On April 16, the Department of Justice and Consumer Affairs for
the province of New Brunswick released a consultation paper setting
out the proposed regulations under the province's
Franchises Act (the "Act").
Originally passed in 2007, the Act, which has yet to come into
force, clarifies five areas of the franchise relationship,
specifically: the duty of fair dealing; franchisee association
rights; franchisor duties to provide precontractual disclosure, and
related remedies; mediation procedures; and, the overriding of
provisions requiring litigation to be conducted outside New
Brunswick. While there will be some differences from other
provincial franchise laws in regard to the contents of a New
Brunswick compliant disclosure document, the Act is most noteworthy
because the mandatory mediation provisions are a marked departure
from the franchise law statutes in the other provinces of
As the consultation paper notes, before the Act can come into
force, two regulations will be needed. First, a regulation to
establish the details of the disclosure document that a franchisor
must provide to a franchisee before a franchise agreement is
signed, and second, a regulation which sets forth the statutory
framework for the mediation process. The consultation paper
discusses both of these regulations, and provides some notes about
transitional issues that will arise when the Act comes into
A draft of the consultation paper is available here: http://www.gnb.ca/0062/promos/comments-e.asp.
Individuals and groups are invited to submit comments on the
proposals detailed in the consultation paper. All comments must be
received no later than June 12, 2009, and may be submitted
electronically to email@example.com, or in
writing to Franchises Consultation, Legislative Services Branch,
P.O. Box 6000, Fredericton, NB, E3B 5H1.
Under the Income Tax Act, the Employment Insurance Act, and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions or GST.
Under the Income Tax Act, the Employment Insurance Act, the Canada Pension Plan Act and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions.
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