Offices in Ottawa and Perth
(613) 722-1500

CONTACT US (613) 722-1500

Big Changes to Corporate Privacy

Big Changes to Corporate Privacy

By:

Posted June 13, 2019

As of June 13, 2019, all corporations governed by the Canada Business Corporations Act, except some distributing corporations, are required to create and maintain a register for any “individuals with significant control” (ISC) over the corporation.  ISC is defined as anyone who has:

  • registered or beneficial ownership of 25% or more of the corporation’s shares;
  • direct or indirect control of 25% or more of the corporations shares;
  • direct or indirect de facto control over the corporation;
  • or any combination of these facts that cumulatively gives them significant control over the corporation.

These factors also apply to individuals who have joint ownership of, or control over, the corporation. The ISC Register must contain the following information:

  • the name(s) and date(s) of birth of the ISC(s);
  • their last known address;
  • the jurisdiction of their residence for tax purposes;
  • the date on which the individual/s acquired significant ownership or control;
  • the date on which they ceased to have significant ownership or control;
  • a description of how the individual meets the definition of an ISC;
  • and a description of steps taken by the corporation to identify ISCs.

The ISC Register must be verified or updated at least once a year. It must also be updated within 15 days of a corporation becoming aware of an ISC, and within a year after the 6th anniversary of the day that an individual stops being an ISC. Upon request, shareholders and creditors of the corporation, and Corporations Canada, may have access to the ISC Register. Failure of a corporation to prepare and maintain an ISC Register may result in a fine up to $5,000.00 and/or imprisonment for up to six months. Any director, officer, or shareholder who provides false information to, or knowingly fails to comply with, the ISC Register may face a fine up to $200,000.00 and/or imprisonment for up to six months.

We would be pleased to discuss any particular fact situation with you upon request and can assist you with the preparation of the ISC Register if you so require.

This blog post was written by Andre Martin, a Partner in the Business Law team.  Andre can be reached at 613-369-0370 or at andre.martin@mannlawyers.com.

More Resources

Blog |
Family Law
By: 
Co-parenting with your ex-partner can be challenging. It involves constant coordination and communication about various aspects of your children’s lives. Whether it is about schedules,[...]
Blog |
Wills, Trusts and Estates
By: 
Over time, individuals could acquire assets in different jurisdictions that are governed by different legal systems. Similar to the consideration of double wills in distinguishing[...]
Blog |
Family Law
By: 

Posted January 31, 2024

In the first part of this series, we reviewed the background, trial, and appeal to the Saskatchewan Court of Appeal in Anderson v Anderson. This[...]
Blog |
Practice Management
By: 

Posted January 26, 2024

On July 17, 1797, ten lawyers were present at the Wilson’s Hotel in Newark, Upper Canada, to read “An Act for the better regulating the[...]
Blog |
Business Law
By: 

Posted January 23, 2024

A not-for-profit corporation incorporated pursuant to the Canada Not-for-Profit Corporations Act (the “CNCA”) is required to maintain certain records, including records as to its members,[...]
Blog |
Employment, Labour, and Human Rights
By: 

Posted January 17, 2024

In November of 2023, the Ontario government introduced new legislation, once again, amending the Employment Standards Act, strengthening employment and labour laws in the province.[...]
André Martin

André Martin

I am a senior member of the Business Law team at Mann Lawyers.  As Co-Managing Partner, my practice areas include: corporate and commercial law professional corporations partnerships tax planning and reorganizations trust law and estate planning, including advising on and creating inter vivos, testamentary, alter ego, partner and employee trusts Section 85 rollovers, Section 86 and 51 share exchanges business acquisitions and sales commercial leasing franchise law for both Franchisors and Franchisees financing private company securities law Not-for-Profit/Charity and Foundations law shareholder matters and agreements mergers and acquisitions business succession planning and implementation Born in Ottawa and raised in Calgary, I obtained a Bachelor of Commerce (Highest Honours) degree from Carleton University and a Baccalaureate of Law (Magna Cum Laude) from the University of Ottawa. I was called to the Bar of Ontario in 1999. I attended the CBA for an in-depth program on tax law for lawyers and continue... Read More

Read More About André Martin

Subscribe to Our Newsletter

"*" indicates required fields

Name*
Consent*
This field is for validation purposes and should be left unchanged.