Ontario Cannabis Retail Corporation Act, 2017, S.O. 2017, c. 26, Sched. 2

• Jurisdiction: Ontario

Ontario Cannabis Retail Corporation Act, 2017

S.o. 2017, chapter 26
Schedule 2

Consolidation Period: From March 15, 2022 to the e-Laws currency date.

Last amendment: 2021, c. 34, Sched. 2, s. 14.

CONTENTS

General

Interpretation

1 In this Act,

“cannabis” has the same meaning as in the Cannabis Control Act, 2017; (“cannabis”)

“Corporation” means the Ontario Cannabis Retail Corporation established under section 3; (“Société”)

“LCBO” means the Liquor Control Board of Ontario continued under section 2 of the Liquor Control Board of Ontario Act, 2019; (“Régie des alcools”)

“Minister” means the Minister of Finance or such other member of the Executive Council as may be assigned the administration of this Act under the Executive Council Act; (“ministre”)

“prescribed” means prescribed by the regulations; (“prescrit”)

“regulations” means the regulations under this Act; (“règlements”)

“sell” includes offer for sale, expose for sale and have in possession for sale. (“vente”) 2017, c. 26, Sched. 2, s. 1; 2018, c. 12, Sched. 1, s. 24; 2019, c. 15, Sched. 21, s. 21.

Section Amendments with date in force (d/m/y)

2018, c. 12, Sched. 1, s. 24 - 16/11/2018

2019, c. 15, Sched. 21, s. 21 - 29/11/2021

Exclusive rights, cannabis sales

2 Except as provided by the regulations, the Corporation has the exclusive right in Ontario to sell cannabis,

(a) online, without doing so through a cannabis retail store under the Cannabis Licence Act, 2018; and

(b) to a holder of a retail store authorization under the Cannabis Licence Act, 2018 for the purpose of resale through a cannabis retail store. 2021, c. 34, Sched. 2, s. 14 (1).

Section Amendments with date in force (d/m/y)

2018, c. 12, Sched. 3, s. 1 - 17/10/2018

2019, c. 15, Sched. 4, s. 6 - 10/12/2019

2021, c. 34, Sched. 2, s. 14 (1) - 15/03/2022

Establishment, Objects, Powers, etc.

Corporation established

3 (1) A corporation without share capital is established under the name Ontario Cannabis Retail Corporation in English and Société ontarienne de vente du cannabis in French.

Name of Corporation

(2) The name of the Corporation may be changed by regulation.

Composition

(3) The Corporation is composed of the members of its board of directors.

Same

(4) A person ceases to be a member of the Corporation when he or she ceases to be a director.

Objects

4 The Corporation’s objects are,

(a) to buy, possess and sell cannabis and related products;

(b) to determine,

(i) the varieties, forms or types of cannabis and related products it sells, subject to the regulations, and

(ii) the prices at which it sells them, subject to subsection 5 (5) and the regulations;

(c) to promote social responsibility in connection with cannabis; and

(d) to engage in such other activities as may be prescribed by regulation or assigned to the Corporation under this or any other Act. 2017, c. 26, Sched. 2, s. 4; 2018, c. 12, Sched. 2, s. 58 (1).

Section Amendments with date in force (d/m/y)

2018, c. 12, Sched. 2, s. 58 (1) - 16/11/2018

Powers

5 (1) Except as limited by this Act and the regulations, the Corporation has the capacity, rights, powers and privileges of a natural person for carrying out its objects.

Operation of retail stores prohibited

(1.1) The Corporation shall not operate retail stores directly or indirectly. 2018, c. 12, Sched. 3, s. 2.

Subsidiaries

(2) The Corporation shall not create or acquire a subsidiary.

Limitation, acquisition of real property

(3) The Corporation shall not purchase real property that meets the prescribed criteria without the written approval of the Minister and, if the Minister is not the Minister of Finance, the Minister of Finance.

Terms

(4) An approval under subsection (3) may be subject to such terms as are considered advisable by the Minister and, if the Minister is not the Minister of Finance, the Minister of Finance.

Limitation, minimum retail price

(5) If a regulation is made under the Cannabis Licence Act, 2018 prohibiting the holder of a retail store authorization under that Act from selling cannabis at a price that is lower than the price prescribed under that Act, the Corporation shall not sell cannabis at retail at a price that is lower than the price prescribed under that Act. 2018, c. 12, Sched. 2, s. 58 (2).

Section Amendments with date in force (d/m/y)

2018, c. 12, Sched. 2, s. 58 (2) - 16/11/2018; 2018, c. 12, Sched. 3, s. 2 - 17/10/2018

Crown agent

6 The Corporation is an agent of the Crown in right of Ontario for all purposes.

7 Repealed: 2018, c. 12, Sched. 3, s. 3.

Section Amendments with date in force (d/m/y)

2018, c. 12, Sched. 3, s. 3 - 17/10/2018

Board of directors

8 (1) The board of directors shall manage or supervise the management of the Corporation’s affairs.

Delegation

(2) The board of directors may delegate to a committee of the board or to an officer or employee of the Corporation any of the board’s powers other than the power to,

(a) approve the Corporation’s budget, including the budget for capital expenditures and staffing;

(b) approve the Corporation’s business plan, annual report and financial statements;

(c) appoint, remove and set the remuneration of the president and chief executive officer;

(d) establish committees of the board of directors and fill vacancies on those committees;

(e) make, amend or repeal by-laws; or

(f) do any other thing that may be prescribed. 2017, c. 26, Sched. 2, s. 8 (2); 2018, c. 12, Sched. 3, s. 4.

Further delegation

(3) The board of directors may authorize that powers delegated to an officer or employee of the Corporation may be further delegated to an employee of the Corporation on such terms as the board of directors may specify.

Section Amendments with date in force (d/m/y)

2018, c. 12, Sched. 3, s. 4 - 17/10/2018

Composition, etc.

9 (1) The board of directors shall consist of at least three and not more than nine members appointed by the Lieutenant Governor in Council. 2018, c. 12, Sched. 3, s. 5 (1); 2020, c. 36, Sched. 32, s. 1.

Note: On a day to be named by proclamation of the Lieutenant Governor, section 9 of the Act is amended by adding the following subsection: (See: 2018, c. 12, Sched. 3, s. 5 (2))

Restriction, LCBO member

(1.1) A member of the LCBO is not eligible to be appointed as a member of the Corporation’s board of directors. 2018, c. 12, Sched. 3, s. 5 (2).

Chair

(2) The Lieutenant Governor in Council shall designate a chair from among the members of the board of directors. 2018, c. 12, Sched. 3, s. 5 (1).

Vice-chair

(3) The Lieutenant Governor in Council may designate a vice-chair from among the members of the board of directors. 2018, c. 12, Sched. 3, s. 5 (1).

Acting chair

(4) If the chair is absent or unable to act, or if the office of the chair is vacant, the vice-chair shall act as chair. 2018, c. 12, Sched. 3, s. 5 (1).

Same

(5) If the chair and vice-chair are absent, the members present shall appoint an acting chair from among themselves. 2018, c. 12, Sched. 3, s. 5 (1).

Quorum

(6) A majority of the members constitutes a quorum of the board of directors. 2018, c. 12, Sched. 3, s. 5 (1).

Remuneration

(7) The members of the board of directors shall receive the remuneration and reimbursement for reasonable expenses as the Lieutenant Governor in Council determines. 2018, c. 12, Sched. 3, s. 5 (1).

Transition

(8) The chair, vice-chair and members of the board of directors who are in office on the day before the Cannabis Statute Law Amendment Act, 2018 receives Royal Assent shall each continue in office as the chair, vice-chair and members of the board of directors until the earliest of the following:

1. The date on which the member’s term of office expires.

2. The date on which the member dies.

3. The date on which the member resigns.

4. The date on which the member is removed by the Lieutenant Governor in Council.

5. The date on which the member becomes bankrupt or unable to act. 2018, c. 12, Sched. 3, s. 5 (1).

Same

(9) The following rules apply to each individual described in subsection (8):

1. The individual is deemed to be a public servant for the purposes of Parts IV, V and VI of the Public Service of Ontario Act, 2006.

2. Until such time as the Lieutenant Governor in Council determines remuneration and reimbursement under subsection (7), the individual shall continue to be paid at the rates of remuneration that are in effect for that individual on the day before the Cannabis Statute Law Amendment Act, 2018 receives Royal Assent.

3. If the individual is also a member of the LCBO, the individual is deemed not to have a conflict of interest by virtue only of that fact. 2018, c. 12, Sched. 3, s. 5 (1).

Section Amendments with date in force (d/m/y)

2018, c. 12, Sched. 3, s. 5 (1) - 17/10/2018; 2018, c. 12, Sched. 3, s. 5 (2) - not in force

2020, c. 36, Sched. 32, s. 1 - 08/12/2020

10 Repealed: 2018, c. 12, Sched. 3, s. 6.

Section Amendments with date in force (d/m/y)

2018, c. 12, Sched. 3, s. 6 - 17/10/2018

By-laws

11 (1) The board of directors may by resolution make, amend or repeal any by-law governing its proceedings and generally for the conduct and management of the Corporation’s affairs.

Financial by-laws

(2) A by-law of the Corporation relating to borrowing, investing or managing financial risks does not take effect until it is approved by the Minister and, if the Minister is not the Minister of Finance, by the Minister of Finance. 2018, c. 12, Sched. 3, s. 7.

(3), (4) Repealed: 2018, c. 12, Sched. 3, s. 7.

Section Amendments with date in force (d/m/y)

2018, c. 12, Sched. 3, s. 7 - 17/10/2018

President and chief executive officer

12 (1) The Corporation shall appoint an individual to serve as the Corporation’s president and chief executive officer. 2018, c. 12, Sched. 3, s. 8 (1).

Transition

(2) The individual who is the Corporation’s president and chief operating officer on the day before the Cannabis Statute Law Amendment...