Regulations Specifying Activities that Do Not Constitute Brokering
This regulation defines “affiliate” and “controlled,” identifies certain brokering activities that do not count as brokering, and sets when the regulations start to apply.
Regulations Specifying Activities that Do Not Constitute Brokering Her Excellency the Governor General in Council, on the recommendation of the Minister of Foreign Affairs, pursuant to paragraph 12(e.1)a of the Export and Import Permits Actb, makes the annexed Regulations Specifying Activities that Do Not Constitute Brokering. S.C. 2018, c. 26, s. 12(2) R.S., c. E-19 Interpretation For the purposes of these Regulations, a corporation is an affiliate of another corporation if one of them is controlled by the other or both are controlled by the same corporation; and a corporation is controlled by another corporation if the other corporation is able to exercise control in fact of the corporation. Excluded activities The following activities do not constitute brokering for the purposes of the Export and Import Permits Act: the brokering of a transaction between a corporation and its affiliates if the transaction relates to the movement of a good, other than a good referred to in Group 9 of the schedule to the Export Control List, and the good is for end-use by an affiliate of the corporation; and the brokering of a transaction by a Canadian citizen or a permanent resident as defined in subsection 2(1) of the Immigration and Refugee Protection Act if the Canadian citizen or permanent resident is outside of Canada and the transaction relates to the movement of a good, other than a good referred to in Group 9 of the schedule to the Export Control List, the brokering is done on behalf of the employer of the Canadian citizen or permanent resident and the employer is not a Canadian citizen or a permanent resident or an organization that is incorporated, formed or otherwise organized under the laws of Canada or a province, and the Canadian citizen or permanent resident does not have the ability to exercise control in fact of the employer. Coming into force These Regulations come into force on the day on which subsection 12(2) of An Act to amend the Export and Import Permits Act and the Criminal Code (amendments permitting the accession to the Arms Trade Treaty and other amendments), chapter 26 of the Statutes of Canada, 2018, comes into force, but if they are registered after that day, they come into force on the day on which they are registered. [Note: Regulations in force September 1, 2019, see SI/2019-41.]