Canada Cooperatives Regulations

52 (1) In order to ascertain the beneficial ownership of investment shares of a constrained share cooperative, its directors may

• (a) require any person in whose name the investment shares are registered to furnish a statutory declaration under the Canada Evidence Act

  • (i) declaring whether

    • (A) the shareholder is the beneficial owner of the investment shares or holds them for a beneficial owner,

    • (B) the shareholder is an associate of any other shareholder, and

    • (C) the shareholder or beneficial owner is a Canadian, and

  • (ii) setting out any further relevant facts; and

• (b) require any person seeking to have a transfer of a voting investment share registered in their name or to have a voting investment share issued to them to furnish a statutory declaration as described in paragraph (a).

(2) When a person is required to furnish a declaration under subsection (1), the directors may refuse to register a transfer of a voting investment share in the person’s name or to issue a voting investment share to the person until that person has furnished the declaration.

(3) In administering the constrained investment share provisions set out in the articles of a constrained share cooperative, the directors of the cooperative may rely on a statement made in a declaration referred to in subsection (1) or (2).

(4) If the directors are required to determine the total number of voting investment shares of a constrained share cooperative that are held by or on behalf of residents of Canada, the directors may rely on the latest address shown in the investment share register to conclude

• (a) in respect of an address that is in Canada, that an individual is a resident of Canada; and

• (b) in the case of an address that is outside Canada, that an individual is not a resident of Canada.

(5) For the purpose of subsection (4), the directors may only rely on the investment share register of the constrained share cooperative as of any date after the day on which the cooperative became a constrained share cooperative, but that date shall not be more than four months before the day on which the determination is made.