Federal Real Property and Federal Immovables Regulations

Contents

His Excellency the Governor General in Council, on the recommendation of the Minister of Justice and the Treasury Board, pursuant to subsections 15(2) and 16(2) of the Federal Real Property Act, is pleased hereby to revoke the Government Land Purchase Regulations, made by Order in Council P.C. 1978-1749 of May 25, 1978, the Public Lands Leasing and Licensing Regulations, made by Order in Council P.C. 1982-2718 of September 3, 1982, the Public Lands Sale Regulations (Transport), C.R.C., c. 1327, and the Public Works Leasing Regulations, C.R.C. c. 1364, and to make the annexed Regulations respecting federal real property, in substitution therefor, effective on the day that the Federal Real Property Act comes into force.^note^note^note

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[Repealed, SOR/2020-134, s. 2] (repealed)

Interpretation

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The following definitions apply in these Regulations.

acquisition means an acquisition on behalf of Her Majesty of real property or an immovable, including

(a)by lease as lessee;

(b)by acceptance of a gift, devise or legacy;

(c)by acceptance of a surrender or resiliation of a lease of federal real property or federal immovable; or

(d)by acceptance of a relinquishment of an easement on federal real property or by abandonment of a servitude on federal immovables.

It does not include an acceptance of a transfer of administration or an acceptance of a transfer of administration and control. (acquisition)

Act means the Federal Real Property and Federal Immovables Act. (Loi)

disposition means a disposition by Her Majesty of federal real property or a federal immovable, including

(a)by lease as lessor;

(b)by gift;

(c)by surrender or resiliation of a lease as lessee; or

(d)by relinquishment of an easement of real property or by abandonment of a servitude on immovables where Her Majesty is the holder of the easement or servitude.

It does not include a transfer of administration or transfer of administration and control. (disposition)

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Application

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In regulation 2 (Interpretation)—

(1)These Regulations do not apply in respect of

(a)expropriations of real property or an immovable by Her Majesty; or

(b)dispositions, other than by lease or easement or servitude, if the whole of the purchase price or other consideration is not received by Her Majesty at or before completion of the disposition.

(2)Despite paragraph (1)(b) and the fact that the whole of the purchase price or other consideration is not received by Her Majesty at or before completion of the disposition, these Regulations apply in respect of dispositions to a Crown corporation, within the meaning of subsection 83(1) of the Financial Administration Act, whose instrument or act of incorporation specifically limits its activities or businesses to the purposes and objectives of acquiring, purchasing, leasing, holding, improving, managing, exchanging, selling, turning into account or otherwise dealing in or disposing of personal property or real property or of any interest in that property, or of movables or immovables or of a real right in that property.

(3)Sections 7 to 10 do not apply to leases, surrenders or resiliations of leases or to acceptances of surrenders or resiliations of leases.

General Authority

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(1)A Minister may enter into an acquisition, a disposition or an option for an acquisition or for a disposition.

(2)A Minister may, in respect of real property or an immovable,

(a)give a licence or acquire a licence; or

(b)relinquish a licence of which Her Majesty is the licensee, or accept the relinquishment of a licence of which Her Majesty is the licensor.

(3)A Minister may provide utilities and other services on or from federal real property or a federal immovable that is under the Minister’s administration and may impose fees, charges and rates for those services.

Administration and Control

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(1)A Minister may transfer to Her Majesty in right of a province, by instrument or act satisfactory to the Minister of Justice, the administration and control of the entire or any lesser interest, or any right, of Her Majesty in any federal real property or any federal immovable, either in perpetuity or for any lesser term.

(2)A Minister may accept on behalf of Her Majesty a transfer of the administration and control satisfactory to the Minister of Justice of the entire or any lesser interest, or any right, of Her Majesty in right of a province in any real property or immovable, including transfers made by grant, concession, vesting order or other conveyancing instrument or other transfer act, either in perpetuity or for any lesser term.

(3)In the case of retrocession or reversion to Her Majesty in right of a province or Her Majesty in right of Canada of the administration and control of the entire or any lesser interest, or any right, in any real property or immovable, a Minister may give effect to that retrocession or reversion by instrument or act satisfactory to the Minister of Justice, despite the requirement, in the original transfer of administration and control, to proceed by order in council or written notice.

Administration or Administrative Responsibility

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(1)A Minister may

(a)transfer the administration of any federal real property or federal immovable to another Minister or to an agent corporation that has the authority under any other Act of Parliament to acquire the real property or immovable;

(b)transfer to another Minister the administrative responsibility for a licence of which Her Majesty is the licensee;

(c)accept the transfer of the administration of any federal real property or federal immovable from another Minister or from an agent corporation that has the authority under any other Act of Parliament to dispose of the real property or immovable; and

(d)accept from another Minister the transfer of the administrative responsibility for a licence of which Her Majesty is the licensee.

(1.1)A Minister shall not

(a)make a transfer to an agent corporation under paragraph (1)(a), or

(b)accept a transfer from an agent corporation under paragraph (1)(c)

unless the transfer is consented to in writing by the agent corporation.

(2)Every transfer and acceptance referred to in subsection (1) shall be in writing and shall be effective when it is signed by both parties and countersigned by the Minister of Justice.

Acquisition Terms

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A Minister may

(a)in an acquisition, agree to pay, in addition to the purchase price of and other consideration for the real property or immovable, any amounts that the Minister may approve in respect of the legal fees and disbursements of the owner of the real property or immovable that are reasonably incurred, and any taxes and other adjustments; and

(b)if the completion of an acquisition is unreasonably delayed through no fault of the owner of the real property or immovable, pay interest for the period of the delay at a rate that is not greater than 1.5% above the average accepted tender rate of Government of Canada three month Treasury Bills, as announced by the Bank of Canada on behalf of the Minister of Finance, which tender rate must be the last tender rate to be announced before the day on which the contract was executed or, in Quebec, signed.

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Payment

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(1)Subject to subsections (2) to (5), no payment shall be made in respect of an acquisition until good title satisfactory to the Minister of Justice is obtained through that Minister.

(2)A Minister may make a partial payment in respect of an acquisition of real property or an immovable that is within Canada, before the completion of the acquisition, under an arrangement satisfactory to the Minister of Justice that ensures its repayment to Her Majesty if the Minister of Justice is not satisfied as to good title.

(3)Subsections (1) and (2) do not apply in respect of

(a)an option for an acquisition; or

(b)an acquisition entered into by the Minister responsible for the Canadian Security Intelligence Service for the purpose of pursuing security investigations or by the Minister responsible for the Royal Canadian Mounted Police for the purpose of pursuing security or criminal investigations.

(4)The Minister of Foreign Affairs may, in respect of the acquisition of real property or an immovable outside Canada, make a payment if the payment

(a)is in accordance with the commercial practice of the jurisdiction in which the real property or immovable is situated;

(b)is paid under an arrangement that ensures its repayment to Her Majesty if good title satisfactory to the Minister of Justice cannot be obtained or the title or ownership cannot be certified by a person who is hired to perform legal services pursuant to section 4 of the Government Contracts Regulations; and

(c)is paid under an arrangement that ensures immediate possession by Her Majesty when full payment is made.

(5)Despite subsection (4), the Minister of Foreign Affairs may, in respect of the acquisition of real property or an immovable that is situated in a jurisdiction in which the title to or ownership of real property or an immovable within that jurisdiction cannot be determined or certified by and to the satisfaction of the Minister of Justice, make a payment if the payment

(a)is in accordance with the commercial practice of the jurisdiction in which the real property or immovable is situated; and

(b)is paid under an arrangement that ensures immediate possession by Her Majesty when full payment is made.

Referral of a Disposition to the Minister of Justice

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(1)Subject to subsection (2), a Minister shall refer every disposition to the Minister of Justice for settlement and approval of the form and legal content of the Crown grant.

(2)Subsection (1) does not apply to

(a)the Minister of Foreign Affairs, if the performance of legal services in respect of a disposition is authorized under section 4 of the Government Contracts Regulations; or

(b)the Minister responsible for the Royal Canadian Mounted Police or the Minister responsible for the Canadian Security Intelligence Service, if a disposition is in respect of real property or an immovable acquired for the purpose of pursuing investigations described in paragraph 8(3)(b).

(3)Where, pursuant to subsections 5(6) and 7(2) of the Act, a Crown grant is to be countersigned by the Minister of Justice, the countersignature is conclusive evidence that the Minister of Justice has settled and approved the form and legal content of the Crown grant.

Option Terms

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If a Minister, in an option for an acquisition, is granted the right to enter and conduct tests in respect of the real property or immovable that is subject to the option, the Minister may agree with the person granting the option

(a)to indemnify that person from all claims and demands that arise as a result of the Minister exercising the right to enter;

(b)to repair or to pay compensation in respect of any damage done to any real property or immovable of that person, other than the real property or immovable that is the subject of the option, that arises as a result of the Minister exercising the right to enter; and

(c)in the event that the option is not exercised, to repair or to pay compensation for any damage done to the real property or immovable that is subject to the option that arises as a result of the Minister exercising the right to enter.

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Document Depository

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(1)The Minister of Justice must establish and operate a document depository at the Department of Justice that contains copies of the following instruments or acts:

(a)grants or concessions of federal real property or a federal immovable, including grants or concessions by instruments or acts referred to in paragraph 5(1)(b), subsections 5(2) and (3) and section 7 of the Act, other than letters patent, notifications, leases or grants or concessions in respect of a disposition of any real property or immovable that was the subject of an acquisition described in paragraph 8(3)(b);

(b)transfers of administration and control of real property or an immovable and acceptances of those transfers;

(c)transfers of administration of federal real property or a federal immovable and acceptances of those transfers; and

(d)transfers of administrative responsibility for a licence and acceptances of such transfers.

(2)Except in the case of a disposition of real property or an immovable that was the subject of an acquisition described in paragraph 8(3)(b), a copy of the instrument or act must immediately be sent to the document depository by the Minister who

(a)ceases to have the administration of any federal real property or federal immovable by virtue of

(i)a grant or a concession referred to in paragraph (1)(a),

(ii)a transfer of administration and control of the federal real property or federal immovable to Her Majesty in any right other than of Canada, or

(iii)a transfer of administration of the federal real property or federal immovable to an agent corporation;

(b)acquires the administration of any federal real property or federal immovable by virtue of

(i)a transfer of administration and control of real property or an immovable to Her Majesty and the acceptance of that transfer, or

(ii)a transfer of administration of the federal real property or federal immovable from another Minister or an agent corporation and the acceptance of that transfer; or

(c)acquires the administrative responsibility for a licence by virtue of a transfer referred to in paragraph (1)(d) and the acceptance of the transfer.

(3)Instruments, acts and information may be recorded or stored in the document depository by any means.

Federal laws of Canada reproduced under the Reproduction of Federal Law Order (SI/97-5); not the official version. Source: Justice Laws Website.