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Canadian Energy Regulator Act (S.C. 2019, c. 28, s. 10)

Act current to 2021-09-11 and last amended on 2020-07-01. Previous Versions

PART 6Lands (continued)

Acquisition or Lease of Lands (continued)

Marginal note:Notice of proposed acquisition or lease of lands

  •  (1) If a company has determined the lands that may be required for the purposes of a section or part of a pipeline, the company must serve a notice on all owners of the lands, to the extent that they can be ascertained, which notice must set out or be accompanied by

    • (a) a description of the lands of the owner that are required by the company for that section or part;

    • (b) details of the compensation offered by the company for the lands required;

    • (c) a detailed statement made by the company of the value of the lands required in respect of which compensation is offered;

    • (d) a description of the procedure for approval of the detailed route of the pipeline;

    • (e) a description of the procedure available under this Part in the event that the owner of the lands and the company are unable to agree on any matter respecting the compensation payable; and

    • (f) any prescribed information.

  • Marginal note:Agreement void or null

    (2) If an agreement referred to in section 321 is entered into with an owner of lands before a notice is served on the owner under this section, that agreement is void or, in Quebec, null.

  • Marginal note:Abandonment: company’s liability

    (3) If a company serves a notice on an owner of lands under subsection (1) and subsequently decides not to acquire or lease all or part of the land described in the notice, it is liable to the owner for all damages suffered and reasonable costs incurred by the owner in consequence of the notice and the abandonment of the acquisition or lease of the land.

Marginal note:Agreement of purchase and sale

 Subsections 321(2) and 322(1) do not apply during any period in which an agreement of purchase and sale with respect to the lands referred to in those subsections is in effect between the company and the owner of those lands.

Right of Entry

Marginal note:Immediate right of entry

  •  (1) Subject to subsection 317(1), if the Commission considers it appropriate to do so, the Commission may, by order, on application to the Regulator in writing by a company, grant to the company an immediate right to enter any lands on any conditions specified by the Commission in the order.

  • Marginal note:Notice

    (2) The Commission is not authorized to make an order under subsection (1) unless the Commission is satisfied that the owner of the lands in question has, not less than 30 days and not more than 60 days before the date of the application, been served with a notice setting out

    • (a) the purpose of the right of entry referred to in subsection (1);

    • (b) the date on which the company intends to make its application to the Regulator under subsection (1);

    • (c) the date on which the company intends to enter the lands and the period during which the company intends to have access to the lands;

    • (d) the address of the Regulator to which any objection in writing that the owner may make concerning the issuance of the order may be sent; and

    • (e) a description of the right of the owner to an advance of compensation under section 325 if the order is issued and the amount of the advance that the company is prepared to make.

Marginal note:Advance of compensation

 If a company has been granted an immediate right to enter lands under subsection 324(1), the owner of the lands is entitled to receive from the company an amount as an advance of the compensation referred to in subsection 327(1).

Marginal note:Vesting

  •  (1) An order under subsection 324(1) that grants a company an immediate right to enter lands is deemed to have vested in the company any title, interest or right in the lands that is specified in the order.

  • Marginal note:Registration, recording or filing

    (2) Within 30 business days after the day on which the order is made, the company must register or deposit the order with the appropriate land registrar and notify the Regulator and the owner of the lands of its deposit.

Determination of Compensation

Marginal note:Determinations regarding compensation

  •  (1) If a company and an owner of lands have not agreed on any matter relating to the compensation payable under this Part, the Commission, on application by a company or any owner, must, by order, determine that matter.

  • Marginal note:Factors to consider

    (2) In determining any matter under subsection (1) for the acquisition or lease of lands, the Commission must consider the following factors:

    • (a) the market value of the lands taken by the company;

    • (b) if periodic payments are being made under an agreement or an order of the Commission, changes in the market value referred to in paragraph (a) since the agreement or order of the Commission or since the last review and adjustment of those payments, as the case may be;

    • (c) the loss of use to the owner of the lands taken by the company or whose use is otherwise restricted by the operation of section 335;

    • (d) the adverse effect of the taking of the lands by the company on the remaining lands of an owner, including by restricting their use by the operation of section 335;

    • (e) the nuisance, inconvenience and noise that may reasonably be expected to be caused by or arise from or in connection with the operations of the company;

    • (f) the damage to lands in the area of the lands taken by the company that might reasonably be expected to be caused by the operations of the company;

    • (g) loss of or damage to livestock or other personal property or movable affected by the operations of the company;

    • (h) any special difficulties in relocation of an owner or their property;

    • (i) any other factors that the Commission considers appropriate in the circumstances; and

    • (j) other prescribed factors that are prescribed under paragraph 333(e).

  • Marginal note:Definition of market value

    (3) For the purpose of paragraph (2)(a), market value is the amount that would have been paid for the lands if, at the time of their taking, they had been sold in the open market by a willing seller to a willing buyer.

Marginal note:Settlement land or Tetlit Gwich’in Yukon land

 If the Commission determines a compensation matter involving land referred to in section 318, sections 3, 26 to 31, 36, 54 to 58, 63, 67 and 72 of the Yukon Surface Rights Board Act apply to the Commission as if it were the Yukon Surface Rights Board.

Marginal note:Form of compensation payment if land taken

  •  (1) If the Commission makes an award of compensation in favour of a person whose lands are taken by a company, the Commission must, by order, direct, at the option of that person, that the compensation or any part of it be made by one lump sum payment or by periodic payments of equal or different amounts over a specified period of time.

  • Marginal note:Other awards

    (2) If the Commission makes an award of compensation in favour of any person other than a person referred to in subsection (1), the Commission may, by order, direct, at the request of that person, that the compensation or any part of it be made by periodic payments of equal or different amounts over a specified period of time and that there be a periodic review of the compensation or part of the compensation.

  • Marginal note:Terms to be included in award

    (3) Every award of compensation made by the Commission in respect of lands acquired or leased by a company must include provision for those matters referred to in paragraphs 321(2)(b) to (h) that would be required to be included in a land acquisition or lease agreement referred to in section 321.

  • Marginal note:Interest may be payable

    (4) The Commission may, by order, direct a company to pay interest on the amount of any compensation awarded by the Commission at the lowest rate of interest quoted by banks to the most credit-worthy borrowers for prime business loans, as determined and published by the Bank of Canada for the month in which, as the case may be,

    • (a) the company entered the lands in respect of which the compensation is awarded; or

    • (b) the damages suffered as a result of the operations of the company first occurred.

  • Marginal note:Period during which interest payable

    (5) Interest may be awarded under subsection (4) from the date the event referred to in paragraph (4)(a) or (b), as the case may be, occurred or from any later date that the Commission may specify in its award.

Marginal note:Costs

  •  (1) If the amount of compensation awarded to a person by the Commission exceeds 85% of the amount of compensation offered by the company, the company must pay all legal, appraisal and other costs determined by the Commission to have been reasonably incurred by that person in asserting that person’s claim for compensation.

  • Marginal note:Costs

    (2) If the amount of compensation awarded to a person by the Commission does not exceed 85% of the amount of compensation offered by the company, the legal, appraisal and other costs incurred by that person in asserting their claim for compensation are at the discretion of the Commission, and the Commission may, by order, direct the company or any other party to the proceedings to pay the whole or any part of those costs.

 
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