CSA Staff Notice: 45-304 - Notice of Local Exemptions Related to NI 45-106 Prospectus and Registration Exemptions and NI 31-103 Registration Requirements and Exemptions

 

 

 

 

 

 

 

 

Effective September 28, 2009, members of the Canadian Securities Administrators (CSA or we) implemented an amended and restated National Instrument 45-106 Prospectus and Registration Exemptions (NI 45-106) together with various consequential amendments to certain national and local instruments, rules and regulations. Also effective September 28, 2009, the CSA implemented National Instrument 31-103 Registration Requirements and Exemptions (NI 31-103). The registration exemptions contained in NI 45-106 will remain in effect for a transition period until March 27, 2010.

 

 

Although NI 45-106 and NI 31-103 consolidate and harmonize most of the prospectus and registration exemptions available under Canadian securities laws, there remain a limited number of local exemptions in each jurisdiction.

This notice lists the prospectus and registration exemptions in each jurisdiction that are not included in NI 45-106 or NI 31-103. These exemptions are listed by jurisdiction and apply only in that jurisdiction. Please refer to the Appendix attached to this notice. Although we have attempted to consolidate a list of all remaining exemptions by local jurisdiction, we encourage persons relying on a local exemption to consult the securities legislation of the jurisdiction. If a jurisdiction is not listed in the Appendix, please consult the securities legislation of that jurisdiction for any local exemptions.

The list of exemptions in the Appendix is up-to-date as of November 27, 2009. Although the CSA will update the list of local exemptions periodically, issuers and their counsel should check the current status of any local exemption.

Questions

Questions about any of the local exemptions listed in the Appendix may be referred to the contact(s) for that local jurisdiction listed below:

British Columbia

	George Hungerford
Gordon Smith	Senior Legal Counsel, Corporate Finance
Senior Legal Counsel, Corporate Finance	British Columbia Securities Commission
British Columbia Securities Commission	(604) 899-6690
(604) 899-6656	[email protected]
[email protected]

Alberta

	Tracy Clark
Taryn Montgomery	Legal Counsel
Legal Counsel	Alberta Securities Commission
Alberta Securities Commission	(403) 355-4424
(403) 297-4968	[email protected]
[email protected]

Saskatchewan

Manitoba

Ontario

	Jason Koskela
Jo-Anne Matear	Legal Counsel, Corporate Finance
Assistant Manager, Corporate Finance Branch	Ontario Securities Commission
Ontario Securities Commission	(416) 595-8922
(416) 593-2323	[email protected]
[email protected]

Quebec

	Rosetta Gagliardi (for NI 45-102)
Sylvie Lalonde (for NI 45-106)	Senior Policy Advisor
Manager, Policy Department	Autorité des marchés financiers
Autorité des marchés financiers	(514) 395-0337 ext. 4462
(514) 395-0337, ext. 4461	[email protected]
[email protected]

Nova Scotia

New Brunswick

Prince Edward Island

Newfoundland & Labrador

Yukon

Northwest Territories

Nunavut

November 27, 2009

Appendix

Local Exemptions -- Alberta

Alberta Securities Commission Rules

Section 127.03 (Prospectus exemption for cooperatives and corporations under the Rural Utilities Act)

Section 127.04 (Transitional: exemption of trades)

ASC Rule 45-502 Trade with RESP

ASC Rule 72-501 Distributions to Purchasers Outside Alberta

ASC Rule 91-504 Strip Bonds

Blanket Orders

ASC Blanket Order 87/03/26 Certain Interests in Government Securities

ASC Blanket Order 90/02/22 Trades of Government Warrants

ASC Blanket Order 2005/10/21 Registration and Prospectus Exemption for Certain Capital Accumulation Plans

ASC Blanket Order 91-503 Over-the-Counter Derivatives Transactions and Commodity Contracts

Local Exemptions -- British Columbia

Commission Rules

BC Instrument 45-501 Mortgages

Blanket Orders

BC Instrument 32-503 Registration Exemption for Approved Persons of the Mutual Funds Dealers Association of Canada

BC Instrument 33-517 Registration and Prospectus Exemption for Persons Registered under the Mortgage Brokers Act

BC Instrument 45-504 Trades to trust companies, insurers, and portfolio managers outside British Columbia

BC Instrument 45-512 Real Estate Securities

BC Instrument 45-514 The Employee Investment Act

BC Instrument 45-524 Registration and Prospectus Exemption for Certain Capital Accumulation Plans

BC Instrument 45-528 Trades under a realization on collateral given for a debt

BC Instrument 45-529 Bonus or finders fee

BC Instrument 45-530 Exemptions for securities issued by a cooperative association

BC Instrument 45-531 Exemptions for shares or deposits of a credit union

BC Instrument 72-502 Trades in Securities of U.S. Registered Issuers

BC Instrument 72-503 Distribution of Securities outside British Columbia

BC Instrument 72-504 Distribution of Eurobonds

BC Instrument 81-504 Transactions Between Mutual Funds and Responsible Persons Relating to Certain Debt Securities, Mortgages and Equity Securities

BC Instrument 91-501 Over-The-Counter Derivatives

BC Instrument 91-502 Short Term Foreign Exchange Transactions

BC Instrument 91-503 Contracts Providing for Physical Delivery of Commodities

BC Instrument 91-504 Government Strip Bonds

BC Instrument 91-505 Prospectus exemption for put and call options

Local Exemptions -- Manitoba

The Securities Act (Manitoba)

Section 19(1)(c) and 58(1)(a) -- Exempt Purchasers

Sections 19(2)(g) and 58(3)(a) -- Securities to which The Cooperatives Act apply

Sections 19(2)(h) and 58(3)(a) -- Securities to which The Credit Unions and Caisses Populaires Act apply

Securities Regulation (Manitoba)

Sections 91(a) and (b) of The Securities Regulation M.R. 491/88R

Blanket Rulings (Manitoba)

Local Policy 3.17 -- Strip Bonds

Local Exemptions -- New Brunswick

Rules

Local Rule 45-501 Prospectus and Registration Exemptions

Local Rule 45-802 Implementing National Instrument 45-106 Prospectus and Registration Exemptions

Local Rule 81-502 Registration and Prospectus Exemption for Certain Capital Accumulation Plans

Local Rule 91-501 Derivatives

Local Exemptions -- Newfoundland and Labrador

Securities Act (Newfoundland and Labrador)

Section 35 (Exemption of advisers)

Section 36 (Exemption of trades)

Local Exemptions -- Northwest Territories

Securities Act (Northwest Territories)

Section 2 (Various exemptions from registration requirement)

Blanket Orders

Blanket Order No. 1 -- Section 2 (Secondary Market Trading)

Blanket Order No. 1 -- Subsection 3(a) (Bona Fide Debts of Non-control Persons)

Blanket Order No. 1 -- Section 3(b) (Securities of a Cooperative)

Blanket Order No. 1 -- Section 3(c) (Distributions commenced in reliance on Blanket Order exemptions in effect prior to September 14, 2005)

Blanket Order No. 2 -- Subsection 2(a) (Bona Fide Debts of Non-control Persons)

Blanket Order No. 2 -- Section 2(b) (Securities of a Cooperative)

Blanket Order No. 2 -- Section 2(c) (Trades commenced in reliance on Blanket Order exemptions in effect prior to September 14, 2005)

Local Exemptions -- Nova Scotia

Securities Act (Nova Scotia)

Section 41(1) (ama) and (amb) (Registration exemption for securities of a cooperative)

Section 41(2)(i) (Registration exemption for shares of a credit union within the meaning of the Credit Union Act)

Section 77(1)(ah) (Prospectus exemption for securities of a cooperative)

Section 78(1)(a) as it relates to section 41(2)(i) (Prospectus exemption for shares of a credit union within the meaning of the Credit Union Act)

Rules

NSSC Rule 35-101 Conditional Exemption from Registration for United States Broker-Dealers and Agents

Regulations

Section 3 of the Community Economic -- Development Corporations Regulations -- N.S. Reg. 79/98 (Registration and prospectus exemptions for shares of a community economic-development corporation)

Blanket Orders

Blanket Order No. 3 Zero Coupon Strip Bonds

Blanket Order No. 15 Trading in Recognized Options Cleared Through Recognized Clearing Organizations

Blanket Order No. 16 Trading in Commodity Futures Contracts and Commodity Futures Options

Blanket Order No. 24 Certain Certificates for Government Securities

Blanket Order No. 47 Distribution of Mutual Funds Established for Employees of a Company and Its Affiliates

Blanket Order No. 45-507 A Registration and Prospectus Exemption for Certain Capital Accumulation Plans

Blanket Order No. 45-509 Trades in Warrants to Acquire Certain Debt Securities

Blanket Order No. 45-510 First and Subsequent Trades in Shares of a Community Economic-Development Corporation

Local Exemptions -- Nunavut

Securities Act (Nunavut)

Section 2 (Various exemptions from registration requirement)

Blanket Orders

Blanket Order No. 1 -- Section 2 (Secondary Market Trading)

Blanket Order No. 1 -- Subsection 3(a) (Bona Fide Debts of Non-control Persons)

Blanket Order No. 1 -- Section 3(b) (Securities of a Cooperative)

Blanket Order No. 1 -- Section 3(c) (Distributions commenced in reliance on Blanket Order exemptions in effect prior to September 14, 2005)

Blanket Order No. 3 -- Subsection 2(a) (Bona Fide Debts of Non-control Persons)

Blanket Order No. 3 -- Section 2(b) (Securities of a Cooperative)

Blanket Order No. 3 -- Section 2(c) (Trades commenced in reliance on Blanket Order exemptions in effect prior to September 14, 2005)

Local Exemptions -- Ontario

Securities Act (Ontario)

Section 34 (Exemption from registration requirements, advisers)

Section 35 (Exemption from registration requirements, dealers)

Section 35.1 (Exemption from registration requirement, financial institutions)

Section 73 (Exemption)

Regulations

Ontario Regulation 85/05 Exemptions respecting the Ontario Financing Authority

Rules

Ontario Securities Commission Rule 32-501 Direct Purchase Plans

Ontario Securities Commission Rule 35-101 Conditional Exemption from Registration for United States Broker-Dealers and Agents

Ontario Securities Commission Rule 35-502 Non Resident Advisers

Ontario Securities Commission Rule 35-503 Trades by Certain Members of The Toronto Stock Exchange

Ontario Securities Commission Rule 45-501 Ontario Prospectus and Registration Exemptions

Ontario Securities Commission Rule 91-501 Strip Bonds

Ontario Securities Commission Rule 91-502 Trades in Recognized Options -- Rule Under the Securities Act

Ontario Securities Commission Rule 91-503 Trades in Commodity Futures Contracts and Commodity Futures Options Entered into on Commodity Futures Exchanges Situate Outside of Ontario -- Rule Under the Securities Act

Local Exemptions -- Prince Edward Island

Rules

Local Rule 45-501 -- Exempt Distributions -- Co-operative Associations

Local Rule 45-502 -- Exempt Distributions -- Credit Unions

Local Rule 45-507 -- Exempt Distributions -- Self-Directed Registered Education Savings Plans

Local Exemptions -- Québec

Securities Act (Québec)

Section 3 (exemptions)

Section 41 (prospectus exemptions)

Securities Regulation (Québec)

Section 192 (registration exemptions)

Regulation to amend the Securities Regulation (which came into force on September 28, 2009)

Section 5 (registration exemption -- transition period until December 28, 2009 for former s. 194.2 QSR)

Derivatives Act (Québec)

Section 7 (over-the-counter derivatives activities or transactions involving accredited counterparties only or in any other case specified by regulation).

Regulation to amend the Derivatives Regulation

Section 11.14 (registration exemption to the extent the person carries on business solely for an accredited counterparty and its activity involves a standardized derivative that is offered primarily outside Québec)

General exemption decisions

Decision 2000-C-0699: Registration exemption for dealers in respect of trading at a distance on NASDAQ

Decision 2009-PDG-0007 Registration exemption for dealer and adviser activities relative to derivatives with accredited investors

Local Exemptions -- Saskatchewan

General Rulings/Orders

General Ruling/Order 21-901 Market Facilitation Activities by Issuers in Their Own Securities

General Ruling/Order 45-902 Labour-Sponsored Venture Capital Corporations

General Ruling/Order 45-912 Co-operatives and Credit Unions

General Ruling/Order 45-913 Capital Accumulation Plans

General Ruling/Order 45-916 Solicitations of Expressions of Interest

General Ruling/Order 72-901 Trades to Purchasers Outside of Saskatchewan

General Ruling/Order 91-904 Government Warrants

General Ruling/Order 91-905 Certain Interests in Government Securities

General Ruling/Order 91-906 Strip Bonds

General Ruling/Order 91-907 Over-the-Counter Derivatives

Local Exemptions -- Yukon

The Securities Act, S.Y. 2007.c.16 (Yukon)

Section 16 -- If the Superintendent of Securities is satisfied that it would not be prejudicial to the public interest, the Superintendent may, by order exempt a person, security, trade, distribution or transaction from all or any provisions of Yukon securities laws.

Yukon Local Rules

Local Rule 11-802 -- Adopting all CSA Instruments, Forms & Polices as amended and in force on September 28, 2009

Local Rule 12-501 -- Exemption for discretionary exemptions applied before March 17, 2008, effective from March 17, 2008

Local Rule 15-501 -- Exemption of certain contracts issued by Insurance Companies effective from March 17, 2008

Webpage: http://www.community.gov.yk.ca/corp/ysorules.html