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Competition Act (R.S.C., 1985, c. C-34)

Full Document:  

Act current to 2024-02-20 and last amended on 2023-12-15. Previous Versions

PART VIOffences in Relation to Competition (continued)

Marginal note:Definition of scheme of pyramid selling

  •  (1) For the purposes of this section, scheme of pyramid selling means a multi-level marketing plan whereby

    • (a) a participant in the plan gives consideration for the right to receive compensation by reason of the recruitment into the plan of another participant in the plan who gives consideration for the same right;

    • (b) a participant in the plan gives consideration, as a condition of participating in the plan, for a specified amount of the product, other than a specified amount of the product that is bought at the seller’s cost price for the purpose only of facilitating sales;

    • (c) a person knowingly supplies the product to a participant in the plan in an amount that is commercially unreasonable; or

    • (d) a participant in the plan who is supplied with the product

      • (i) does not have a buy-back guarantee that is exercisable on reasonable commercial terms or a right to return the product in saleable condition on reasonable commercial terms, or

      • (ii) is not informed of the existence of the guarantee or right and the manner in which it can be exercised.

  • Marginal note:Pyramid selling

    (2) No person shall establish, operate, advertise or promote a scheme of pyramid selling.

  • Marginal note:Offence and punishment

    (3) Any person who contravenes subsection (2) is guilty of an offence and liable

    • (a) on conviction on indictment, to a fine in the discretion of the court or to imprisonment for a term not exceeding five years or to both; or

    • (b) on summary conviction, to a fine not exceeding $200,000 or to imprisonment for a term not exceeding one year, or to both.

  • 1992, c. 14, s. 1
  • 1999, c. 2, s. 16

 [Repealed, 1999, c. 2, s. 17]

Marginal note:Defence

 Section 54 does not apply to a person who prints or publishes or otherwise distributes a representation or an advertisement on behalf of another person in Canada if he or she establishes that he or she obtained and recorded the name and address of that other person and accepted the representation or advertisement in good faith for printing, publishing or other distribution in the ordinary course of his or her business.

  • R.S., 1985, c. C-34, s. 60
  • 1999, c. 2, s. 17.1

 [Repealed, 2009, c. 2, s. 417]

Marginal note:Civil rights not affected

 Except as otherwise provided in this Part, nothing in this Part shall be construed as depriving any person of any civil right of action.

  • R.S., c. C-23, s. 39
  • 1974-75-76, c. 76, s. 18

PART VIIOther Offences

Offences

 [Repealed, R.S., 1985, c. 19 (2nd Supp.), s. 37]

Marginal note:Obstruction

  •  (1) No person shall in any manner impede or prevent or attempt to impede or prevent any inquiry or examination under this Act.

  • Marginal note:Offence and punishment

    (2) Every person who contravenes subsection (1) is guilty of an offence and

    • (a) liable on conviction on indictment to a fine in the discretion of the court or to imprisonment for a term not exceeding 10 years, or to both; or

    • (b) liable on summary conviction to a fine not exceeding $100,000 or to imprisonment for a term not exceeding two years, or to both.

  • R.S., 1985, c. C-34, s. 64
  • 2009, c. 2, s. 418

Marginal note:Contravention of Part II provisions

  •  (1) Every person who, without good and sufficient cause, the proof of which lies on that person, fails to comply with an order made under section 11 and every person who contravenes subsection 15(5) or 16(2) is guilty of an offence and

    • (a) liable on conviction on indictment to a fine in the discretion of the court or to imprisonment for a term not exceeding two years, or to both; or

    • (b) liable on summary conviction to a fine not exceeding $100,000 or to imprisonment for a term not exceeding two years, or to both.

  • Marginal note:Failure to supply information

    (2) Every person who, without good and sufficient cause, the proof of which lies on that person, contravenes subsection 114(1) is guilty of an offence and liable on conviction on indictment or on summary conviction to a fine not exceeding $50,000.

  • Marginal note:Destruction or alteration of records or things

    (3) Every person who destroys or alters, or causes to be destroyed or altered, any record or other thing that is required to be produced under section 11 or in respect of which a warrant is issued under section 15 is guilty of an offence and

    • (a) liable on conviction on indictment to a fine in the discretion of the court or to imprisonment for a term not exceeding 10 years, or to both; or

    • (b) liable on summary conviction to a fine not exceeding $100,000 or to imprisonment for a term not exceeding two years, or to both.

  • Marginal note:Liability of directors

    (4) Where a corporation commits an offence under this section, any officer, director or agent of the corporation who directed, authorized, assented to, acquiesced in or participated in the commission of the offence is a party to and guilty of the offence and is liable to the punishment provided for the offence whether or not the corporation has been prosecuted or convicted.

  • R.S., 1985, c. C-34, s. 65
  • R.S., 1985, c. 19 (2nd Supp.), s. 38
  • 1999, c. 2, s. 18
  • 2009, c. 2, s. 419

Marginal note:Contravention of subsection 30.06(5)

  •  (1) Every person who, without good and sufficient cause, the proof of which lies on that person, contravenes subsection 30.06(5) is guilty of an offence and liable on summary conviction or on conviction on indictment to a fine not exceeding $5,000 or to imprisonment for a term not exceeding two years, or to both.

  • Marginal note:Destruction or alteration of records or things

    (2) Every person who destroys or alters, or causes to be destroyed or altered, any record or thing in respect of which a search warrant is issued under section 30.06 or that is required to be produced pursuant to an order made under subsection 30.11(1) or 30.16(1) is guilty of an offence and liable

    • (a) on conviction on indictment to a fine not exceeding $50,000 or to imprisonment for a term not exceeding five years, or to both; or

    • (b) on summary conviction to a fine not exceeding $25,000 or to imprisonment for a term not exceeding two years, or to both.

  • 2002, c. 16, s. 7

Marginal note:Refusal after objection overruled

  •  (1) Every person who, without good and sufficient cause, the proof of which lies on that person, refuses to answer a question or to produce a record or thing to the person designated under paragraph 30.11(2)(c) after a judge has ruled against the objection under paragraph 30.11(8)(a), is guilty of an offence and liable on conviction on indictment or on summary conviction to a fine not exceeding $5,000 or to imprisonment for a term not exceeding two years, or to both.

  • Marginal note:Refusal where no ruling made on objection

    (2) Every person is guilty of an offence and liable on summary conviction or on conviction on indictment to a fine not exceeding $5,000 or to imprisonment for a term not exceeding two years, or to both, who, without good and sufficient cause, the proof of which lies on that person, refuses to answer a question or to produce a record or thing to the person designated under paragraph 30.11(2)(c), where no ruling has been made under paragraph 30.11(8)(a),

    • (a) without giving the detailed statement required by subsection 30.11(9); or

    • (b) if the person was previously asked the same question or requested to produce the same record or thing and refused to do so and the reasons on which that person based the previous refusal were determined not to be well-founded by

      • (i) a judge, if the reasons were based on the Canadian law of non-disclosure of information or privilege, or

      • (ii) a court of the foreign state or by a person designated by the foreign state, if the reasons were based on a law that applies to the foreign state.

  • 2002, c. 16, s. 7

Marginal note:Contravention of order under Part VII.1 or VIII

 Every person who contravenes an order made under Part VII.1, except paragraphs 74.1(1)(c) and (d), or under Part VIII, except subsection 79(3.1), is guilty of an offence and liable

  • (a) on conviction on indictment, to a fine in the discretion of the court or to imprisonment for a term not exceeding five years, or to both; or

  • (b) on summary conviction, to a fine not exceeding $25,000 or to imprisonment for a term not exceeding one year, or to both.

  • R.S., 1985, c. C-34, s. 66
  • R.S., 1985, c. 19 (2nd Supp.), s. 39
  • 1999, c. 2, s. 19
  • 2009, c. 2, s. 420

Marginal note:Whistleblowing

  •  (1) Any person who has reasonable grounds to believe that a person has committed or intends to commit an offence under the Act, may notify the Commissioner of the particulars of the matter and may request that his or her identity be kept confidential with respect to the notification.

  • Marginal note:Confidentiality

    (2) The Commissioner shall keep confidential the identity of a person who has notified the Commissioner under subsection (1) and to whom an assurance of confidentiality has been provided by any person who performs duties or functions in the administration or enforcement of this Act.

  • 1999, c. 2, s. 19

Marginal note:Prohibition

  •  (1) No employer shall dismiss, suspend, demote, discipline, harass or otherwise disadvantage an employee, or deny an employee a benefit of employment, by reason that

    • (a) the employee, acting in good faith and on the basis of reasonable belief, has disclosed to the Commissioner that the employer or any other person has committed or intends to commit an offence under this Act;

    • (b) the employee, acting in good faith and on the basis of reasonable belief, has refused or stated an intention of refusing to do anything that is an offence under this Act;

    • (c) the employee, acting in good faith and on the basis of reasonable belief, has done or stated an intention of doing anything that is required to be done in order that an offence not be committed under this Act; or

    • (d) the employer believes that the employee will do anything referred to in paragraph (a) or (c) or will refuse to do anything referred to in paragraph (b).

  • Marginal note:Saving

    (2) Nothing in this section impairs any right of an employee either at law or under an employment contract or collective agreement.

  • Marginal note:Definitions

    (3) In this section, employee includes an independent contractor and employer has the corresponding meaning.

  • 1999, c. 2, s. 19

Procedure

Marginal note:Procedure for enforcing punishment

  •  (1) Where an indictment is found against an accused, other than a corporation, for any offence against this Act, the accused may elect to be tried without a jury and where he so elects, he shall be tried by the judge presiding at the court at which the indictment is found, or the judge presiding at any subsequent sittings of that court, or at any court where the indictment comes on for trial.

  • Marginal note:Application of Criminal Code

    (2) Where an election is made under subsection (1), the proceedings subsequent to the election shall be regulated in so far as may be applicable by the provisions of the Criminal Code relating to the trial of indictable offences by a judge without a jury.

  • Marginal note:Jurisdiction of courts

    (3) No court other than a superior court of criminal jurisdiction, as defined in the Criminal Code, has power to try any offence under section 45, 46, 47, 48 or 49.

  • Marginal note:Corporations to be tried without jury

    (4) Notwithstanding anything in the Criminal Code or in any other statute or law, a corporation charged with an offence under this Act shall be tried without a jury.

  • Marginal note:Option as to procedure under subsection 34(2)

    (5) In any case where subsection 34(2) is applicable, the Attorney General of Canada or the attorney general of the province may in his discretion institute proceedings either by way of an information under that subsection or by way of prosecution.

  • Marginal note:Limitation period

    (6) Proceedings in respect of an offence that is declared by this Act to be punishable on summary conviction may be instituted at any time within but not later than two years after the time when the subject-matter of the proceedings arose.

  • R.S., c. C-23, s. 44
  • 1974-75-76, c. 76, s. 19

Marginal note:Venue of prosecutions

 Notwithstanding any other Act, a prosecution for an offence under Part VI or section 66 may be brought, in addition to any place in which the prosecution may be brought by virtue of the Criminal Code,

  • (a) where the accused is a corporation, in any territorial division in which the corporation has its head office or a branch office, whether or not the branch office is provided for in any Act or instrument relating to the incorporation or organization of the corporation; and

  • (b) where the accused is not a corporation, in any territorial division in which the accused resides or has a place of business.

  • R.S., 1985, c. C-34, s. 68
  • 1999, c. 2, s. 20

Marginal note:Definitions

  •  (1) In this section,

    agent of a participant

    agent of a participant means a person who by a record admitted in evidence under this section appears to be or is otherwise proven to be an officer, agent, servant, employee or representative of a participant; (agent d’un participant)

    document

    document[Repealed, R.S., 1985, c. 19 (2nd Supp.), s. 40]

    participant

    participant means any person against whom proceedings have been instituted under this Act and in the case of a prosecution means any accused and any person who, although not accused, is alleged in the charge or indictment to have been a co-conspirator or otherwise party or privy to the offence charged. (participant)

  • Marginal note:Evidence against a participant

    (2) In any proceedings before the Tribunal or in any prosecution or proceedings before a court under or pursuant to this Act,

    • (a) anything done, said or agreed on by an agent of a participant shall, in the absence of evidence to the contrary, be deemed to have been done, said or agreed on, as the case may be, with the authority of that participant;

    • (b) a record written or received by an agent of a participant shall, in the absence of evidence to the contrary, be deemed to have been written or received, as the case may be, with the authority of that participant; and

    • (c) a record proved to have been in the possession of a participant or on premises used or occupied by a participant or in the possession of an agent of a participant shall be admitted in evidence without further proof thereof and is prima facie proof

      • (i) that the participant had knowledge of the record and its contents,

      • (ii) that anything recorded in or by the record as having been done, said or agreed on by any participant or by an agent of a participant was done, said or agreed on as recorded and, where anything is recorded in or by the record as having been done, said or agreed on by an agent of a participant, that it was done, said or agreed on with the authority of that participant, and

      • (iii) that the record, where it appears to have been written by any participant or by an agent of a participant, was so written and, where it appears to have been written by an agent of a participant, that it was written with the authority of that participant.

  • R.S., 1985, c. C-34, s. 69
  • R.S., 1985, c. 19 (2nd Supp.), s. 40
 

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