An Act to establish the Financial Consumer Agency of Canada and to amend certain Acts in relation to financial institutionsFinancial Consumer Agency of Canada ActFinancial Consumer Agency of Canada2001June
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F-11.192001Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:SHORT TITLEShort titleThis Act may be cited as the Financial Consumer Agency of Canada Act.INTERPRETATIONDefinitionsThe following definitions apply in this section and in sections 3 to 34.AgencyAgenceAgency means the Financial Consumer Agency of Canada established under section 3.bank holding companysociété de portefeuille bancairebank holding company means a bank holding company as defined in section 2 of the Bank Act;CommissionercommissaireCommissioner means the Commissioner of the Agency appointed under section 4.consumer provisiondisposition visant les consommateursconsumer provision meansparagraphs 157(2)(e) and (f), sections 273.1 and 413.1, subsection 418.1(3), sections 439.1 to 459.5, subsections 540(2) and (3) and 545(4) and (5), paragraphs 545(6)(b) and (c), subsection 552(3) and sections 559 to 576.3 of the Bank Act together with any regulations made under or for the purposes of those provisions;sections 992 to 1003 of the Bank Act as those sections apply to any notice, document or other information that is required under the provisions referred to in paragraph (a);paragraphs 167(2)(f) and (g), subsection 382.2(3) and sections 385.05 to 385.28 of the Cooperative Credit Associations Act together with any regulations made under or for the purposes of those provisions;sections 487.01 to 487.12 of the Cooperative Credit Associations Act as those sections apply to any notice, document or other information that is required under the provisions referred to in paragraph (b);paragraphs 165(2)(f) and (g), subsection 469.1(3), sections 479 to 489.3, subsection 542.061(3) and sections 598 to 607.2 of the Insurance Companies Act together with any regulations made under or for the purposes of those provisions;sections 1034 to 1045 of the Insurance Companies Act as those sections apply to any notice, document or other information that is required under the provisions referred to in paragraph (c);paragraphs 161(2)(e) and (f), subsection 418.1(3) and sections 425.1 to 444.3 of the Trust and Loan Companies Act together with any regulations made under or for the purposes of those provisions;sections 539.01 to 539.12 of the Trust and Loan Companies Act as those sections apply to any notice, document or other information that is required under the provisions referred to in paragraph (d); andsubsection 469.1(3) as set out in paragraph 17(1)(f) of the Green Shield Canada Act and the provisions referred to in paragraph 17(1)(f.1) of that Act as they apply to Green Shield Canada in accordance with section 17 of that Act together with any regulations made under or for the purposes of those provisions.Deputy Commissionercommissaire adjointDeputy Commissioner means a Deputy Commissioner appointed under section 8.financial institutioninstitution financièrefinancial institution meansa bank as defined in section 2 of the Bank Act;an authorized foreign bank as defined in section 2 of the Bank Act;a company to which the Trust and Loan Companies Act applies;a retail association as defined in section 2 of the Cooperative Credit Associations Act;a company or foreign company to which the Insurance Companies Act applies; andGreen Shield Canada.Financial Literacy Leaderchef du développement de la littératie financièreFinancial Literacy Leader means the person appointed under section 4.1.governing statuteloi d’applicationgoverning statute meansin relation to a bank or authorized foreign bank as defined in the Bank Act, that Act;in relation to a retail association to which the Cooperative Credit Associations Act applies, that Act;in relation to a company or foreign company to which the Insurance Companies Act applies, that Act;in relation to a company to which the Trust and Loan Companies Act applies, that Act; andin relation to Green Shield Canada, the Green Shield Canada Act.insurance holding companysociété de portefeuille d’assurancesinsurance holding company means an insurance holding company as defined in subsection 2(1) of the Insurance Companies Act.MinisterministreMinister means the Minister of Finance.payment card network operatorexploitant de réseau de cartes de paiementpayment card network operator means an entity, as defined in section 3 of the Payment Card Networks Act, that operates or manages a payment card network, as defined in that section, including by establishing standards and procedures for the acceptance, transmission or processing of payment transactions and by facilitating the electronic transfer of information and funds.penaltypénalitépenalty means an administrative monetary penalty.prescribedVersion anglaise seulementprescribed means prescribed by regulation.
2001, c. 9, s. 2;
2009, c. 2, s. 280;
2010, c. 12, s. 1835;
2012, c. 5, ss. 217, 222;
2013, c. 1, s. 2.
Previous VersionESTABLISHMENT OF AGENCYEstablishmentThere is hereby established an agency of the Government of Canada called the Financial Consumer Agency of Canada over which the Minister shall preside and for which the Minister shall be responsible.ObjectsThe objects of the Agency are tosupervise financial institutions to determine whether they are in compliance withthe consumer provisions applicable to them, andthe terms and conditions or undertakings with respect to the protection of customers of financial institutions that the Minister imposes or requires, as the case may be, under an Act listed in Schedule 1 and the directions that the Minister imposes under this Act;promote the adoption by financial institutions of policies and procedures designed to implementprovisions, terms and conditions, undertakings or directions referred to in paragraph (a),voluntary codes of conduct that are designed to protect the interests of the customers of financial institutions that are adopted by financial institutions and that are publicly available, andany public commitments made by financial institutions that are designed to protect the interests of their customers;monitor the implementation of voluntary codes of conduct that are designed to protect the interests of customers of financial institutions, that have been adopted by financial institutions and that are publicly available and to monitor any public commitments made by financial institutions that are designed to protect the interests of their customers;promote consumer awareness about the obligations of financial institutions under consumer provisions applicable to them and all matters connected with the protection of consumers of financial products and services;foster, in co-operation with any department, agency or agent corporation of the Government of Canada or of a province, financial institutions and consumer and other organizations, an understanding of financial services and issues relating to financial services;monitor and evaluate trends and emerging issues that may have an impact on consumers of financial products and services; andcollaborate and coordinate its activities with stakeholders to contribute to and support initiatives to strengthen the financial literacy of Canadians.Objects — payment card network operatorsThe objects of the Agency are also tosupervise payment card network operators to determine whether they are in compliance with the provisions of the Payment Card Networks Act and its regulations;promote the adoption by payment card network operators of policies and procedures designed to implement the provisions of the Payment Card Networks Act and its regulations;monitor the implementation of voluntary codes of conduct that have been adopted by payment card network operators and that are publicly available, and to monitor any public commitments made by them regarding their commercial practices in relation to payment card networks; andpromote public awareness about the obligations of payment card network operators under a voluntary code of conduct or under the Payment Card Networks Act.
2001, c. 9, s. 3;
2010, c. 12, ss. 1836, 1851;
2013, c. 1, s. 3.
Previous VersionCOMMISSIONER OF AGENCY AND FINANCIAL LITERACY LEADERAppointment of CommissionerThe Governor in Council shall appoint an officer to be called the Commissioner of the Financial Consumer Agency of Canada. The Commissioner has the rank and all the powers of a deputy head of a department.Tenure of office and removalThe Commissioner holds office during good behaviour for a term of not more than five years, but may be removed for cause by the Governor in Council.Further termsThe Commissioner, on the expiration of any term of office, is eligible to be re-appointed for a further term of office.Absence or incapacityIn the event of the absence or incapacity of the Commissioner, or if the office of Commissioner is vacant, the Minister may appoint a qualified person to exercise the powers and perform the duties and functions of the Commissioner, but no person may be so appointed for a term of more than 90 days without the approval of the Governor in Council.RemunerationThe Commissioner shall be paid the remuneration fixed by the Governor in Council.ExpensesThe Commissioner and any person appointed under subsection (4) are entitled to be paid reasonable travel and living expenses incurred in the course of performing their duties while absent from their ordinary place of work.Deemed employmentThe Commissioner and any person appointed under subsection (4) are deemed to be employed in the public service for the purposes of the Public Service Superannuation Act and to be employed in the federal public administration for the purposes of the Government Employees Compensation Act and any regulations made under section 9 of the Aeronautics Act.
2001, c. 9, s. 4;
2003, c. 22, s. 169(E).
Previous VersionAppointment of Financial Literacy LeaderThe Governor in Council shall appoint an officer to be called the Financial Literacy Leader who shall act under the instructions of the Commissioner.Tenure of office and removalThe Financial Literacy Leader holds office during pleasure for a term of not more than five years.Further termsThe Financial Literacy Leader, on the expiry of any term of office, is eligible to be re-appointed for a further term of office.Absence or incapacityIn the event of the absence or incapacity of the Financial Literacy Leader, or if the office of Financial Literacy Leader is vacant, the Minister may appoint a qualified person to exercise the powers and perform the duties and functions of the Financial Literacy Leader, but no person may be so appointed for a term of more than 90 days without the approval of the Governor in Council.RemunerationThe Financial Literacy Leader shall be paid the remuneration fixed by the Governor in Council.ExpensesThe Financial Literacy Leader and any person appointed under subsection (4) are entitled to be paid reasonable travel and living expenses incurred in the course of performing their duties while absent from their ordinary place of work.Deemed employmentThe Financial Literacy Leader and any person appointed under subsection (4) are deemed to be employed in the public service for the purposes of the Public Service Superannuation Act and to be employed in the federal public administration for the purposes of the Government Employees Compensation Act and any regulations made under section 9 of the Aeronautics Act.
2013, c. 1, s. 5.
POWERS, DUTIES AND FUNCTIONS OF COMMISSIONER AND OF FINANCIAL LITERACY LEADERPowers, duties and functions of the CommissionerThe Commissioner has the powers, duties and functions assigned to the Commissioner by this Act and by the Acts listed in Schedule 1 and shall examine and inquire into, and report to the Minister from time to time on, all matters connected with the administration of this Act and of the consumer provisions of those other Acts.Functions — Payment Card Networks ActThe Commissioner shall also examine and inquire into, and report to the Minister from time to time on, all matters connected with the administration of the Payment Card Networks Act and its regulations.Personal informationThe Commissioner may collect any personal information that he or she considers necessary in furtherance of the objects described in subsection 3(2).Personal informationThe Commissioner may also collect any personal information that he or she considers necessary in furtherance of the objects described in subsection 3(3).Review re voluntary codes of conductThe Commissioner, if a financial institution has adopted a voluntary code of conduct referred to in paragraph 3(2)(c) or made a commitment designed to protect the interests of its customers, may make or cause to be made any review that he or she considers necessary to monitor compliance with the code or the commitment, as the case may be.ReviewIf a payment card network operator has adopted a voluntary code of conduct or made a public commitment referred to in paragraph 3(3)(c), the Commissioner may make or cause to be made any review that he or she considers necessary to monitor compliance with the code or the commitment, as the case may be.Respect for other monitorsWhen acting under subsection (3), the Commissioner shall have due regard for the role of any department, agency or agent corporation of the Government of Canada or of a province or any organization that has a role in monitoring compliance by financial institutions with voluntary codes of conduct or commitments.ActivitiesThe Commissioner may carry on any activity that he or she considers necessary in furtherance of the objects described in subsection 3(2).ActivitiesThe Commissioner may also carry on any activity that he or she considers necessary in furtherance of the objects described in subsection 3(3).
2001, c. 9, s. 5;
2010, c. 12, ss. 1837, 1852.
Previous VersionPowers, duties and functions of Financial Literacy LeaderThe Financial Literacy Leader shall exercise leadership at the national level to strengthen the financial literacy of Canadians. He or she may carry on any activity that he or she considers necessary in furtherance of that purpose, within the objects described in subsection 3(2).
2013, c. 1, s. 7.
Minister’s directionThe Minister may give a written direction to the Agency if he or she is of the opinion that it can strengthen consumer protection and the public’s confidence in that protection or enhance the financial literacy of Canadians.Notification of implementationAfter implementing the direction, the Commissioner shall notify the Minister without delay that the direction has been implemented.Best interestsCompliance by the Agency with a direction is deemed to be in its best interests.Statutory Instruments ActThe Statutory Instruments Act does not apply to a direction given under subsection (1).PublicationThe Minister shall cause a notice to be published in the Canada Gazette that a direction was given under subsection (1) as soon as is feasible after the direction is implemented.
2010, c. 12, s. 1853;
2013, c. 1, s. 8.
Previous VersionDuties and functions generallyThe Commissioner shall engage exclusively in the duties and functions of the Commissioner under section 5 and as deputy head of the Agency.Other dutiesDespite subsection (1), the Commissioner may hold any other office under Her Majesty or perform any other duties for Her Majesty, but not for reward.
2001, c. 9, s. 6;
2013, c. 1, s. 9(F).
Previous VersionDuties and functions of Financial Literacy Leader generallyThe Financial Literacy Leader shall engage exclusively in the duties and functions of the Financial Literacy Leader referred to in section 5.01.Other dutiesDespite subsection (1), the Financial Literacy Leader may hold any other office under Her Majesty or perform any other duties for Her Majesty, but not for reward.
2013, c. 1, s. 10.
AGREEMENTSAgreementsThe Agency, in order to carry out its objects, may enter into an agreement or arrangement with a department or agency of the Government of Canada or of a province or with any other person or body in the name of Her Majesty in right of Canada or in its own name. An agreement or arrangement with a department or agency of a province must be made with the approval of the Governor in Council.Agreements — payment card network operatorsIn order to carry out the objects described in paragraph 3(3)(c), the Agency, in the name of Her Majesty in right of Canada or in its own name, may enter into an agreement with a payment card network operator, including an agreement respecting the provision of information or the payment of fees.
2010, c. 12, s. 1838.
DEPUTY COMMISSIONERSAppointment of Deputy CommissionerThe Commissioner may appoint one or more officers each to be called a Deputy Commissioner of the Financial Consumer Agency of Canada who shall act under the instructions of the Commissioner.EXERCISE OF POWERS, DUTIES AND FUNCTIONSExercise by personnelExcept as otherwise provided by the Commissioner and subject to any terms and conditions that may be specified by the Commissioner, a person who is an officer or employee of the Agency may exercise any of the powers and perform any of the duties and functions of the Commissioner under this Act if the person is appointed to serve in the Agency in a capacity appropriate to the exercise of the power or performance of the duty or function.STAFF OF AGENCYEmployeesThe employees that are necessary to enable the Commissioner to perform the duties of the Commissioner shall be appointed in accordance with the Public Service Employment Act.Responsibility for human resources managementIn respect of persons appointed under sections 8 and 10, the Commissioner is authorized to exercise the powers and perform the functions of the Treasury Board that relate to human resources management within the meaning of paragraphs 7(1)(b) and (e) and section 11.1 of the Financial Administration Act, and those of deputy heads under subsection 12(2) of that Act, as that subsection reads without regard to any terms and conditions that the Governor in Council may direct, including the determination of terms and conditions of employment and the responsibility for employer and employee relations.Delegation of powersThe Commissioner may authorize any person employed in the federal public administration to exercise and perform, in any manner and subject to any terms and conditions that the Commissioner directs, any of the powers and functions of the Commissioner in relation to human resources management in the public service and may, from time to time as the Commissioner sees fit, revise or rescind and reinstate the authority so granted.Sub-delegation of such powersAny person authorized under subsection (2) to exercise and perform any of the powers and functions of the Commissioner may, subject to and in accordance with the authorization, authorize one or more persons under their jurisdiction or any other person to exercise or perform any such power or function.
2001, c. 9, s. 11;
2003, c. 22, s. 170.
Previous VersionOfficial Languages ActFor greater certainty, the Official Languages Act applies to the Agency.APPROPRIATIONExpenditures out of C.R.F.Subject to subsection (2), the Minister may, in any fiscal year on terms and conditions — including the rate of interest, if any — that are determined by the Minister, advance amounts out of the Consolidated Revenue Fund to the Agency to permit it to defray its costs of operation.Spending authorityIn carrying out its responsibilities, the Agency may spend assessments and other revenues received through the conduct of its operations in the fiscal year in which they are received or, unless an appropriation Act provides otherwise, in the next fiscal year. The amount of those assessments or other revenues shall be paid out of the Consolidated Revenue Fund.Payment for activityIf the Agency carries on any activity in furtherance of an object described in paragraph 3(2)(d), (e) or (g) on the Minister’s recommendation, the Minister may on terms and conditions approved by the Treasury Board, in any fiscal year, make a payment out of the Consolidated Revenue Fund to the Agency for the purposes of the activity.
2001, c. 9, s. 13;
2007, c. 29, s. 154;
2013, c. 1, s. 11.
Previous VersionCONFLICT OF INTERESTOwnershipNo Commissioner, person appointed under subsection 4(4) or Deputy Commissioner shall beneficially own, directly or indirectly, any shares of any financial institution, bank holding company, insurance holding company or of any other body corporate, however created, carrying on any business in Canada that is substantially similar to any business carried on by any financial institution.Prohibitions — federal credit unionNo Commissioner, person appointed under subsection 4(4) or Deputy Commissioner shalldirectly or indirectly hold any interest or right in membership shares of a federal credit union, within the meaning of section 2 of the Bank Act, in excess of the minimum number of membership shares of the federal credit union that is required for membership; orexercise any right he or she has as a member of such a federal credit union, except any right that he or she has as a customer of the federal credit union.
2001, c. 9, s. 14;
2010, c. 12, s. 2116.
Previous VersionOwnership — payment card network operatorsThe Commissioner, a person appointed under subsection 4(4) or a Deputy Commissioner shall not hold, directly or indirectly, any interest or right in any shares of a payment card network operator.
2010, c. 12, s. 1839.
BorrowingNo Commissioner, person appointed under subsection 4(4) or Deputy Commissioner shall borrow money from any financial institution or from any member institution as defined in the Canada Deposit Insurance Corporation Act unless the Minister is first informed in writing of the intention of the Commissioner, person or Deputy Commissioner to do so.No grant or gratuity to be madeThe Commissioner, a person appointed under subsection 4(4), a Deputy Commissioner and any person appointed under section 10 shall not accept or receive, directly or indirectly, any grant or gratuity from a financial institution, bank holding company, insurance holding company, or from a director, officer or employee of any of them, and no such financial institution, bank holding company, insurance holding company, director, officer or employee shall make or give any such grant or gratuity.No grant or gratuity — payment card network operatorsThe Commissioner, a person appointed under subsection 4(4), a Deputy Commissioner and any person appointed under section 10 shall not accept or receive, directly or indirectly, any grant or gratuity from a payment card network operator, or any of its directors, officers or employees, and no payment card network operator, or any of its directors, officers or employees shall make or give any such grant or gratuity.Offence and punishmentEvery person, financial institution, bank holding company, insurance holding company or payment card network operator that contravenes subsection (1) or (1.1) is guilty of an offence and liableon summary conviction, to a fine of not more than $2000 or to imprisonment for a term of not more than six months or to both; oron conviction on indictment, to a fine of not more than $10,000 or to imprisonment for a term of not more than five years or to both.
2001, c. 9, s. 16;
2010, c. 12, s. 1840.
Previous VersionCONFIDENTIALITYConfidential informationSubject to subsection (2) and except as otherwise provided in this Act, information regarding the business or affairs of a financial institution or regarding persons dealing with one that is obtained by the Commissioner or by any person acting under the direction of the Commissioner, in the course of the exercise or performance of powers, duties and functions referred to in subsections 5(1) and (2) and 5.1(2) and any information prepared from that information, is confidential and shall be treated accordingly.Disclosure permittedIf the Commissioner is satisfied that the information will be treated as confidential by the agency, body or person to whom it is disclosed, subsection (1) does not prevent the Commissioner from disclosing itto any government agency or body that regulates or supervises financial institutions, for purposes related to that regulation or supervision;to any other agency or body that regulates or supervises financial institutions, for purposes related to that regulation or supervision;to the Canada Deposit Insurance Corporation or any compensation association designated by order of the Minister pursuant to subsection 449(1) or 591(1) of the Insurance Companies Act, for purposes related to its operation; andto the Deputy Minister of Finance or any officer of the Department of Finance authorized in writing by the Deputy Minister of Finance or to the Governor of the Bank of Canada or any officer of the Bank of Canada authorized in writing by the Governor of the Bank of Canada, for the purposes of policy analysis related to the regulation of financial institutions.Confidential information — payment card network operatorsSubject to subsection (4) and except as otherwise provided in this Act, information regarding the business or affairs of a payment card network operator, or regarding persons dealing with one, that is obtained by the Commissioner or by a person acting under the direction of the Commissioner, in the course of the exercise or performance of powers, duties and functions under subsection 5(1.1) or (2.1), and any information prepared from that information, is confidential and shall be treated accordingly.Disclosure permittedIf the Commissioner is satisfied that the information will be treated as confidential by the person to whom it is disclosed, the Commissioner may disclose it to the Deputy Minister of Finance, or any officer of the Department of Finance authorized in writing by the Deputy Minister of Finance, for the purpose of policy analysis related to the regulation of payment card network operators.
2001, c. 9, s. 17;
2010, c. 12, ss. 1841, 1854;
2012, c. 5, s. 218(F).
Previous VersionASSESSMENTSCommissioner to ascertain expensesThe Commissioner shall, before December 31 in each year, ascertain the total amount of expenses incurred during the immediately preceding fiscal year for or in connection with the administration of this Act and the consumer provisions — excluding the expenses incurred in connection with the objects described in subsection 3(3) — and the amounts of any prescribed categories of those expenses in relation to any prescribed group of financial institutions.Commissioner to ascertain expenses — directionAfter the publication of a notice under subsection 5.1(5), the Commissioner shall ascertain the amount of expenses that the Agency incurred in complying with the direction.Amount conclusiveThe amounts ascertained under subsections (1) and (1.1) are final and conclusive for the purposes of this section.AssessmentAs soon as possible after ascertaining the amounts under subsections (1) and (1.1), the Commissioner shall assess a portion of the total amount of expenses against each financial institution to the extent and in the manner that the Governor in Council may, by regulation, prescribe.ExceptionNo assessment is to be made in respect ofa company to which the Insurance Companies Act applies that was exempt from the application of paragraphs 165(2)(f) and (g) and sections 479 to 489.2 of that Act during the entire fiscal year to which the assessment relates; ora foreign company to which that Act applies that was exempt from the application of sections 598 to 607.1 of that Act during the entire fiscal year to which the assessment relates.Interim assessmentThe Commissioner may, during each fiscal year, prepare an interim assessment against any financial institution.Assessment for financial literacyThe Commissioner may, during a fiscal year, impose an assessment against any financial institution to cover some or all of the expenses related to initiatives to strengthen the financial literacy of Canadians.Assessment is bindingEvery assessment and interim assessment is final and conclusive and binding on the financial institution against which it is made.Commissioner to ascertain expenses — payment card network operatorsThe Commissioner shall, before December 31 in each year, ascertain the total amount of expenses incurred during the immediately preceding fiscal year in connection with the objects described in paragraphs 3(3)(a), (b) and (d).Amount conclusiveThe amount ascertained under subsection (5.1) is final and conclusive for the purposes of this section.AssessmentAs soon as possible after ascertaining the amount under subsection (5.1), the Commissioner shall assess a portion of the total amount of expenses against each payment card network operator to the extent and in the manner that may be prescribed.Interim assessmentThe Commissioner may, during each fiscal year, prepare an interim assessment against any payment card network operator.Assessment is bindingEvery assessment and interim assessment is final and conclusive and binding on the payment card network operator against which it is made.RecoveryEvery assessment and interim assessment constitutes a debt due to Her Majesty, is immediately payable and may be recovered as a debt in any court of competent jurisdiction.InterestInterest may be charged on the unpaid amount of an assessment or interim assessment at a rate equal to the rate prescribed under the Income Tax Act for amounts payable by the Minister of National Revenue as refunds of overpayments of tax under that Act in effect from time to time plus 2%.
2001, c. 9, s. 18;
2007, c. 6, s. 435;
2010, c. 12, ss. 1842, 1855;
2013, c. 1, s. 12.
Previous VersionADMINISTRATIVE MONETARY PENALTIESViolationsRegulationsThe Governor in Council may make regulationsdesignating, as a violation that may be proceeded with under sections 20 to 31, the contravention of a specified consumer provision, or the non-compliance witha compliance agreement entered into under an Act listed in Schedule 1, andterms and conditions, undertakings or directions referred to in subparagraph 3(2)(a)(ii).designating, as a violation that may be proceeded with under sections 20 to 31, the contravention of a specified provision of the Payment Card Networks Act or its regulations;designating, as a violation that may be proceeded with under sections 20 to 31, the non-compliance with an agreement entered into under section 7.1;fixing, in accordance with subsection (2), a penalty, or a range of penalties, in respect of any violation;respecting the service of documents required or authorized to be served under sections 20 to 31, including the manner and proof of service and the circumstances under which documents are deemed to be served; andgenerally, for carrying out the purposes and provisions of this section and sections 20 to 31.Maximum penaltiesThe maximum penalty for a violation is $50,000 in the case of a violation that is committed by a natural person, and $500,000 in the case of a violation that is committed by a financial institution or a payment card network operator.
2001, c. 9, s. 19;
2007, c. 6, s. 436;
2010, c. 12, ss. 1843, 1856;
2012, c. 5, s. 219.
Previous VersionCriteria for penaltyExcept if a penalty is fixed under paragraph 19(1)(b), the amount of a penalty shall, in each case, be determined taking into accountthe degree of intention or negligence on the part of the person who committed the violation;the harm done by the violation;the history of the person who committed the violation with respect to any prior violation or conviction under an Act listed in Schedule 1 within the five-year period immediately before the violation; andany other criteria that may be prescribed.How act or omission may be proceeded withIf a contravention or non-compliance that is designated under paragraph 19(1)(a) or (a.1) can be proceeded with either as a violation or as an offence, proceeding in one manner precludes proceeding in the other.
2001, c. 9, s. 21;
2010, c. 12, s. 1844.
Previous VersionProceedingsCommission of violationEvery contravention or non-compliance that is designated under paragraphs 19(1)(a) to (a.2) constitutes a violation and the person that commits the violation is liable to a penalty determined in accordance with sections 19 and 20.Notice of violationIf the Commissioner believes on reasonable grounds that a person has committed a violation, he or she may issue, and shall cause to be served on the person, a notice of violation.Contents of noticeA notice of violation shall name the person believed to have committed a violation, identify the violation and set outthe penalty that the Commissioner proposes to impose;the right of the person, within 30 days after the notice is served, or within any longer period that the Commissioner specifies, to pay the penalty or to make representations to the Commissioner with respect to the violation and the proposed penalty, and the manner for doing so; andthe fact that, if the person does not pay the penalty or make representations in accordance with the notice, the person will be deemed to have committed the violation and the Commissioner may impose a penalty in respect of it.
2001, c. 9, s. 22;
2010, c. 12, s. 1845.
Previous VersionDetermination of Responsibility and PenaltyPayment of penaltyIf the person pays the penalty proposed in the notice of violation, the person is deemed to have committed the violation and proceedings in respect of it are ended.Representations to CommissionerIf the person makes representations in accordance with the notice, the Commissioner shall decide, on a balance of probabilities, whether the person committed the violation and, if so, may, subject to any regulations made under paragraph 19(1)(b), impose the penalty proposed, a lesser penalty or no penalty.Failure to pay or make representationsA person who neither pays the penalty nor makes representations in accordance with the notice is deemed to have committed the violation and the Commissioner may, subject to any regulations made under paragraph 19(1)(b), impose the penalty proposed, a lesser penalty or no penalty.Notice of decision and right of appealThe Commissioner shall cause notice of any decision made under subsection (2) or (3) to be issued and served on the person together with notice of the right of appeal under section 24.Appeal to Federal CourtRight of appealA person on whom a notice under subsection 23(4) is served may, within 30 days after the notice is served, or within any longer period that the Court allows, appeal the decision to the Federal Court.Court to take precautions against disclosingIn an appeal, the Court shall take every reasonable precaution, including, when appropriate, conducting hearings in private, to avoid the disclosure by the Court or any person of confidential information referred to in subsection 17(1) or (3).Powers of CourtOn an appeal, the Court may confirm, set aside or, subject to any regulations made under paragraph 19(1)(b), vary the decision of the Commissioner.
2001, c. 9, s. 24;
2010, c. 12, s. 1846.
Previous VersionEnforcementDebts to Her MajestyA penalty constitutes a debt due to Her Majesty in right of Canada that may be recovered as such in the Federal Court.Time limitNo proceedings to recover a debt referred to in subsection (1) may be commenced later than five years after the debt became payable.Proceeds payable to Receiver GeneralA penalty paid or recovered under sections 19 to 24, this section and sections 26 to 31 is payable to and shall be remitted to the Receiver General.Certificate of defaultThe unpaid amount of any debt referred to in subsection 25(1) may be certified by the Commissioner.Registration in Federal CourtRegistration in the Federal Court of a certificate made under subsection (1) has the same effect as a judgment of that Court for a debt of the amount specified in the certificate and all related registration costs.Rules about ViolationsViolations not offencesFor greater certainty, a violation is not an offence and, accordingly, section 126 of the Criminal Code does not apply in respect of one.Due diligence availableDue diligence is a defence in a proceeding in relation to a violation.Common law principlesEvery rule and principle of the common law that renders any circumstance a justification or excuse in relation to a charge for an offence in relation to a consumer provision applies in respect of a violation to the extent that it is not inconsistent with this Act.Common law principles — Payment Card Networks ActEvery rule and principle of the common law that renders any circumstance a justification or excuse in relation to a charge for an offence in relation to a provision of the Payment Card Networks Act applies in respect of a violation to the extent that it is not inconsistent with this Act.
2001, c. 9, s. 28;
2010, c. 12, s. 1847.
Previous VersionGeneral ProvisionsEvidenceIn a proceeding in respect of a violation or a prosecution for an offence, a notice purporting to be issued under subsection 22(2) or 23(4) or a certificate purporting to be made under subsection 26(1) is admissible in evidence without proof of the signature or official character of the person appearing to have signed it.Time limitNo proceedings in respect of a violation may be commenced later than two years after the subject-matter of the proceedings became known to the Commissioner.Certificate of CommissionerA document appearing to have been issued by the Commissioner, certifying the day on which the subject-matter of any proceedings became known to the Commissioner, is admissible in evidence without proof of the signature or official character of the person appearing to have signed the document and is, in the absence of evidence to the contrary, proof of the matter asserted in it.PublicationThe Commissioner may make public the nature of a violation, the name of the person who committed it, and the amount of the penalty imposed.REGULATIONSRegulationsThe Governor in Council may make regulations prescribinganything that is required or authorized by this Act to be prescribed; andthe way in which anything that is required or authorized by this Act to be prescribed shall be determined.NO LIABILITYNo liabilityNo action lies against Her Majesty, the Minister, the Commissioner, the Financial Literacy Leader, any Deputy Commissioner, any officer or employee of the Agency or any person acting under the direction of the Commissioner for anything done or omitted to be done in good faith in the administration or discharge of any powers or duties that under any Act of Parliament are intended or authorized to be executed or performed.
2001, c. 9, s. 33;
2013, c. 1, s. 13.
Previous VersionIMMUNITIESNot compellableThe Commissioner, the Financial Literacy Leader, any Deputy Commissioner, any officer or employee of the Agency or any person acting under the instructions of the Commissioner, is not a compellable witness in any civil proceedings in respect of any matter coming to their knowledge as a result of exercising any of their powers or performing any of their duties or functions under this Act or the Acts listed in Schedule 1.
2012, c. 5, s. 220;
2013, c. 1, s. 15.
Previous VersionANNUAL REPORTAnnual reportThe Minister shall cause to be laid before each House of Parliament, not later than the fifth sitting day of that House after September 30 next following the end of each fiscal year, a report showing the operations of the Agency for that year and describingin aggregate form, its conclusions on the compliance, in that year, of financial institutions with the consumer provisions applicable to them;in aggregate form, its conclusions on the compliance, in that year, of payment card network operators with the provisions of the Payment Card Networks Act and its regulations; andits collaboration with stakeholders, and the coordination of its activities with those of stakeholders, to contribute to and support initiatives to strengthen the financial literacy of Canadians.
2001, c. 9, s. 34;
2010, c. 12, s. 1848;
2013, c. 1, s. 14.
Previous VersionAMENDMENTS TO ACTS IN RELATION TO FINANCIAL INSTITUTIONS[Amendments][Amendment][Repealed, 2007, c. 6, s. 437][Amendment][Amendments]AMENDMENTS TO OTHER ACTS[Amendments]CONSEQUENTIAL AMENDMENTS[Amendments]COMING INTO FORCEComing into forceThe provisions of this Act, other than subsections 120(2), 122(2), 155(2), 157(2), 424(2) and 444(2), section 473 and subsections 545(2) and 547(2), or the provisions of any Act enacted or amended by this Act, come into force on a day or days to be fixed by order of the Governor in Council.[Note: Subsections 120(2), 122(2), 155(2), 157(2), 424(2) and 444(2), section 473 and subsections 545(2) and 547(2) in force on assent June 14, 2001; sections 1 to 106 and 108 to 119, subsections 120(1) and (3), section 121, subsection 122(1), sections 123 to 140, subsections 141(1) and (3), sections 142 to 154, subsections 155(1) and (3), section 156, subsection 157(1), sections 158 to 222, subsections 223(1), (4) and (5) and sections 224 to 238, section 28 and the heading before section 28, as enacted by section 239, sections 241 to 310, sections 382 and 382.1, as enacted by section 311, sections 312 to 417 and 419 to 423, subsection 424(1), sections 425 to 443, subsection 444(1), sections 445 to 472, 475 to 533 and 535 to 544, subsections 545(1) and (3), section 546, subsection 547(1) and sections 548 to 592 and 594 in force October 24, 2001, see SI/2001-102; section 27 and the heading before section 27, as enacted by section 239, in force June 21, 2002, see SI/2002-99; section 107, sections 383 to 383.2, as enacted by section 311 and sections 418 and 534 in force January 1, 2004, see SI/2003-181; section 474 in force December 1, 2005, see SI/2005-116.]Authority to substitute actual dateThe Governor in Council may, by regulation, amend any provision of the Bank Act, the Cooperative Credit Associations Act, the Insurance Companies Act or the Trust and Loan Companies Act that contains a reference to the coming into force of any provision of any of those Acts, or a reference to the coming into force of any provision of this Act, by replacing that reference with a reference to the actual date of the coming into force of the provision.(Subsections 3(2), 5(1) and 19(1) and sections 20 and 33.1)Bank ActLoi sur les banquesCooperative Credit Associations ActLoi sur les associations coopératives de créditGreen Shield Canada ActLoi sur l’association personnalisée le Bouclier vert du CanadaInsurance Companies ActLoi sur les sociétés d’assurancesPayment Card Networks ActLoi sur les réseaux de cartes de paiementTrust and Loan Companies ActLoi sur les sociétés de fiducie et de prêt
2001, c. 9, Sch. 1;
2010, c. 12, ss. 1849, 1857;
2012, c. 5, s. 221.
Previous Version[Amendments]AMENDMENTS NOT IN FORCE
— 2010, c. 25, s. 156Section 2 of the Financial Consumer Agency of Canada Act is amended by adding the following in alphabetical order:external complaints bodyorganisme externe de traitement des plaintesexternal complaints body has the same meaning as in section 2 of the Bank Act.
— 2010, c. 25, s. 1572010, c. 12, s. 1851(1)Paragraphs 3(2)(a) and (b) of the Act are replaced by the following:supervise financial institutions and external complaints bodies to determine whether the institution or body is in compliance withthe consumer provisions applicable to them, andthe terms and conditions or undertakings with respect to the protection of customers of financial institutions that the Minister imposes or requires, as the case may be, under an Act listed in Schedule 1 and the directions that the Minister imposes under this Act;promote the adoption by financial institutions and external complaints bodies of policies and procedures designed to implement the provisions, terms and conditions, undertakings or directions referred to in paragraph (a);promote the adoption by financial institutions of policies and procedures designed to implementvoluntary codes of conduct that are designed to protect the interests of their customers, that are adopted by financial institutions and that are publicly available, andany public commitments made by them that are designed to protect the interests of their customers;2010, c. 12, s. 1851(2)Paragraph 3(2)(d) of the Act is replaced by the following:promote consumer awareness about the obligations of financial institutions and of external complaints bodies under consumer provisions applicable to them and about all matters connected with the protection of consumers of financial products and services; and
— 2010, c. 25, s. 158, as amended by 2010, c. 25, s. 164(2)Subsection 14(1) of the Act is replaced by the following:OwnershipNo Commissioner, person appointed under subsection 4(4) or Deputy Commissioner shall beneficially own, directly or indirectly, any shares of any financial institution, bank holding company, insurance holding company, external complaints body or of any other body corporate, however created, carrying on any business in Canada that is substantially similar to any business carried on by any financial institution or external complaints body.
— 2010, c. 25, s. 159Subsection 16(1) of the Act is replaced by the following:No grant or gratuity to be madeThe Commissioner, a person appointed under subsection 4(4), a Deputy Commissioner and any person appointed under section 10 shall not accept or receive, directly or indirectly, any grant or gratuity from a financial institution, bank holding company, insurance holding company, external complaints body, or from a director, officer or employee of any of them, and no such financial institution, bank holding company, insurance holding company, external complaints body, director, officer or employee shall make or give any such grant or gratuity.
— 2010, c. 25, s. 1602010, c. 12, s. 1854Subsection 17(1) of the Act is replaced by the following:Confidential informationSubject to subsection (2) and except as otherwise provided in this Act, information regarding the business or affairs of a financial institution or external complaints body or regarding persons dealing with one that is obtained by the Commissioner or by any person acting under the Commissioner’s direction, in the course of the exercise or performance of powers, duties and functions referred to in subsections 5(1) and (2) and 5.1(2), and any information prepared from that information, is confidential and shall be treated accordingly.
— 2010, c. 25, s. 1612010, c. 12, s. 1842(1)Subsection 18(1) of the Act is replaced by the following:Commissioner to ascertain expensesThe Commissioner shall, before December 31 in each year, ascertain the total amount of expenses incurred during the immediately preceding fiscal year for or in connection with the administration of this Act and the consumer provisions — excluding the expenses incurred in connection with the objects described in subsection 3(3) — and the amounts of any prescribed categories of those expenses in relation to any prescribed group of financial institutions and external complaints bodies.2010, c. 12, s. 1855Subsection 18(3) of the Act is replaced by the following:AssessmentAs soon as possible after ascertaining the amounts under subsections (1) and (1.1), the Commissioner shall assess a portion of the total amount of expenses against each financial institution and external complaints body to the extent and in the manner that the Governor in Council may, by regulation, prescribe.Subsections 18(4) and (5) of the Act are replaced by the following:Interim assessmentThe Commissioner may, during each fiscal year, prepare an interim assessment against any financial institution or external complaints body.Assessment is bindingEvery assessment and interim assessment is final and conclusive and binding on the financial institution or external complaints body against which it is made.
— 2010, c. 25, s. 1622010, c. 12, s. 1848The portion of section 34 of the Act before paragraph (b) is replaced by the following:Annual reportThe Minister shall cause to be laid before each House of Parliament, not later than the fifth sitting day of that House after September 30 next after the end of each fiscal year, a report showing the Agency’s operations for that year and describingin aggregate form, its conclusions on the compliance, in that year, of financial institutions and external complaints bodies with the consumer provisions applicable to them; and
— 2012, c. 5, ss. 224(1), (4)2010, c. 25In this section, “other Act” means the Sustaining Canada’s Economic Recovery Act.On the first day on which both section 160 of the other Act and section 218 of this Act are in force, subsection 17(1) of the French version of the Financial Consumer Agency of Canada Act is replaced by the following:Caractère confidentiel des renseignementsSous réserve du paragraphe (2) et sauf disposition contraire prévue par la présente loi, sont confidentiels et doivent être traités comme tels les renseignements concernant les activités d’affaires et les affaires internes d’une institution financière ou d’un organisme externe de traitement des plaintes ou concernant toute personne faisant affaire avec eux — ainsi que les renseignements qui sont tirés de ceux-ci —, obtenus par le commissaire ou par toute autre personne exécutant ses directives, dans le cadre de l’exercice des attributions visées aux paragraphes 5(1) et (2) et 5.1(2).