Canada Grain Act (R.S.C., 1985, c. G-10)

Marginal note:Procedure if grain requires treatment or must be disposed of

• 76 (1) If any grain in a licensed terminal elevator is found to be infested or contaminated, or to have gone or to be likely to go out of condition or otherwise to require treatment,

  • (a) the operator of the elevator shall, without delay, inform the Commission, the principal inspector at the nearest inspection point and, if the grain is specially binned, the persons having an interest or right in the grain;

  • (b) the Commission shall, if it deems it necessary, arrange for the inspection of the grain;

  • (c) the Commission, or a person authorized by the Commission, shall give such directions as to the treatment or disposal of the grain as the circumstances require; and

  • (d) the operator of the elevator shall forthwith treat or dispose of the grain as so directed.

• Marginal note:Mixing prohibited

  (2) Except with the permission of the Commission, no grain in respect of which a direction has been given pursuant to subsection (1) shall thereafter be mixed with other grain.

• Marginal note:Costs of treatment, etc.

  (3) If, under a direction given under subsection (1), grain referred to in an elevator receipt indicating special binning issued by the operator of a licensed terminal elevator has been treated, shipped or otherwise disposed of, the costs incurred by the operator of the elevator in complying with the direction are recoverable from the persons having an interest or right in the grain in proportion to their respective interests or rights.

• Marginal note:Operator not relieved of statutory or contractual obligation

  (4) Nothing in this section shall be construed as relieving the operator of a licensed terminal elevator from the performance of any obligation imposed on him or her under this Act or any contract under which any grain came into or remains in the operator’s possession.

Marginal note:Compulsory removal of grain

• 77 (1) The operator of a licensed terminal elevator may, with the Commission’s written permission, on at least 30 days’ notice in writing, in a form and manner prescribed, to the last known holder of an elevator receipt issued by the operator, require the holder to take delivery from the elevator of the grain referred to in the receipt.

• Marginal note:Sale of grain

  (2) If the holder of an elevator receipt issued by the operator of a licensed terminal elevator fails to take delivery of the grain referred to in a notice given under subsection (1) within the period for taking delivery set out in it, whether or not the notice has been brought to his or her attention, the operator of the elevator may, on any terms that may be specified in writing by the Commission, sell the identical grain or grain of the same kind, grade and quantity.

• Marginal note:Obligation on sale

  (3) Where an operator of an elevator sells grain under subsection (2), the operator has no obligation to the holder of the elevator receipt issued in respect of the grain, other than to pay to the holder on surrender of the receipt the amount that the operator received for the grain sold less the aggregate of the costs, if any, incurred in the sale of the grain and the charges accrued under this Act in respect of the grain to the date of the sale.

• Marginal note:Warning

  (4) Each elevator receipt issued by the operator of a licensed terminal elevator shall bear the warning set out in subsection 65(4).

Process Elevators

Marginal note:Receipt

• 78 (1) Subject to any provision of this Act, any regulation or any order of the Commission, the operator of a licensed process elevator shall receive into the elevator grain lawfully delivered to the elevator at the discretion of the operator.

• Marginal note:Issuance of receipt or ticket

  (2) On the receipt of grain from a producer into a licensed process elevator, the operator of the elevator shall, at the prescribed time and in the prescribed manner, issue a grain receipt or a cash purchase ticket stating the grade name, grade and dockage of the grain, and immediately provide the producer with the grain receipt or cash purchase ticket.

• Marginal note:Limitation on discharge

  (3) Except with the permission of the Commission, no operator of a licensed process elevator shall discharge grain from the elevator, otherwise than for direct manufacture or processing into another product, unless the grain is officially inspected and officially weighed at the time of discharge and assigned a grade pursuant to this Act.

79 [Repealed, 2012, c. 31, s. 376]

80 [Repealed, 2012, c. 31, s. 376]

Grain Dealers

Marginal note:Requirement to issue grain receipt or cash purchase ticket

• 81 (1) With respect to the purchase of western grain from a producer of that grain, every licensed grain dealer shall, at the prescribed time and in the prescribed manner, issue a grain receipt or cash purchase ticket stating the grade name, grade and dockage of the grain, and immediately provide it to the producer.

• (2) [Repealed, R.S., 1985, c. 37 (4th Supp.), s. 24]

• Marginal note:Commission contracts

  (3) No licensed grain dealer who acts for any person on a commission basis in relation to the purchase or sale of western grain by a grade name shall, except with the consent of that person, buy, sell or have any interest or right, directly or indirectly beyond the dealer’s agreed commission in the purchase or sale of the grain.

• Marginal note:Prohibitions

  (4) No licensed grain dealer shall

  • (a) except with the permission of the Commission, enter into a contract relating to western grain that the dealer has reason to believe is infested or contaminated; or

  • (b) enter into a contract that provides for the delivery of western grain to an elevator or a consignee if the grain is not lawfully receivable by the operator of the elevator or other consignee.

Marginal note:Records and reports

82 Every licensed grain dealer shall maintain such records of his business as a grain dealer and make such reports to the Commission in respect of that business as may be prescribed.

82.1 [Repealed, 2012, c. 31, s. 377]

Grain Handling Generally

Marginal note:Contracts to be made only by licensees

• 83 (1) No person in the Western Division shall, for reward, by way of a profit, commission or otherwise,

  • (a) act on behalf of any other person in buying, selling or arranging for the weighing, inspection or grading of western grain, or

  • (b) make any contract for the purchase of western grain,

  unless that person is a licensee or is employed by a licensee and acts only on behalf of his employer.

• Marginal note:Exception

  (2) Subject to this Act, a transaction referred to in subsection (1) may be entered into by a person who is not a licensee where the transaction is

  • (a) a contract for the purchase of grain without reference to any grade name on terms whereby the consideration payable under the contract for the purchase of the grain is to be paid in full at the time of the making of the contract or the delivery of the grain;

  • (b) a contract for the purchase of grain whereby the grain is purchased by a producer of grain for use as seed in the producer’s farming operation;

  • (c) a contract for the purchase of grain whereby a person who raises livestock or poultry purchases the grain for feeding the livestock or poultry; or

  • (d) a contract made on the premises of a recognized grain exchange by or through a broker who is a member of the exchange and duly recorded pursuant to the rules of the exchange.

Declaration Respecting Grain

Marginal note:Obligation to provide declaration

83.1 Every licensee and every person who sells grain to a licensee shall, in accordance with the regulations, make and provide a declaration respecting the grain to a prescribed person.

Marginal note:Regulations

83.2 The Commission may, with the approval of the Governor in Council, make regulations respecting the declaration referred to in section 83.1, including regulations prescribing

• (a) its form and content;

• (b) when it is to be made and provided; and

• (c) the persons to whom it is to be provided.

Marginal note:False or misleading statement

83.3 No person shall knowingly make a false or misleading statement in a declaration referred to in section 83.1.

PART VCarriage of Grain

General

Marginal note:Transport, except by public carrier, restricted

84 Except in accordance with terms and conditions prescribed under section 84.1 or with an order made under section 84.2, no person, other than a public carrier, shall transport or cause to be transported any grain into or out of Canada.

Marginal note:Regulations

84.1 The Commission may, with the approval of the Governor in Council, make regulations prescribing terms and conditions for the purposes of section 84.

Marginal note:Orders

84.2 The Commission may, by order, permit a person other than a public carrier, to transport or cause to be transported any grain into or out of Canada, in accordance with any terms and conditions set out in the order. If the order applies to more than one person, it applies for a period of time terminating not later than the end of the crop year in respect of which the order is made.

Marginal note:Inspection of conveyances

• 85 (1) An inspector

  • (a) may, at any time, require a public carrier to hold a conveyance of the public carrier containing grain, grain products or screenings at an inspection point for inspection or official inspection of the grain, grain products or screenings; and

  • (b) shall, within twenty-four hours of requiring the public carrier to hold the conveyance, inspect or officially inspect the grain, grain products or screenings.

• Marginal note:Time for inspection

  (2) A public carrier who is required to hold a conveyance at an inspection point pursuant to subsection (1)

  • (a) shall hold the conveyance at the inspection point until after the inspection or official inspection or the expiration of twenty-four hours from the time when the carrier is so required to hold the conveyance, whichever occurs first; and

  • (b) may then move the conveyance forward.

• Marginal note:Inspection of conveyances

  (3) An inspector

  • (a) may, at any reasonable time, inspect any conveyance that has been placed at any elevator to receive grain; and

  • (b) where the inspector believes on reasonable grounds that any prescribed condition exists in the conveyance to such extent that the conveyance is not in fit condition to receive grain, shall direct that grain not be discharged into the conveyance until the condition has been corrected.

Marginal note:Discharge of grain into unfit conveyance prohibited

86 No person shall discharge any grain out of an elevator into a conveyance and no public carrier or other person shall permit the discharge of any grain out of an elevator into any conveyance owned or operated by him, where

• (a) the person or public carrier has reason to believe that any prescribed condition exists in the conveyance to such extent that the conveyance is not in fit condition to receive grain; or

• (b) an inspector has directed, pursuant to subsection 85(3), that grain not be discharged into the conveyance.

Producer Railway Cars

Marginal note:Application for railway cars

• 87 (1) One or more producers of grain, but not more than the number that the Commission may designate by order, may apply in writing to the Commission, in the prescribed form, for a railway car to receive and carry grain to a terminal elevator or process elevator or to a consignee at a destination other than an elevator, if they have grain in sufficient quantity to fill a railway car and if it may be lawfully delivered to a railway company for carriage to those elevators or other consignee.

• Marginal note:Allocation of cars

  (2) The Commission shall, in each week, allocate to applications made by producers of grain pursuant to subsection (1), in the order in which the applications are received, available railway cars that enter each shipping control area in that week up to such number or percentage of the available cars entering the area in that week and under such terms and conditions as the Commission may order.

87.1 [Repealed, 2011, c. 25, s. 28]

87.2 [Repealed, 2011, c. 25, s. 28]

87.3 [Repealed, 2011, c. 25, s. 28]

PART VIEnforcement and Enforcement Procedures

Inspection and Seizure

Marginal note:Inspection

• 88 (1) Subject to subsection (1.1), an inspector may, at any reasonable time, enter any elevator, any premises of the licensee of an elevator or any premises of a licensed grain dealer in which the inspector has reasonable grounds to believe there is any grain, grain product or screenings owned or possessed by the licensee or any books, records or other documents relating to the operation of the elevator or the business of the grain dealer and may

  • (a) examine the premises and any equipment, grain, grain products and screenings found in the premises;

  • (a.1) take samples of the grain, grain products or screenings; and

  • (b) examine any books, records, bills of lading and other documents that, on reasonable grounds, the inspector believes contain any information relevant to verifying compliance with this Act and make copies of them or take extracts from them.

• Marginal note:Warrant required to enter dwelling-house

  (1.1) Where any premises referred to in subsection (1) is a dwelling-house, an inspector may not enter that dwelling-house without the consent of the occupant except under the authority of a warrant issued under subsection (1.2).

• Marginal note:Authority to issue warrant

  (1.2) Where on ex parte application a justice of the peace is satisfied by information on oath

  • (a) that the conditions for entry described in subsection (1) exist in relation to a dwelling-house,

  • (b) that entry to the dwelling-house is necessary for any purpose relating to the administration or enforcement of this Act, and

  • (c) that entry to the dwelling-house has been refused or that there are reasonable grounds for believing that entry thereto will be refused,

  the justice of the peace may issue a warrant under his hand authorizing the inspector named therein to enter that dwelling-house subject to such conditions as may be specified in the warrant.

• Marginal note:Use of force

  (1.3) In executing a warrant issued under subsection (1.2), the inspector named therein shall not use force unless the inspector is accompanied by a peace officer and the use of force has been specifically authorized in the warrant.

• Marginal note:Certificate to be produced

  (2) An inspector shall be furnished with a certificate of his designation as an inspector and, on entering any elevator or premises referred to in subsection (1), shall, if so required, produce the certificate to the person in charge thereof.

• Marginal note:Assistance to inspectors

  (3) The licensee or person in charge of any elevator or premises entered by an inspector pursuant to subsection (1) and every person found therein shall give the inspector all reasonable assistance to enable the inspector to carry out his duties and functions under this Act and shall furnish the inspector with any information he may reasonably require with respect to the administration of this Act and the regulations.