Canada Elections Act (S.C. 2000, c. 9)

Marginal note:If agreement complied with

• 518 (1) If the Commissioner is of the opinion that the compliance agreement has been complied with, the Commissioner shall cause a notice to that effect to be served on the contracting party. The Commissioner shall also provide a copy of the notice to the Director of Public Prosecutions if a prosecution of the contracting party for an act or omission that led to the agreement had been instituted before the agreement was entered into.

• Marginal note:Effect of service

  (2) Service of the notice terminates any prosecution of the contracting party that is based on the act or omission in question and prevents the institution of any prosecution of the contracting party for the act or omission.

Marginal note:If agreement not complied with

• 519 (1) If the Commissioner is of the opinion that a contracting party has not complied with a provision of a compliance agreement, the Commissioner shall cause a notice of default to be served on the contracting party, informing it that, as the case may be,

  • (a) a notice of violation may be served on the contracting party as a result of the failure to comply with the provision of the compliance agreement;

  • (b) a prosecution may be instituted against the contracting party in respect of any act or omission that led to the agreement; or

  • (c) if a prosecution in respect of any act or omission that led to the agreement was suspended by virtue of subsection 517(8), it may be resumed.

• Marginal note:Copy to Director of Public Prosecutions

  (2) The Commissioner shall also provide a copy of the notice to the Director of Public Prosecutions if a prosecution in respect of any act or omission that led to the agreement had been instituted before the agreement was entered into.

Marginal note:Dismissal of proceedings

520 The court shall dismiss proceedings against a contracting party if it is satisfied on a balance of probabilities that the contracting party has totally complied with the compliance agreement or, in the case of partial compliance and taking into account the contracting party’s performance with respect to the agreement, is of the opinion that the proceedings would be unfair.

Marginal note:Publication

521 The Commissioner shall publish, in the manner and form that he or she considers appropriate, a notice that sets out the contracting party’s name, the act or omission in question and the text of the compliance agreement, other than the signatures of the individuals who signed it.

Deregistration

Marginal note:Notice to party

• 521.1 (1) If the Commissioner has reasonable grounds to suspect that a registered party does not have as one of its fundamental purposes participating in public affairs by endorsing one or more of its members as candidates and supporting their election, the Commissioner shall, in writing, notify the party that it is required to show that that is one of its fundamental purposes.

• Marginal note:Court application

  (2) If, after giving the party a reasonable opportunity to show what its fundamental purposes are, the Commissioner still has reasonable grounds to suspect that the party does not have as one of its fundamental purposes the purpose described in subsection (1), the Commissioner may apply to a court described in subsection 525(1) for an order described in subsection (3).

• Marginal note:Order

  (3) If the court is satisfied that the party does not have as one of its fundamental purposes the purpose described in subsection (1), the court shall, by order, direct the Chief Electoral Officer to deregister the party and it may

  • (a) direct the chief agent — or another person specified by the court — to liquidate the party’s assets; and

  • (b) if it directs liquidation under paragraph (a), direct the financial agent of each registered association — or another person specified by the court — to liquidate the registered association’s assets.

• Marginal note:Onus on party

  (4) The onus of satisfying the court that one of its fundamental purposes is the purpose described in subsection (1) is on the party.

• Marginal note:Factors

  (5) In making its decision, the court shall consider all of the factors relevant to determining the party’s purposes, including, as applicable, the following:

  • (a) the party’s constitution, articles of incorporation, letters patent or by-laws or any other information that may indicate those purposes;

  • (b) the party’s political program, annual report to members, fundraising plan, advertising material and policy statements;

  • (c) the nature and extent of the activities of the party and its registered associations and candidates, including the nature and extent of their involvement in electoral campaigns and any of their public statements in support of another political party or a candidate of another political party;

  • (d) the funds received by the party and its registered associations and candidates, their sources and how they are used by the party, including as election expenses;

  • (e) interactions of the party with other entities that are not recognized political parties under the laws of any province that may indicate that it is under the control, direct or indirect, of another entity or that the party is using its status as a registered party primarily for the purpose of providing financial assistance to another entity; and

  • (f) whether the party is a non-profit entity.

• Marginal note:Exemption

  (6) If, in the court’s opinion, the public interest and the need to ensure fairness of the electoral process warrant it, the court may, on application, exempt the party and its registered associations from the application of subsection 127(3.3) of the Income Tax Act. If an exemption is granted, the court may impose any conditions on the activities of the party, registered association or candidate that it considers appropriate.

• Marginal note:Liquidation

  (7) If a chief agent, a financial agent or a person specified by the court is, under subsection (3), directed to liquidate, they shall carry out the liquidation in accordance with subsections 501(4) to (7).

Proceedings in Respect of a Violation

Notice of Violation

Marginal note:Issuance of notice of violation

• 521.11 (1) If the Commissioner believes on reasonable grounds that a person or entity has committed a violation, the Commissioner may issue, and shall cause to be served on the person or entity, a notice of violation that

  • (a) sets out the person or entity’s name;

  • (b) identifies the provision of this Act that was contravened or the requirement, or the provision of the compliance agreement or undertaking, that was not complied with;

  • (c) identifies the act or omission to which the violation relates;

  • (d) sets out the amount of the administrative monetary penalty for the violation;

  • (e) sets out the particulars concerning the manner of payment;

  • (f) informs the person or entity of their right to request a review by the Chief Electoral Officer or the Commissioner, as the case may be, of the alleged violation or proposed penalty, and sets out the manner for doing so;

  • (g) informs the person or entity that if they provide an undertaking that is accepted by the Commissioner, the proceedings commenced by the notice will be ended; and

  • (h) informs the person or entity of the consequences of failing to pay the penalty, request a review or provide the Commissioner with an undertaking.

• Marginal note:Approval of manner of requesting review

  (2) The manner for requesting a review by the Chief Electoral Officer that is set out in the notice of violation requires the Chief Electoral Officer’s prior approval.

• Marginal note:Correction or cancellation of notice of violation

  (3) At any time before a request for a review in respect of the notice of violation is received by the Chief Electoral Officer or the Commissioner, as the case may be, the Commissioner may cancel the notice of violation or correct an error in it.

Marginal note:Limitation period or prescription

• 521.12 (1) No notice of violation may be issued after the expiry of five years after the day on which the Commissioner becomes aware of the act or omission to which the alleged violation relates nor, in any case, later than 10 years after the day on which the act or omission occurred.

• Marginal note:Certification by Commissioner

  (2) A document purporting to have been issued by the Commissioner, certifying the day on which the Commissioner became aware of the act or omission that constitutes the alleged violation, is admissible in evidence without proof of the signature or official character of the individual appearing to have signed it and, in the absence of evidence to the contrary, is proof that the Commissioner became aware of the act or omission on that day.

Undertakings

Marginal note:Provision of undertaking

• 521.13 (1) If a person or entity has committed a violation, they may provide the Commissioner with an undertaking in writing that is aimed at ensuring compliance with this Act.

• Marginal note:When undertaking may be provided

  (2) If a notice of violation has been served on a person or entity, an undertaking in relation to an act or omission to which the notice relates may be provided at any time before the person or entity is deemed to have committed the violation to which the notice relates.

• Marginal note:Contents

  (3) The Commissioner may accept the undertaking only if the undertaking

  • (a) identifies, as the case may be,

    • (i) the provision of this Act that was contravened,

    • (ii) the requirement of the Chief Electoral Officer that was not complied with, or

    • (iii) if the undertaking relates to the failure to comply with a provision of a compliance agreement or another undertaking, the provision of the compliance agreement or other undertaking that was not complied with;

  • (b) identifies the act or omission to which the contravention or the failure to comply relates; and

  • (c) contains the terms and conditions that the Commissioner considers appropriate, including a requirement that the person or entity pay an amount that is specified in the undertaking in the time and manner set out in the undertaking.

• Marginal note:Obligation of Commissioner

  (4) Before accepting the person’s or entity’s undertaking, the Commissioner shall inform them of the Commissioner’s obligation to publish a notice under subsection 521.34(2).

Review

Marginal note:Request for review

521.14 Instead of paying the amount of the administrative monetary penalty set out in the notice of violation, the person or entity named in the notice of violation may, within 30 days after the day on which the notice of violation is served — or within 30 days after the day on which they are served with a notice informing them that their undertaking has not been accepted — and in the manner specified in the notice of violation

• (a) request a review by the Commissioner with respect to the alleged violation or the penalty, or both, if the amount of the penalty is

  • (i) $500 or less, in the case of a notice of violation that was issued to an individual, or

  • (ii) $1500 or less, in the case of a notice of violation that was issued to a corporation or an entity; or

• (b) request a review by the Chief Electoral Officer with respect to the alleged violation or the penalty, or both, if the amount of the penalty is

  • (i) more than $500, in the case of a notice of violation that was issued to an individual, or

  • (ii) more than $1500, in the case of a notice of violation that was issued to a corporation or an entity.