Retail Payment Activities Regulations (SOR/2023-229)

Marginal note:Penalties

• 48 (1) The range of penalties in respect of a violation, other than one referred to in subsection (2), is

  • (a) up to $1,000,000 in the case of a serious violation; and

  • (b) up to $10,000,000 in the case of a very serious violation.

• Marginal note:Exceptions

  (2) In the case of a violation in respect of section 21 or subsection 22(1), 59(1) or 60(1) or (2) of the Act,

  • (a) if the violation has continued for no more than 30 days, the amount of the penalty in respect of the violation is $500 for each day that it has continued; and

  • (b) if it has continued for more than 30 days, the range of penalties in respect of the violation is from $15,000 to $1,000,000.

Marginal note:Criteria

49 The amount payable as the penalty for a violation, other than one referred to in paragraph 48(2)(a), is to be established having regard to

• (a) the harm that is done by the violation and the harm that could have been done by it;

• (b) the history of the individual or entity that committed the violation with respect to any prior violation committed by them within the five-year period immediately before the violation; and

• (c) the degree of intention or negligence on the part of the individual or entity that committed the violation.

Marginal note:Additional penalty

50 For the purpose of paragraph 82(1)(b) of the Act, the additional penalty is equal to the amount of the penalty set out in the notice of violation.

Marginal note:Service of documents

• 51 (1) Any notice that is to be served under Part 5 of the Act must be served by

  • (a) in the case of service on an individual,

    • (i) leaving a copy of it with the individual,

    • (ii) leaving a copy of it with someone who appears to be an adult member of the same household at the individual’s last known address or usual place of residence,

    • (iii) sending a copy of it by registered mail or courier to the individual’s last known address or usual place of residence,

    • (iv) sending a copy of it to the individual’s last known email address, or

    • (v) making a copy of it available to the individual through an electronic system maintained for that purpose by the Bank and advising the individual, by email to their last known email address, of the availability of the notice; and

  • (b) in the case of service on an entity,

    • (i) leaving a copy of it with an individual who appears to manage or be in control of the head office or place of business of the entity or of the entity’s authorized representative,

    • (ii) sending a copy of it by registered mail or courier to the head office or place of business of the entity or of the entity’s authorized representative,

    • (iii) sending a copy of it to the entity’s last known email address, or

    • (iv) making a copy of it available to the entity through an electronic system maintained for that purpose by the Bank and advising the entity, by email to its last known email address, of the availability of the notice.

• Marginal note:Deemed service

  (2) A notice is deemed to be served

  • (a) on the day on which it is left with an individual in accordance with subparagraph (1)(a)(i) or (ii) or (b)(i);

  • (b) on the 10th day after the date indicated in the receipt issued by the postal or courier service, in the case of service by registered mail or courier; or

  • (c) on the day on which the email referred to in subparagraph (1)(a)(iv) or (v) or (b)(iii) or (iv) is delivered.

Transition Period

Marginal note:National security review — prescribed periods

52 In respect of an application for registration that is submitted during the transition period as defined in section 103 of the Act,

• (a) the prescribed period for the purpose of subsection 34(1) of the Act begins on the day on which the Minister is provided with the application and ends 60 days after the last day of the transition period; and

• (b) the prescribed period for the purpose of section 36 of the Act begins on the day on which the Minister decides to review the application and ends on the later of 180 days after that day and 180 days after the last day of the transition period.

Marginal note:Application for registration — prescribed period

53 The prescribed period for the purpose of section 104 of the Act is the period that begins on the day on which section 29 of the Act comes into force and ends on the later of

• (a) the day that is 14 days after the day on which section 29 of the Act comes into force, and

• (b) the day that is 60 days before the first day during the transition period on which the payment service provider plans to perform retail payment activities.

Marginal note:Publication of application information

54 For the purpose of section 107 of the Act, the prescribed information is

• (a) any trade names of the applicant; and

• (b) the address, telephone number and email address of the applicant’s place of business, as well as their website address, if any.

Coming into Force

Marginal note:S.C. 2021, c. 23, s. 177

• Footnote ^*55 (1) Subject to subsection (2), these Regulations come into force on the day on which section 29 of the Retail Payment Activities Act comes into force, but if they are registered after that day, they come into force on the day on which they are registered.

• Marginal note:S.C. 2021, c. 23, s. 177

  (2) Sections 5 to 23, 26, 27 and 29 to 36, paragraphs 37(b) to (e), items 1 to 10, 12 and 13 of Part 1 of the schedule and items 1 to 26 of Part 2 of the schedule come into force on the day on which subsection 25(1) of the Retail Payment Activities Act comes into force, but if these Regulations are registered after that day, those provisions come into force on the day on which these Regulations are registered.

• Return to footnote ^*[Note: Regulations, except sections 5 to 23, 26, 27 and 29 to 36, paragraphs 37(b) to (e), items 1 to 10, 12 and 13 of Part 1 of the schedule and items 1 to 26 of Part 2 of the schedule, in force November 1, 2024, see SI/2023-70, sections 5 to 23, 26, 27 and 29 to 36, paragraphs 37(b) to (e), items 1 to 10, 12 and 13 of Part 1 of the schedule and items 1 to 26 of Part 2 of the schedule in force September 8, 2025, see SI/2023-70.]