New substances: advisory note March 1996

Change in Policy: Interpretation of "Person" Section 81 of The Canadian Environmental Protection Act, 1999 (CEPA 1999)

Section 81 of CEPA 1999 applies to the "person" manufacturing or importing a new substance into Canada. Since the New Substances Notification Regulations (NSNR) of CEPA 1999 were implemented on July 1, 1994, the interpretation of "person" was restricted to a single corporate entity (the original notifier). This implied that the "transitional" status of substances was lost when sale of assets occurred and transitional substances had to be re-notified as non-transitional substances by successors. Successor owners of non-transitional substances had to re-notify these as new substances and could only commence importing or manufacturing the new substance after the assessment period had expired.

As of November 1, 1996, Environment Canada has adopted a change in policy regarding the interpretation of "person" under s. 81 of CEPA 1999. The change in policy is as follows:

"Where one corporation has provided information to Environment Canada under the NSNR concerning a new substance, Environment Canada will consider a successor corporation to be the same "person" as the original corporation for the purposes of s. 81 of CEPA 1999 and the NSNR," under the conditions imposed by the Certification Form.

This change in policy applies to both ss. 81(1) and (2) of CEPA 1999 (non-transitional and transitional substances). It will reduce duplication of work for both industry and the departments of Environment and Health. For transitional substances, the change in policy will remove the requirement for a company to notify at higher schedules, and the associated costs to industry, which would be associated with the loss of "transitional status" for a notification upon change of ownership of the substances. For non-transitional substances the change in policy will permit successors to continue importing or manufacturing a new substance without having to "re-notify" and thus wait for the assessment period to have expired.

The change in policy is effective as November 1, 1996. For already existing successors the change in policy applies only to new substances that have not yet been "re-notified".

Successors wishing to take advantage of the change in policy must sign the attached Certification Form. The form must be signed by an officer of the successor corporation. A Certification Form must be completed for each substance to which the change is meant to apply.

Please contact Environment Canada using the toll free number (800) 567-1999 (within Canada) or at (819) 953-7156 if you have any questions.

Yours sincerely,

J. A. Buccini
Director
Commercial Chemicals Evaluation Division

Interpretation of "Person" Section 81 of the Canadian Environmental Protection Act, 1999 (CEPA 1999)

Certification Form

Where one corporation has provided information to Environment Canada under the New Substances Notification (NSN) Regulations concerning a new substance, Environment Canada will consider a successor corporation to be the same "person" as the original corporation for the purpose of s. 81 of CEPA 1999 and the NSNR:

Successor Corporation and address:

______________________________________________

______________________________________________

______________________________________________

______________________________________________

Telephone: ( ______ ) ______ - ________

Facsimile: ( ______ ) ______ - ________

Original Corporation and address:

______________________________________________

______________________________________________

______________________________________________

______________________________________________

Telephone: ( ______ ) ______ - ________

Facsimile: ( ______ ) ______ - ________

Successor proposed site of Manufacture or Port of Entry:

______________________________________________

______________________________________________

______________________________________________

______________________________________________

Telephone: ( ______ ) ______ - ________

Facsimile: ( ______ ) ______ - ________

Canadian Agent (if successor is not within Canada):

______________________________________________

______________________________________________

______________________________________________

______________________________________________

Telephone: ( ______ ) ______ - ________

Facsimile: ( ______ ) ______ - ________

The successor corporation certifies to Environment Canada that:

  1. the original Corporation has provided to Environment Canada and to the successor corporation all information required by the NSNR to the time of change of ownership;
  2. the successor corporation has acquired all, or material portion, of the business of the original corporation;
  3. the continued operation of the acquired business includes the manufacture or import of the substance notified under NSN #: __________; and
  4. the successor corporation agrees to be bound by all of the obligations of the original corporation under CEPA 1999 and the NSNR in relation to the above mentioned substance, including conditional orders, prohibitions and other requirements under s. 84 of CEPA 1999.

I have the authority to sign this certification statement on behalf of:

Name of Successor Corporation:

______________________________________________

Signature:

______________________________________________

Name typed:

______________________________________________

Title :

______________________________________________

Date :

______________________________________________

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