Cannabis Act · GlobalLawDB

Contents

Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:

1Short title#

This Act may be cited as the Cannabis Act.

2Definitions#

(1)The following definitions apply in this Act.

analyst means an individual who is designated as an analyst under section 130. (analyste)

Attorney General means

(a)the Attorney General of Canada, and includes his or her lawful deputy; or

(b)with respect to proceedings commenced at the instance of the government of a province and conducted by or on behalf of that government, the Attorney General of that province, and includes his or her lawful deputy. (procureur général)

brand element includes a brand name, trademark, tradename, distinguishing guise, logo, graphic arrangement, design or slogan that is reasonably associated with, or that evokes,

(a)cannabis, a cannabis accessory or a service related to cannabis; or

(b)a brand of any cannabis, cannabis accessory or service related to cannabis. (élément de marque)

brand-preference promotion means promotion of cannabis by means of its brand characteristics, promotion of a cannabis accessory by means of its brand characteristics or promotion of a service related to cannabis by means of the brand characteristics of the service. (promotion de marque)

cannabis means a cannabis plant and anything referred to in Schedule 1 but does not include anything referred to in Schedule 2. (cannabis)

cannabis accessory means

(a)a thing, including rolling papers or wraps, holders, pipes, water pipes, bongs and vaporizers, that is represented to be used in the consumption of cannabis; or

(b)a thing that is deemed under subsection (3) to be represented to be used in the consumption of cannabis. (accessoire)

cannabis plant means a plant that belongs to the genus Cannabis. (plante de cannabis)

chemical offence-related property means offence-related property that is a chemical and includes

(a)anything that contains any offence-related property that is a chemical; or

(b)anything that has any offence-related property on it that is a chemical. (bien infractionnel chimique)

chemical property means

(a)any chemical offence-related property;

(b)a chemical that is not chemical offence-related property; or

(c)anything that contains a chemical referred to in paragraph (b) or anything that has such a chemical on it. (bien chimique)

competent authority means a public authority of a foreign country that is authorized under the laws of that country to approve the importation or exportation of cannabis into or from that country. (autorité compétente)

designated offence means

(a)an offence under subsection 9(1) or (2), 10(1) or (2), 11(1) or (2), 12(1), (4), (5), (6) or (7), 13(1) or 14(1); or

(b)a conspiracy or an attempt to commit, being an accessory after the fact in relation to, or any counselling in relation to, an offence referred to in paragraph (a). (infraction désignée)

distribute includes administering, giving, transferring, transporting, sending, delivering, providing or otherwise making available in any manner, whether directly or indirectly, and offering to distribute. (distribuer)

dried cannabis means any part of a cannabis plant that has been subjected to a drying process, other than seeds. (cannabis séché)

dwelling-house has the same meaning as in section 2 of the Criminal Code. (maison d’habitation)

government means any of the following or their institutions:

(a)the federal government;

(b)a corporation named in Schedule III to the Financial Administration Act;

(c)the government of a province or a public body established under an Act of the legislature of a province;

(d)an aboriginal government as defined in subsection 13(3) of the Access to Information Act;

(e)the government of a foreign state or of a subdivision of a foreign state; and

(f)an international organization of states. (administration)

illicit cannabis means cannabis that is or was sold, produced or distributed by a person prohibited from doing so under this Act or any provincial Act or that was imported by a person prohibited from doing so under this Act. (cannabis illicite)

informational promotion means a promotion by which factual information is provided to the consumer about

(a)cannabis or its characteristics;

(b)a cannabis accessory or its characteristics;

(c)a service related to cannabis; or

(d)the availability or price of cannabis, a cannabis accessory or a service related to cannabis. (promotion informative)

inspector means an individual who is designated as an inspector under section 84. (inspecteur)

judge means a judge as defined in section 552 of the Criminal Code or a judge of a superior court of criminal jurisdiction. (juge)

justice has the same meaning as in section 2 of the Criminal Code. (juge de paix)

label includes a legend, word or mark that is, or is to be, applied or attached to or included in, or that accompanies or is to accompany, cannabis or a cannabis accessory or a package. (étiquette)

Minister means the member of the Queen’s Privy Council for Canada who is designated as the Minister under section 4. (ministre)

non-chemical offence-related property means offence-related property that is not chemical offence-related property. (bien infractionnel non chimique)

offence-related property means, with the exception of cannabis, any property within or outside Canada

(a)by means of or in respect of which a designated offence is committed;

(b)that is used in any manner in connection with the commission of a designated offence; or

(c)that is intended for use for the purpose of committing a designated offence. (bien infractionnel)

organization has the same meaning as in section 2 of the Criminal Code. (organisation)

package means any inner or outer container or covering. (emballage)

person means an individual or organization. (personne)

possession has the same meaning as in subsection 4(3) of the Criminal Code. (possession)

prescribed means prescribed by the regulations. (Version anglaise seulement)

produce, in respect of cannabis, means to obtain it by any method or process, including by

(a)manufacturing;

(b)synthesis;

(c)altering its chemical or physical properties by any means; or

(d)cultivating, propagating or harvesting it or any living thing from which it may be extracted or otherwise obtained. (production)

promote, in respect of a thing or service, means to make, for the purpose of selling the thing or service, a representation — other than a representation on a package or label — about the thing or service by any means, whether directly or indirectly, that is likely to influence and shape attitudes, beliefs and behaviours about the thing or service. (promotion)

public place includes any place to which the public has access as of right or by invitation, express or implied, and any motor vehicle located in a public place or in any place open to public view. (lieu public)

sell includes offer for sale, expose for sale and have in possession for sale. (vente)

young person means

(a)for the purposes of sections 8, 9 and 12, an individual who is 12 years of age or older but under 18 years of age; and

(b)for the purposes of any other provision of this Act, an individual who is under 18 years of age. (jeune)

(2)For the purposes of this Act, dried cannabis is a class of cannabis.

(3)For the purposes of the definition cannabis accessory, a thing that is commonly used in the consumption of cannabis is deemed to be represented to be used in the consumption of cannabis if the thing is sold at the same point of sale as cannabis.

(4)For the purposes of this Act, a quantity referred to in column 2 of Schedule 3 in respect of any class of cannabis referred to in column 1 of that Schedule is deemed to be equivalent to 1 g of dried cannabis.

3Interpretation#

Every power, duty or function imposed under this Act that may be exercised or performed in respect of an offence under this Act may be exercised or performed in respect of a conspiracy, or an attempt to commit, being an accessory after the fact in relation to, or any counselling in relation to, an offence under this Act.

4Designation of Minister#

The Governor in Council may, by order, designate a member of the Queen’s Privy Council for Canada as the Minister for the purposes of this Act.

Application

5Youth Criminal Justice Act#

The Youth Criminal Justice Act applies in respect of contraventions of provisions of this Act or of the regulations.

5.1For greater certainty#

For greater certainty, nothing in this Act is to be construed as limiting the operation of the extrajudicial measures that are provided for under the Youth Criminal Justice Act.

Her Majesty

6Act binding on Her Majesty#

This Act is binding on Her Majesty in right of Canada or a province.

Purpose

7Purpose#

The purpose of this Act is to protect public health and public safety and, in particular, to

(a)protect the health of young persons by restricting their access to cannabis;

(b)protect young persons and others from inducements to use cannabis;

(c)provide for the licit production of cannabis to reduce illicit activities in relation to cannabis;

(d)deter illicit activities in relation to cannabis through appropriate sanctions and enforcement measures;

(e)reduce the burden on the criminal justice system in relation to cannabis;

(f)provide access to a quality-controlled supply of cannabis; and

(g)enhance public awareness of the health risks associated with cannabis use.

Part 1 · Prohibitions, Obligations and Offences

Division 1 — Criminal Activities

8Possession#

(1)Unless authorized under this Act, it is prohibited

(a)for an individual who is 18 years of age or older to possess, in a public place, cannabis of one or more classes of cannabis the total amount of which, as determined in accordance with Schedule 3, is equivalent to more than 30 g of dried cannabis;

(b)for an individual who is 18 years of age or older to possess any cannabis that they know is illicit cannabis;

(c)for a young person to possess cannabis of one or more classes of cannabis the total amount of which, as determined in accordance with Schedule 3, is equivalent to more than 5 g of dried cannabis;

(d)for an individual to possess, in a public place, one or more cannabis plants that are budding or flowering;

(e)for an individual to possess more than four cannabis plants that are not budding or flowering; or

(f)for an organization to possess cannabis.

(2)Subject to section 51, every person that contravenes subsection (1)

(a)is guilty of an indictable offence and is liable

(i)in the case of an individual who is 18 years of age or older, to imprisonment for a term of not more than five years less a day,

(ii)in the case of a young person, to a youth sentence under the Youth Criminal Justice Act, or

(iii)in the case of an organization, to a fine in an amount that is in the discretion of the court; or

(b)is guilty of an offence punishable on summary conviction and is liable

(i)in the case of an individual who is 18 years of age or older, to a fine of not more than $5,000 or imprisonment for a term of not more than six months, or to both,

(ii)in the case of a young person, to a youth sentence under the Youth Criminal Justice Act, or

(iii)in the case of an organization, to a fine of not more than $100,000.

8.1Definition of medical emergency#

(1)For the purposes of this section, medical emergency means a physiological event induced by the introduction of a psychoactive substance into the body of a person that results in a life-threatening situation and in respect of which there are reasonable grounds to believe that the person requires emergency medical or law enforcement assistance.

(2)No person who seeks emergency medical or law enforcement assistance because that person, or another person, is suffering from a medical emergency is to be charged or convicted of an offence under subsection 8(1) if the evidence in support of that offence was obtained or discovered as a result of that person having sought assistance or having remained at the scene.

(3)The exemption under subsection (2) also applies to any person, including the person suffering from the medical emergency, who is at the scene on the arrival of the emergency medical or law enforcement assistance.

(4)No person who seeks emergency medical or law enforcement assistance because that person, or another person, is suffering from a medical emergency, or who is at the scene on the arrival of the assistance, is to be charged with an offence concerning a violation of any condition of a pre-trial release or probation order relating to an offence under subsection 8(1) if the evidence in support of that offence was obtained or discovered as a result of that person having sought assistance or having remained at the scene.

(5)Any condition of a person’s pre-trial release, probation order, conditional sentence or parole relating to an offence under subsection 8(1) that may be violated as a result of the person seeking emergency medical or law enforcement assistance for their, or another person’s, medical emergency, or as a result of having been at the scene on the arrival of the assistance, is deemed not to be violated.

9Distribution#

(1)Unless authorized under this Act, it is prohibited

(a)for an individual who is 18 years of age or older

(i)to distribute cannabis of one or more classes of cannabis the total amount of which is equivalent, as determined in accordance with Schedule 3, to more than 30 g of dried cannabis,

(ii)to distribute cannabis to an individual who is under 18 years of age,

(iii)to distribute cannabis to an organization, or

(iv)to distribute cannabis that they know is illicit cannabis;

(b)for a young person

(i)to distribute cannabis of one or more classes of cannabis the total amount of which is equivalent, as determined in accordance with Schedule 3, to more than 5 g of dried cannabis,

(ii)to distribute cannabis to an organization;

(c)for an individual

(i)to distribute one or more cannabis plants that are budding or flowering, or

(ii)to distribute more than four cannabis plants that are not budding or flowering; or

(d)for an organization to distribute cannabis.

(2)Unless authorized under this Act, it is prohibited to possess cannabis for the purpose of distributing it contrary to subsection (1).

(3)It is not a defence to a charge arising out of the contravention of subparagraph (1)(a)(ii) that the accused believed that the individual referred to in that subparagraph was 18 years of age or older, unless the accused took reasonable steps to ascertain the individual’s age.

(4)It is not a defence to a charge arising out of the contravention of subsection (2) of possessing cannabis for the purpose of distributing it to an individual referred to in subparagraph (1)(a)(ii) that the accused believed that the individual was 18 years of age or older, unless the accused took reasonable steps to ascertain the individual’s age.

(5)Subject to section 51, every person that contravenes subsection (1) or (2)

(a)is guilty of an indictable offence and is liable

(i)in the case of an individual who is 18 years of age or older, to imprisonment for a term of not more than 14 years,

(ii)in the case of a young person, to a youth sentence under the Youth Criminal Justice Act, or

(iii)in the case of an organization, to a fine in an amount that is in the discretion of the court; or

(b)is guilty of an offence punishable on summary conviction and is liable

(i)in the case of an individual who is 18 years of age or older who contravenes any of subparagraphs (1)(a)(i), (iii) and (iv) and (c)(i) and (ii) — or subsection (2) other than by possessing cannabis for the purpose of distributing it contrary to subparagraph (1)(a)(ii) — to a fine of not more than $5,000 or imprisonment for a term of not more than six months, or to both,

(ii)in the case of an individual who is 18 years of age or older who contravenes subparagraph (1)(a)(ii) — or subsection (2) if the possession was for the purpose of distribution contrary to subparagraph (1)(a)(ii) — to a fine of not more than $15,000 or imprisonment for a term of not more than 18 months, or to both,

(iii)in the case of a young person, to a youth sentence under the Youth Criminal Justice Act, or

(iv)in the case of an organization, to a fine of not more than $100,000.

10Selling#

(1)Unless authorized under this Act, it is prohibited to sell cannabis, or any substance represented or held out to be cannabis, to

(a)an individual who is 18 years of age or older;

(b)an individual who is under 18 years of age; or

(c)an organization.

(2)Unless authorized under this Act, it is prohibited to possess cannabis for the purpose of selling it contrary to any of paragraphs (1)(a) to (c).

(3)It is not a defence to a charge arising out of the contravention of paragraph (1)(b) that the accused believed that the individual referred to in that paragraph was 18 years of age or older, unless the accused took reasonable steps to ascertain the individual’s age.

(4)It is not a defence to a charge arising out of the contravention of subsection (2) of possessing cannabis for the purpose of selling it contrary to paragraph (1)(b) that the accused believed that the individual referred to in that paragraph was 18 years of age or older, unless the accused took reasonable steps to ascertain the individual’s age.

(5)Subject to section 51, every person that contravenes any of paragraphs (1)(a) to (c) or subsection (2)

(a)is guilty of an indictable offence and is liable to imprisonment for a term of not more than 14 years; or

(b)is guilty of an offence punishable on summary conviction and is liable

(i)in the case of an individual who contravenes paragraph (1)(a) or (c) — or subsection (2) other than by possessing cannabis for the purpose of selling it contrary to paragraph (1)(b) — to a fine of not more than $5,000 or imprisonment for a term of not more than six months, or to both,

(ii)in the case of an individual who contravenes paragraph (1)(b) — or subsection (2) if the possession was for the purpose of selling contrary to paragraph (1)(b) — to a fine of not more than $15,000 or imprisonment for a term of not more than 18 months, or to both, or

(iii)in the case of an organization, to a fine of not more than $100,000.

11Importing and exporting#

(1)Unless authorized under this Act, the importation or exportation of cannabis is prohibited.

(2)Unless authorized under this Act, it is prohibited to possess cannabis for the purpose of exporting it.

(3)Every person that contravenes subsection (1) or (2)

(a)is guilty of an indictable offence and is liable to imprisonment for a term of not more than 14 years; or

(b)is guilty of an offence punishable on summary conviction and is liable

(i)in the case of an individual, to a fine of not more than $5,000 or imprisonment for a term of not more than six months, or to both, or

(ii)in the case of an organization, to a fine of not more than $300,000.

12Production#

(1)Unless authorized under this Act, it is prohibited

(a)to obtain or offer to obtain cannabis by any method or process, including by manufacturing, by synthesis or by using any means of altering the chemical or physical properties of cannabis; or

(b)to alter or offer to alter the chemical or physical properties of cannabis by the use of an organic solvent.

(2)An individual may alter the chemical or physical properties of any cannabis that they are not prohibited by this Act from possessing.

(3)In paragraph (1)(b), organic solvent means any organic compound that is explosive or highly or extremely flammable, including petroleum naphtha and compressed liquid hydrocarbons such as butane, isobutane, propane and propylene.

(4)Unless authorized under this Act, it is prohibited for an individual who is 18 years of age or older to cultivate, propagate or harvest, or to offer to cultivate, propagate or harvest,

(a)a cannabis plant that is from a seed or plant material that they know is illicit cannabis; or

(b)more than four cannabis plants at any one time in their dwelling-house.

(5)Unless authorized under this Act, if two or more individuals who are 18 years of age or older are ordinarily resident in the same dwelling-house, it is prohibited for any of those individuals to cultivate, propagate or harvest any cannabis plants if doing so results in there being more than four such plants being cultivated, propagated or harvested at any one time in the dwelling-house.

(6)Unless authorized under this Act, it is prohibited for an individual who is 18 years of age or older

(a)to cultivate, propagate or harvest any cannabis plant at a place that is not their dwelling-house or to offer to do so; or

(b)to cultivate, propagate or harvest any living thing, other than a cannabis plant, from which cannabis may be extracted or otherwise obtained, or to offer to do so.

(7)Unless authorized under this Act, it is prohibited for a young person or an organization to cultivate, propagate or harvest any cannabis plant or any other living thing from which cannabis may be extracted or otherwise obtained, or to offer to do any of those things.

(8)For the purposes of this section, dwelling-house, in respect of an individual, means the dwelling-house where the individual is ordinarily resident and includes

(a)any land that is subjacent to it and the immediately contiguous land that is attributable to it, including a yard, garden or any similar land; and

(b)any building or structure on any land referred to in paragraph (a).

(9)Subject to section 51, every individual who is 18 years of age or older who contravenes any of subsections (1), (4), (5) and (6) or any organization that contravenes subsection (1) or (7)

(a)is guilty of an indictable offence and is liable to a term of imprisonment of not more than 14 years; or

(b)is guilty of an offence punishable on summary conviction and is liable

(i)in the case of an individual, to a fine of not more than $5,000 or imprisonment for a term of not more than six months, or to both, or

(ii)in the case of an organization, to a fine of not more than $100,000.

(10)Every young person who contravenes subsection (1) or (7) is guilty of an indictable offence, or an offence punishable on summary conviction, and is liable to a youth sentence under the Youth Criminal Justice Act.

13Possession, etc., for use in production or distribution of illicit cannabis#

(1)It is prohibited to possess, produce, sell, distribute or import anything with the intention that it will be used to produce, sell or distribute illicit cannabis.

(2)Every person that contravenes subsection (1)

(a)is guilty of an indictable offence and is liable to imprisonment for a term of not more than seven years; or

(b)is guilty of an offence punishable on summary conviction and is liable

(i)in the case of an individual, to a fine of not more than $5,000 or imprisonment for a term of not more than six months, or to both, or

(ii)in the case of an organization, to a fine of not more than $100,000.

14Use of young person#

(1)It is prohibited to use the services of, or to involve, a young person in the commission of an offence under subsection 9(1) or (2), 10(1) or (2), 11(1) or (2), 12(1), (4), (5), (6) or (7) or 13(1).

(2)Every person that contravenes subsection (1)

(a)is guilty of an indictable offence and is liable to imprisonment for a term of not more than 14 years; or

(b)is guilty of an offence punishable on summary conviction and is liable

(i)in the case of an individual, to a fine of not more than $15,000 or imprisonment for a term of not more than 18 months, or to both, or

(ii)in the case of an organization, to a fine of not more than $100,000.

15Sentencing#

(1)Without restricting the generality of the Criminal Code, the fundamental purpose of any sentence for an offence under this Division is to contribute to the respect for the law and the maintenance of a just, peaceful and safe society while encouraging rehabilitation, and treatment in appropriate circumstances, of offenders and acknowledging the harm done to victims and to the community.

(2)If an individual is convicted of a designated offence, the court imposing sentence on the individual must consider any relevant aggravating factors, including that the individual

(a)in relation to the commission of the offence,

(i)carried, used or threatened to use a weapon,

(ii)used or threatened to use violence, or

(iii)sold or distributed cannabis or possessed it for the purpose of sale or distribution, in or near a school, on or near school grounds or in or near any other public place usually frequented by young persons; and

(b)was previously convicted of a designated offence, as defined in subsection 2(1) of this Act, or a designated substance offence, as defined in subsection 2(1) of the Controlled Drugs and Substances Act.

(3)If, in the case of an individual who is convicted of a designated offence, the court is satisfied of the existence of one or more of the aggravating factors enumerated in paragraphs (2)(a) and (b), but decides not to sentence the individual to imprisonment, the court must give reasons for that decision.

(4)A court sentencing an individual who is convicted of an offence under this Division may delay sentencing to enable the individual

(a)to participate in a drug treatment court program approved by the Attorney General; or

(b)to attend a treatment program under subsection 720(2) of the Criminal Code.

Division 2 — Other Prohibitions

Subdivision A — Promotion

16Non-application#

Subject to the regulations, this Subdivision does not apply

(a)to a literary, dramatic, musical, cinematographic, scientific, educational or artistic work, production or performance that uses or depicts cannabis, a cannabis accessory or a service related to cannabis, or a brand element of any of those things, whatever the mode or form of its expression, if no consideration is given, directly or indirectly, for that use or depiction in the work, production or performance;

(b)to a report, commentary or opinion in respect of cannabis, a cannabis accessory or a service related to cannabis or a brand element of any of those things, if no consideration is given, directly or indirectly, for the reference to the cannabis, cannabis accessory, service or brand element in that report, commentary or opinion;

(c)to a promotion, by a person that is authorized to produce, sell or distribute cannabis, that is directed at any person that is authorized to produce, sell or distribute cannabis, but not, either directly or indirectly, at consumers; or

(d)to a promotion, by a person that sells or distributes cannabis accessories or that provides a service related to cannabis, that is directed at any person that sells or distributes cannabis accessories, at any person that is authorized to produce, sell or distribute cannabis, but not, either directly or indirectly, at consumers.

17Promotion#

(1)Unless authorized under this Act, it is prohibited to promote cannabis or a cannabis accessory or any service related to cannabis, including

(a)by communicating information about its price or distribution;

(b)by doing so in a manner that there are reasonable grounds to believe could be appealing to young persons;

(c)by means of a testimonial or endorsement, however displayed or communicated;

(d)by means of the depiction of a person, character or animal, whether real or fictional; or

(e)by presenting it or any of its brand elements in a manner that associates it or the brand element with, or evokes a positive or negative emotion about or image of, a way of life such as one that includes glamour, recreation, excitement, vitality, risk or daring.

(2)Subject to the regulations, a person that is authorized to produce, sell or distribute cannabis may promote cannabis by means of informational promotion or brand-preference promotion if the promotion is

(a)in a communication that is addressed and sent to an individual who is 18 years of age or older and is identified by name;

(b)in a place where young persons are not permitted by law;

(c)communicated by means of a telecommunication, where the person responsible for the content of the promotion has taken reasonable steps to ensure that the promotion cannot be accessed by a young person;

(d)in a prescribed place; or

(e)done in a prescribed manner.

(3)Subject to the regulations, a person may promote a cannabis accessory or a service related to cannabis by means of informational promotion or brand-preference promotion if the promotion is

(a)in a communication that is addressed and sent to an individual who is 18 years of age or older and is identified by name;

(b)in a place where young persons are not permitted by law;

(d)in a prescribed place; or

(e)done in a prescribed manner.

(4)Subject to the regulations, a person that is authorized to sell cannabis may promote it at the point of sale if the promotion indicates only its availability, its price or its availability and price.

(5)Subject to the regulations, a person that sells a cannabis accessory or provides a service related to cannabis may promote it at the point of sale if the promotion indicates only its availability, its price or its availability and price.

(6)Subject to the regulations, a person may promote cannabis, a cannabis accessory or a service related to cannabis by displaying a brand element of cannabis, of a cannabis accessory or of a service related to cannabis on a thing that is not cannabis or a cannabis accessory, other than

(a)a thing that is associated with young persons;

(b)a thing that there are reasonable grounds to believe could be appealing to young persons; or

(c)a thing that is associated with a way of life such as one that includes glamour, recreation, excitement, vitality, risk or daring.

18False promotion — cannabis#

(1)It is prohibited to promote cannabis in a manner that is false, misleading or deceptive or that is likely to create an erroneous impression about its characteristics, value, quantity, composition, strength, concentration, potency, purity, quality, merit, safety, health effects or health risks.

(2)It is prohibited to promote a cannabis accessory in a manner that is false, misleading or deceptive or that is likely to create an erroneous impression about its design, construction, performance, intended use, characteristics, value, composition, merit, safety, health effects or health risks.

19Use of certain terms, etc.#

It is prohibited to use any term, expression, logo, symbol or illustration specified in regulations made under paragraph 139(1)(z.1) in the promotion of cannabis, a cannabis accessory or a service related to cannabis.

20Promotion using foreign media#

It is prohibited to promote, in a way that is prohibited by this Part, cannabis, a cannabis accessory, a service related to cannabis or a brand element of any of those things in a publication that is published outside Canada, a broadcast that originates outside Canada or any other communication that originates outside Canada.

21Sponsorship#

It is prohibited to display, refer to or otherwise use any of the following, directly or indirectly in a promotion that is used in the sponsorship of a person, entity, event, activity or facility:

(a)a brand element of cannabis, of a cannabis accessory or of a service related to cannabis; and

(b)the name of a person that

(i)produces, sells or distributes cannabis,

(ii)sells or distributes a cannabis accessory, or

(iii)provides a service related to cannabis.

22Name of facility#

It is prohibited to display on a facility, as part of the name of the facility or otherwise, if the facility is used for a sports or cultural event or activity,

(a)a brand element of cannabis, a cannabis accessory or a service related to cannabis; or

(b)the name of a person that

(i)produces, sells or distributes cannabis,

(ii)sells or distributes a cannabis accessory, or

(iii)provides a service related to cannabis.

23Publication, etc. of prohibited promotions#

(1)It is prohibited to publish, broadcast or otherwise disseminate, on behalf of another person, with or without consideration, any promotion that is prohibited by any of sections 17 to 22.

(2)Subsection (1) does not apply

(a)in respect of the distribution for sale of an imported publication;

(b)in respect of broadcasting, as defined in subsection 2(1) of the Broadcasting Act, by

(i)a distribution undertaking, as defined in that subsection 2(1), that is lawful under that Act, other than the broadcasting of a promotion that is inserted by the undertaking, or

(ii)an online undertaking, as defined in that subsection 2(1), that is lawful under that Act, in respect of the retransmission of programs over the Internet, other than the broadcasting of a promotion that is inserted by the undertaking; and

(c)in respect of a person that disseminates a promotion if they did not know, at the time of the dissemination, that it includes a promotion that is prohibited under any of sections 17 to 22.

^note

24Inducements#

(1)Unless authorized under this Act, it is prohibited for a person that sells cannabis or a cannabis accessory

(a)to provide or offer to provide cannabis or a cannabis accessory if it is provided or offered to be provided without monetary consideration or in consideration of the purchase of any thing or service or the provision of any service;

(b)to provide or offer to provide any thing that is not cannabis or a cannabis accessory, including a right to participate in a game, draw, lottery or contest, if it is provided or offered to be provided as an inducement for the purchase of cannabis or a cannabis accessory; or

(c)to provide or offer to provide any service if it is provided or offered to be provided as an inducement for the purchase of cannabis or a cannabis accessory.

(2)Subject to the regulations, subsection (1) does not apply in respect of a person that is authorized to sell cannabis that provides or offers to provide any thing, including cannabis or a cannabis accessory, or service referred to in any of paragraphs (1)(a) to (c) to a person that is authorized to produce, sell or distribute cannabis.

(3)Subject to the regulations, subsection (1) does not apply in respect of a person that sells a cannabis accessory that provides or offers to provide any thing, including cannabis or a cannabis accessory, or service referred to in any of paragraphs (1)(a) to (c) to a person that is authorized to produce, sell or distribute cannabis.

Subdivision B — Packaging and Labelling

25Compliance with regulations#

It is prohibited for a person that is authorized to sell cannabis to sell cannabis that has not been packaged or labelled in accordance with the regulations.

26Prohibited packaging and labelling — cannabis#

Unless authorized under this Act, it is prohibited for a person that is authorized to sell cannabis to sell it in a package or with a label

(a)if there are reasonable grounds to believe that the package or label could be appealing to young persons;

(b)that sets out a testimonial or endorsement, however displayed or communicated;

(c)that sets out a depiction of a person, character or animal, whether real or fictional;

(d)that associates the cannabis or one of its brand elements with, or evokes a positive or negative emotion about or image of, a way of life such as one that includes glamour, recreation, excitement, vitality, risk or daring; or

(e)that contains any information that is false, misleading or deceptive or that is likely to create an erroneous impression about the characteristics, value, quantity, composition, strength, concentration, potency, purity, quality, merit, safety, health effects or health risks of the cannabis.

27Prohibited packaging and labelling — cannabis accessory#

Unless authorized under this Act, it is prohibited for a person that sells a cannabis accessory to sell it in a package or with a label

(a)if there are reasonable grounds to believe that the package or label could be appealing to young persons;

(b)that sets out a testimonial or an endorsement, however displayed or communicated;

(c)that sets out a depiction of a person, character or animal, whether real or fictional;

(d)that associates the cannabis accessory or one of its brand elements with, or evokes a positive or negative emotion about or image of, a way of life such as one that includes glamour, recreation, excitement, vitality, risk or daring; or

(e)that contains any information that is false, misleading or deceptive or that is likely to create an erroneous impression about the design, construction, performance, intended use, characteristics, value, composition, merit, safety, health effects or health risks of the cannabis accessory.

28Use of certain terms, etc.#

Unless authorized under this Act, it is prohibited to use any term, expression, logo, symbol or illustration specified in regulations made under paragraph 139(1)(z.1) on a package or label of cannabis or a cannabis accessory.

Subdivision C — Display

29Display of cannabis#

Unless authorized under this Act, it is prohibited for a person that is authorized to sell cannabis to display it, or any package or label of cannabis, in a manner that may result in the cannabis, package or label being seen by a young person.

30Display of cannabis accessory#

Unless authorized under this Act, it is prohibited for a person that sells a cannabis accessory to display it, or any package or label of a cannabis accessory, in a manner that may result in the cannabis accessory, package or label being seen by a young person.

Subdivision D — Selling and Distributing

31Appeal to young persons#

Unless authorized under this Act, it is prohibited to sell cannabis or a cannabis accessory that has an appearance, shape or other sensory attribute or a function that there are reasonable grounds to believe could be appealing to young persons.

32Selling cannabis accessory to young person#

(1)Unless authorized under this Act, it is prohibited to sell a cannabis accessory to a young person.

(2)It is not a defence to a charge under subsection (1) that the accused believed that the young person referred to in that subsection was at least 18 years of age, unless the accused took reasonable steps to ascertain the individual’s age.

33Prohibited sales#

Unless authorized under this Act, it is prohibited for a person that is authorized to sell cannabis to sell cannabis of any class that is not referred to in Schedule 4.

34Prohibited substances#

(1)Unless authorized under this Act, it is prohibited to sell any mixture of substances that contains cannabis and any substance that is referred to in column 1 of Schedule 5.

(2)Subsection (1) does not apply in respect of a mixture of substances that contains a substance that is referred to in column 1 of Schedule 5 and any cannabis of a class of cannabis that is referred to in column 2 of that Schedule in respect of that substance.

35Selling or distributing recalled cannabis#

It is prohibited to sell or distribute cannabis that is the subject of a recall order made under section 76.

36Self-service display#

Unless authorized under this Act, it is prohibited to sell or distribute cannabis or a cannabis accessory by means of a display that allows for self-service.

37Dispensing device#

Unless authorized under this Act, it is prohibited to sell or distribute cannabis or a cannabis accessory by means of a dispensing device.

Subdivision E — Other Prohibitions

38Obstructing inspector#

(1)It is prohibited to obstruct, by act or omission, an inspector who is engaged in the exercise of powers or the performance of duties or functions under this Act.

(2)It is prohibited to knowingly make any false or misleading statement verbally or in writing to an inspector who is engaged in the exercise of powers or the performance of duties or functions under this Act.

(3)It is prohibited, without the authority of an inspector, to move, alter or interfere with, in any way, anything seized, detained or taken under section 86.

39False or misleading statement#

It is prohibited to knowingly make, or participate in, assent to or acquiesce in the making of, a false or misleading statement in any record, report, electronic data or document that is required to be prepared, retained or provided by any person under this Act.

Division 3 — Obligations

40Compliance with conditions#

The holder of a licence or permit issued under this Act must comply with its conditions.

41Suspension#

If a licence or permit issued under this Act is suspended in respect of any or all activities, its holder must cease conducting, for the duration of the suspension, the activities to which the suspension relates.

42Public disclosure#

Every person that is authorized under this Act to produce, sell or distribute cannabis must make available to the public, in the prescribed form and manner and within the prescribed time, information about cannabis that is required by the regulations.

43Promotion-related information — cannabis#

(1)Every person that is authorized under this Act to produce, sell or distribute cannabis must provide to the Minister, in the prescribed form and manner and within the prescribed time, information that is required by the regulations about any promotion of cannabis that they conduct, including a promotion referred to in paragraph 16(c).

(2)Every person that sells or distributes a cannabis accessory, or that provides a service related to cannabis, must provide to the Minister, in the prescribed form and manner and within the prescribed time, information that is required by the regulations about any promotion of cannabis accessories or their service related to cannabis, as the case may be, that they conduct, including a promotion referred to in paragraph 16(d).

(3)Every person that sells cannabis or cannabis accessories must provide to the Minister, in the prescribed form and manner and within the prescribed time, information that is required by the regulations about any thing, including cannabis or a cannabis accessory, or service referred to in any of paragraphs 24(1)(a) to (c) that they provide or offer to provide.

(4)The Minister may, subject to the regulations, request that a person that has provided information under any of subsections (1) to (3) provide additional information relating to the information they provided under that subsection, and that person must provide the requested information in the form and manner and within the time specified by the Minister.

Division 4 — Miscellaneous

44Penalty#

Subject to section 51, every person that contravenes a provision of this Act for which no punishment is otherwise provided by this Act, or that contravenes a provision of a regulation, an order made under any of sections 73 to 76, an order amended under section 79 or an order made under section 82,

(a)is guilty of an indictable offence and is liable to a fine of not more than $5,000,000 or imprisonment for a term of not more than three years, or to both; or

(b)is guilty of an offence punishable on summary conviction and is liable, for a first offence, to a fine of not more than $250,000 or imprisonment for a term of not more than six months, or to both, and, for any subsequent offence, to a fine of not more than $500,000 or imprisonment for a term of not more than 18 months, or to both.

45Limitation period#

No summary conviction proceedings in respect of an offence under section 44 may be commenced after the expiry of one year after the day on which the subject-matter of the proceedings arose.

46Offences by corporate officers, etc.#

If a person other than an individual commits an offence under section 44, any of the person’s directors, officers or agents or mandataries who directed, authorized, assented to, acquiesced in or participated in the commission of the offence is a party to the offence and is liable on conviction to the punishment provided for by this Act, even if the person is not prosecuted for the offence.

47Continuing offence#

If an offence under section 44 is committed or continued on more than one day, it constitutes a separate offence for each day on which it is committed or continued.

48Employees or agents or mandataries#

In a prosecution for an offence under section 44, it is sufficient proof of the offence to establish that it was committed by any employee or agent or mandatary of the accused, even if the employee or agent or mandatary is not identified or is not prosecuted for the offence.

49Venue#

Proceedings in respect of an offence in relation to a contravention of any provision of this Act or of the regulations, or of an order made under any of sections 73 to 76, an order amended under section 79 or an order made under section 82, may be held in the place where the offence was committed or where the subject-matter of the proceedings arose or in any place where the accused is apprehended or happens to be located.

50Reference to exception, exemption, etc.#

(1)No exception, exemption, excuse or qualification prescribed by law is required to be set out or negatived, as the case may be, in an information or indictment for an offence under this Act or under section 463, 464 or 465 of the Criminal Code in respect of such an offence.

(2)In any prosecution for an offence under this Act, the prosecutor is not required, except by way of rebuttal, to prove that a certificate, licence, permit, authorization, exemption or qualification does not operate in favour of the accused, whether or not it is referred to in the information or indictment.

Part 2 · Ticketable Offences

51Procedure#

(1)In addition to the procedures set out in the Criminal Code, proceedings referred to in subsection (2) against an individual who is 18 years of age or older or an organization may be commenced by a peace officer

(a)completing a ticket that consists of a summons portion and an information portion;

(b)in the case of proceedings against an individual, delivering the summons portion of the ticket to the accused;

(c)in the case of proceedings against an organization, sending the summons portion of the ticket, or delivering it, to the organization in accordance with the regulations; and

(d)filing the information portion of the ticket with a court of criminal jurisdiction before or as soon as feasible after the summons portion has been delivered or sent.

(2)The proceedings for the purposes of subsection (1) are the following:

(a)proceedings in respect of an offence arising out of the contravention of paragraph 8(1)(a) or (b) or any of subparagraphs 9(1)(a)(i), (iii) and (iv) in respect of cannabis of one or more classes of cannabis the total amount of which, as determined in accordance with Schedule 3, is equivalent to 50 g or less of dried cannabis;

(b)proceedings against an individual who is 18 years of age or older in respect of an offence arising out of the contravention of paragraph 8(1)(e) or subparagraph 9(1)(c)(ii) in respect of five or six cannabis plants;

(c)proceedings in respect of an offence arising out of the contravention of subsection 9(2) in respect of cannabis of one or more classes of cannabis the total amount of which is, as determined in accordance with Schedule 3, equivalent to 50 g or less of dried cannabis, if its possession was for the purpose of distributing it contrary to any of subparagraphs 9(1)(a)(i), (iii) and (iv);

(d)proceedings against an individual in respect of an offence arising out of the contravention of paragraph 10(1)(a) or (c) in respect of cannabis of one or more classes of cannabis the total amount of which is, as determined in accordance with Schedule 3, equivalent to 50 g or less of dried cannabis;

(e)proceedings against an individual in respect of an offence arising out of the contravention of subsection 10(2) in respect of cannabis of one or more classes of cannabis the total amount of which is, as determined in accordance with Schedule 3, equivalent to 50 g or less of dried cannabis, if its possession was for the purpose of selling it contrary to paragraph 10(1)(a) or (c);

(f)proceedings against an individual in respect of an offence arising out of the contravention of paragraph 12(1)(a) in respect of cannabis of one or more classes of cannabis the total amount of which is, as determined in accordance with Schedule 3, equivalent to 50 g or less of dried cannabis;

(g)proceedings in respect of an offence arising out of the contravention of paragraph 12(4)(b) in respect of five or six cannabis plants;

(h)proceedings in respect of an offence arising out of the contravention of subsection 12(5) in respect of one or two cannabis plants; and

(i)proceedings in respect of an offence arising out of the contravention of section 44 in respect of a contravention of a provision that is specified in regulations made under paragraph 139(1)(z.6).

(3)The summons and information portions of the ticket must set out

(a)a description of the offence and the time and place of its alleged commission;

(b)a statement, signed by the peace officer who completes the ticket, that the peace officer has reasonable grounds to believe that the accused committed the offence;

(c)an amount equal to the amount, determined under subsection (4), to be paid for the offence;

(d)the manner in which and period within which the amount is to be paid;

(d.1)a lesser amount than the amount determined under subsection (4) that may be paid for the offence if it is paid within a specified period that is shorter than the period referred to in paragraph (d);

(e)a statement that if the accused pays the amount within the period referred to in paragraph (d) or (d.1),

(i)a finding of guilt will be entered in the judicial record of the accused and the accused will be deemed to have received an absolute discharge and not to have been convicted of the offence,

(ii)the judicial record of the accused in respect of the offence will not be used for any purpose that would identify the accused as a person dealt with under this Act, and

(iii)if cannabis has been seized in relation to the offence, the cannabis will be forfeited to Her Majesty;

(f)a statement that if the accused wishes to plead not guilty, the accused must appear in the court, at the place, day and time set out in the ticket;

(g)a statement that if the accused pleads not guilty, he or she will be given an opportunity to indicate in which official language he or she wishes to be tried; and

(h)a statement that if the accused does not enter a plea and does not pay the amount within the period referred to in paragraph (d) or (d.1)

(i)a conviction will be entered in the judicial record of the accused, and

(ii)if cannabis has been seized in relation to the offence, the cannabis will be forfeited to Her Majesty.

(4)For the purpose of paragraph (3)(c), the amount is

(a)for an offence referred to in any of paragraphs (2)(a) to (h), $200 plus a victim surcharge, calculated in accordance with subsection 737(2) of the Criminal Code, and any applicable administrative fees; and

(b)for an offence in respect of a contravention of a provision that is specified in regulations made under paragraph 139(1)(z.6), the amount specified in those regulations in respect of that offence plus a victim surcharge, calculated in accordance with subsection 737(2) of the Criminal Code, and any applicable administrative fees.

52Consequences of payment#

Payment of the amount set out in the ticket by the accused within the period referred to in paragraph 51(3)(d) or (d.1) constitutes a plea of guilty to the offence described in the ticket and, following the payment,

(a)a finding of guilt is to be entered in the judicial record of the accused and the accused is deemed to have received an absolute discharge and not to have been convicted of the offence;

(b)the judicial record of the accused in relation to the offence must not be used for any purpose that would identify the accused as a person dealt with under this Act; and

(c)if cannabis has been seized in relation to the offence, the cannabis is forfeited to Her Majesty.

53Consequences of being convicted#

(1)If an accused pleads not guilty and the accused is convicted of the offence described in the ticket, the accused is liable to a fine of not more than $200, in the case of an offence referred to in any of paragraphs 51(2)(a) to (h) or, in the case of an offence in respect of a contravention of a provision specified in regulations made under paragraph 139(1)(z.6), to a fine of not more than the amount specified in those regulations in respect of that offence.

(1.1)If the accused is convicted of the offence, no order is to be made under section 731 of the Criminal Code in respect of that conviction.

(2)If the accused is convicted of the offence and the accused pays the amount owing in respect of the conviction, the judicial record of the accused in relation to the offence must not be used for any purpose that would identify the accused as a person dealt with under this Act.

54Consequences of failing to pay fine#

(1)If an accused fails to pay the amount set out in the ticket within the period referred to in paragraph 51(3)(d) or (d.1), the accused is liable for that amount and

(a)a conviction is to be entered in the judicial record of the accused;

(b)the conviction is deemed to have been pronounced by a court;

(c)if cannabis has been seized in relation to the offence, the cannabis is forfeited to Her Majesty;

(d)the accused has 60 days after the day of the conviction to pay the amount set out in the ticket; and

(e)the amount set out in the ticket, other than the amount in relation to the applicable fees, is deemed to be the fine imposed by the court.

(2)If, after being convicted, the accused pays the amount set out in the ticket or, if the accused is an individual, the accused has served, in full, any period of imprisonment imposed as a result of a default in payment of the amount of the fine imposed by the court, the judicial record of the accused in relation to the offence must not be used for any purpose that would identify the accused as a person dealt with under this Act.

55Imprisonment#

Only an individual who is unwilling though able to pay a fine or the amount of a victim surcharge imposed in respect of a conviction referred to in subsection 53(1) or a fine imposed in respect of a conviction referred to in section 54 may be imprisoned in default of its payment.

55.1Licences, permits, etc.#

If the amount to be paid under this Part is owed to Her Majesty in right of Canada, the person responsible, by or under an Act or ordinance of the legislature of a territory, for issuing or renewing a licence, permit or other similar instrument in relation to the offender may refuse to issue or renew or may suspend the licence, permit or other instrument until the fine or fee is paid in full, proof of which lies on the offender.

56Exclusion of laying information#

No information under the Criminal Code may be laid in respect of an offence for which a summons portion of a ticket is delivered or sent.

57Application of Criminal Code#

Except where otherwise provided by this Part, Part XXVII of the Criminal Code applies to proceedings commenced under this Part.

58Election of Attorney General#

(1)If a proceeding in respect of an offence referred to in any of paragraphs 51(2)(a) to (j) is commenced by the laying of an information, the Attorney General may elect that the proceeding be dealt with and disposed of as if it had been commenced under section 51.

(2)If the election is made, the clerk of the court must provide the accused with a notice that sets out

(a)an amount equal to the amount, determined under paragraph 51(4)(a) or (b), as the case may be, to be paid for the offence;

(b)the manner in which and period within which the amount is to be paid;

(b.1)a lesser amount than the amount determined under paragraph 51(4)(a) or (b), as the case may be, that may be paid for the offence if it is paid within a specified period that is shorter than the period referred to in paragraph (b);

(c)a statement that if the accused pays the amount within the period referred to in paragraph (b) or (b.1),

(i)a finding of guilt will be entered in the judicial record of the accused and the accused will be deemed to have received an absolute discharge and not to have been convicted of the offence,

(ii)the judicial record of the accused in respect of the offence will not be used for any purpose that would identify the accused as a person dealt with under this Act, and

(iii)if cannabis has been seized in relation to the offence, the cannabis will be forfeited to Her Majesty;

(d)a statement that if the accused wishes to plead not guilty or fails to pay the amount within the period referred to in paragraph (b) or (b.1), the accused must appear in the court at the place, day and time set out in the notice; and

(e)a statement that if the accused pleads not guilty, an opportunity will be provided for the accused to indicate in which official language the accused wishes to be tried.

(3)All conditions imposed on the accused in an appearance notice, promise to appear, undertaking or recognizance issued, given or entered into in accordance with Part XVI or XXVII of the Criminal Code in relation to the offence cease to have effect when the accused is notified that the Attorney General has made the election.

(4)The document and the information laid in respect of the offence are deemed to be a ticket delivered or sent under section 51.

59Agreements#

The Attorney General of Canada may enter into an agreement with the government of a province or with any provincial, municipal or local authority or any agent or mandatary of any such authority respecting, in particular, the following matters:

(a)the prosecution of offences commenced under this Part; and

(b)the discharge and enforcement of fines and fees referred to in this Part in respect of offences that are alleged to have been committed in or that are otherwise within the territorial jurisdiction of the courts of the province.

60Compensation agreements#

(1)The Attorney General of Canada may enter into an agreement with the government of a province or with any provincial, municipal or local authority

(a)respecting the sharing with that province or authority of the amounts in respect of fines and fees that are collected in respect of the prosecution of offences commenced under this Part, for the purpose of Canada compensating that province or authority, in whole or in part, for the administration and enforcement of this Part; and

(b)despite subsections 17(1) and (4) of the Financial Administration Act, authorizing the government of the province or the authority to withhold amounts, in accordance with the terms and conditions of the agreement, from the fines and fees referred to in paragraph (a) to be remitted to the Receiver General and deposited in the Consolidated Revenue Fund.

(2)The fees imposed under the laws of a province in respect of offences under Division 1 of Part 1 are deemed not to be public money for the purposes of the Financial Administration Act.

(3)All or a portion of the amount of fines and fees referred to in paragraph (1)(a) that are to be shared under an agreement are deemed to be appropriated by Parliament for that purpose.

Part 3 · Licences and Permits

61Applications for licences and permits#

(1)For the purposes of exercising his or her power under subsection 62(1) to issue or renew licences and permits, the Minister may, by order,

(a)establish classes of applications;

(b)establish conditions, by class of application or otherwise, that must be met before or during the consideration of an application;

(c)establish an order, by class of application or otherwise, for the consideration of applications; and

(d)provide for the disposition of applications, including those made by an applicant subsequent to the applicant’s first application.

(2)The fact that an application is retained, returned or disposed of without being considered does not constitute a decision in respect of the application.

(3)For greater certainty, an order made under subsection (1) also applies in respect of applications in respect of which no final decision had been made by the Minister before the making of the order.

(4)Nothing in this section in any way limits the power of the Minister to otherwise determine the most efficient manner in which applications are considered.

62Authority to issue, renew and amend#

(1)Subject to orders made under subsection 61(1), the regulations and subsection (2), the Minister may, on application, issue, renew or amend licences and permits that authorize the importation, exportation, production, testing, packaging, labelling, sending, delivery, transportation, sale, possession or disposal of cannabis or any class of cannabis.

(2)Licences and permits authorizing the importation or exportation of cannabis may be issued only in respect of cannabis for medical or scientific purposes or in respect of industrial hemp.

(3)An application for a licence or permit, or for its renewal or amendment, must be filed with the Minister in the form and manner specified by the Minister and set out the information required by the Minister, including financial information and any information required by the regulations.

(4)For the purposes of subsection (3), financial information in respect of an organization includes information about its shareholders or members and who controls it, directly or indirectly.

(5)The Minister may, on receiving an application, require the submission of any additional information, including financial information, that pertains to the information contained in the application and that is necessary for the Minister to consider the application.

(6)The Minister may refuse to consider an application if any information required to be provided under any of subsections (3) to (5) is not provided.

(7)The Minister may refuse to issue, renew or amend a licence or permit if

(a)the issuance, the renewal or the amendment is likely to create a risk to public health or public safety, including the risk of cannabis being diverted to an illicit market or activity;

(b)there are reasonable grounds to believe that false or misleading information or false or falsified documents were submitted in, or in support of, the application;

(c)the applicant has contravened in the past 10 years a provision of this Act, the Controlled Drugs and Substances Act or the Food and Drugs Act or of any regulation made under this Act or any of those Acts;

(d)there are reasonable grounds to believe that the applicant has contravened in the past 10 years

(i)an order made under this Act, the Controlled Drugs and Substances Act or the Food and Drugs Act, or

(ii)a condition of another licence or permit issued to the applicant under this Act or any of those Acts;

(e)the applicant is

(i)a young person,

(ii)an individual who is not ordinarily resident in Canada, or

(iii)an organization that was incorporated, formed or otherwise organized outside Canada;

(f)a security clearance in respect of the application has been refused or cancelled;

(g)the Minister is of the opinion that it is in the public interest to do so; or

(h)any prescribed grounds for refusal exist.

(8)If the Minister refuses to issue, renew or amend a licence or permit, he or she must send the applicant a notice in writing that sets out the reasons for the refusal.

(9)Every licence or permit is subject to the conditions set out in regulations made under paragraph 139(1)(g).

(10)Subject to the regulations, the Minister may make a licence or permit subject to any conditions that he or she considers appropriate.

63Amendment on own initiative#

(1)The Minister may, in accordance with the regulations, on his or her own initiative, amend a licence or permit if he or she is of the opinion that the amendment is necessary to protect public health or public safety, including to prevent cannabis from being diverted to an illicit market or activity.

(2)If the Minister proposes to amend a licence or permit on his or her own initiative, he or she must, in accordance with the regulations, send its holder a notice in writing that sets out the reasons for the proposed amendment and give the holder an opportunity to be heard.

64Suspension#

(1)Subject to the regulations, the Minister may suspend a licence or permit without prior notice to its holder in respect of any or all authorized activities in relation to any cannabis specified by the Minister if

(a)the Minister has reasonable grounds to believe that the suspension is necessary to protect public health or public safety, including to prevent cannabis from being diverted to an illicit market or activity; or

(b)any prescribed circumstance exists.

(2)If a licence or permit is suspended under subsection (1), the suspension takes effect as soon as the Minister provides the holder with a notice in writing of the suspension. The notice must also set out the reasons for the suspension.

(3)The holder may, within 10 days after receipt of the notice under subsection (2), provide the Minister with reasons why the holder believes the suspension is unfounded.

(4)The Minister must, by notice to the holder, reinstate a licence or permit in respect of any or all activities or cannabis affected by the suspension if the reasons for the suspension no longer exist or the holder demonstrates to the Minister that the suspension was unfounded.

65Revocation#

Subject to the regulations, the Minister may revoke a licence or permit if

(a)there are reasonable grounds to believe that it was issued on the basis of false or misleading information or false or falsified documents submitted in, or in support of, the application;

(b)the holder has, since its issuance, contravened a provision of this Act, the Controlled Drugs and Substances Act or the Food and Drugs Act or of any regulation made under this Act or any of those Acts;

(c)there are reasonable grounds to believe that the holder has, since its issuance, contravened

(i)an order made under this Act, the Controlled Drugs and Substances Act or the Food and Drugs Act, or

(ii)a condition of another licence or permit issued to the holder under this Act or any of those Acts;

(d)information received from a peace officer, a competent authority or an international organization of states or any of its institutions raises reasonable grounds to believe that its holder has been involved in the diversion of cannabis, or of any controlled substance or precursor as those terms are defined in subsection 2(1) of the Controlled Drugs and Substances Act, to an illicit market or activity;

(e)the holder is an individual who has, since its issuance, ceased to be ordinarily resident in Canada;

(f)since the issuance of the licence or permit, a security clearance in respect of the licence or permit has been cancelled;

(g)the Minister is of the opinion that it is in the public interest to revoke it; or

(h)any prescribed circumstance exists.

66Notice of proposed revocation#

If the Minister proposes to revoke a licence or permit, he or she must, in accordance with the regulations, send its holder a notice in writing that sets out the reasons for the proposed revocation and give the holder an opportunity to be heard.

67Security clearances#

(1)Subject to the regulations, the Minister may grant or refuse to grant a security clearance or suspend or cancel a security clearance.

(2)The Minister may specify, by name or position, any person — other than a person specified in the regulations — who must hold a security clearance if the Minister is of the opinion that the person

(a)performs, has performed or is about to perform activities related to a licence or permit that is issued under this Part or that is the subject of an application under this Part; or

(b)has, has had or is about to have custody, management or control of the place where activities related to a licence or permit that is issued under this Part or that is the subject of an application under this Part, are being or will be performed.

(3)If the Minister specifies that a person must hold a security clearance under subsection (2), the Minister must provide the applicant for, or the holder of, the licence or permit related to that person with a notice to that effect in writing.

68Termination of application#

(1)The Minister may, by order, fix a date for the termination of applications of a class of applications for a licence or permit under section 62 and, if he or she does so, every application of that class is terminated at the expiry of that date if a final decision has not been made in respect of that application.

(2)Any fees paid in respect of an application that is terminated under subsection (1) must be returned, without interest, to the person that paid them. The amounts payable may be paid out of the Consolidated Revenue Fund.

(3)No person has a right of recourse or indemnity against Her Majesty in connection with an application that is terminated under subsection (1).

Part 4 · General Authorizations

69Provincially authorized selling#

(1)A person may possess, sell or distribute cannabis if the person is authorized to sell cannabis under a provincial Act that contains the legislative measures referred to in subsection (3).

(2)Subsection (1) applies only if the provincial Act and the legislative measures are in force.

(3)For the purposes of subsection (1), the legislative measures in a provincial Act that authorizes the selling of cannabis are the following in respect of persons authorized to sell cannabis:

(a)they may sell only cannabis that has been produced by a person that is authorized under this Act to produce cannabis for commercial purposes;

(b)they may not sell cannabis to young persons;

(c)they are required to keep appropriate records respecting their activities in relation to cannabis that they possess for commercial purposes; and

(d)they are required to take adequate measures to reduce the risk of cannabis that they possess for commercial purposes being diverted to an illicit market or activity.

70Administration and enforcement activities — federal Acts#

(1)Unless the regulations provide otherwise, every individual who obtains cannabis in the course of activities performed in connection with the administration or enforcement of this Act or any other Act of Parliament is authorized to do anything that is prohibited by any provision of Division 1 of Part 1 if they do so in a manner that is consistent with the activities they are authorized to perform.

(2)Every individual who obtains cannabis in the course of activities performed in connection with the administration or enforcement of any provincial Act that authorizes the selling of cannabis is authorized to do anything that is prohibited by any provision of Division 1 of Part 1 if they do so in a manner that is consistent with the activities they are authorized to perform.

71Employees — this Act#

(1)Unless the regulations provide otherwise, every employee of a person that is authorized under this Act to possess, sell, distribute or produce cannabis may do anything that is prohibited by any provision of Division 1 of Part 1 if they do so as part of their employment duties and functions and in a manner that is consistent with the conditions that apply to their employer’s authorization.

(2)Unless the regulations provide otherwise, every person who is acting as the agent or mandatary of a person that is authorized under this Act to possess, sell, distribute or produce cannabis may do anything that is prohibited by any provision of Division 1 of Part 1 if they do so as part of their role as agent or mandatary and in a manner that is consistent with the conditions that apply to their principal’s or mandator’s authorization.

(3)Unless the regulations provide otherwise, every person who is acting under a contract with a person that is authorized under this Act to possess, sell, distribute or produce cannabis — other than an employee or an agent or mandatary of the authorized person — may do anything that is prohibited by any provision of Division 1 of Part 1 if they do so in the performance of their contract and in a manner that is consistent with the conditions that apply to the authorized person’s authorization.

72Employees — provincial Acts#

(1)Every employee of a person that is authorized under a provincial Act to sell cannabis may do anything that is prohibited by section 8, 9 or 10 if they do so as part of their employment duties and functions and in a manner that is consistent with the conditions that apply to their employer’s authorization.

(2)Every person who is acting as the agent or mandatary of a person that is authorized under a provincial Act to sell cannabis may do anything that is prohibited by section 8, 9 or 10 if they do so as part of their role as agent or mandatary and in a manner that is consistent with the conditions that apply to their principal’s or mandator’s authorization.

(3)Every person who is acting under a contract with a person that is authorized under a provincial Act to sell cannabis — other than an employee or an agent or mandatary of the authorized person — may do anything that is prohibited by section 8, 9 or 10 if they do so in the performance of their contract and in a manner that is consistent with the conditions that apply to the authorized person’s authorization.

Part 5 · Ministerial Orders

73Provision of information#

(1)The Minister may, by order, require a person that is authorized under this Act to conduct any activity in relation to cannabis — or a person that is authorized under a provincial Act to sell cannabis — to provide the Minister with any information that the Minister considers necessary

(a)to address an issue of public health or public safety; or

(b)to verify compliance or prevent non-compliance with the provisions of this Act or of the regulations.

(2)The order must include a statement of the reasons for the making of the order and specify the information to be provided and the time and manner in which it is to be provided.

74Tests and studies#

(1)For the purpose of verifying compliance or preventing non-compliance with the provisions of this Act or of the regulations or to address an issue of public health or public safety, the Minister may, by order, require a person that is authorized under this Act to conduct any activity in relation to cannabis — or a person that is authorized under a provincial Act to sell cannabis — to

(a)conduct tests or studies on the cannabis to which their activities relate or that they are authorized to sell, as the case may be, in order to obtain the information that the Minister considers necessary; and

(b)provide the Minister with that information and the results of the tests or studies.

(2)The order must

(a)include a statement of the reasons for the making of the order;

(b)specify the tests or studies that are to be conducted;

(c)specify the information that is to be provided; and

(d)specify the time and manner in which

(i)the tests or studies are to be conducted, and

(ii)the information and the results of the tests or studies are to be provided.

75Measures#

(1)The Minister may, by order, require a person that is authorized under this Act to conduct any activity in relation to cannabis — or a person that is authorized under a provincial Act to sell cannabis — to take any measures that the Minister considers necessary

(a)to address an issue of public health or public safety; or

(b)to prevent non-compliance with the provisions of this Act or of the regulations or, if the Minister has reasonable grounds to believe that there is such non-compliance, to remedy it.

(2)The order must include a statement of the reasons for the making of the order and specify the measures to be taken and the time and manner in which they are to be taken.

76Recall#

(1)If the Minister believes on reasonable grounds that a recall of any cannabis or class of cannabis is necessary to protect public health or public safety, he or she may, by order, require a person that sells or distributes that cannabis or class of cannabis to recall it or send it — or cause it to be sent — to a place specified in the order, or to do both those things.

(2)The order must include a statement of the reasons for the making of the order and specify the time and manner in which the recall is to be carried out.

77Recall or measures taken by Minister#

If a person does not comply with an order made under section 75 or 76 or an order amended under section 79 within the time specified in the order, the Minister may, on his or her own initiative and at that person’s expense, carry out the measures required or the recall.

78Review officers#

The Minister may designate any qualified individuals or class of qualified individuals as review officers for the purpose of reviewing orders made under section 79.

79Request for review#

(1)Subject to any other provision of this section, an order that is made under any of sections 73 to 76 or amended under subsection (10) must be reviewed on the written request of the person to which the order was addressed — but only on grounds that involve questions of fact alone or questions of mixed law and fact — by a review officer other than the individual who amended the order under subsection (10).

(2)The request must state the grounds for review and set out the evidence that supports those grounds and the decision that is sought. The request must be provided to the Minister within seven days after the day on which the order was provided.

(3)The review is not to be done if the request does not comply with subsection (2) or is frivolous, vexatious or not made in good faith.

(4)If the review is not done, the person that made the request must, without delay, be notified in writing of the reasons.

(5)A review officer — other than the individual who amended the order under subsection (10) — may review an order made under any of sections 73 to 76, whether or not a request is made under subsection (1).

(6)An order made under any of sections 73 to 76 continues to apply during a review unless the review officer decides otherwise.

(7)A review officer must complete the review no later than the 30th day after the day on which the request is provided to the Minister.

(8)The review officer may extend the review period by no more than 30 days if they are of the opinion that more time is required to complete the review. They may extend the review period more than once.

(9)If the review period is extended, the person that made the request must, without delay, be notified in writing of the reasons for extending it.

(10)On completion of a review, the review officer must confirm, amend, terminate or cancel the order.

(11)The person that made the request or, if there is no request, the person to which the order was addressed must, without delay, be notified in writing of the reasons for the review officer’s decision under subsection (10).

(12)An order that is amended is subject to review under this section.

80Statutory Instruments Act#

An order made under any of sections 73 to 76 is not a statutory instrument within the meaning of subsection 2(1) of the Statutory Instruments Act.

Part 6 · Cannabis Tracking System

81Establishment and maintenance#

The Minister may, using the information collected under section 82 and any other information to which the Minister has access, establish and maintain a national cannabis tracking system to

(a)enable the tracking of cannabis;

(b)prevent cannabis from being diverted to an illicit market or activity; and

(c)prevent illicit cannabis from being a source of supply of cannabis in the legal market.

82Order requiring information#

(1)For the purpose of section 81, the Minister may, by order, require a class of persons that are authorized to import, export, produce, test, package, label, send, deliver, transport, sell, or dispose of cannabis to provide the Minister with information respecting their activities in relation to cannabis.

(2)The order must specify the information to be provided and the time within and the form and manner in which it is to be provided and may specify the following:

(a)the manner in which and the place where the records, reports, electronic data or other documents containing the information — and any information on which the information is based — are to be retained;

(b)the period for which the records, reports, electronic data or other documents referred to in paragraph (a) are to be retained, which must not be more than three years from the date the information is provided to the Minister; and

(c)the manner in which calculations, measurements and other data on which the information is based are to be documented.

(3)An order under subsection (1) may not require the provision of any personal information, as defined in section 3 of the Privacy Act, in respect of a consumer that purchases cannabis at the retail level.

(4)The Minister may, by order, on written request from a person that is subject to an order made under subsection (1), extend the time within which the person must comply with the order made under subsection (1). If the order under this subsection is granted, the original time in the order made under subsection (1) is deemed to be replaced, in relation to that person, by the new time.

(5)If an order is made under subsection (4) after a person has failed to provide information in the time provided for in the order made under subsection (1), the person is deemed not to have failed to provide the information within the required time.

(6)An order made under subsection (4) is not a statutory instrument within the meaning of subsection 2(1) of the Statutory Instruments Act.

83Disclosure of information#

The Minister may disclose any information contained in the national cannabis tracking system as follows:

(a)he or she may disclose it to the government of a province or a public body established under a provincial Act if the disclosure is for a purpose related to verifying compliance or preventing non-compliance with the provisions of a provincial Act that contains the legislative measures referred to in subsection 69(3);

(b)he or she may disclose it to any federal Minister if the disclosure is for a purpose related to verifying compliance or preventing non-compliance with the provisions of any Act of Parliament, other than this Act, that applies directly or indirectly to cannabis or any activity in relation to cannabis;

(c)he or she may disclose it if he or she has reasonable grounds to believe that the disclosure is necessary to protect public health or public safety, including to prevent cannabis from being diverted to an illicit market or activity;

(d)he or she may disclose it if the disclosure is necessary to enable Canada to fulfil its international obligations;

(e)he or she may disclose it to any prescribed person; or

(f)he or she may disclose it in the prescribed circumstances.

Part 7 · Inspections

84Designation of inspectors#

(1)For the purposes of the administration and enforcement of this Act, the Minister may designate any individuals or class of individuals as inspectors to exercise powers or perform duties or functions in relation to any matter referred to in the designation.

(2)Each inspector must be provided with a certificate of designation in a form established by the Minister and, when entering any place under subsection 86(1), must, on request, produce the certificate to the person in charge of the place.

85Provision of documents, information or samples#

(1)An inspector may, for a purpose related to verifying compliance or preventing non-compliance with the provisions of this Act or of the regulations, order a person that is authorized under this Act to conduct any activity in relation to cannabis to provide, on the date, at the time and place and in the manner specified by the inspector, any document, information or sample specified by the inspector.

(2)A person that is ordered by an inspector to provide a document, information or a sample must do so on the date, at the time and place and in the manner specified by the inspector.

86Power to enter#

(1)Subject to subsection (7), an inspector may, for a purpose related to verifying compliance or preventing non-compliance with the provisions of this Act or of the regulations, enter any place, including a conveyance, in which they believe on reasonable grounds

(a)an activity that may be regulated under this Act is being conducted;

(b)any record, report, electronic data or other document relating to the administration of this Act or the regulations is located;

(c)any record, report, electronic data or other document relating to the promotion of cannabis, a cannabis accessory or a service related to cannabis is located;

(d)an activity could be conducted under a licence, permit, authorization or exemption that is under consideration by the Minister; or

(e)an activity was being conducted under a licence, permit, authorization or exemption before the expiry or revocation of the licence, permit, authorization or exemption, in which case the inspector may enter the place only within 45 days after the day on which it expired or was revoked.

(2)The inspector may in the place entered under subsection (1)

(a)open and examine any receptacle or package found in the place;

(b)examine anything found in the place that is used or may be capable of being used for the production, preservation, packaging, labelling or storage of cannabis;

(c)examine any record, report, electronic data or other document, or any label or promotional material, found in the place with respect to cannabis, other than the records of the medical condition of individuals, and make copies of them or take extracts from them;

(d)use or cause to be used any computer system at the place to examine any electronic data referred to in paragraph (c);

(e)reproduce any document from any electronic data referred to in paragraph (c), or cause it to be reproduced, in the form of a printout or other output;

(f)take the record, report or other document, or the label or promotional material, referred to in paragraph (c) or the printout or other output referred to in paragraph (e) for examination or copying;

(g)use or cause to be used any copying equipment at the place to make copies of any document;

(h)take photographs and make recordings and sketches;

(i)examine any substance found in the place and take, for the purpose of analysis, any samples of it;

(j)seize and detain in accordance with this Part, cannabis or any other thing found in the place that the inspector believes on reasonable grounds is something in relation to which the Act was contravened or is something the seizure and detention of which is necessary to prevent non-compliance with the provisions of this Act or of the regulations;

(k)order the owner or person having possession of cannabis or any other thing to which the provisions of this Act or of the regulations apply that is found in that place to move it or, for any time that may be necessary, not to move it or to restrict its movement;

(l)order the owner or person having possession of any conveyance that is found in the place and that the inspector believes on reasonable grounds contains cannabis to stop the conveyance, to move it or, for any time that may be necessary, not to move it or to restrict its movement;

(m)order any person in that place to establish their identity to the inspector’s satisfaction; and

(n)order a person that, at that place, conducts an activity to which the provisions of this Act or of the regulations apply to stop or start the activity.

(3)For the purposes of subsection (1), the inspector is considered to have entered a place when accessing it remotely by a means of telecommunication.

(4)An inspector who enters remotely, by a means of telecommunication, a place that is not accessible to the public must do so with the knowledge of the owner or person in charge of the place and must be remotely in the place for no longer than for the period necessary for the purpose referred to in subsection (1).

(5)The inspector may be accompanied by any other individual that the inspector believes is necessary to help them exercise their powers or perform their duties or functions under this section.

(6)The inspector and any individual accompanying them may enter and pass through private property, other than a dwelling-house on that property, in order to gain entry to a place referred to in subsection (1). For greater certainty, they are not liable for doing so.

(7)In the case of a dwelling-house, an inspector may enter it only with the consent of an occupant or under the authority of a warrant issued under subsection (8).

(8)A justice may, on ex parte application, issue a warrant authorizing the inspector named in it to enter a place and exercise any of the powers mentioned in paragraphs (2)(a) to (n), subject to any conditions that are specified in the warrant, if the justice is satisfied by information on oath that

(a)the place is a dwelling-house but otherwise meets the conditions for entry described in subsection (1);

(b)entry to the dwelling-house is necessary for the purpose of verifying compliance or preventing non-compliance with the provisions of this Act or of the regulations; and

(c)entry to the dwelling-house has been refused or there are reasonable grounds to believe that entry will be refused.

(9)In executing a warrant issued under subsection (8), an inspector must not use force unless they are accompanied by a peace officer and the use of force is specifically authorized in the warrant.

(10)An application for a warrant under subsection (8) may be submitted, and the warrant may be issued, by a means of telecommunication and section 487.1 of the Criminal Code applies for those purposes with any necessary modifications.

(11)The owner or other person in charge of a place entered by an inspector under subsection (1) and every individual found there must give the inspector all reasonable assistance in their power and provide the inspector with any information that the inspector may reasonably require.

(12)An inspector who seizes a thing under this section may

(a)on notice to and at the expense of its owner or the person having possession of it at the time of its seizure, store it or move it to another place; or

(b)order its owner or the person having possession of it at the time of its seizure to, at their expense, store it or move it to another place.

(13)If an inspector determines that to verify compliance or prevent non-compliance with the provisions of this Act or of the regulations it is no longer necessary to detain anything seized by the inspector under this section, the inspector must notify in writing the owner or other person in charge of the place where the seizure occurred of that determination and, on being issued a receipt for it, must return the thing to that person.

(14)If a period of 120 days has elapsed after the date of a seizure under this section and the thing has not been returned, disposed of or otherwise dealt with in accordance with subsection (13) or any of sections 103 to 107, it must be returned, disposed of or otherwise dealt with in accordance with the regulations or, if there are no applicable regulations, in the manner that the Minister directs.

^note

Part 8 · Search Warrant

87Information for search warrant#

(1)A justice who, on ex parte application, is satisfied by information on oath that there are reasonable grounds to believe that any of the following is in a place may, at any time, issue a warrant authorizing a peace officer, at any time, to search the place for it and to seize it:

(a)cannabis in respect of which this Act has been contravened;

(b)anything in which cannabis in respect of which this Act has been contravened is contained or concealed;

(c)offence-related property; or

(d)anything that will afford evidence in respect of an offence under this Act or an offence, in whole or in part, in relation to a contravention of this Act, under section 354 or 462.31 of the Criminal Code.

(2)For the purposes of subsection (1), the information may be submitted by telephone or other means of telecommunication in accordance with section 487.1 of the Criminal Code, with any necessary modifications.

(3)A warrant issued under subsection (1) may be executed at any place in Canada. Any peace officer who executes the warrant must have authority to act as a peace officer in the place where it is executed.

(4)Section 487.093 of the Criminal Code, other than paragraph 487.093(1)(c), applies with respect to a warrant issued under subsection (1).

(5)If a peace officer who executes a warrant issued under subsection (1) has reasonable grounds to believe that any individual found in the place referred to in the warrant has on them any cannabis, property or thing referred to in the warrant, the peace officer may search the individual for it and seize it.

(6)A peace officer who executes a warrant issued under subsection (1) may seize, in addition to any cannabis, property or thing referred to in the warrant,

(a)any cannabis in respect of which the peace officer believes on reasonable grounds that this Act has been contravened;

(b)anything that the peace officer believes on reasonable grounds contains or conceals cannabis;

(c)anything that the peace officer believes on reasonable grounds is offence-related property; or

(d)anything that the peace officer believes on reasonable grounds will afford evidence in respect of an offence under this Act.

(7)A peace officer may exercise any of the powers described in subsection (1), (5) or (6) without a warrant if the conditions for obtaining a warrant exist but by reason of exigent circumstances it would be impracticable to obtain one.

(8)A peace officer who executes a warrant issued under subsection (1) or exercises powers under subsection (5) or (7) may seize, in addition to any cannabis, property or thing referred to in the warrant and in subsection (6), anything that the peace officer believes on reasonable grounds has been obtained by or used in the commission of an offence or that will afford evidence in respect of an offence.

^note

88Assistance and use of force#

For the purpose of exercising any of the powers described in section 87, a peace officer may

(a)enlist the assistance that the officer considers necessary; and

(b)use as much force as is necessary in the circumstances.

Part 9 · Disposition of Seized Things

Report to Minister

89Report of seizure, etc.#

(1)Subject to the regulations, every peace officer, inspector or prescribed person that seizes, finds or otherwise acquires cannabis in the course of the administration or enforcement of this Act or any other Act of Parliament must, within 30 days after doing so, cause a report to be sent to the Minister setting out

(a)a description of the cannabis;

(b)the amount that was seized, found or otherwise acquired;

(c)the place where it was seized, found or otherwise acquired;

(d)the date on which it was seized, found or otherwise acquired;

(e)the name of the police force, agency or entity to which the peace officer, inspector or prescribed person belongs;

(f)the number of the file or police report related to the seizure, finding or acquisition; and

(g)any other prescribed information.

(2)In the case of a seizure made under section 87 of this Act, the Criminal Code or a power of seizure at common law, the individual who caused the report to be sent to the Minister must also, within 30 days after the seizure, cause a copy of the report to be filed with the justice who issued the warrant or another justice for the same territorial division or, if a warrant was not issued, a justice who would have had jurisdiction to issue a warrant.

Application

90Sections 489.1 and 490 of Criminal Code applicable#

(1)Subject to subsections (2) and (3), sections 489.1 and 490 of the Criminal Code apply to anything seized under this Act.

(2)If a thing seized under this Act is non-chemical offence-related property, sections 489.1 and 490 of the Criminal Code apply, subject to subsections 86(12) to (14) and sections 94 to 101 of this Act.

(3)The provisions of this Act and of the regulations apply in respect of

(a)any cannabis or chemical offence-related property that is seized under this Act or any other Act of Parliament or under a power of seizure at common law; and

(b)any chemical or thing that is referred to in paragraph (b) or (c) of the definition chemical property in subsection 2(1) and that is seized under this Act.

(4)If, under this section, an order is made under paragraph 490(9)(c) of the Criminal Code for the return of any non-chemical offence-related property seized under this Act, the judge or justice making the order may require the applicant for the order to enter into a recognizance before the judge or justice, with or without sureties, in the amount and with the conditions, if any, that the judge or justice directs and, if the judge or justice considers it appropriate, require the applicant to deposit with the judge or justice the sum of money or other valuable security that the judge or justice directs.

Division 1 — Non-chemical Offence-related Property

Restraint Orders

91Application for restraint order#

(1)The Attorney General may make an application in accordance with this section for a restraint order under this section in respect of any non-chemical offence-related property.

(2)The application may be made ex parte and it must be made in writing to a judge and be accompanied by an affidavit sworn on the information and belief of the Attorney General or any other person deposing to the following matters:

(a)the offence to which the property relates;

(b)the person that is believed to be in possession of the property; and

(c)a description of the property.

(3)The judge to whom the application is made may, if satisfied that there are reasonable grounds to believe that the property is non-chemical offence-related property, make a restraint order prohibiting any person from disposing of or otherwise dealing with any interest in or right to the property specified in the order, other than in the manner that is specified in the order.

(4)A restraint order may be issued under this section in respect of property situated outside Canada, with any modifications that the circumstances require.

(5)The restraint order may be subject to any reasonable conditions that the judge thinks fit.

(6)The restraint order must be in writing.

(7)A copy of the restraint order must be served on the person to which the order is addressed in the manner that the judge making it directs or in accordance with the rules of the court.

(8)A copy of the restraint order must be registered against any property in accordance with the laws of the province in which the property is situated.

(9)The restraint order remains in effect until

(a)an order is made under subsection 97(3) or 98(3) of this Act or subsection 490(9) or (11) of the Criminal Code in relation to the property; or

(b)an order of forfeiture of the property is made under subsection 94(1) or 95(2) of this Act or section 490 of the Criminal Code.

(10)Any person on which a restraint order is served in accordance with this section and that, while the order is in force, fails to comply with the order is guilty of an indictable offence or an offence punishable on summary conviction.

92Sections 489.1 and 490 of Criminal Code applicable#

(1)Subject to sections 94 to 101 of this Act, sections 489.1 and 490 of the Criminal Code apply, with any necessary modifications, to any property that is the subject-matter of a restraint order made under section 91.

(2)If, under this section, an order is made under paragraph 490(9)(c) of the Criminal Code for the return of any property that is the subject-matter of a restraint order made under section 91, the judge or justice making the order may require the applicant for the order to enter into a recognizance before the judge or justice, with or without sureties, in the amount and with the conditions, if any, that the judge or justice directs and, if the judge or justice considers it appropriate, require the applicant to deposit with the judge or justice the sum of money or other valuable security that the judge or justice directs.

Management Orders

93Management order#

(1)On application of the Attorney General or of any other person with the written consent of the Attorney General, a justice in the case of non-chemical offence-related property seized under section 87 of this Act, the Criminal Code or a power of seizure at common law, or a judge in the case of property restrained under section 91, may, if he or she is of the opinion that the circumstances so require,

(a)appoint a person to take control of and to manage or otherwise deal with all or part of the property in accordance with the directions of the judge or justice; and

(b)require any person having possession of that property to give possession of the property to the person appointed under paragraph (a).

(2)If the Attorney General of Canada so requests, a judge or justice appointing a person under subsection (1) must appoint the Minister of Public Works and Government Services.

(3)The power to manage or otherwise deal with property under subsection (1) includes

(a)the power to make an interlocutory sale of perishable or rapidly depreciating property;

(b)the power to destroy, in accordance with subsections (4) to (7), property that has little or no value; and

(c)the power to have property — other than real property or immovables or a conveyance — forfeited to Her Majesty in accordance with subsection (8).

(4)Before a person that is appointed to manage property destroys property that has little or no value, they must apply to a court for a destruction order.

(5)Before making a destruction order, a court must require notice in accordance with subsection (6) to be given to, and may hear, any person that, in the opinion of the court, appears to have a valid interest in or right to the property.

(6)The notice must

(a)be given in the manner that the court directs or that may be specified in the rules of the court; and

(b)specify the effective period of the notice that the court considers reasonable or that may be set out in the rules of the court.

(7)A court must order that the property be destroyed if it is satisfied that the property has little or no financial or other value.

(8)On application by a person that is appointed to manage the property, a court must order that the property — other than real property or immovables or a conveyance — be forfeited to Her Majesty to be disposed of or otherwise dealt with in accordance with the law if

(a)a notice is given or published in the manner that the court directs or that may be specified in the rules of the court;

(b)the notice specifies a period of 60 days during which a person may make an application to the court asserting their interest in or right to the property; and

(c)during that period, no one makes such an application.

(9)For greater certainty, if property that is the subject of a management order is sold, the management order applies to the net proceeds of the sale.

(10)The Attorney General may at any time apply to the judge or justice to cancel or vary any condition to which a management order is subject but may not apply to vary an appointment made under subsection (2).

(11)A management order ceases to have effect when the property that is the subject of the management order is returned in accordance with the law, destroyed or forfeited to Her Majesty.

Forfeiture

94Forfeiture order#

(1)Subject to sections 96 to 98, if a person is convicted or discharged under section 730 of the Criminal Code of a designated offence and, on application of the Attorney General, the court is satisfied, on a balance of probabilities, that non-chemical offence-related property is related to the commission of the offence, the court must

(a)if the prosecution of the offence was commenced at the instance of the government of a province and conducted by or on behalf of that government, order that the property be forfeited to Her Majesty in right of that province and disposed of or otherwise dealt with in accordance with the law by the Attorney General or Solicitor General of that province; and

(b)in any other case, order that the property be forfeited to Her Majesty in right of Canada and disposed of or otherwise dealt with in accordance with the law by the member of the Queen’s Privy Council for Canada who is designated by the Governor in Council for the purposes of this paragraph.

(2)Subject to sections 96 to 98, if the evidence does not establish to the satisfaction of the court that property in respect of which an order of forfeiture would otherwise be made under subsection (1) is related to the commission of the designated offence of which a person is convicted or discharged, but the court is satisfied, beyond a reasonable doubt, that the property is non-chemical offence-related property, the court may make an order of forfeiture under subsection (1) in relation to that property.

(3)An order may be issued under this section in respect of property situated outside Canada, with any modifications that the circumstances require.

(4)A person that has been convicted or discharged of a designated offence, or the Attorney General, may appeal to the court of appeal from an order or a failure to make an order under subsection (1) as if the appeal were an appeal against the sentence imposed on the person in respect of the offence.

95Application for in rem forfeiture#

(1)If an information has been laid in respect of a designated offence, the Attorney General may make an application to a judge for an order of forfeiture under subsection (2).

(2)Subject to sections 96 to 98, the judge to whom the application is made must order the property to be forfeited and disposed of in accordance with subsection (4)

(a)if the judge is satisfied beyond a reasonable doubt that any property is non-chemical offence-related property;

(b)if the judge is satisfied that proceedings were commenced in respect of a designated offence to which the property referred to in paragraph (a) is related; and

(c)if the judge is satisfied that the accused charged with the designated offence has died or absconded.

(3)For the purposes of subsection (2), an accused is deemed to have absconded in connection with a designated offence if

(a)an information has been laid alleging the commission of the offence by the accused;

(b)a warrant for the arrest of the accused has been issued in relation to that information; and

(c)reasonable attempts to arrest the accused under the warrant have been unsuccessful during a period of six months beginning on the day on which the warrant was issued.

An accused who is deemed under this subsection to have absconded in connection with a designated offence is deemed to have done so on the last day of the six-month period referred to in paragraph (c).

(4)For the purposes of subsection (2), the judge must

(a)if the proceedings referred to in paragraph (2)(b) were commenced at the instance of the government of a province, order that the property be forfeited to Her Majesty in right of that province and disposed of or otherwise dealt with in accordance with the law by the Attorney General or Solicitor General of that province; and

(5)An order may be issued under this section in respect of property situated outside Canada, with any modifications that the circumstances require.

96Power to set aside transfers#

A court may, before ordering that property be forfeited under subsection 94(1) or 95(2), set aside any transfer of the property that occurred after the seizure of the property, or the making of a restraint order in respect of the property, unless the transfer was for valuable consideration to a person acting in good faith.

97Notice#

(1)Before making an order under subsection 94(1) or 95(2) in relation to any property, a court must require a notice in accordance with subsection (2) to be given to, and may hear, any person that, in the opinion of the court, appears to have a valid interest in or right to the property.

(2)The notice must

(a)be given in the manner that the court directs or that may be specified in the rules of the court;

(b)specify the period that the court considers reasonable or that may be set out in the rules of the court during which a person may make an application to the court asserting their interest in or right to the property; and

(c)set out the designated offence charged and a description of the property.

(3)If a court is satisfied that any person, other than one referred to in paragraph (a) or (b), is the owner of, or is entitled to possession of, any property or any part of any property that would otherwise be forfeited under an order made under subsection 94(1) or 95(2) and that the person appears innocent of any complicity in a designated offence or of any collusion in relation to such an offence, the court may order that the property or part be returned to that person:

(a)a person that was charged with a designated offence; or

(b)a person that acquired title to, ownership of or a right of possession of the property from a person referred to in paragraph (a) under circumstances that give rise to a reasonable inference that the title or right was transferred for the purpose of avoiding the forfeiture of the property.

98Notice#

(1)If all or part of the property that would otherwise be forfeited under subsection 94(1) or 95(2) is a dwelling-house, before making an order of forfeiture, a court must require notice in accordance with subsection (2) to be given to, and may hear, any individual who resides in the dwelling-house and is a member of the immediate family of the person charged with or convicted or discharged under section 730 of the Criminal Code of the indictable offence under this Act in relation to which the property would be forfeited.

(2)The notice must

(a)be given in the manner that the court directs or that may be specified in the rules of the court;

(b)specify the period that the court considers reasonable or that may be set out in the rules of the court during which a member of the immediate family who resides in the dwelling-house may make themselves known to the court; and

(c)set out the offence charged and a description of the property.

(3)Subject to an order made under subsection 97(3), if a court is satisfied that the impact of an order of forfeiture made under subsection 94(1) or 95(2) in respect of real property or immovables would be disproportionate to the nature and gravity of the offence, the circumstances surrounding the commission of the offence and the criminal record, if any, of the person charged with or convicted or discharged under section 730 of the Criminal Code of the offence, it may decide not to order the forfeiture of the property or part of the property and may revoke any restraint order made in respect of that property or part.

(4)If all or part of the property that would otherwise be forfeited under subsection 94(1) or 95(2) is a dwelling-house, when making a decision under subsection (3), the court must also consider

(a)the impact of an order of forfeiture on any member of the immediate family of the person charged with or convicted or discharged of the offence, if the dwelling-house was the family member’s principal residence at the time the charge was laid and continues to be the family member’s principal residence; and

(b)whether the family member appears innocent of any complicity in the offence or of any collusion in relation to the offence.

99Application of claimants#

(1)If any property is forfeited to Her Majesty under an order made under subsection 94(1) or 95(2), any person that claims an interest in or right to the property, other than any of the following persons, may, within 30 days after the forfeiture, apply by notice in writing to a judge for an order under subsection (4):

(a)in the case of property forfeited under an order made under subsection 94(1), a person that was convicted or discharged under section 730 of the Criminal Code of the designated offence in relation to which the property was forfeited;

(b)in the case of property forfeited under an order made under subsection 95(2), a person that was charged with the designated offence in relation to which the property was forfeited; or

(c)a person that acquired title to, ownership of or a right of possession of the property from a person referred to in paragraph (a) or (b) under circumstances that give rise to a reasonable inference that the title or right was transferred from that person for the purpose of avoiding the forfeiture of the property.

(2)The judge to whom the application is made must fix a day that is not less than 30 days after the date of the filing of the application for the hearing of the application.

(3)The applicant must serve a notice of the application and of the hearing of it on the Attorney General at least 15 days before the day fixed for the hearing.

(4)The judge to whom the application is made may make an order declaring that the interest or right of the applicant is not affected by the forfeiture and declaring the nature and the extent or value of the interest or right if the judge is satisfied that the applicant

(a)is not a person referred to in paragraph (1)(a), (b) or (c) and appears innocent of any complicity in any designated offence that resulted in the forfeiture of the property or of any collusion in relation to such an offence; and

(b)exercised all reasonable care to be satisfied that the property was not likely to have been used in connection with the commission of an unlawful act by

(i)the person that was permitted by the applicant to obtain possession of the property or from which the applicant obtained possession,

(ii)the mortgagor or hypothecary debtor, if the applicant is a mortgagee or hypothecary creditor,

(iii)the person that is subject to the charge, if the applicant is a chargee,

(iv)the person that is subject to the prior claim, if the applicant is the holder of a prior claim,

(v)the person that is subject to the lien, if the applicant is a lienholder, or

(vi)the giver of a security interest, if the applicant is the creditor in relation to the security interest.

(5)An applicant or the Attorney General may appeal to the court of appeal from an order made under subsection (4), and the provisions of Part XXI of the Criminal Code with respect to procedure on appeals apply, with any necessary modifications, in respect of appeals under this subsection.

(6)The Minister must, on application made to the Minister by any person in respect of which a judge has made an order under subsection (4), and if the periods with respect to the taking of appeals from that order have expired or any appeal from that order taken under subsection (5) has been determined, direct that

(a)the property, or the part of it to which the interest or right of the applicant relates, be returned to the applicant; or

(b)an amount equal to the value of the interest or right of the applicant, as declared in the order, be paid to the applicant.

100Appeal — subsection 95(2)#

Any person that, in their opinion, is aggrieved by an order made under subsection 95(2) may appeal from the order as if the order were an appeal against conviction or against a judgment or verdict of acquittal, as the case may be, under Part XXI of the Criminal Code, and that Part applies, with any necessary modifications, in respect of such an appeal.

101Suspension of order pending appeal#

Despite anything in this Act, the operation of an order made in respect of property under subsection 94(1), 95(2) or 99(4) is suspended pending

(a)any application made in respect of the property under any of those provisions or any other provision of this Act or any other Act of Parliament that provides for restoration or forfeiture of the property; or

(b)any appeal taken from an order of forfeiture or restoration in respect of the property.

The property must not be disposed of or otherwise dealt with until the expiry of the 30th day after the day an order is made under any of those provisions.

Division 2 — Cannabis and Chemical Property

102Return#

(1)A peace officer, inspector or prescribed person that seizes, finds or otherwise acquires cannabis or chemical offence-related property in the course of the administration or enforcement of this Act or any other Act of Parliament — or that seizes, finds or otherwise acquires any chemical or thing that is referred to in paragraph (b) or (c) of the definition chemical property in subsection 2(1) in the course of the administration or enforcement of this Act — may return it to the person that is its owner or that is entitled to its possession if the peace officer, inspector or prescribed person is satisfied

(a)that there is no dispute as to who owns it or is entitled to its possession; and

(b)that its continued detention is not required for the purposes of a preliminary inquiry, trial or other proceeding under this Act or any other Act of Parliament.

(2)When the cannabis or property is returned, the peace officer, inspector or prescribed person must obtain a receipt for it.

(3)In the case of a seizure made under section 87 of this Act, the Criminal Code or a power of seizure at common law, the peace officer making the seizure must make a report about the return to the justice who issued the warrant or another justice for the same territorial division or, if a warrant was not issued, a justice who would have had jurisdiction to issue a warrant.

103Application for order to return#

(1)If cannabis or chemical property has been seized, found or otherwise acquired by a peace officer, inspector or prescribed person, any person may, within 60 days after the date of the seizure, finding or acquisition, on prior notification being given to the Attorney General in the prescribed manner, apply, by notice in writing to a justice in the jurisdiction in which it is being detained, for an order to return it to the person.

(2)If, on the hearing of the application, a justice is satisfied that the applicant is the owner or is entitled to possession of the cannabis or the property and the Attorney General does not indicate that it or any part of it may be required for the purposes of a preliminary inquiry, trial or other proceeding under this or any other Act of Parliament, the justice must, subject to subsection (5), order that it, or the part that is not required, as the case may be, be returned as soon as feasible to the applicant.

(3)If, on the hearing of the application, a justice is satisfied that the applicant is the owner or is entitled to possession of the cannabis or property but the Attorney General indicates that it or any part of it may be required for the purposes of a preliminary inquiry, trial or other proceeding under this Act or any other Act of Parliament, the justice must, subject to subsection (5), order that it, or the part that is required, as the case may be, be returned to the applicant

(a)on the expiry of 180 days after the day on which the application was made, if no proceeding in relation to the cannabis or property has been commenced before that time; or

(b)on the final conclusion of the proceeding or any other proceeding in relation to the cannabis or property if the applicant is not found guilty in those proceedings of an offence committed in relation to it.

(4)If, on the hearing of the application, a justice is not satisfied that the applicant is the owner or is entitled to possession of the cannabis or property, and it or a part of it is not required for the purposes of a preliminary inquiry, trial or other proceeding under this Act or any other Act of Parliament, the justice must order that it, or the part that is not required, as the case may be, be forfeited to Her Majesty to be disposed of or otherwise dealt with in accordance with the regulations or, if there are no applicable regulations, in the manner that the Minister directs.

(5)If, on the hearing of the application, a justice is satisfied that the applicant is the owner or is entitled to possession of the cannabis or property, but it was disposed of or otherwise dealt with under section 105, the justice must make an order that an amount equal to its value be paid to the applicant.

104Forfeiture if no application#

If no application for the return of the cannabis or the chemical property has been made under subsection 103(1) within 60 days after the date of its seizure, finding or acquisition by a peace officer, inspector or prescribed person and it or any part of it is not required for the purposes of a preliminary inquiry, trial or other proceeding under this Act or any other Act of Parliament, the cannabis or the property, or the part that is not required, as the case may be, is forfeited to Her Majesty and may be disposed of or otherwise dealt with in accordance with the regulations or, if there are no applicable regulations, in the manner that the Minister directs.

105Expedited disposition#

If all or any part of any cannabis or chemical property whose storage or handling poses a risk to health or safety is not required for the purposes of a preliminary inquiry, trial or other proceeding under this Act or any other Act of Parliament, the Minister or a peace officer or prescribed person may dispose of or otherwise deal with it in accordance with the regulations or, if there are no applicable regulations, in the manner that the Minister directs.

106Destruction of plants#

The Minister may, on prior notification being given to the Attorney General, cause to be destroyed any cannabis plant that is being produced contrary to the provisions of this Act or of the regulations.

107Disposition following proceedings#

Subject to section 103, if, in a preliminary inquiry, trial or other proceeding under this Act or any other Act of Parliament, the court before which the proceedings have been brought is satisfied that any cannabis or chemical property that is the subject of proceedings before the court is no longer required by that court or any other court, the court

(a)must order that it be returned to

(i)the person from which it was seized if the court is satisfied that the person came into its possession lawfully and continued to deal with it lawfully, or

(ii)the person that is its owner or that is entitled to its possession, if that person is known and if the court is satisfied that its possession by the person from which it was seized was unlawful; and

(b)may order that it be forfeited to Her Majesty to be disposed of or otherwise dealt with in accordance with the regulations or, if there are no applicable regulations, in the manner that the Minister directs, if

(i)the court is not satisfied that it should be returned under subparagraph (a)(i) or (ii), or

(ii)its possession by the person from which it was seized was unlawful and the person that is its owner or that is entitled to its possession is not known.

108Disposal with consent#

If cannabis or chemical property has been seized, found or otherwise acquired by a peace officer, inspector or prescribed person and it or a part of it is not required for the purposes of a preliminary inquiry, trial or other proceeding under this Act or any other Act of Parliament, its owner may consent to its disposal and, if the consent is given, the cannabis or property, or the part that is not required, as the case may be, is forfeited to Her Majesty and may be disposed of or otherwise dealt with in accordance with the regulations or, if there are no applicable regulations, in the manner that the Minister directs.

109Disposition report#

(1)Subject to the regulations, every peace officer, inspector or prescribed person that disposes of or otherwise deals with cannabis or chemical property under this Act must, within 30 days after doing so, cause a report to be sent to the Minister setting out

(a)a description of the cannabis or property;

(b)the amount of it that was disposed of or otherwise dealt with;

(c)the manner in which it was disposed of or otherwise dealt with;

(d)the date on which it was disposed of or otherwise dealt with;

(e)the name of the police force, agency or entity to which the peace officer, inspector or prescribed person belongs;

(f)the number of the file or police report related to its disposition or the other dealing with it; and

(g)any other prescribed information.

(2)For the purposes of subsection (1), otherwise dealing with cannabis or chemical property by a peace officer includes using it to conduct an investigation or for training purposes.

Part 10 · Administrative Monetary Penalties

Powers of Minister

110Powers#

The Minister may designate individuals, or classes of individuals, who are authorized to issue notices of violation and establish, in respect of each violation, a short-form description to be used in notices of violation.

Violation

111Commission#

(1)Every person that contravenes a provision of this Act — except provisions of Division 1 of Part 1 — a provision of the regulations, or an order made under any of sections 73 to 76, an order amended under section 79 or an order made under section 82, commits a violation and is liable to a penalty of not more than $1,000,000 or, if the violation is classified by the regulations as a minor violation, a serious violation or a very serious violation, to a penalty of not more than the maximum amount fixed by the regulations in relation to that classification.

(2)The purpose of a penalty is to promote compliance with this Act.

Proceedings

112Issuance of notice of violation#

(1)If an individual who is designated under section 110 believes on reasonable grounds that a person has committed a violation, the designated individual may issue, and must provide the person with, a notice of violation that

(a)sets out the person’s name;

(b)identifies the alleged violation;

(c)sets out the penalty for the violation that the person is liable to pay; and

(d)sets out the particulars concerning the time and manner of payment.

(2)A notice of violation must summarize, in plain language, the rights and obligations of the named person under this section and sections 113 to 125, including the right to have the acts or omissions that constitute the alleged violation or the amount of the penalty reviewed and the procedure for requesting that review.

(3)The penalty for a violation is to be determined by taking into account

(a)the person’s history of compliance or non-compliance with the provisions of this Act or of the regulations;

(b)the nature and scope of the violation;

(c)whether the person made reasonable efforts to mitigate or reverse the effects of the violation;

(d)whether the person derived any competitive or economic benefit from the violation; and

(e)any other prescribed criteria.

Penalties

113Payment#

(1)If the person named in the notice of violation pays, in the time and manner specified in the notice, the amount of the penalty set out in the notice,

(a)they are deemed to have committed the violation in respect of which the amount is paid;

(b)the Minister must accept that amount as complete satisfaction of the penalty in respect of the violation; and

(c)the proceedings commenced in respect of the violation are ended.

(2)Instead of paying the amount of the penalty set out in the notice, the person named in the notice may, in the time and manner specified in the notice,

(a)if the amount of the penalty set out in the notice is $5,000 or more, request to enter into a compliance agreement with the Minister that ensures the person’s compliance with the provision or the order to which the violation relates; or

(b)request a review by the Minister of the acts or omissions that constitute the alleged violation or of the amount of the penalty.

(3)If the person named in the notice does not pay the penalty set out in the notice in the time and manner specified in the notice and does not exercise any right referred to in subsection (2) in the specified time and manner, they are deemed to have committed the violation identified in the notice.

Compliance Agreements

114Entering into compliance agreements#

(1)After considering a request made under paragraph 113(2)(a), the Minister may enter into a compliance agreement, as described in that paragraph, with the person making the request on any terms and conditions that are satisfactory to the Minister. The terms and conditions may

(a)include a provision for the deposit of reasonable security, in a form and amount satisfactory to the Minister, as a guarantee that the person will comply with the compliance agreement; and

(b)provide for the reduction, in whole or in part, of the penalty for the violation.

(2)A person that enters into a compliance agreement with the Minister is, on doing so, deemed to have committed the violation in respect of which the compliance agreement was entered into.

(3)If the Minister is satisfied that a person that has entered into a compliance agreement has complied with it, the Minister must cause a notice to that effect to be provided to the person, at which time

(a)the proceedings commenced in respect of the violation are ended; and

(b)any security given by the person under the compliance agreement must be returned to the person.

(4)If the Minister is of the opinion that a person that has entered into a compliance agreement has not complied with it, the Minister must cause a notice of default to be provided to the person to the effect that

(a)instead of being liable to pay the amount of the penalty set out in the notice of violation in respect of which the compliance agreement was entered into, the person is liable to pay, in the time and manner specified in the notice of violation, twice the amount of that penalty, and, for greater certainty, subsections 111(1) and 139(4) do not apply in respect of that amount; or

(b)the security, if any, given by the person under the compliance agreement is forfeited to Her Majesty in right of Canada.

(5)Once provided with the notice of default, the person may not deduct from the amount set out in the notice of default any amount they spent under the compliance agreement and

(a)the person is liable to pay the amount set out in the notice of default in the time and manner specified in the notice of violation; or

(b)if the notice provides for the forfeiture of the security given under the compliance agreement, that security is forfeited to Her Majesty in right of Canada and the proceedings commenced in respect of the violation are ended.

(6)If a person pays the amount set out in the notice of default in the time and manner specified in the notice of violation, the Minister must accept the amount as complete satisfaction of the amount owing in respect of the violation and the proceedings commenced in respect of the violation are ended.

115Refusal to enter into compliance agreement#

(1)If the Minister refuses to enter into a compliance agreement requested under paragraph 113(2)(a), the person that made the request is liable to pay, in the time and manner specified in the notice of violation, the amount of the penalty set out in the notice of violation.

(2)If a person pays the amount referred to in subsection (1),

(a)they are deemed to have committed the violation in respect of which the amount is paid;

(b)the Minister must accept the amount as complete satisfaction of the penalty in respect of the violation; and

(c)the proceedings commenced in respect of the violation are ended.

(3)If a person does not pay the amount referred to in subsection (1) in the specified time and manner, they are deemed to have committed the violation identified in the notice of violation.

Review by Minister

116Review — with respect to facts#

(1)On completion of a review requested under paragraph 113(2)(b) with respect to the acts or omissions that constitute the alleged violation, the Minister must determine whether the person that requested the review committed the violation. If the Minister determines that the person committed the violation but that the amount of the penalty was not established in accordance with the provisions of this Act and of the regulations, the Minister must correct the amount.

(2)If the Minister determines under subsection (1) that the person that requested the review did not commit the violation, the proceedings commenced in respect of it are ended.

(3)On completion of a review requested under paragraph 113(2)(b) with respect to the amount of the penalty, the Minister must determine whether the amount of the penalty was established in accordance with the provisions of this Act and of the regulations and, if not, the Minister must correct the amount.

(4)The Minister must cause a notice of any decision made under subsection (1) or (3) to be provided to the person that requested the review.

(5)The person that requested the review is liable to pay, in the time and manner specified in the notice of violation, the amount of the penalty that is confirmed or corrected in the Minister’s decision made under subsection (1) or (3).

(6)If a person pays the amount referred to in subsection (5), the Minister must accept the amount as complete satisfaction of the penalty in respect of the violation and the proceedings commenced in respect of the violation are ended.

(7)The Minister is to consider only written evidence and written submissions in determining whether a person committed a violation or whether the amount of a penalty was established in accordance with the provisions of this Act and of the regulations.

Enforcement

117Debts to Her Majesty#

(1)The following amounts constitute debts due to Her Majesty in right of Canada that may be recovered in the Federal Court:

(a)the amount of a penalty, from the time the notice of violation setting out the amount of the penalty is provided;

(b)every amount set out in a compliance agreement entered into with the Minister under subsection 114(1), from the time the compliance agreement is entered into;

(c)the amount set out in a notice of default referred to in subsection 114(4), from the time the notice is provided; and

(d)the amount of a penalty as set out in a decision of the Minister made under subsection 116(1) or (3), from the time the notice of that decision is provided.

(2)No proceedings to recover a debt referred to in subsection (1) may be commenced after the expiry of five years after the day on which the debt became payable.

(3)A debt referred to in subsection (1) is final and not subject to review or to be restrained, prohibited, removed, set aside or otherwise dealt with except to the extent and in the manner provided by sections 113 to 116.

118Certificate of default#

(1)Any debt referred to in subsection 117(1) in respect of which there is a default of payment, or the part of any such debt that has not been paid, may be certified by the Minister.

(2)On production to the Federal Court, a certificate made under subsection (1) must be registered in that Court and, when registered, has the same force and effect, and all proceedings may be taken on the certificate, as if it were a judgment obtained in that Court for a debt of the amount specified in it and all reasonable costs and charges associated with the registration of the certificate.

Rules About Violations

119Certain defences not available#

(1)A person named in a notice of violation does not have a defence by reason that the person

(a)exercised due diligence to prevent the violation; or

(b)reasonably and honestly believed in the existence of facts that, if true, would exonerate the person.

(2)Every rule and principle of the common law that renders any circumstance a justification or excuse in relation to a charge for an offence under this Act applies in respect of a violation to the extent that it is not inconsistent with this Act.

120Burden of proof#

In every case when the facts of a violation are reviewed by the Minister, he or she must determine, on a balance of probabilities, whether the person named in the notice of violation committed the violation identified in the notice.

121Violation by corporate officers, etc.#

If a person other than an individual commits a violation, any of the person’s directors, officers or agents or mandataries who directed, authorized, assented to, acquiesced in or participated in the commission of the violation is a party to and liable for the violation whether or not the person that actually committed the violation is proceeded against under this Act.

122Employees or agents or mandataries#

A person is liable for a violation that is committed by any employee or agent or mandatary of the person acting in the course of the employee’s employment or the scope of the agent’s or mandatary’s authority, whether or not the employee or agent or mandatary who actually committed the violation is identified or proceeded against under this Act.

123Continuing violation#

A violation that is committed or continued on more than one day constitutes a separate violation in respect of each day on which it is committed or continued.

Other Provisions

124Evidence#

In any proceeding in respect of a violation or a prosecution for an offence, a notice of violation purporting to be issued under this Act is admissible in evidence without proof of the signature or official character of the individual purporting to have signed the notice of violation.

125Limitation period#

No proceedings in respect of a violation may be commenced after the expiry of six months after the day on which the Minister becomes aware of the acts or omissions that constitute the alleged violation.

126How act or omission may be proceeded with#

If an act or omission can be proceeded with either as a violation or as an offence, proceeding in one manner precludes proceeding in the other.

127Certification by Minister#

A document purporting to have been issued by the Minister, certifying the day on which the acts or omissions that constitute the alleged violation became known to the Minister, is admissible in evidence without proof of the signature or official character of the person appearing to have signed the document and, in the absence of evidence to the contrary, is proof that the Minister became aware of the acts or omissions on that day.

Part 11 · General

Disclosure of Information

128Personal information#

The Minister may, without the consent of the person to whom the personal information relates and without notifying that person, disclose any personal information, as defined in section 3 of the Privacy Act, that is obtained under this Act if the Minister considers that the disclosure is necessary to protect public health or public safety.

129Confidential business information#

(1)The Minister may, without the consent of the person to whose business or affairs the information relates and without notifying that person, disclose any confidential business information that is obtained under this Act if the Minister considers that the disclosure is necessary to protect public health or public safety.

(2)In subsection (1), confidential business information in respect of a person to whose business or affairs the information relates, means business information

(a)that is not publicly available;

(b)in respect of which the person has taken measures that are reasonable in the circumstances to ensure that it remains not publicly available; and

(c)that has actual or potential economic value to the person or their competitors because it is not publicly available and its disclosure would result in a material financial loss to the person or a material financial gain to their competitors.

Analysis

130Designation of analysts#

For the purposes of the administration and enforcement of this Act, the Minister may designate any individuals or class of individuals as analysts.

131Analysis#

(1)A peace officer, inspector or prescribed person may submit to an analyst for analysis or examination any substance or sample of any substance taken by the officer, the inspector or the prescribed person.

(2)An analyst who has made an analysis or examination of a substance or sample submitted under subsection (1) may prepare a certificate or report stating that they have analyzed or examined it and setting out the results of their analysis or examination.

Trademarks

132Trademarks#

(1)Despite the Trademarks Act, the registration of a trademark is not to be held invalid on the basis of paragraph 18(1)(b) or (c) of that Act as a result of compliance with this Act.

(2)For greater certainty, the absence of use of a trademark as a result of compliance with this Act constitutes special circumstances that excuse the absence of use for the purposes of the Trademarks Act.

Evidence and Procedure

133Copies of documents#

(1)A copy of any document filed with a department, ministry, agency, municipality or other body established by or under a law of a province, or of any statement containing information from the records kept by any such department, ministry, agency, municipality or body, purporting to be certified by any official having custody of that document or those records, is admissible in evidence in any prosecution for an offence referred to in subsection 50(1) and, in the absence of evidence to the contrary, is proof of the facts contained in that document or statement, without proof of the signature or official character of the individual purporting to have certified it.

(2)For the purposes of subsection (1), an electronically or mechanically reproduced facsimile signature of an official referred to in that subsection is sufficient authentication of any copy referred to in that subsection.

(3)Nothing in subsection (1) renders admissible in evidence any part of any record that is proved to be a record made in the course of an investigation or inquiry.

134Certificate issued under regulations#

(1)Subject to subsection (2), any certificate or other document issued under regulations made under paragraph 139(6)(c) or (7)(c) is admissible in evidence in a preliminary inquiry, trial or other proceeding under this Act or any other Act of Parliament and, in the absence of evidence to the contrary, is proof that the certificate or other document was validly issued and of the facts contained in it, without proof of the signature or official character of the individual purporting to have certified it.

(2)The defence may, with leave of the court, require that the individual who issued the certificate or other document

(a)produce an affidavit or solemn declaration attesting to any of the matters deemed to be proved under subsection (1); or

(b)appear before the court for examination or cross-examination in respect of the issuance of the certificate or other document.

135Certificate of analyst#

(1)A certificate or report prepared by an analyst under subsection 131(2) is admissible in evidence in any prosecution for an offence under this Act or any other Act of Parliament and, in the absence of evidence to the contrary, is proof of the statements set out in the certificate or report, without proof of the signature or official character of the individual purporting to have signed it.

(2)The party against whom a certificate or report is produced under subsection (1) may, with leave of the court, require the attendance of the analyst for the purpose of cross-examination.

136Proof of notice#

(1)For the purposes of this Act and the regulations, the giving of any notice, whether orally or in writing, or the service of any document may be proved by the testimony of, or by the affidavit or solemn declaration of, the person claiming to have given that notice or served that document.

(2)The court may require the affiant or declarant to appear before it for examination or cross-examination in respect of the giving of notice or proof of service.

137Continuity of possession#

(1)In any proceeding under this Act, continuity of possession of any exhibit tendered as evidence in that proceeding may be proved by the testimony of, or by the affidavit or solemn declaration of, the person claiming to have had it in their possession.

(2)If an affidavit or solemn declaration is offered in proof of continuity of possession under subsection (1), the court may require the affiant or declarant to appear before it for examination or cross-examination in respect of the issue of continuity of possession.

138Copies of records, reports, etc.#

If any record, report, electronic data or other document is examined or seized under this Act, the Minister, or the officer who examined or seized it, may make or cause to be made one or more copies of it, and a copy of it that purports to be certified by the Minister or a person authorized by the Minister is admissible in evidence and, in the absence of evidence to the contrary, has the same probative force as the original record, report, electronic data or other document would have had if it had been proved in the ordinary way.

Regulations and Exemptions

139Regulations#

(1)The Governor in Council may make regulations for carrying out the purposes and provisions of this Act, including for the administration and enforcement of this Act, and regulations

(a)defining “industrial hemp” for the purposes of this Act;

(b)establishing, in addition to dried cannabis, other classes of cannabis;

(c)defining any term that is necessary to describe any class that is established or any term that is used in the description of such a class;

(d)respecting the importation, exportation, production, testing, packaging, labelling, storage, preservation, sale, distribution, possession, disposal or obtaining of or other dealing in cannabis or any class of cannabis;

(e)respecting the importation, exportation, production, testing, sale, distribution, possession, disposal or obtaining of or other dealing in of any substance that may be used in the production of cannabis;

(f)respecting the packaging, labelling, distribution or sale of cannabis accessories;

(g)respecting the issuance of licences, permits or other authorizations that authorize, as the case may be, the importation, exportation, production, testing, packaging, labelling, sending, delivery, transportation, sale, possession or disposal of cannabis or any class of cannabis, and their renewal, amendment, suspension, revocation, duration and conditions;

(h)establishing classes of licences, permits or other authorizations that authorize any of the activities referred to in paragraph (g);

(i)respecting the qualifications required to be met by individuals who are engaged in the production, testing, packaging, labelling, storage, preservation, selling, distributing or otherwise dealing in cannabis or any class of cannabis;

(j)respecting the granting, suspension or cancellation of security clearances and specifying who must hold a security clearance;

(k)respecting the characteristics, composition, strength, concentration, potency, intended use, sensory attributes — such as appearance and shape — purity, quality or any other property of cannabis or any class of cannabis;

(k.1)respecting the characteristics, composition, design, construction, performance, intended use, sensory attributes — such as appearance and shape — purity, quality or any other property of cannabis accessories;

(k.2)respecting the emissions produced by the consumption of cannabis or the use of cannabis accessories and defining “emission” for the purpose of regulations made under this paragraph;

(l)requiring persons to take or keep samples of any cannabis or any class of cannabis, or of any package or label of cannabis, and to provide the Minister or an inspector with, or with access to, those samples;

(m)respecting the manner in which samples referred to in paragraph (l) are to be taken or kept and the manner in which they are to be provided or access to them is to be provided;

(n)respecting the promotion of cannabis, cannabis accessories or services related to cannabis or the display or promotion of their brand elements;

(o)respecting the information, including information about health risks and health effects arising from the use of cannabis, that must appear on packages or labels of cannabis or cannabis accessories or that must be provided when cannabis or cannabis accessories are promoted;

(p)respecting the display of cannabis by persons that are authorized to sell cannabis or the display of cannabis accessories by persons that sell cannabis accessories;

(q)respecting the records, reports, electronic data or other documents in respect of cannabis — or in respect of activities related to cannabis, cannabis accessories, services related to cannabis or their brand elements, including their promotion — that are required to be prepared, retained or provided by any person or class of persons and

(i)the time, manner or place in which they are to be prepared and retained, or

(ii)the form, manner or time in which they are to be provided;

(r)respecting the qualifications for analysts or inspectors and their powers, duties and functions;

(s)respecting the detention and the return, disposition of or otherwise dealing with

(i)any cannabis, cannabis accessory or offence-related property that is seized, detained, found or otherwise acquired under this Act or any other Act of Parliament or under a power of seizure at common law,

(ii)any chemical or thing that is referred to in paragraph (b) or (c) of the definition chemical property in subsection 2(1) and that is seized, detained, found or otherwise acquired under this Act, or

(iii)any other thing that is seized, detained, found or otherwise acquired under this Act;

(t)respecting the taking of samples under paragraph 86(2)(i);

(u)respecting the collection, use, retention, disclosure and disposal of information;

(v)respecting the making, serving, filing and manner of proving service of any notice, order, report or other document referred to in this Act or the regulations;

(w)prescribing forms for the purposes of this Act or the regulations;

(x)respecting the recall of cannabis or any class of cannabis;

(y)respecting the review of orders under section 79;

(z)exempting, on any terms and conditions that are specified in the regulations, any person or class of persons, any cannabis or any class of cannabis or any cannabis accessory or any class of cannabis accessory from the application of all or any of the provisions of this Act or of the regulations;

(z.1)specifying terms, expressions, logos, symbols or illustrations for the purposes of sections 19 and 28;

(z.2)respecting the provision of anything or any service for the purposes of section 24;

(z.3)classifying each violation as a minor violation, a serious violation or a very serious violation;

(z.4)fixing a maximum amount as the penalty for minor violations, for serious violations or for very serious violations;

(z.5)respecting the circumstances under which, the criteria by which and the manner in which the amount of a penalty for a violation may be increased or reduced, including a reduction in the amount that is provided for in a compliance agreement;

(z.6)specifying provisions of this Act or of the regulations, other than provisions of Division 1 of Part 1, for the purposes of paragraph 51(2)(i) and fixing the amount of the fine, or a range of amounts as the fine, in respect of each specified provision; and

(z.7)prescribing anything that, by this Act, is to be or may be prescribed.

(2)Regulations may be made under paragraph (1)(e) in respect of a substance only if the Governor in Council considers that controlling the substance is necessary to protect public health or public safety.

(3)Regulations may be made under paragraph (1)(g) in respect of licences, permits or other authorizations generally or for any class of them, and those regulations may, among other things, specify that financial information must be provided in an application for a licence, permit or other authorization.

(4)The maximum penalty in respect of a violation that may be fixed under regulations made under paragraph (1)(z.4) is $1,000,000.

(5)The Governor in Council, on the recommendation of the Attorney General of Canada, may make regulations establishing the form of tickets for the purposes of section 51 and respecting the sending or delivering of the summons portion of the ticket for the purposes of paragraph 51(1)(c).

(6)The Governor in Council, on the recommendation of the Minister of Public Safety and Emergency Preparedness, may make regulations that pertain to investigations and other law enforcement activities conducted under this Act by a member of a police force or of the military police and other persons acting under the direction and control of the member, including regulations

(a)authorizing, for the purposes of this subsection,

(i)that Minister or the provincial minister responsible for policing in a province, as the case may be, to designate a police force within their jurisdiction, or

(ii)the Minister of National Defence to designate military police;

(b)exempting, on any terms and conditions that are specified in the regulations, a member of a police force or of the military police that has been designated under paragraph (a), and other persons acting under the direction and control of the member, from the application of all or any of the provisions of Division 1 of Part 1 or of the regulations;

(b.1)exempting, on any terms and conditions that are specified in the regulations, a member of a police force or of the military police that has been designated under paragraph (a), and other persons acting under the direction and control of the member, from the application of any provision of the Criminal Code that creates the offence of conspiracy or attempt to commit, being an accessory after the fact in relation to, or counselling in relation to, an offence under this Act;

(c)respecting the issuance, suspension, cancellation, duration and terms and conditions of a certificate, other document or, in exigent circumstances, an approval to obtain a certificate or other document, that is issued to a member of a police force or of the military police that has been designated under paragraph (a) for the purpose of exempting the member from the application of all or any of the provisions of this Act or of the regulations;

(d)respecting the detention, storage and disposition of or other dealing with cannabis;

(e)respecting records, reports, electronic data or other documents in respect of cannabis that are required to be prepared, retained or provided by any person or class of persons; and

(f)prescribing forms for the purposes of the regulations.

(7)The Governor in Council, on the recommendation of the Minister of Public Safety and Emergency Preparedness, may, for the purpose of an investigation or other law enforcement activity conducted under another Act of Parliament, make regulations authorizing a member of a police force or of the military police or other person under the direction and control of the member to commit an act or omission — or authorizing a member of a police force or of the military police to direct the commission of an act or omission — that would otherwise constitute an offence under Division 1 of Part 1 or under section 44 in respect of the contravention of a provision of the regulations, including regulations

(a)authorizing, for the purposes of this subsection,

(i)that Minister or the provincial minister responsible for policing in a province, as the case may be, to designate a police force within their jurisdiction, or

(ii)the Minister of National Defence to designate military police;

(d)respecting the detention, storage and disposition of or other dealing with cannabis;

(e)respecting records, reports, electronic data or other documents in respect of cannabis that are required to be prepared, retained or provided by any person or class of persons; and

(f)prescribing forms for the purposes of the regulations.

(8)The limitation set out in paragraph 18.1(2)(a) of the Statutory Instruments Act to the effect that a document must be incorporated as it exists on a particular date does not apply to the powers to make regulations under paragraphs (1)(d) to (g), (j) to (l), (o), (q) and (z).

140Exemption by Minister — persons#

(1)The Minister may, on any terms and conditions that the Minister considers necessary, by order, exempt any person, or any cannabis or any class of cannabis in relation to a person, from the application of all or any of the provisions of this Act or of the regulations if, in the opinion of the Minister, the exemption is necessary for a medical or scientific purpose or is otherwise in the public interest.

(1.1)For greater certainty, the Minister may, by order, amend or revoke an order made under subsection (1) or suspend its application in whole or in part.

(2)The Minister may, on any terms and conditions that the Minister considers necessary, by order, exempt any class of persons, or any cannabis or any class of cannabis in relation to any class of persons, from the application of all or any of the provisions of this Act or of the regulations if, in the opinion of the Minister, the exemption is necessary for a medical or scientific purpose or is otherwise in the public interest.

(2.1)The Minister may, by order, suspend, in whole or in part, the application of an order made under subsection (2).

141Statutory Instruments Act#

An order made under subsection 140(1) or (1.1) is not a statutory instrument within the meaning of subsection 2(1) of the Statutory Instruments Act.

Fees

142Fees#

(1)The Minister may, by order, fix the following fees in relation to cannabis:

(a)fees to be paid for a service, or the use of a facility, provided under this Act;

(b)fees to be paid in respect of approvals, authorizations, exemptions or regulatory processes provided under this Act; and

(c)fees to be paid in respect of products, rights and privileges that are provided under this Act, including those provided in relation to the cannabis tracking system established under section 81.

(2)A fee fixed under paragraph (1)(a) must not exceed the cost to Her Majesty in right of Canada of providing the service or the use of the facility.

(3)Fees fixed under paragraph (1)(b) must not in the aggregate exceed the cost to Her Majesty in right of Canada in respect of providing the regulatory processes, approvals, authorizations or exemptions.

143Consultation#

Before making an order under subsection 142(1), the Minister must consult with any persons that the Minister considers to be interested in the matter.

144Remission of fees#

(1)The Minister may, by order, remit all or part of any fee fixed under subsection 142(1) or the interest on it.

(2)A remission granted under subsection (1) may be conditional.

(3)If a remission granted under subsection (1) is conditional and the condition is not fulfilled, then the remission is cancelled and is deemed never to have been granted.

145Non-payment of fees#

The Minister may, by notice in writing and for a period that he or she specifies, withdraw or withhold a service, the use of a facility, a regulatory process, approval, authorization, exemption, product, right or privilege under this Act from any person who fails to pay the fee for it fixed under subsection 142(1).

146Adjustment of amounts#

(1)An order made under subsection 142(1) may prescribe rules for the adjustment of the amount of the fee by any amounts or ratios that are referred to in the order, for the period that is specified in the order.

(2)The amount of a fee that is subject to an adjustment rule remains unadjusted for the specified period unless, before the beginning of that period, the Minister publishes a notice in the Canada Gazette that specifies the adjusted amount and the manner in which it was determined.

147Service Fees Act#

The Service Fees Act does not apply to a fee fixed under subsection 142(1).^note

Costs

148Debts to Her Majesty#

(1)Her Majesty in right of Canada may recover, as a debt due to Her Majesty in right of Canada, any costs incurred by Her Majesty in right of Canada in relation to anything required or authorized under this Act, including

(a)the inspection of a place or the analysis, examination, storage, movement, seizure, detention, forfeiture, disposal or return of anything; and

(b)the measures or the recall carried out under section 77.

(2)No proceeding to recover a debt referred to in subsection (1) may be commenced after the expiry of five years after the day on which the debt became payable.

149Certificate of default#

(1)Any debt that may be recovered under subsection 148(1) in respect of which there is a default of payment, or the part of any such debt that has not been paid, may be certified by the Minister.

(2)A certificate made under subsection (1) that is registered in the Federal Court has the same force and effect, and all proceedings may be taken on the certificate, as if it were a judgment obtained in that Court for a debt of the amount specified in it and all reasonable costs and charges associated with its registration.

Technical Assistance

150Advice of experts#

The Minister may engage the services of persons having technical or specialized knowledge to advise the Minister in respect of his or her powers, duties or functions under this Act and, with the approval of the Treasury Board, fix their remuneration.

Amendments to Schedules

151Schedules 1 and 2#

(1)The Governor in Council may, by order, amend Schedule 1 or 2 by adding or by deleting from it any item or portion of an item.

(2)The Governor in Council may, by order, amend Schedule 3 by adding or deleting, in column 1, the name of a class of cannabis or by adding or deleting, in column 2, in relation to a class of cannabis in column 1, a quantity that is equivalent to 1 g of dried cannabis.

(3)The Governor in Council may, by order, amend Schedule 4 by adding or deleting the name of any class of cannabis.

(4)The Minister may, by order, amend Schedule 5 by adding or deleting, in column 1, the name of any substance or by adding or deleting, in column 2, the name of any class of cannabis in respect of any substance referred to in column 1.

Review and Report

151.1Review of Act#

(1)Three years after this section comes into force, the Minister must cause a review of this Act and its administration and operation to be conducted, including a review of the impact of this Act on public health and, in particular, on the health and consumption habits of young persons in respect of cannabis use, the impact of cannabis on Indigenous persons and communities, and the impact of the cultivation of cannabis plants in a dwelling-house.

(2)No later than 18 months after the day on which the review begins, the Minister must cause a report on the review, including any findings or recommendations resulting from it, to be laid before each House of Parliament.

Part 12 · Transitional Provisions and Related, Consequential and Coordinating Amendments

Transitional Provisions

152Definition of commencement day#

In sections 154 to 160, commencement day means the day on which subsection 204(1) comes into force.

153Decisions#

Subject to regulations made under subsection 161(1), every decision made by the Minister under the Controlled Drugs and Substances Act that relates to cannabis is deemed to be a decision made by the Minister under this Act.

154Inspectors#

Subject to regulations made under subsection 161(1), every individual who is an inspector, as defined in subsection 2(1) of the Controlled Drugs and Substances Act, immediately before the commencement day is deemed to also be an individual who has been designated as an inspector under section 84 of this Act.

155Analysts#

Subject to regulations made under subsection 161(1), every individual who is an analyst, as defined in subsection 2(1) of the Controlled Drugs and Substances Act, immediately before the commencement day is deemed to also be an individual who has been designated as an analyst under section 130 of this Act.

156Exemptions — Controlled Drugs and Substances Act#

(1)Subject to regulations made under subsection 161(1), the following apply in respect of every exemption granted under section 56 of the Controlled Drugs and Substances Act that is in force immediately before the commencement day:

(a)if the exemption applies solely in respect of cannabis, and it applies to a person, it is deemed to have been granted under subsection 140(1) of this Act and it continues in force until it is revoked or, if it is expressed to expire on a particular date, it continues in force until it expires, unless it is revoked before that date;

(b)if the exemption applies solely in respect of cannabis, and it applies to a class of persons, it is deemed to have been granted under subsection 140(2) of this Act and it continues in force until it is revoked or, if it is expressed to expire on a particular date, it continues in force until it expires, unless it is revoked before that date;

(c)if the exemption applies, directly or indirectly, to cannabis and to a controlled substance, as defined in subsection 2(1) of that Act, and it applies to a person, it is deemed, in relation to its application to cannabis, to have been granted under subsection 140(1) of this Act and it continues in force until it is revoked or, if it is expressed to expire on a particular date, it continues in force until it expires, unless it is revoked before that date; and

(d)if the exemption applies, directly or indirectly, to cannabis and to a controlled substance as defined in subsection 2(1) of that Act, and it applies to a class of persons, it is deemed, in relation to its application to cannabis, to have been granted under subsection 140(2) of this Act and it continues in force until it is revoked or, if it is expressed to expire on a particular date, it continues in force until it expires, unless it is revoked before that date.

(2)Subject to regulations made under subsection 161(1), a reference in a continued exemption to a provision of the Controlled Drugs and Substances Act that is referred to in column 1 of Schedule 6 is deemed to be a reference to the provision of this Act that is referred to in column 2.

(3)A reference in a continued exemption to a provision of a regulation made under the Controlled Drugs and Substances Act is deemed to be a reference to the equivalent provision of this Act or of any regulation made under this Act that is specified under regulations made under subsection (4).

(4)The Governor in Council may, for the purposes of subsection (3), make regulations specifying that provisions of this Act or of regulations made under this Act are equivalent to provisions of regulations made under the Controlled Drugs and Substances Act that are referred to in continued exemptions.

157Records, reports, etc.#

Subject to regulations made under subsection 161(1), all records, reports, electronic data or other documents that directly or indirectly relate to cannabis and that were retained by a person immediately before the commencement day by reason of regulations made under the Controlled Drugs and Substances Act are deemed to be required to be retained under regulations made under paragraph 139(1)(q) of this Act.

158Access to Cannabis for Medical Purposes Regulations — section 35 licences#

(1)Subject to regulations made under subsection 161(1), every licence issued under section 35 of the Access to Cannabis for Medical Purposes Regulations that is in force immediately before the commencement day is deemed to be a licence issued under section 62 of this Act and it continues in force until it is revoked or, if it is expressed to expire on a particular date, it continues in force until it expires, unless it is revoked before that date.

(2)Subject to regulations made under subsection 161(1), every permit issued under section 95 of the Access to Cannabis for Medical Purposes Regulations that is in force immediately before the commencement day is deemed to be a permit issued under section 62 of this Act and it continues in force until it is revoked or, if it is expressed to expire on a particular date, it continues in force until it expires, unless it is revoked before that date.

(3)Subject to regulations made under subsection 161(1), every permit issued under section 103 of the Access to Cannabis for Medical Purposes Regulations that is in force immediately before the commencement day is deemed to be a permit issued under section 62 of this Act and it continues in force until it is revoked or, if it is expressed to expire on a particular date, it continues in force until it expires, unless it is revoked before that date.

(4)Subject to regulations made under subsection 161(1), every licence or permit that is continued under any of subsections (1) to (3) is subject to the conditions set out in regulations made under paragraph 139(1)(g).

(5)Subject to regulations made under subsection 161(1), if regulations made under subsection 139(1) that come into force on the commencement day refer to registered persons, every individual who is a registered person as defined in subsection 1(1) of the Access to Cannabis for Medical Purposes Regulations immediately before the commencement day

(a)continues to be a registered person until the expiry date of their registration, unless that registration is cancelled before that date; and

(b)is subject to those regulations made under subsection 139(1).

(6)Subject to regulations made under subsection 161(1), if regulations made under subsection 139(1) that come into force on the commencement day refer to designated persons and registered persons, every individual who is a designated person, as defined in subsection 1(1) of the Access to Cannabis for Medical Purposes Regulations, immediately before the commencement day

(a)continues to be a designated person in relation to a registered person until the expiry or cancellation of the registered person’s registration or the registered person’s registration is amended or renewed and another individual is designated as the designated person in relation to the registered person; and

(b)is subject to those regulations made under subsection 139(1).

(7)Subject to regulations made under subsection 161(1), if regulations made under subsection 139(1) that come into force on the commencement day refer to clients, every individual who, immediately before the commencement day, is a client, as defined in subsection 17(1) of the Access to Cannabis for Medical Purposes Regulations, of a person whose licence is continued under subsection (1) continues to be a client of that person and is subject to those regulations made under subsection 139(1).

(8)Subject to regulations made under subsection 161(1), every security clearance granted under section 112 of the Access to Cannabis for Medical Purposes Regulations that is in force immediately before the commencement day is deemed to be a security clearance granted under section 67 of this Act and it continues in force until the date it is expressed to expire, unless it is cancelled before that date.

(9)Subject to regulations made under subsection 161(1), every application for a licence under section 35 of the Access to Cannabis for Medical Purposes Regulations, or for a permit under section 95 or 103 of those Regulations, in respect of which no final decision has been made before the commencement day is deemed to be an application for a licence or a permit, as the case may be, made under section 62 of this Act.

(10)Subject to regulations made under subsection 161(1), every application for a security clearance under section 110 of the Access to Cannabis for Medical Purposes Regulations in respect of which no final decision has been made before the commencement day is deemed to be an application for a security clearance made under section 67 of this Act.

(11)Subject to regulations made under subsection 161(1), every application to be a registered person, as defined in subsection 1(1) of the Access to Cannabis for Medical Purposes Regulations, and every application for an authorization to produce cannabis as a designated person, as defined in subsection 1(1) of those Regulations, in respect of which no final decision has been made before the commencement day is deemed to be an application to be a registered person or an application to produce cannabis as a designated person, as the case may be, if regulations made under subsection 139(1) that come into force on the commencement day provide for the making of such applications.

159Narcotic Control Regulations — licences#

(1)Subject to regulations made under subsection 161(1), the following apply in respect of every licence that was issued under section 9.2 of the Narcotic Control Regulations and that is in force immediately before the commencement day:

(a)if the licence applies solely in respect of cannabis, it is deemed to have been issued under section 62 of this Act and it continues in force until it is revoked or, if it is expressed to expire on a particular date, it continues in force until it expires, unless it is revoked before that date; and

(b)if the licence applies, directly or indirectly, to cannabis and to any narcotic, as defined in subsection 2(1) of those Regulations, it is deemed, in relation to its application to cannabis, to have been issued under section 62 of this Act and it continues in force until it is revoked or, if it is expressed to expire on a particular date, it continues in force until it expires, unless it is revoked before that date.

(2)Subject to regulations made under subsection 161(1), the following apply in respect of every permit issued under section 10 of the Narcotic Control Regulations that is in force immediately before the commencement day:

(a)if the permit applies solely in respect of cannabis, it is deemed to have been issued under section 62 of this Act and it continues in force until it is revoked or, if it is expressed to expire on a particular date, it continues in force until it expires, unless it is revoked before that date; and

(b)if the permit applies, directly or indirectly, to cannabis and to any narcotic, as defined in subsection 2(1) of those Regulations, it is deemed, in relation to its application to cannabis, to have been issued under section 62 of this Act and it continues in force until it is revoked or, if it is expressed to expire on a particular date, it continues in force until it expires, unless it is revoked before that date.

(3)Subject to regulations made under subsection 161(1), every licence or permit that is continued under subsection (1) or (2) is subject to the conditions set out in regulations made under paragraph 139(1)(g).

(4)Subject to regulations made under subsection 161(1), the following apply in respect of every licence that was issued under section 67 of the Narcotic Control Regulations and that is in force immediately before the commencement day:

(b)if the licence applies, directly or indirectly, to cannabis and to opium poppy, it is deemed, in relation to its application to cannabis, to have been issued under section 62 of this Act and it continues in force until it is revoked or, if it is expressed to expire on a particular date, it continues in force until it expires, unless it is revoked before that date.

(5)Subject to regulations made under subsection 161(1), the following apply in respect of every application for a licence under section 9.2 or 67 of the Narcotic Control Regulations or for a permit under section 10 of those Regulations in respect of which no final decision has been made before the commencement day:

(a)if the application relates solely to cannabis, it is deemed to be an application made under section 62 of this Act; and

(b)if the application relates, directly or indirectly, to cannabis and to any narcotic, as defined in subsection 2(1) of those Regulations, it is deemed, in relation to the cannabis, to be an application made under section 62 of this Act.

(6)Subject to regulations made under subsection 161(1), if regulations made under subsection 139(1) that come into force on the commencement day provide for the issuance of registration numbers for test kits that contain cannabis,

(a)every registration number issued under section 6 of the Narcotic Control Regulations before the commencement day that applied to such a test kit is deemed to be a registration number issued under those regulations made under subsection 139(1) until it is cancelled; and

(b)every application for a registration number for a test kit that contains cannabis under section 6 of those Regulations in respect of which no final decision has been made before the commencement day is deemed to be an application for a registration number.

160Industrial Hemp Regulations — licences and authorizations#

(1)Subject to regulations made under subsection 161(1), every licence or authorization issued under section 9 of the Industrial Hemp Regulations that is in force immediately before the commencement day is deemed to be a licence issued under section 62 of this Act and it continues in force until it is revoked or, if it is expressed to expire on a particular date, it continues in force until it expires, unless it is revoked before that date.

(2)Subject to regulations made under subsection 161(1), every permit issued under section 22 or 27 of the Industrial Hemp Regulations that is in force immediately before the commencement day is deemed to be a permit issued under section 62 of this Act and it continues in force until it is revoked or, if it is expressed to expire on a particular date, it continues in force until it expires, unless it is revoked before that date.

(3)Subject to regulations made under subsection 161(1), every licence, authorization or permit that is continued under subsection (1) or (2) is subject to the conditions set out in regulations made under paragraph 139(1)(g).

(4)Subject to regulations made under subsection 161(1), every application for a licence or authorization under section 9 of the Industrial Hemp Regulations, or for a permit under section 22 or 27 of those Regulations, in respect of which no final decision has been made before the commencement day is deemed to be an application for a licence or a permit, as the case may be, made under section 62 of this Act.

(5)Subject to regulations made under subsection 161(1), if regulations made under subsection 139(1) that come into force on the commencement day refer to approved cultivars, every variety of industrial hemp, as defined in section 1 of the Industrial Hemp Regulations, that immediately before the commencement day is an approved cultivar for a region by reason of a designation made under subsection 39(1) of the Industrial Hemp Regulations is deemed to be an approved cultivar under the regulations made under subsection 139(1).

160.1Definitions#

(1)The following definitions apply in this section.

cannabis means fresh marihuana, dried marihuana and cannabis oil, as those terms are defined in subsection 1(1) of the Access to Cannabis for Medical Purposes Regulations, and marihuana plants or seeds, within the meaning of those Regulations. (cannabis)

licensed producer means a licensed producer, as defined in subsection 1(1) of the Access to Cannabis for Medical Purposes Regulations, who holds a licence that has not been suspended under section 43 of those Regulations. (producteur autorisé)

provide has the same meaning as in subsection 2(1) of the Controlled Drugs and Substances Act. (fournir)

sell has the same meaning as in subsection 2(1) of the Controlled Drugs and Substances Act. (vente)

(2)During the period that begins on the day on which this section comes into force and that ends on the day on which subsection 204(1) comes into force, a licensed producer may, despite the prohibitions set out in sections 4, 5, 7 and 7.1 of the Controlled Drugs and Substances Act, sell, provide, send or deliver cannabis to a person authorized under subsection (5), transport cannabis for the purpose of selling, providing, sending or delivering it to such a person or offer to perform any of those activities.

(3)A licensed producer may perform an activity under subsection (2) only if the activity is

(a)performed in respect of fresh marihuana, dried marihuana, cannabis oil and marihuana plants or seeds that are cannabis and that are indicated in their licence issued under section 35 of the Access to Cannabis for Medical Purposes Regulations; and

(b)authorized under their licence.

(4)During the period that begins on the day on which this section comes into force and that ends on the day on which subsection 204(1) comes into force, paragraphs 18(1)(b) and 19(1)(b) of the Access to Cannabis for Medical Purposes Regulations do not apply to a licensed producer acting under subsection (2).

(5)During the period that begins on the day on which this section comes into force and that ends on the day on which subsection 204(1) comes into force, despite the prohibitions set out in sections 4, 5, 7 and 7.1 of the Controlled Drugs and Substances Act, a person may, if a province authorizes them to do so and subject to subsection (6), possess, sell, provide, send, deliver or transport cannabis or offer to perform any of those activities.

(6)Subsection (5) applies only if the person meets the following conditions:

(a)they possess or sell only cannabis that has been sold or provided to them by a licensed producer under subsection (2) or by a person authorized under subsection (5) to sell, provide, send, deliver or transport cannabis;

(b)they sell, provide, send or deliver cannabis — or transport it for the purpose of selling, providing, sending or delivering it — only

(i)to a person authorized under subsection (5), or

(ii)for the purpose of testing, to a licensed producer or a licensed dealer, as defined in subsection 2(1) of the Narcotic Control Regulations, who holds a licence in respect of cannabis;

(c)they keep appropriate records respecting their activities in relation to cannabis that they possess for commercial purposes; and

(d)they take adequate measures to reduce the risk of cannabis that they possess for commercial purposes being diverted to an illicit market or activity.

(7)Subsection 8(1) of the Narcotic Control Regulations does not apply to:

(a)a licensed producer acting under subsection (2) in respect of the production, making or assembly of cannabis; or

(b)a licensed producer acting under subsection (2) or a person authorized to sell or provide cannabis under subsection (5) in respect of the sale, provision, transport, sending or delivery of cannabis.

(8)Every employee or agent or mandatary of a person that is authorized to perform or to offer to perform an activity under this section may, despite the prohibitions set out in sections 4, 5, 7 and 7.1 of the Controlled Drugs and Substances Act, perform or offer to perform that activity if they do so as part of their employment duties and functions or their role as agent or mandatary and in a manner that is consistent with the conditions that apply to their employer’s or principal’s or mandator’s authorization, as the case may be.

(9)Every person who is acting under a contract with a person that is authorized to perform or to offer to perform an activity under this section — other than an employee or an agent or mandatary of the authorized person — may, despite the prohibitions set out in sections 4, 5, 7 and 7.1 of the Controlled Drugs and Substances Act, perform or offer to perform that activity if they do so in the performance of their contract and in a manner that is consistent with the conditions that apply to the authorized person’s authorization.

(10)For greater certainty, this section does not authorize the retail sale of cannabis.

161Regulations#

(1)The Governor in Council may make regulations that the Governor in Council considers necessary to provide for any transitional matter arising from the coming into force of any provision of this Act.

(2)Regulations made under subsection (1) may, if they so provide, be retroactive and have effect with respect to any period before they are made.

Related Amendments

Non-smokers’ Health Act

Identification of Criminals Act

166 #

[Amendment]

167 #

[Amendment]

National Defence Act

168 #

[Amendment]

Customs Act

169 #

[Amendment]

170 #

[Amendment]

Mutual Legal Assistance in Criminal Matters Act

171 #

[Amendments]

Corrections and Conditional Release Act

172 #

[Amendment]

Seized Property Management Act

Part 12.1 · Cannabis Act

Coordinating Amendments

206 #

[Amendments]

Part 14 · Criminal Code

Amendments to the Act

Coordinating Amendment

225 #

[Amendment]

Part 15 · Coming into Force

*226Order in council#

(1)Subject to subsection (2), the provisions of this Act, except sections 160.1, 161, 188 to 193, 194, 199 to 202, 206 and 225, come into force on a day or days to be fixed by order of the Governor in Council.

(2)If section 193.1 does not come into force by order before the first anniversary of the day on which section 33 comes into force, section 193.1 comes into force on the first anniversary of the day on which section 33 comes into force.

Schedule 1 · (Subsections 2(1) and 151(1))

1 Any part of a cannabis plant, including the phytocannabinoids produced by, or found in, such a plant, regardless of whether that part has been processed or not, other than a part of the plant referred to in Schedule 22 Any substance or mixture of substances that contains or has on it any part of such a plant3 Any substance that is identical to any phytocannabinoid produced by, or found in, such a plant, regardless of how the substance was obtained

Schedule 2 · (Subsections 2(1) and 151(1) and Schedule 1)

1 A non-viable seed of a cannabis plant2 A mature stalk, without any leaf, flower, seed or branch, of such a plant3 Fibre derived from a stalk referred to in item 24 The root or any part of the root of such a plant5 A derivative made by processing parts of such a plant referred to in items 1, 3 or 4, or a product made from that derivative6 A derivative made by processing a stalk referred to in item 2, or a product made from that derivative, that does not contain an isolated or concentrated phytocannabinoid

Schedule 3 · (Subsection 2(4), paragraphs 8(1)(a) and (c), subparagraphs 9(1)(a)(i) and (b)(i), paragraphs 51(2)(a) and (c) to (f) and subsection 151(2))

Schedule 4 · (Section 33 and subsection 151(3))

Schedule 5 · (Section 34 and subsection 151(4))

Schedule 6 · (Subsection 156(2))

Related provisions

— 2022, c. 17, s. 76For greater certainty, but subject to sections 77 and 78, the amendments made by this Act also apply with respect to proceedings that are ongoing on the day on which this Act comes into force. — 2022, c. 17, par. 77(2)(j)Each of the following provisions, as it read immediately before the day on which this Act comes into force, continues to apply with respect to an application made for a warrant under the provision if the application is submitted, and no decision has been made in respect of the application, before that day:subsection 86(10) of the Cannabis Act; — 2022, c. 17, s. 78.1The Minister of Justice must, no later than three years after the day on which this Act receives royal assent, initiate one or more independent reviews on the use of remote proceedings in criminal justice matters that must include an assessment of whether remote proceedingsenhance, preserve or adversely affect access to justice;maintain fundamental principles of the administration of justice; andadequately address the rights and obligations of participants in the criminal justice system, including accused persons.The Minister of Justice must, no later than five years after the day on which a review is initiated, cause a report on the review — including any findings or recommendations resulting from it — to be laid before each House of Parliament. — 2022, c. 17, s. 78.2At the start of the fifth year after the day on which this Act receives royal assent, the provisions enacted or amended by this Act are to be referred to a committee of the Senate and a committee of the House of Commons that may be designated or established for the purpose of reviewing the provisions.The committees to which the provisions are referred are to review them and the use of remote proceedings in criminal justice matters and submit reports to the Houses of Parliament of which they are committees, including statements setting out any changes to the provisions that they recommend.

Federal laws of Canada reproduced under the Reproduction of Federal Law Order (SI/97-5); not the official version. Source: Justice Laws Website.