000; and (b) for any subsequent offence, not more than $50,000. Type C offences (3) A person who is convicted of a Type C offence under this Act is liable to a fine of, (a) for a first offence, not more than $2,000; and (b) for any subsequent offence, not more than $5,000. Increased penalties (4) If a person is convicted of an offence and the court finds that the offence was committed in prescribed circumstances that resulted in an increase to the gravity of the offence, the amount of the penalty may be increased in accordance with the regulation…

• 112Restitution order

  112 (1) If a person is convicted of an offence for contravening or failing to comply with section 7, 12 or 41 and the offence resulted in another person suffering damages, the court may make a restitution order against the person convicted of the offence in favour of the person who suffered damages. Board deemed to be person (2) Where a board or a delegated authority has not received a fee it is entitled to receive under section 41, or has paid a claim in relation to a Part VII designated product or incurred expenses to adjudicate a claim in relation to a Part VII designated product, the board or delegated authority, as the case may be, is deemed to be a person who has suffered damages for the purposes of subsection (1). Limits on restitution order (3) A court may make a restitution order under subsection (1) only if, (a) the restitution order is requested by the prosecutor; (b) the pers…

• 113Enforcement of restitution order

  113 A restitution order made under section 112 may be filed in a court of competent jurisdiction and the order may be enforced as if it were an order of the court.

• [s135]

  Part XII Miscellaneous and Regulations

• [s136]

  Miscellaneous

• 114Confidentiality

  114 Any person working for a delegated authority who obtains information in the course of exercising a power or carrying out a duty related to the administration of the delegated provisions shall keep that information confidential except, (a) as required in connection with a proceeding under this Act or in connection with the administration of this Act or the regulations; (b) if the Minister requests the person provide such information to the Minister; (c) as authorized by the Regulatory Modernization Act, 2007; (d) if required by law to provide the information to a law enforcement agency; (e) where the person is providing the information to their legal counsel; (f) with the consent of the person or entity to whom the information relates; (g) to provide the information to a prescribed entity or organization that is authorized by law to collect and use the information; or (h) in any other…

• 115Testimony

  115 No person shall be required to give testimony in a civil proceeding with regard to information obtained in the course of exercising a power or carrying out a duty related to the administration of this Act or the regulations.

• 116Service

  116 (1) Any notice, order or document is sufficiently given or served if it is given or served in accordance with the regulations. Deemed service (2) If service is made within the prescribed time and in the prescribed manner, the service shall be deemed to be made in accordance with the regulations, unless the person on whom service is being made establishes that the person did not, acting in good faith, through absence, accident, illness or other cause beyond the person’s control, receive the notice, order or document until a later date.

• 117Matters of evidence

  117 (1) For the purposes of any proceeding, a certificate of service that appears to have been signed by the Minister, the Director or an inspector is evidence of service without proof of the signature if the Minister, Director or inspector, as the case may be, (a) certifies that the copy of the document is a true copy of it; (b) certifies that the document was served on the person; and (c) sets out in it the method of service used. Same (2) A licence, order or record made or issued under or in accordance with this Act that purports to be signed by the Minister, the Director or an inspector is evidence of the facts contained in it without proof of the signature. Same (3) A copy of a document or record that purports to be certified by the Director or a person designated by the Director as a true copy of the original is admissible in evidence to the same extent as the original and has the …

• [s141]

  Regulations

• 118General

  118 (1) The Minister may make regulations for the purposes of this Act, (a) prescribing anything that is referred to in this Act as prescribed; (b) defining any word or expression used in this Act that is not already defined in this Act; (c) exempting any person or class or person from all or any part of this Act or the regulations and setting out conditions for the exemption; (d) governing the taking of samples of any designated product, including prescribing which designated products may be sampled and governing of the operation of sampling; (e) prescribing forms and providing for their use; (f) prescribing fees that are payable under this Act with respect to licencing, late filings and other administrative matters; (g) governing agreements and contracts under this Act, including prescribing the requirements the agreements and contracts must meet and terms and conditions they must incl…

• [s143]

  Part XIII Transition

• 119Transition, regulation

  119 (1) The Minister may make regulations providing for transitional matters as the Minister considers necessary or advisable to, (a) facilitate the implementation of this Act; and (b) address any transitional matters arising as the result of the repeal of the Farm Products Payments Act, the Grains Act and the Livestock and Livestock Products Act. Same (2) A regulation made under this section may, (a) establish a transition period before the repeal of the Farm Products Payments Act, the Grains Act and the Livestock and Livestock Products Act during which the application of those Acts will be phased out; (b) provide that a provision or requirement of the Farm Products Payments Act, the Grains Act or the Livestock and Livestock Products Act ceases to apply, applies in a modified way or only applies, either as written or in a modified way, to specified geographic areas or specified persons …

• 120-122

  120-122 Omitted (amends, repeals or revokes other legislation).

• 123

  123 Omitted (provides for coming into force of provisions of this Act).

• 124

  124 Omitted (enacts short title of this Act). ______________