Any U.S. or international business that manufactures, imports, sells,
advertises or tests
consumer products sold in Canada must comply with new legislation -- or
risk facing severe
fines or prison terms
TORONTO, Dec. 17 /CNW/ -
Bill C-36, the Canada Consumer Product Safety Act (CCPSA), received Royal Assent on December 15, and is now Canadian
law. The new Act impacts any U.S. or international business involved with manufacturing,
selling, advertising, testing or importing consumer products sold in
Canada. The Canadian government has indicated that an accelerated
implementation plan is underway and the Act will come into force in the next few months.
The Act is intended to protect the Canadian public by addressing dangers to
human health and safety posed by consumer goods, with reference to the
growing number of consumer products that flow across borders.
Canada's largest law firm, Borden Ladner Gervais LLP (BLG), has been
closely tracking the legislation since it was first introduced.
Attorneys from BLG's Litigation Group point to the broad reaching
impact the Act has for many U.S. and global companies, and emphasize the importance of
companies needing to fully understand and assess the potential
implications and compliance requirements specific to their business.
The Act greatly increases the regulatory and legal burden of affected companies,
and empowers the government to take dramatic corrective action when
concerns arise about unsafe products. Government power in Canada was
previously limited in effectively reacting to consumer product safety
concerns as the majority of product recalls in Canada are voluntary,
linked to mandatory product recalls in the U.S.
Highlights of the Bill include:
A ban on the import/sale of certain consumer products
Mandatory recalls with increased product liability
Potential obligation for manufacturers and importers to test and study
consumer products at their own expense
Increased liability around packaging, labeling and advertising for
Strict record-keeping and reporting obligations for manufacturers,
importers, retailers, product testers, and advertisers concerning where
products are obtained and sold
Warrantless search and seizure powers for inspectors
New mandatory worldwide incident reporting obligations with strict
Severe penalties for non-compliance, including fines of up to $5 million
(Cdn) and prison terms of up to two years
About Borden Ladner Gervais LLP
With more than 750 lawyers, intellectual property agents, and other
professionals working in six major Canadian cities, Borden Ladner
Gervais LLP is the largest Canadian full-service law firm, focusing on
business law, litigation and intellectual property solutions. BLG
provides bilingual services in virtually every area of law, and
represents a wide range of regional, national and multinational
organizations. For further information, visit blg.com.
SOURCE Borden Ladner Gervais LLP
For further information:
For further information/interview opportunities:
For more information or to speak with a BLG attorney on the implications of the Act, please contact Nicole Leaver, email@example.com or 416.355.7429.