Cannabis Regulations (SOR/2018-144)

Marginal note:Micro-processing — threshold

• 21 (1) A holder of a licence for micro-processing must not possess, in a calendar year, cannabis of one or more classes of cannabis — other than cannabis plants and cannabis plant seeds — that has been sold or distributed to them the total amount of which, as determined in accordance with the table to this section, is equivalent to more than 600 kg of dried cannabis.

• Marginal note:Equivalency

  (2) The cannabis referred to in subsection (1) is exempt from the application of subsection 2(4) of the Act and a quantity referred to in column 2 of the table to this section in respect of any class of cannabis referred to in column 1 is deemed to be equivalent to 1 kg of dried cannabis.

• Marginal note:Non-application

  (3) Subsection (1) does not apply if the holder also holds a licence for micro-cultivation in relation to the same site and the cannabis that is sold or distributed to them is exclusively from that site.

  	Column 1	Column 2
  Item	Class of cannabis	Amount that is equivalent to 1 kg of dried cannabis
  1	dried cannabis	1 kg
  2	fresh cannabis	5 kg
  3	solids containing cannabis	10 kg
  4	non-solids containing cannabis	10 kg
  5	cannabis concentrates	0.25 kg
  6	[Repealed, SOR/2019-206, s. 10]

Licence for Analytical Testing

Marginal note:Authorized activities

• 22 (1) Subject to the other provisions of these Regulations, a holder of a licence for analytical testing is authorized, for the purpose of testing, to conduct those of the following activities that are authorized by the licence:

  • (a) to possess cannabis; and

  • (b) to obtain cannabis by altering its chemical or physical properties by any means.

• Marginal note:Offer

  (2) A holder of a licence for analytical testing that is authorized to conduct the activity referred to in paragraph (1)(b) is also authorized to offer to conduct that activity.

• Marginal note:Use of organic solvent

  (3) A holder of a licence for analytical testing that is authorized to conduct the activity referred to in paragraph (1)(b) is also authorized to alter or offer to alter the chemical or physical properties of cannabis by the use of an organic solvent when conducting that activity.

• Marginal note:Distribution

  (4) A holder of a licence for analytical testing is also authorized, for the purpose of testing, to distribute cannabis to another holder of a licence for analytical testing or the individuals referred to in section 4.

Marginal note:Head of laboratory

• 23 (1) A holder of a licence for analytical testing must retain the services of one individual as the head of laboratory who must work at the site set out in the licence and who is responsible for the testing referred to in sections 90 to 91.1.

• Marginal note:Qualifications

  (2) The head of laboratory must have sufficient knowledge of the provisions of the Act and these Regulations that apply to the holder of the licence for analytical testing, have knowledge and experience related to the duties of the position and possess a degree in a science related to the work to be carried out that is awarded by a Canadian university or, if awarded by a foreign university, that is recognized by a Canadian university or a Canadian professional association.

• Marginal note:Alternate

  (3) A holder of a licence for analytical testing may designate one or more individuals as the alternate heads of laboratory who are qualified to replace the head of laboratory.

Marginal note:Minister’s approval

• 24 (1) A holder of a licence for analytical testing must obtain the Minister’s approval before

  • (a) designating or replacing an alternate head of laboratory; and

  • (b) replacing the head of laboratory by an individual, other than by an alternate head of laboratory.

• Marginal note:Application — content

  (2) The holder of a licence for analytical testing must, for the purpose of obtaining the Minister’s approval, submit an application that includes the following:

  • (a) the name and date of birth of the proposed alternate head of laboratory or the proposed head of laboratory;

  • (b) a description of the proposed head of laboratory’s or the proposed alternate head of laboratory’s qualifications in respect of the matters referred to in subsection 23(2); and

  • (c) a declaration, signed and dated by the responsible person referred to in section 37, indicating that all information provided in support of the application is correct and complete to the best of their knowledge.

• Marginal note:Additional information

  (3) The Minister may, on receiving an application for approval, require the submission of any additional information that pertains to the information contained in the application and that is necessary for the Minister to consider the application.

Marginal note:Destruction

• 25 (1) A holder of a licence for analytical testing must destroy the sample of a lot or batch of cannabis that has been distributed to them, and all cannabis obtained from that sample, within 90 days after completing the testing of the sample of the lot or batch.

• Marginal note:Sample not tested

  (2) If testing of the sample of a lot or batch of cannabis distributed to the holder of the licence for analytical testing is not initiated within 120 days of its receipt, the holder must, by the end of that period, either destroy the sample or distribute it to another holder of a licence for analytical testing or to the individuals referred to in section 4.

Licence for Sale for Medical Purposes

Marginal note:Authorized activities

26 Subject to the other provisions of these Regulations, a holder of a licence for sale for medical purposes is authorized to conduct those of the following activities that are authorized by the licence:

• (a) to possess cannabis products; and

• (b) to sell cannabis products.

Marginal note:Sale — other than clients

• 27 (1) Subject to subsection (2), a holder of a licence for sale for medical purposes that authorizes the sale of cannabis products is authorized to sell or distribute

  • (a) cannabis products to any of the following:

    • (i) a holder of a licence, other than a licence for cultivation,

    • (ii) the Minister, or

    • (iii) a person to which an exemption has been granted under section 140 of the Act in relation to the cannabis or class of cannabis that is, or is contained in, a cannabis product that is sold or distributed;

  • (b) dried cannabis, fresh cannabis, cannabis plants and cannabis plant seeds, that are cannabis products, to a holder of a licence for micro-cultivation or standard cultivation;

  • (c) cannabis plants and cannabis plant seeds, that are cannabis products, to a holder of a licence for a nursery; and

  • (d) cannabis products, other than cannabis plants and cannabis plant seeds, to a hospital employee if the employee’s possession of the cannabis product is for the purpose of, and in connection with, their duties.

• Marginal note:Packaging

  (2) A holder of a licence for sale for medical purposes must sell the cannabis products referred to in subsection (1) in the packaging in which they were sold or distributed to the holder.

Licence for Research

Marginal note:Authorized activities

• 28 (1) Subject to the other provisions of these Regulations, a holder of a licence for research is authorized to conduct those of the following activities, that are authorized by the licence:

  • (a) for the purpose of research,

    • (i) to possess cannabis,

    • (ii) to produce cannabis, and

    • (iii) to transport, send or deliver cannabis between the sites that are set out by the licence; and

  • (b) to sell cannabis plants and cannabis plant seeds to any of the following:

    • (i) a holder of a licence for cultivation,

    • (ii) another holder of a licence for research,

    • (iii) a holder of a cannabis drug licence,

    • (iv) the Minister, or

    • (v) a person to which an exemption has been granted under section 140 of the Act in relation to the cannabis or class of cannabis that is sold or distributed.

• Marginal note:Offer

  (2) A holder of a licence for research that is authorized to conduct the activity referred to in subparagraph (1)(a)(ii) is also authorized to offer to obtain cannabis by any method authorized by the licence.

• Marginal note:Use of organic solvent

  (3) A holder of a licence for research that is authorized to obtain cannabis by altering its chemical or physical properties by any means is also authorized to alter or offer to alter its chemical or physical properties by the use of an organic solvent when conducting that activity.

• Marginal note:Administer and distribute — research subject

  (4) A holder of a licence for research is also authorized, for the purpose of research, to administer and distribute cannabis to a research subject.

• Marginal note:Distribution

  (5) A holder of a licence for research is also authorized to distribute

  • (a) cannabis to any of the following:

    • (i) another holder of a licence for research,

    • (ii) a holder of a licence for analytical testing,

    • (iii) a holder of a cannabis drug licence,

    • (iv) the individuals referred to in section 4, or

    • (v) the Minister; and

  • (b) cannabis plants and cannabis plant seeds to the following:

    • (i) a holder of a licence for cultivation, or

    • (ii) a person to which an exemption has been granted under section 140 of the Act in relation to the cannabis or class of cannabis that is sold or distributed.

Refusal, Suspension and Revocation

Marginal note:Refusal to issue, renew or amend — other grounds

29 For the purpose of paragraph 62(7)(h) of the Act, other grounds for refusing to issue, renew or amend a licence are the following:

• (a) an individual who is required to hold a security clearance under section 50 in respect of an application does not hold such a security clearance;

• (b) in respect of the renewal or amendment of a licence, the holder of the licence does not hold a cannabis licence issued under subsection 14(1.1) of the Excise Act, 2001, if it is required;

• (c) in respect of the issuance or amendment of a licence for cultivation, the site proposed in the application would be authorized by another licence for cultivation;

• (d) in respect of the issuance or amendment of a licence for micro-cultivation, the site proposed in the application would be authorized by a licence for standard processing and a licence for micro-cultivation;

• (e) in respect of the issuance or amendment of a licence for standard cultivation, the site proposed in the application would be authorized by a licence for micro-processing and a licence for standard cultivation;

• (f) in respect of the issuance or amendment of a licence for a nursery, the site proposed in the application would be authorized by a licence for processing and a licence for a nursery;

• (g) in respect of the issuance or amendment of a licence for processing, the site proposed in the application would be authorized by another licence for processing;

• (h) in respect of the issuance or amendment of a licence for processing, the site proposed in the application would be authorized by a licence for processing and a licence for a nursery;

• (i) in respect of the issuance or amendment of a licence for micro-processing, the site proposed in the application would be authorized by a licence for standard cultivation and a licence for micro-processing;

• (j) in respect of the issuance or amendment of a licence for standard processing, the site proposed in the application would be authorized by a licence for micro-cultivation and a licence for standard processing; and

• (k) in respect of a licence for processing, the applicant has, in the past 10 years, been convicted of an offence under the Safe Food for Canadians Act or an Act referred to in subsection 374(2) of the Safe Food for Canadians Regulations.

Marginal note:Suspension — other circumstance

30 For the purpose of paragraph 64(1)(b) of the Act, other circumstances for the suspension of a licence are the following:

• (a) an individual who is required to hold a security clearance under section 50 in respect of the licence does not hold such a security clearance;

• (b) the holder of a licence has failed to pay a fee in relation to the licence that is fixed under subsection 142(1) of the Act;

• (c) the holder of a licence does not hold a cannabis licence issued under subsection 14(1.1) of the Excise Act, 2001, if it is required; and

• (d) the cannabis licence issued to the holder under subsection 14(1.1) of the Excise Act, 2001 is suspended under subsection 23(2) of that Act.

Marginal note:Revocation — other circumstances

31 For the purpose of paragraph 65(h) of the Act, other circumstances for the revocation of a licence are the following:

• (a) the holder of the licence has requested, in writing, the revocation;

• (b) the licence has been suspended and not reinstated because the reasons for the suspension still exist or the holder of the licence has not demonstrated to the Minister that the suspension is unfounded;

• (c) since the issuance of the licence, a security clearance in respect of the licence has been refused;

• (d) the holder of the licence no longer holds the cannabis licence issued under subsection 14(1.1) of the Excise Act, 2001, if it is required; and

• (e) in the case of a licence for processing, the holder has, since its issuance, been convicted of an offence under the Safe Food for Canadians Act or an Act referred to in subsection 374(2) of the Safe Food for Canadians Regulations.