Budget 2025 Implementation Act, No. 1 (S.C. 2026, c. 3)

Marginal note:Forfeiture

• 47 (1) If no application is made for the restoration of a thing seized under this Act within 60 days after the day of its seizure, or an application has been made but no order of restoration is made after the application has been heard, the seized thing is forfeited to His Majesty in right of Canada.

• Marginal note:Forfeiture with consent

  (2) If an inspector has seized a thing and its owner, or the person in possession of it at the time of its seizure, consents in writing to its forfeiture, the thing is forfeited to His Majesty in right of Canada.

• Marginal note:Disposal

  (3) Subject to section 48, the Minister may dispose of a seized thing that is forfeited to His Majesty in right of Canada in any manner that the Minister directs.

Administrative Monetary Penalties

Violations

Marginal note:Administrative monetary penalties

• 52.1 (1) Every person who contravenes a provision designated under paragraph (12)(a) commits a violation and is liable to an administrative monetary penalty of not more than $50,000 in the case of an individual and $250,000 in the case of any other person.

• Marginal note:Purpose of penalty

  (2) The purpose of the penalty is to promote compliance with the provisions of this Act or the regulations and not to punish.

• Marginal note:Minister’s powers — notice of violation

  (3) The Minister may

  • (a) establish the form of notices of violations;

  • (b) designate individuals, or classes of individuals, who are authorized to issue notices of violations; and

  • (c) establish, in respect of each violation, a short-form description to be used in notices of violation.

• Marginal note:Notice of violation

  (4) If an individual designated under subsection (3) has reasonable grounds to believe that a person has committed a violation, the designated individual may issue a notice of violation and cause it to be served on the person. The notice of violation must include the information prescribed by regulation.

• Marginal note:Continuing violation

  (5) A violation that is committed or continued on more than one day constitutes a separate violation in respect of each day on which it is committed or continued.

• Marginal note:Limitation

  (6) Proceedings in respect of a violation may be instituted no later than two years after the day on which the subject matter of the proceedings becomes known to the Minister.

• Marginal note:Publication

  (7) After proceedings in respect of a violation are ended, the Minister may make public the nature of the violation, the name of the person who committed it and the amount of the penalty imposed.

• Marginal note:Directors, officers and agents or mandatries

  (8) If a person other than an individual commits a violation under this Act or the regulations, any of the person’s directors, officers or agents or mandataries who directed, authorized, assented to, acquiesced in or participated in the commission of the violation is a party to the violation, whether or not the person is proceeded against under this Act or the regulations.

• Marginal note:Employees, agents or mandataries

  (9) In a proceeding for a violation under this Act or the regulations, it is sufficient proof of the violation to establish that it was committed by the employee of the person named in the notice of violation, who is acting within the scope of their employment, or the agent or mandatary of the person named in the notice of violation, who is acting within the scope of their authority, whether or not the employee, agent or mandatary is identified or proceeded against for the violation, unless the person named in the violation establishes that

  • (a) the violation was committed without the persons’s knowledge or consent; and

  • (b) the person exercised all due diligence to prevent its commission.

• Marginal note:Violation or offence

  (10) If any act or omission can be proceeded with as a violation or as an offence, the Minister may commence proceedings in respect of that act or omission as a violation or recommend that it be proceeded with as an offence, but proceeding with it as a violation precludes proceeding with it as an offence, and proceeding with it as an offence precludes proceeding with it as a violation.

• Marginal note:Violation not offences

  (11) For greater certainty, a violation is not an offence and, accordingly, section 126 of the Criminal Code does not apply in respect of a violation.

• Marginal note:Regulations

  (12) The Governor in Council may make regulations respecting an administrative monetary penalties scheme, including regulations

  • (a) designating any of the following as violations:

    • (i) non-compliance with the requirements in subsection 12(1), paragraph 12(2)(a) or section 13, 14, 14.1 or 15 that are in respect of notification or the provision of information, as the case may be,

    • (ii) the contravention of subsection 18(2.1), (6) or (6.1),

    • (iii) the contravention of subsection 18(7) in relation to any licence conditions that are in respect of notification and the provision of information,

    • (iv) the contravention of section 30, 31 or 32,

    • (v) the contravention of the requirement in subsection 36(1) to designate an individual who holds the qualifications set out in regulations, as a biological safety officer,

    • (vi) the contravention of subsection 36(3) in relation to any powers, duties and functions that are in respect of notification and the provision of information,

    • (vii) the contravention of subsection 36(5) or 36.1(4),

    • (viii) the contravention of subsection 38(3),

    • (ix) the contravention of subsection 40.2(2), 41(3.1) or (5) or 44(2),

    • (x) the contravention of a provision of a regulation made under paragraph 66(1)(k), and

    • (xi) non-compliance with any other requirements that are in respect of notification and the provision of information that are prescribed by regulation;

  • (b) respecting the classification of each violation;

  • (c) respecting the information referred to in subsection (4);

  • (d) respecting the proceedings in respect of a violation; and

  • (e) respecting the penalties, including in relation to

    • (i) the determination of, or the method of determining the penalty applicable for each violation, and

    • (ii) the payment of the penalty imposed.

• Marginal note:Right to request review

  (13) Any regulation made under any of paragraphs (12)(a) to (e) must provide that a person named in the notice of violation has the right to request a review of the decision that the person has committed a violation or of the penalty imposed, or both.

Penalties

Marginal note:Payment

• 52.2 (1) If the person named in the notice of violation pays, in the time and manner specified in the notice, the amount of the penalty set out in the notice,

  • (a) they are deemed to have committed the violation in respect of which the amount is paid;

  • (b) the Minister must accept that amount as complete satisfaction of the penalty in respect of the violation; and

  • (c) the proceedings commenced in respect of the violation are ended.

• Marginal note:Alternatives

  (2) Instead of paying the amount of the penalty set out in the notice, the person may, in the time and manner specified in the notice,

  • (a) if the amount of the penalty set out in the notice is $5,000 or more, request to enter into a compliance agreement with the Minister that ensures the person’s compliance with the provision to which the violation relates; or

  • (b) request a review by the Minister, in accordance with the regulations, of the decision that the person has committed a violation or of the penalty imposed, or both.

Compliance Agreements

Marginal note:Entering into compliance agreements

• 52.3 (1) After considering a request by a person named in the notice of violation, the Minister may enter into a compliance agreement with that person on any terms and conditions that are satisfactory to the Minister. The terms and conditions may

  • (a) include a provision for the deposit of reasonable security, in a form and amount satisfactory to the Minister, as a guarantee that the person will comply with the compliance agreement; and

  • (b) provide for the reduction, in whole or in part, of the penalty for the violation.

• Marginal note:Deeming

  (2) A person who enters into a compliance agreement with the Minister is, on doing so, deemed to have committed the violation in respect of which the compliance agreement was entered into.

• Marginal note:Notice of compliance

  (3) A notice from the Minister that they are satisfied that a person who has entered into a compliance agreement has complied with it ends the proceedings commenced in respect of the violation. Any security given by the person under the compliance agreement must then be returned to the person.

• Marginal note:Notice of default

  (4) If the Minister is of the opinion that a person who has entered into a compliance agreement has not complied with it, the Minister must cause a notice of default to be provided to the person informing them that

  • (a) instead of being liable to pay the amount of the penalty set out in the compliance agreement, the person is liable to pay, in the time and manner specified in the notice of default, an amount that is twice the amount of the penalty set out in the notice of violation, and for greater certainty, subsection 52.1(1) does not apply in respect of that amount; or

  • (b) the security is forfeited to His Majesty in right of Canada.

• Marginal note:Effect of notice of default

  (5) Once provided with the notice of default, the person may not deduct from the amount set out in the notice of default any amount they spent under the compliance agreement and

  • (a) the person is liable to pay the amount set out in the notice of default in the time and manner specified in the notice of default; or

  • (b) if the notice provides for the forfeiture of the security given under the compliance agreement, that security is forfeited to His Majesty in right of Canada and the proceedings commenced in respect of the violation are ended.

• Marginal note:Effect of payment

  (6) If the person pays the amount set out in the notice of default in the time and manner specified in the notice of default, the Minister must accept the amount as complete satisfaction of the amount owing in respect of the violation and the proceedings commenced in respect of the violation are ended.

Marginal note:Refusal to enter into compliance agreement

• 52.4 (1) If the Minister refuses to enter into a compliance agreement is liable to pay, in the time and manner specified in the notice of violation, the amount of the penalty set out in the notice of violation.

• Marginal note:Effect of payment

  (2) If a person pays the amount set out in the notice of violation in the specified time and manner,

  • (a) they are deemed to have committed the violation in respect of which the amount is paid;

  • (b) the Minister must accept the amount as complete satisfaction of the penalty in respect of the violation; and

  • (c) the proceedings commenced in respect of the violation are ended.

• Marginal note:Default of payment

  (3) If a person does not pay the amount set out in the notice of violation in the specified time and manner, they are deemed to have committed the violation identified in the notice of violation.

Rules About Violations

Marginal note:Due diligence

• 52.5 (1) A person must not be found to be liable for a violation under this Act if they establish that they exercised due diligence to prevent its commission.

• Marginal note:Non-application

  (2) Despite subsection (1), a person to whom the Minister causes a notice of default to be provided under subsection 52.3(4) does not have a defence by reason that the person exercised due diligence to comply with the compliance agreement.

• Marginal note:Common law principles

  (3) Every rule and principle of the common law that renders any circumstance a justification or excuse in relation to a charge for an offence under this Act or the regulations applies in respect of a violation to the extent that it is not inconsistent with this Act and the regulations.

Marginal note:General

53 Subject to sections 54 to 58, every person who contravenes this Act or the regulations is guilty of an offence and liable,

• (a) in the case of a contravention with respect to a human pathogen that falls into Risk Group 2, on summary conviction, to a fine of not more than $250,000 or to imprisonment for a term of not more than six months, or to both;

• (b) in all other cases,

  • (i) on conviction on indictment, to a fine of not more than $1,000,000 or to imprisonment for a term of not more than five years, or to both, or

  • (ii) on summary conviction, to a fine of not more than $500,000 or to imprisonment for a term of not more than 18 months, or to both.

Marginal note:Breach of duty

54 Every person who contravenes section 6 and, as a result, creates a risk to the health, safety or security of the public is guilty of an indictable offence and liable to imprisonment for a term of not more than five years.

Marginal note:Wanton or reckless breach of duty

55 Every person who contravenes section 6 and who shows wanton or reckless disregard for the health, safety or security of other persons and, as a result, creates a risk to the health, safety or security of the public is guilty of an indictable offence and liable to imprisonment for a term of not more than 10 years.

Marginal note:Communicating sensitive information

56 Every person who knowingly and without lawful authority communicates sensitive information as prescribed by regulation to a foreign entity or terrorist group is guilty of an indictable offence and liable to imprisonment for life.

Marginal note:Intentional release

58 Every person who intentionally releases or otherwise abandons a human pathogen or toxin in contravention of this Act or the regulations is guilty of an indictable offence and is liable to imprisonment

• (a) for life, if the result causes death or is likely to cause death to any individual;

• (b) for a term of not more than 14 years, if the result creates a risk to the health, safety, or security of the public.