2018-c.3 Cannabis Management Corporation Act N.B.

Current to 2024-06-27

Contents
s. 1 — Purpose

The purposes of this Act are:

s. 1(a) — Purpose

(a) to establish the necessary framework for socially responsible management of the distribution and sale of recreational use cannabis; and

s. 1(b) — Purpose

(b) to facilitate and promote the responsible consumption of recreational use cannabis in the Province.

s. 2 — Definitions

The following definitions apply in this Act. 2019, c.29, s.21; 2022, c.5, s.1; 2024, c.28, s.10

s. 2 — board

“Board” means the board of directors of the Cannabis Management Corporation.(conseil)

s. 2 — cannabis

“cannabis” means cannabis as defined in the Cannabis Act (Canada) and licit cannabis products and derivatives.(cannabis)

s. 2 — cannabis-accessory

“cannabis accessory” means a cannabis accessory as defined in the Cannabis Act (Canada).(accessoire)

s. 2 — corporation

“Corporation” means the body corporate established under section 3.(Société)

s. 2 — distribute

“distribute” includes administering, giving, transferring, transporting, sending, delivering, providing or otherwise making available in any manner, whether directly or indirectly, and offering to distribute.(distribuer)

s. 2 — minister

“Minister” means the member of the Executive Council designated by the Lieutenant-Governor in Council as being responsible for Cannabis NB Ltd. and includes any person designated by the member to act on the member’s behalf.(ministre)

s. 2 — recreational-use-cannabis

“recreational use cannabis” means cannabis that is not used for medical purposes.(cannabis à des fins récréatives)

s. 2 — sell

“sell” includes offer for sale, expose for sale and have in possession for sale.(vente)

s. 2 — service-agreement

“service agreement” means, in relation to services related to recreational use cannabis, a contract(convention de services)

s. 2(a) — Definitions

(a) between the Corporation and a subsidiary of the New Brunswick Liquor Corporation, or

s. 2(b) — Definitions

(b) between the Corporation or a subsidiary of the New Brunswick Liquor Corporation and a third party.

s. 2 — service-provider

“service provider” means a person of a category described in section 9.1 that has entered into a service agreement.(fournisseur de services)

s. 3 — Cannabis Management Corporation

2023, c.2, s.161

s. 3(1) — Cannabis Management Corporation

There is established a body corporate, without share capital, to be known as the Cannabis Management Corporation consisting of those persons who compose the Board.

s. 3(2) — Cannabis Management Corporation

The Business Corporations Act does not apply to the Corporation.

s. 3(3) — Cannabis Management Corporation

Subject to paragraph 8(f), the Corporation may contract in its corporate name without specific reference to the Crown.

s. 3(4) — Cannabis Management Corporation

Property acquired by the Corporation is the property of the Crown in right of the Province and title to the property may be vested in the name of the Crown or in the name of the Corporation.

s. 4 — Head office

The head office of the Corporation is at The City of Fredericton or another place in the Province as it may determine.

s. 5 — Agent of the Crown

The Corporation is a Crown corporation and for all purposes of this Act is an agent of the Crown in right of the Province and the powers of the Corporation may be exercised only as an agent of the Crown.

s. 6 — Application of Companies Act

Despite section 136.1 of the Companies Act, subsection 14(1) of that act applies to the Corporation so far as it is not inconsistent with the provisions of this Act.

s. 7 — Objects

The objects of the Corporation with respect to recreational use cannabis are

s. 7(a) — Objects

(a) to undertake, implement, organize, conduct and manage the purchase, distribution and sale of recreational use cannabis on behalf of the government of the Province,

s. 7(b) — Objects

(b) to undertake, implement, organize, conduct and manage the purchase, distribution and sale of recreational use cannabis on behalf of the government of the Province and the government of any other province or territory of Canada,

s. 7(c) — Objects

(c) to ensure that the purchase, distribution and sale of recreational use cannabis are conducted and managed in secure, responsible retail outlets in accordance with the Criminal Code (Canada), the Cannabis Act (Canada), this Act and the regulations, and the Cannabis Control Act,

s. 7(d) — Objects

(d) to promote the responsible consumption of recreational use cannabis in the Province, and

s. 7(e) — Objects

(e) to take any other measures in relation to the purchase, distribution and sale of recreational use cannabis that the Lieutenant-Governor in Council may require.

s. 8 — Powers and duties

Subject to this Act and the regulations, the Corporation has, in respect of its objects, the capacity, rights, powers and privileges of a natural person and, without limitation, may 2022, c.5, s.1

s. 8(a) — Powers and duties

(a) receive, acquire, take, hold, mortgage, sell, convey or otherwise dispose of or deal with real and personal property and any interest in real and personal property,

s. 8(b) — Powers and duties

(b) exercise any power given to the Corporation under any act or regulation,

s. 8(c) — Powers and duties

(c) undertake, implement, organize, conduct and manage the purchase, distribution and sale of recreational use cannabis products and derivatives as prescribed by regulation in the Province on behalf of the government of the Province,

s. 8(d) — Powers and duties

(d) on the terms and conditions that the Board determines, enter into a service agreement of which the contents shall be prescribed by regulation to have a person become a provider of services related to recreational use cannabis for the fees or commissions fixed by the parties and confirmed in the service agreement

s. 8(e) — Powers and duties

(e) Repealed: 2022, c.5, s.1

s. 8(f) — Powers and duties

(f) with the approval of the Lieutenant-Governor in Council

s. 8(f)(i) — Powers and duties

(i) undertake, implement, organize, conduct and manage the purchase, distribution and sale of recreational use cannabis on behalf of the government of the Province together with the government of any other province or territory of Canada pursuant to an agreement,

s. 8(f)(ii) — Powers and duties

(ii) enter into an agreement with the government of another province or territory of Canada or any of its agencies to undertake, implement, organize, conduct and manage the purchase, distribution and sale of recreational use cannabis on behalf of that government or agency,

s. 8(f)(iii) — Powers and duties

(iii) enter into and carry out an agreement with a government of another province or territory of Canada, or an agency of that government, to incorporate a body corporate charged with undertaking, implementing, organizing, conducting and managing the purchase, distribution and sale of recreational use cannabis on behalf of the parties to the agreement, and

s. 8(g) — Powers and duties

(g) do any other things that are required or authorized by this Act or the regulations or that the Corporation considers necessary or incidental to the attainment of its objects.

s. 9 — Agreement designating agent

If a body corporate is formed pursuant to an agreement made under subparagraph 8(f)(iii), the Corporation may, with the approval of the Lieutenant-Governor in Council,

s. 9(a) — Agreement designating agent

(a) enter into an agreement with the body corporate by which the body corporate becomes an agent of the Crown in right of the Province and of the other governments or agencies that are parties to the agreement referred to in sub-paragraph 8(f)(iii) and designate it as such for the purpose of discharging its duties,

s. 9(b) — Agreement designating agent

(b) enter into an agreement with the other governments or agencies that are parties to the agreement referred to in sub-paragraph 8(f)(iii) to designate that body corporate as an agent of the Crown in right of the Province and of the other governments or agencies for that purpose.

s. 9.1

2022, c.5, s.1A service provider, whether an individual or a corporation, shall belong to one of the following categories: 2022, c.5, s.1

s. 9.1(a)

(a) Category 1 – a subsidiary of the New Brunswick Liquor Corporation that, subject to the objects and purposes for which it was established, has entered into a service agreement with the Corporation that enables it to carry on commercial activity, including the purchase, distribution and sale of recreational use cannabis, cannabis accessories and machinery, equipment and material for the cultivation or consumption of cannabis in the Province; or

s. 9.1(b)

(b) Category 2 – a person who holds a licence under the Cannabis Retailers Licensing Act and who has entered into a service agreement with the Corporation or a Category 1 service provider for the retail sale of cannabis in the Province.

s. 10 — Policy on responsible consumption
s. 10(1) — Policy on responsible consumption

The Corporation shall establish and implement a policy on the responsible consumption of cannabis which shall include initiatives relating to public education with respect to responsible consumption.

s. 10(2) — Policy on responsible consumption

Before establishing and implementing a policy on responsible consumption, the Corporation shall submit the policy to the Lieutenant-Governor in Council for approval, and shall not make any changes to the policy without the prior approval of the Lieutenant-Governor in Council.

s. 10(3) — Policy on responsible consumption

A service provider shall comply with the policy on responsible consumption established by the Corporation and approved by the Lieutenant-Governor in Council.

s. 11 — Role of Board

The Board shall administer the business and affairs of the Corporation, and all decisions and actions of the Board are to be based generally on sound business practices.

s. 12 — Composition of Board

2019, c.2, s.23; 2019, c.29, s.21; 2020, c.25, s.17

s. 12(1) — Composition of Board

The Board shall consist of the following voting members:

s. 12(1)(a) — Composition of Board

(a) the Deputy Minister of Finance and Treasury Board;

s. 12(1)(b) — Composition of Board

(b) the Deputy Minister of Health;

s. 12(1)(c) — Composition of Board

(c) the Deputy Minister of Justice and Public Safety; and

s. 12(1)(d) — Composition of Board

(d) no more than four senior civil servants, one of whom shall be responsible for economic development.

s. 12(2) — Composition of Board

A member of the Board referred to in paragraph (1)(d) shall be appointed by the Minister.

s. 12(3) — Composition of Board

The members of the Board are the directors of the Corporation within the meaning of the Companies Act except if inconsistent with this Act.

s. 13 — Chair and Vice-Chair

The Deputy Minister of Finance and Treasury Board shall be the Chair of the Board and the Deputy Minister of Health shall be the Vice-Chair of the Board. 2019, c.29, s.21

s. 14 — Delegation of powers
s. 14(1) — Delegation of powers

For the purposes of this Act, the Chair may delegate, in writing, to another member of the Board any power of the Chair under this Act or any other Act, except the power of delegation.

s. 14(2) — Delegation of powers

In a delegation under subsection (1), the Chair may impose on the delegate terms and conditions that the Chair considers appropriate.

s. 14(3) — Delegation of powers

A delegate to whom this section applies shall comply with the terms and conditions in the delegation.

s. 15 — Vacancy and quorum
s. 15(1) — Vacancy and quorum

A vacancy on the Board does not impair the capacity of the Board to act.

s. 15(2) — Vacancy and quorum

Four members of the Board, one of whom shall be the Chair or the Vice-Chair, constitute a quorum.

s. 16 — Operating expenses

The cost of operating the Corporation shall be paid out of the revenues of the Corporation.

s. 17 — Fiscal year

The fiscal year of the Corporation begins on April 1 in one year and ends on March 31 in the next year.

s. 18 — Budget

The Corporation shall, before December 31 in each year, prepare and submit a proposed budget to the Minister for the next fiscal year.

s. 19 — Advancement of money

On the request of the Corporation, the Minister of Finance and Treasury Board may pay or advance to the Corporation from time to time the amounts necessary for the attainment of its objects. 2024, c.28, s.10

s. 20 — Profits of Corporation

Subject to this Act and the regulations, the profits of the Corporation shall be paid into the Consolidated Fund at the time and in the manner prescribed by regulation.

s. 21 — Payment to fund

Each year the Corporation shall, from its revenues, pay to the fund created under the Cannabis Education and Awareness Fund Act an amount prescribed by regulation.

s. 22 — Audit

The financial statements of the Corporation shall be audited at least once a year by an auditor appointed by the Board, and may be audited by the Auditor General at any time on the initiative of the Auditor General or at the request of the Lieutenant-Governor in Council. 2022, c.5, s.1

s. 23 — Books of account

The Corporation shall keep books of account as required by the Minister.

s. 24 — Information available to Auditor General

A body corporate incorporated pursuant to an agreement made under subparagraph 8(f)(iii) shall make its auditor’s report and the working papers used in the preparation of the report available to the Auditor General.

s. 25 — Reporting
s. 25(1) — Reporting

The Corporation shall submit to the Minister an annual report on the business and affairs of the Corporation for the previous fiscal year at the time and in the manner determined by the Minister.

s. 25(2) — Reporting

The annual report shall contain the auditor’s report in a form acceptable to the Minister and provide the particulars that the Minister requires.

s. 25(3) — Reporting

The Minister shall lay the annual report before the Legislative Assembly if it is in session or, if not, at the next ensuing session.

s. 25(4) — Reporting

At the request of the Minister, the Corporation shall provide to the Minister any information in respect of the business and affairs of the Corporation.

s. 26 — Agreement re disclosure of information
s. 26(1) — Agreement re disclosure of information

The Corporation shall enter into a written agreement with a service provider containing provisions with respect to the collection, use and disclosure of information, including personal information, that relates directly to and is necessary for the provision of the service.

s. 26(2) — Agreement re disclosure of information

An agreement entered into under subsection (1) shall

s. 26(2)(a) — Agreement re disclosure of information

(a) provide for the protection of personal information against risks, including unauthorized access, use, disclosure or destruction, and

s. 26(2)(b) — Agreement re disclosure of information

(b) contain any terms, conditions, prohibitions, restrictions or requirements prescribed by regulation relating to the access, use, disclosure or destruction of personal information.

s. 26(3) — Agreement re disclosure of information

Subject to section 28, a service provider shall not disclose any information, including personal information, disclosed to, collected by or used by the service provider under this Act unless in accordance with an agreement under subsection (1).

s. 26(4) — Agreement re disclosure of information

An agreement entered into under subsection (1) shall be deemed to be the written agreement for the protection of personal information between a public body and a service provider as required under the Right to Information and Protection of Privacy Act.

s. 27 — Disclosure of information to Corporation and collection and use by Corporation
s. 27(1) — Disclosure of information to Corporation and collection and use by Corporation

Subject to any provision in another Act, other than the Right to Information and Protection of Privacy Act, that prohibits or limits the disclosure of information, the government of another province or territory of Canada or any of its agencies that has entered into an agreement with the Corporation under subparagraphs 8(f)(i) and (ii) shall disclose to the Corporation information, including personal information, that the government has collected that relates directly to the purpose of the agreement.

s. 27(2) — Disclosure of information to Corporation and collection and use by Corporation

To ensure the provision of services and the implementation of an agreement entered into with the government of another province or territory of Canada or any of its agencies, the Corporation may collect directly or indirectly, from any person or government or its agency, information, including personal information, that relates directly to the purpose of the agreement between the Corporation and the other party to the agreement.

s. 27(3) — Disclosure of information to Corporation and collection and use by Corporation

The Corporation shall not use or disclose information, including personal information, disclosed under subsection (1) or collected under subsection (2) for a purpose other than that which relates directly to the purpose of the agreement between the Corporation and the other party to the agreement.

s. 27(4) — Disclosure of information to Corporation and collection and use by Corporation

The Corporation is authorized to disclose to a person, government or its agency information, including personal information, that relates directly to the purpose of the agreement between the Corporation and the other party to the agreement and is necessary for that purpose.

s. 28 — Disclosure of information to Minister of Health

2022, c.5, s.1; 2024, c.28, s.10

s. 28(1) — Disclosure of information to Minister of Health

Despite the applicable provisions of the Right to Information and Protection of Privacy Act, a service provider may, with the approval of the Corporation or of the Category 1 service provider, as the case may be, with whom it has entered into a service agreement, disclose to the Minister of Health personal information, including information concerning the purchase and sale of cannabis.

s. 28(2) — Disclosure of information to Minister of Health

The Minister of Health may collect, use and disclose information communicated to them by a service provider for the following purposes:

s. 28(2)(a) — Disclosure of information to Minister of Health

(a) to conduct research and ensure public health surveillance;

s. 28(2)(b) — Disclosure of information to Minister of Health

(b) to develop relevant policy; and

s. 28(2)(c) — Disclosure of information to Minister of Health

(c) to share any de-identified data that the Minister of Health considers necessary.

s. 29 — By-laws
s. 29(1) — By-laws

Subject to subsection (2), the Board may make by-laws for the control and management of the business and affairs of the Corporation.

s. 29(2) — By-laws

The Board shall make by-laws establishing the policy of the Corporation in respect of situations considered by the Corporation to constitute an actual or potential conflict of interest pertaining to its members, including the circumstances that constitute an actual or potential conflict of interest, the disclosure of the actual or potential conflict of interest and the manner in which it is to be dealt with.

s. 29(3) — By-laws

By-laws made under subsections (1) and (2) are ineffective until they have been approved by the Lieutenant-Governor in Council.

s. 30 — Regulations Act does not apply

The Regulations Act does not apply to a by-law made by the Board under this Act.

s. 31 — Filing of by-laws

The Board shall file a by-law made under this Act with the Minister as soon as the circumstances permit after it is made.

s. 32 — Immunity

No action, application or other proceeding lies or shall be instituted against any of the following persons in relation to anything done or purported to be done in good faith, or in relation to anything omitted in good faith, under this Act by the person:

s. 32(a) — Immunity

(a) a director or officer or a former director or officer of the Corporation; and

s. 32(b) — Immunity

(b) any other member or former member of the board of directors of the Corporation.

s. 33 — Indemnity

A director or officer or a former director or officer of the Corporation shall be indemnified by the Crown in right of the Province against all costs, charges and expenses incurred by that person in relation to any action, application or other proceeding brought against them in connection with the duties of the person and with respect to all other costs, charges and expenses that the person incurs in connection with those duties, except costs, charges and expenses that are occasioned by that person’s own wilful neglect or wilful default. 2022, c.5, s.1

s. 34 — Administration

The Minister is responsible for the administration of this Act and may designate one or more persons to act on the Minister’s behalf.

s. 35 — Regulations

2022, c.5, s.1

s. 35(1) — Regulations

The Lieutenant-Governor in Council may make regulations

s. 35(1)(a) — Regulations

(a) prescribing cannabis products and derivatives for the purposes of paragraph 8(c);

s. 35(1)(b) — Regulations

(b) prescribing the content of service agreements for the purposes of paragraph 8(d);

s. 35(1)(c) — Regulations

(c) Repealed: 2022, c.5, s.1

s. 35(1)(d) — Regulations

(d) Repealed: 2022, c.5, s.1

s. 35(1)(e) — Regulations

(e) prescribing the time and manner that the profits of the Corporation are to be paid into the Consolidated Fund for the purposes of section 20;

s. 35(1)(f) — Regulations

(f) prescribing amounts to be paid by the Corporation into a fund for the purposes of section 21;

s. 35(1)(g) — Regulations

(g) prescribing terms, conditions, prohibitions, restrictions or requirements for the purposes of paragraph 26(2)(b);

s. 35(1)(h) — Regulations

(h) defining words or expressions used, but not defined, in this Act;

s. 35(1)(i) — Regulations

(i) respecting any other matter that may be necessary for the proper administration of this Act.

s. 35(2) — Regulations

A regulation under subsection (1) may be retroactive to any date, including a date before the commencement of this section.

s. 36 — Dissolution of 698202 NB Inc./698202 N.-B. Inc.
s. 36(1) — Dissolution of 698202 NB Inc./698202 N.-B. Inc.
s. 36(2) — Dissolution of 698202 NB Inc./698202 N.-B. Inc.
s. 36(3) — Dissolution of 698202 NB Inc./698202 N.-B. Inc.
s. 36(4) — Dissolution of 698202 NB Inc./698202 N.-B. Inc.
s. 36(5) — Dissolution of 698202 NB Inc./698202 N.-B. Inc.
s. 36(5)(a) — Dissolution of 698202 NB Inc./698202 N.-B. Inc.
s. 36(5)(b) — Dissolution of 698202 NB Inc./698202 N.-B. Inc.
s. 36(5)(c) — Dissolution of 698202 NB Inc./698202 N.-B. Inc.
s. 36(6) — Dissolution of 698202 NB Inc./698202 N.-B. Inc.
s. 37 — Agreements or arrangements
s. 37(1) — Agreements or arrangements
s. 37(2) — Agreements or arrangements
s. 38 — By-laws revoked
s. 39 — Books, records, documents and files
s. 40 — Transfer and vesting provision
s. 40(1) — Transfer and vesting provision
s. 40(1)(a) — Transfer and vesting provision
s. 40(1)(b) — Transfer and vesting provision
s. 40(2) — Transfer and vesting provision
s. 41 — Legal proceedings
s. 41(1) — Legal proceedings
s. 41(1)(a) — Legal proceedings
s. 41(1)(b) — Legal proceedings
s. 41(1)(c) — Legal proceedings
s. 41(2) — Legal proceedings
s. 42 — Protection from liability
s. 43 — Indemnity
s. 44 — Notice with respect to transmission of personal property to Cannabis Management Corporation
s. 45 — Commencement
s. 45(1) — Commencement
s. 45(2) — Commencement