Company and Finance News:

Federal Budget 2021 – New Rules Mean More Information
Being Disclosed and Potentially More Enforcement
In Budget 2021, the federal government proposes to provide the Canada Revenue Agency (the "CRA") with $230 million over five years as part of an ongoing focus on enforcing civil liabilities arising under the Income Tax Act (Canada) (the "Act") and prosecuting criminal tax evasion. This blog provides an overview of two income tax proposals in Budget 2021 which would significantly expand the breadth of information taxpayers may be required to disclose to government officials.

The proposals discussed below are particularly concerning, and potentially constitutionally problematic as information compelled by government officials during administrative procedures can be used to investigate and prosecute criminal tax offenses. Read the full article by Greg DelBigio, Q.C. and Morgan Watchorn with Thorsteinssons LLP.

Coming Soon to the CBCA: Majority Voting and
Voting Against Directors
In May 2018, An Act to amend the Canada Business Corporations Act, the Canada Cooperatives Act, the Canada Not-for-profit Corporations Act and the Competition Act (Bill C-25) received Royal Assent. Certain amendments to the Canada Business Corporations Act (CBCA) still required supporting regulations to be drafted, however, and were therefore not immediately proclaimed into force. Among these were amendments (Amendments) that would: (i) require certain CBCA corporations to require that separate votes be held (i.e., would prohibit slate voting) for the election of each candidate to the board of directors; (ii) impose a majority-voting requirement where such elections are uncontested (i.e., where there is only one nominee for each available board seat); and (iii) permit shareholders to vote shares for or against (rather than "withholding" shares from voting) each nominee in such uncontested elections. As set out below, Corporations Canada has published proposed regulations (Regulations) to accompany such Amendments. Read the full article by Matthew Merkley and Eric Moncik with Blake, Cassels & Graydon LLP.

BCFSA Outsourcing Guideline – B-10 Comes to BC
On February 22, 2021, the BC Financial Services Authority (the "BCFSA") issued a draft Outsourcing Guideline (the "Outsourcing Guideline"). The Outsourcing Guideline is applicable to all provincially regulated financial institutions incorporated in BC (including BC credit unions) that outsource, or contemplate outsourcing, one or more of their business activities.

The Outsourcing Guideline outlines the BCFSA's expectations for outsourcing risk management practices.

BC credit unions will be required to familiarize themselves with the Outsourcing Guideline, as it will be applicable to any outsourcing arrangements entered into by the credit union. To put it (too) simply, a credit union will be considered to have entered into an outsourcing arrangement where it engages a third party to perform any business activity that the credit union can perform itself. Examples of outsourcing arrangements may include document processing, loan administration and human resources services. The Outsourcing Guideline will not apply in circumstances where the credit union is not legally able to perform the business activity on its own. Read the full article by Peter Brown and Lauren Frederick with Edwards, Kenny & Bray LLP.

BC Securities – Policies & Instruments
The following policies and instruments were recently published on the BCSC website:

• 25-102 – CSA Notice of Multilateral Instrument 25-102 Designated Benchmarks and Benchmark Administrators Adoption - Multilateral Instrument 25-102 Designated Benchmarks and Benchmark Administrators
• 25-102 – CSA Notice and Request for Comment - Proposed Amendments to Multilateral Instrument 25-102 Designated Benchmarks and Benchmark Administrators and Changes to Companion Policy 25-102 Designated Benchmarks and Benchmark Administrators
• 14-101 – CSA Notice and Request for Comment – Proposed amendments to National Instrument 14-101 Definitions and Consequential Amendments
• BC Notice 2021/02 – Clarification of Requirements for Crypto Asset Trading Platforms
• 95-302 – CSA Staff Notice 95-302 – Margin and Collateral Requirements for Non-Centrally Cleared Derivatives

For more information visit the BC Securities website.

Financial Institutions Act

B.C. to Ask Feds for Drug Possession Exemption
5 Years into Overdose Crisis
The province is requesting a federal exemption to decriminalize drug possession, five years after B.C. declared the overdose crisis a public health emergency.

Since April 14, 2016, there have been more than 7,000 deaths related to illicit drug overdoses in this province.

Dr. Perry Kendall, who was B.C.'s provincial health officer at the time, declared the emergency due to "a frightening increase in the number of deaths in the province from illicit drug toxicity." Read the News1130 article.

Paid COVID-19 Vaccination Leave in Place for B.C.
On April 27, the BC government's amendments to the Employment Standards Act were passed providing employees with up to three hours of paid leave to get each dose of their vaccine. The amendments are retroactive to April 19, 2021.

Pursuant to the amendments, if requested by their employer, an employee must provide reasonably sufficient proof that they are entitled to the leave. However, an employer must not request a note from a medical practitioner, nurse practitioner or registered nurse for the purposes of a request for this leave. Read the full article by Veronica S. C. Rossos and Jenifer C. Gentle with Miller Thomson LLP.

British Columbia Employers Now at Risk of
Expedited Workplace Closures
Effective April 12, 2021, local public health authorities will have the power to order the temporary closure of businesses where confirmed outbreaks of COVID-19 have occurred in the workplace. This power is authorized by a new 'expedited workplace closure order' that was announced by Dr. Bonnie Henry on April 8, 2021.

This power will permit the medical health officer of a local health authority to order the closure of businesses for a minimum period of 10 days where 3 or more employees are confirmed to have transmitted COVID-19 in the workplace. A closure order can either be made in respect of a business as a whole, or for larger employers, in respect of a particular area of the business if transmission has occurred in a particular area. Public health authority staff will be assisted by WorkSafeBC prevention officers, who have been delegated the power to serve closure orders on businesses where outbreaks have occurred. Read the article by Dianne Rideout and Michelle McKinnon with McMillan LLP.

BCHRT Screening Decision Addresses Worker Denied
Entry to Workplace Based On His Refusal To Wear
Mask Due To Alleged Religious Reasons
On April 8, 2021, the BC Human Rights Tribunal (the "Tribunal") issued another screening decision providing guidance on human rights considerations and mandatory mask policies. The Tribunal previously decided that a customer who claimed they could not wear a mask in a store had to show some medical evidence to the Tribunal to prove they had a disability under the BC Human Rights Code (the "Code").

In the Tribunal's newest published screening decision, The Worker v. The District Managers, 2021 BCHRT 41, the Tribunal considered whether an employer had contravened the Code by denying an employee entry because he refused to wear a mask on religious grounds. Read the full article by Lauren Soubolsky and Colton Dennis with McCarthy Tetrault LLP.

Insist or Accommodate?
As eligibility to receive a COVID-19 vaccination continues to expand across Canada, some employers are considering making this immunization mandatory in their workplaces. But experts recommend that employers be cautious in implementing these measures.

Ryan Watkins, an employment lawyer and partner with Whitten & Lublin in Toronto, says that employers likely have the right to implement a mandatory vaccination policy "to keep the rest of the workforce safe, especially in industries where workers interact with the public." It's worked in other settings, he says, pointing to similar policies in public schools where students must be vaccinated to attend "unless there is a medical or religious exemption."

Under provincial health and safety legislation, employers have the right to protect their workers, says Watkins, which includes protection from a virus that caused a global pandemic. What if an employee refuses? Read the full article by Carolynne Burkholder-James published on CBA National.

What Federally-Regulated Employers Need to Know
About the New Federal Workplace Harassment
and Violence Prevention Regime
The federal government has introduced significant obligations for federally-regulated employers with respect to preventing and addressing occurrences of workplace harassment and violence. The Work Place Harassment and Violence Regulations (the "Regulations"), and changes to the Canada Labour Code (the "Code") through Bill C-65, An Act to amend the Canada Labour Code (harassment and violence), the Parliamentary Employment and Staff Relations Act, and the Budget Implementation Act, 2017, No. 1, came into force on January 1, 2021 ("Bill C-65"). The new requirements apply to all federal workplaces covered under Part II of the Code, including the federal public service, the federally regulated private sector, and parliamentary workplaces. Read the full article by Nicole Naglie and Lama Kahiel with McCarthy Tetrault LLP.

Local Government News:

Summary of Dupont v Port Coquitlam (City), 2021 BCSC 728 –
The One Tree to Rule Them All
Councillor Laura Dupont brought a petition for judicial review to quash a resolution of Council of the City of Port Coquitlam ("Council") that declared she disclosed confidential information in breach of the Community Charter, SBC c 26 ("Community Charter") and her duties as a Council Member (the "Resolution"). Council formally censured her, imposed restrictions on her access to confidential materials, and removed her from certain committees.

The Root Cause

In 2019, the City of Port Coquitlam was engaged in a series of closed discussions pursuant to s. 90 of the Community Charter for the purpose of evaluating potential development of a City-owned piece of land located at 2251 McAllister Avenue (the "Site"). Councillor Dupont expressed concerns about the preservation of a specific mature Deodar cedar tree (the "Tree"). She shared information about the proposed development of the Site on various occasions. Specifically, Councillor Dupont shared information during an in-person meeting that included a person who was not attending in any official capacity for the City, and forwarded two e-mails related to the development of the Site and the Tree to members of the community. This information leak was subsequently discovered by Council. Read the full article by Thea Hoogstraten and Melody Cheung with Alexander Holburn LLP.

Greenhouse Gas Pollution Pricing Act, 2021 SCC 11
[Local Government Perspective]
In the Reference re Greenhouse Gas Pollution Pricing Act, 2021 SCC 11 ("GGPPA"), a Majority decision of the Supreme Court of Canada held that the GGPPA is constitutional and the federal government has jurisdiction to enact minimum national standards of Green House Gas ("GHG") pricing as a matter of national concern under the peace, order and good government clause of s. 91 of the Constitution Act, 1867.

In this landmark decision, Canada's highest court concluded that the GGPPA establishes minimum national standards of GHG pricing, which sets a floor across the country in respect of a broad set of GHG emissions sources, to reduce GHG emissions. The Court also concluded that the federal GHG pricing system does not displace provincial and territorial jurisdiction or regulate GHG emissions generally. Instead, the GHG pricing system gives the provinces and territories the flexibility to design their own policies, including carbon pricing, to meet emissions reductions targets adapted to each province and territory's specific circumstances. The GGPPA also recognizes carbon pricing policies already implemented or in development. Further, it does not require those to whom it applies to perform or refrain from performing specified GHG emitting activities and it does not tell industry how to operate. Read the Lidstone & Company client bulletin.

Preventing & Responding to Elected Official Conduct Issues
A new resource provides guidance on ways to prevent conduct issues by local elected officials, and how best to deal with them if they do arise. Developed by the Working Group on Responsible Conduct (WGRC), this guide provides advice on fostering responsible conduct, maintaining good governance and resolving conduct issues for those who serve on Councils and Boards. It also includes considerations for local governments that wish to establish an enforcement process within a Code of Conduct.

Articulating an enforcement process within a code of conduct is a relatively new practice in B.C. The guide – Forging the Path to Responsible Conduct in Your Local Government – draws on examples from local governments that have included enforcement in their codes to highlight things a local government may wish to consider as it begins to design its own enforcement process. Read the full UBCM article.

Booze on the Verge of Being Legal at Some
Vancouver Parks and Beaches
Like a good bottle of wine, the idea has been aging for a long time – and thanks to a motion introduced by the B.C. government Thursday [April 29, 2021], having a glass of sauvignon blanc in Stanley Park may soon be legal.

"Well cheers to that," said park board vice-chair Dave Demers. "It's an idea I brought to the park board, that I've been advocating for, and we're this close."

The Vancouver Park Board approved a plan to allow alcohol in 22 parks and beaches last summer, but needed approval from the provincial government.

[Last week], the province finally gave them a reason to raise a glass.

B.C. Solicitor General Mike Farnworth introduced Bill 8 Thursday, to amend the Liquor Control and Licensing Act "to authorize the Vancouver park board to designate specific public places under its jurisdiction as places where liquor may be consumed." Read the CTV article.

New Legislation to Make BC Communities More
Accessible to those with Disabilities
On April 28th the government introduced Bill 6, the Accessible British Columbia Act. According to the government, the bill will support the identification, prevention and removal of barriers that people with disabilities face in their day-to-day lives. This work will involve developing new accessibility standards in areas including the built environment, employment and delivery of services.

This Bill complements the Accessible Canada Act and builds upon models for legislation developed in other jurisdictions.

Active Transportation Planning Intake
A new intake for the Active Transportation Planning program is underway. Regional districts and municipalities in BC with a population of 25,000 or fewer are able to apply for up to $20,000 in funding. The application deadline is May 21, 2021.

Local governments play a significant role in active transportation by developing integrated community land use and transportation plans and policies that lead to the implementation of transportation infrastructure networks. The aim of the Active Transportation Planning program is to support local governments to incorporate or enhance active transportation components of formal planning documents (Official Community Plan, Sustainability Plan, Neighbourhood Plan, or Transportation Plan), including research, consultation, and policy development. Read the UBCM article.

No-fault Amendments to the Insurance
(Vehicle) Act [Now in Force]
On May 1, 2021, the no-fault amendments to the Insurance (Vehicle) Act, R.S.B.C. 1996, c. 228, and several related statutes by Bill 11 Attorney General Statutes (Vehicle Insurance) Amendment Act, 2020 came into force in British Columbia. A no-fault insurance model bars legal action on motor vehicle accident claims and provides access to increased accident benefits, including medical care and wage loss benefits, regardless of who is at fault.

This summary outlines the key changes to the Insurance (Vehicle) Act, focusing on the practical implications for the insurance market. Read the full article by Leon Beukman, Julia Law and Emily Pitre with Borden Ladner Gervais LLP.

Motor Vehicle Act Amendments
Effective April 5th, sections of Bill 35, 2019 came into force. Among other changes, these amendments to the Motor Vehicle Act adding the definition of "regulated motorized personal mobility device" as well as related definitions, sections which apply to the use of motorized personal mobility devices, and regulation-making authority respecting regulated motorized personal mobility devices.

BC Boating Association Reacts to Proposed
Watercraft Rental Rule Changes
Transport Canada's proposed changes to watercraft rental rules could have a severe impact on rental companies across Canada.

If approved, it would make it mandatory for all watercraft renters to have a boating licence.

That's something Andre Plyusnin, owner of SunWave Boat Rentals in Kelowna, said would cripple the rental industry. Read the Global News article.

Proposed Legislation Would Impact $900-Million
ICBC Class-Action: Eby
Attorney-General David Eby has advised that his government is proposing a law that would impact the case.
B.C. Attorney-General David Eby has written to the plaintiffs in a $900-million ICBC class-action case advising that the province is proposing to introduce legislation that he says would have an impact on the lawsuit.

The recently delivered letter was discussed on Monday during an adjournment application filed by the B.C. government and ICBC on the first day of an expected certification hearing in the class-action suit in B.C. Supreme Court in Vancouver. Read the Vancouver Sun article.

Updates on the CRT's Motor Vehicle Injury Jurisdiction
On March 2, 2021 the BC Supreme Court decided that the CRT's jurisdiction over minor injury determinations and fault and damages claims up to $50,000 was unconstitutional. This is for claims for vehicle accidents that happened on or after April 1, 2019.

This decision didn't impact the CRT's ability to resolve accident benefits claims.

The BC Supreme Court's decision has been appealed. The BC Court of Appeal ordered that until the appeal is decided, the CRT can continue to make minor injury determinations and resolve fault and damages claims up to $50,000.

The BC Court of Appeal's decision allows these claims to be filed in court, too. This means that if you have a claim for a minor injury determination, or fault and damages up to $50,000, you can choose to file with either the CRT or court. For more information, including where to file a claim for a Vehicle Accident injury, visit the CRT website.

CVSE Bulletins & Notices
The following notices were posted recently by CVSE:

• Notice 01-2021 – 4th year Apprentices and Trade qualifications
• Circular 02-21 – This circular 01-21 provides clarity about the inclusion of 'storage tanks' in the fixed equipment policy, and in particular, makes it clear that only empty travel is allowed.
• CVSE 1052 Contacts – Notice to industry that the List of Contacts for use with Form CVSE1052 has been updated (April 9, 2021)
• Notice NSC 01-2021 – Online Knowledge Test Required for Applications Submitted as of April 7, 2021

For more information on these and other items, visit the CVSE website.

British Columbia Expands Power to Close Businesses in
Response To Workplace Covid-19 Transmission
A new public health order has expanded the powers of British Columbia's medical health officers in the fight against the Covid-19 pandemic. The Expedited Workplace Closure order, in effect since April 12, allows medical health officers to temporarily close workplaces where one or more persons has become infected with COVID-19 and it is necessary for the workplace, or part of the workplace, to stop operating in order to prevent further transmission. Businesses subject to an order may be closed for 10 days or longer.

With workplaces identified as one of the most common sources of transmission, the order attempts to quell the recent surge in the number of people infected with COVID-19. Read the full article by Dana F. Hooker and Kristina Draskovic (Articling Student) with DLA Piper LLP.

New Public Health Orders
The Public Health Office (PHO) recently issued the following orders & Guidelines:

• Workplace and Post-Secondary Institution Safety – April 21, 2021 (PDF, 345KB)
• Variance of Existing Orders to Suspend Reconsideration – April 21, 2021 (PDF, 273KB)
• Food and Liquor Serving Premises – April 21, 2021 (PDF, 367KB)
  • Read related Public Heath guidance
• Industrial Camps – April 13, 2021 (PDF, 407KB)
  • Delegation: Industrial Camps – June 9, 2020 (PDF, 216KB)
• Industrial Projects Within the Northern Health Authority Region – April 13, 2021 (PDF, 407KB)
• Delegation: Workplace Closures – April 11, 2021 (PDF, 319KB)

Visit the PHO website to view these and other related orders and notices.

WorkSafe BC Updates Guidelines – (April 15)
– from WorkSafeBC:
A number of Occupational Health and Safety regulation guidelines were updated in April. These include:

Guidelines – Occupational Health and Safety Regulation

• Part 14 Cranes and Hoists
  • G14.13 Training (revised)
  • G14.29 Operator protection (revised)
• Part 15 Rigging
  • G15.9 Wedge socket connections (revised)
• Part 17 Transportation of Workers
  • G17.1 Application (revised)
  • G17.2-1 Employer's responsibility (revised)
  • G17.4 Riding restrictions (revised)
  • G17.6 Hazardous materials (revised)
  • G17.7 Carrying animals (revised)
  • G17.8 Passenger compartments (revised)
  • G17.9 Boarding and leaving – Docking facilities (revised)
• Part 23 Oil and Gas 
  • G23.43 Ventilation openings (revised)

New and revised guidelines are posted for a 60-day preliminary period, during which time the stakeholder community may comment and request revisions. Visit WorkSafe BC Updates page for these and other changes.

WorkSafeBC: Proposed Policy Amendments Regarding
Permanent Disability Evaluation Schedule Review
From WorksafeBC: The Permanent Disability Evaluation Schedule (PDES) is a guide set out in policy and is used to assess a worker's entitlement to permanent partial disability benefits granted under the loss of function method. The PDES is reviewed every two years to ensure it remains current with medical and scientific methods and approaches to disability assessment.

The PDES Review proposes changes to the Vision Disability section of the PDES concerning photophobia. The changes include revising the ratings for photophobia and adding criteria to the policy. These changes are proposed to ensure policy reflects the nature and degree of the condition and best practices in the field of ophthalmology and ophthalmology assessment.

Our Policy, Regulation and Research Division is releasing a discussion paper on the PDES Review with options and draft policy to stakeholders for comment. You're invited to provide feedback on the options until 4:30 p.m. on August 6, 2021.

Visit WorkSafeBC for more information and to view the discussion paper.

Workplace Vaccines: Four Key Things to Consider
Legal expert analyses four key issues around workplace vaccines, including the thorny subjects of mandatory shots and human rights
COVID-19 vaccines are the topic on every employer's mind. Employers have so many questions: Can employers make vaccines mandatory? What to do about employees who won't or can't receive a vaccine? How to be compliant and also respect employees' privacy?

It can be hard to figure out what the best way forward is with so much information streaming in every day.

"As time rolls forward, we have a different view than we even would have had two months ago and we have to keep re-calibrating regularly," says Loretta Bouwmeester, partner, Mathews Dinsdale & Clark LLP. Read the full article by Maia Foulis, published on the Canadian Occupational Safety website.

B.C. Superintendent of Real Estate Permanently
Extends REDMA Early Marketing Deadlines
Effective May 1, 2021, following the expiry of Policy Statement 17 (PS 17) on April 30, 2021, the Office of the Superintendent of Real Estate (BC) (OSRE) will bring into effect amendments to Policy Statement 5 (PS 5) and Policy Statement 6 (PS 6) to extend permanently the early marketing timeframes that were temporarily changed under PS 17 in order to provide some relief to developers in the midst of the COVID-19 pandemic.

Policy Statements 5 and 6 – Nine Months of Early Marketing

Under Part 2 of the Real Estate Development Marketing Act (BC) (REDMA), a developer of a development property is required to make certain disclosure to purchasers of development units and is restricted from the early marketing of those development units except in accordance with specific requirements that are established by the OSRE. PS 5 and PS 6 allow developers to engage in early marketing before obtaining a building permit (PS 5) and a satisfactory financing commitment (PS 6) on two main conditions. Read the full article by by Mark V. Lewis and Sunjeet Grewal with Bennett Jones LLP.

Vancouver Landlord Investigated for
Short-Term Vacation Rental Leases
Plan A Real Estate Services says the B.C. Residential Tenancy Act doesn't apply to vacation properties
The province is investigating a Vancouver company that offers furnished short-term travel accommodation for allegedly issuing tenancy agreements that contravene B.C.'s rental laws.

Anoop Majithia, director of Plan A Real Estate Services, says his company mainly rents furnished suites in downtown Vancouver for travellers staying in the city for two to four months at a time.

But the Residential Tenancy Branch, which governs rental laws in B.C., says the company's custom "travel accommodation and tenancy agreement" doesn't abide by the province's tenancy laws. Read the CBC news article.

Notable Changes to the CCDC 2 Stipulated Price Contract
At the end of last year, the Canadian Construction Documents Committee ("CCDC") introduced an updated version of the CCDC 2 Stipulated Price Contract (the "CCDC 2 (2020)"). The main reasons for updating the CCDC 2 were: (1) the desire to reduce the supplementary general conditions that the parties using the CCDC 2 usually draft to amend the standard general conditions of the CCDC 2; (2) the need to respond to the newly introduced prompt payment legislation (which has been adopted or is being considered to be adopted in several provinces); and (3) a general intent to streamline the terms of the CCDC 2. This article discusses the notable changes to the CCDC 2 (2020). The terms used in this article have the meaning given to them in the CCDC 2 (2020). Read the full article by Sonia Sahota with Civic Legal LLP – published in the Northern Construction Connection April 2021 Newsletter.

The Land Owner Transparency Registry is Now Public
Starting today, April 30, 2021, the Land Owner Transparency Registry ("LOTR") is searchable by the public on myLTSA. In a previous article, we discussed what LOTR is and who is subject to the disclosure requirements of the Land Owner Transparency Act (the "Act"). We also previously provided a more detailed overview of the Land Owner Transparency Regulation. Read the full article by Matthew Singerman and Melanee Bryniawsky with Clark Wilson LLP.