O. Reg. 352/07: MANUFACTURERS' LICENCES

 

ontario regulation 352/07

made under the

Liquor licence Act

Made: June 13, 2007
Filed: July 13, 2007
Published on e-Laws: July 16, 2007
Printed in The Ontario Gazette: July 28, 2007

Amending Reg. 720 of R.R.O. 1990

(Manufacturers’ Licences)

1. Section 7 of Regulation 720 of the Revised Regulations of Ontario, 1990 is revoked and the following substituted:

7. A manufacturer who is required under the Act to maintain books and records shall keep them in Ontario for a period of at least six years and shall notify the Registrar of Alcohol and Gaming where they are kept for purposes of inspection under the Act. 

2. Subsection 11 (2) of the Regulation is revoked. 

3. The Regulation is amended by adding the following section:

Transfer of Licence

13. (1) The following are prescribed changes for the purposes of section 16 of the Act:

1. An individual becomes or ceases to be an officer or director of a licence holder that is a corporation or a corporation that effectively controls the business.

2. A person becomes or ceases to be a partner of a licence holder that is a partnership. 

3. A person or partnership acquires a beneficial interest in the business of the licence holder, including holding or controlling shares of a licence holder that is a corporation or in a corporation that effectively controls the business.

4. A person or partnership other than the licence holder becomes entitled to any of the profits from the sale of liquor or liable for any obligations incurred from the sale of liquor at the premises to which the licence applies. 

(2) For the purposes of paragraph 3 of subsection (1), if a person or partnership acquires shares in a licence holder that is a corporation or in a corporation that effectively controls the business of the licence holder, an acquisition that results in the person or partnership holding or controlling 10 per cent or more of the outstanding shares, or of a class of shares, of the corporation is a prescribed change.

(3) Despite subsection (1), the following prescribed changes shall be considered rollovers by the Registrar of Alcohol and Gaming for the purposes of transferring a licence if the principal individuals involved in the business of the licence holder remain the same after the change occurs:

1. A licence holder that is a sole proprietorship becomes a corporation.

2. A licence holder that is a partnership becomes a sole proprietorship or a corporation.

3. A licence holder that is a corporation becomes a sole proprietorship or a partnership. 

(4) Despite paragraph 1 of subsection (1), if an individual ceases to be an officer or director of a licence holder that is a corporation, the corporation may manufacture liquor for sale to the Liquor Control Board of Ontario without transferring its licence, if the corporation gives the Registrar of Alcohol and Gaming notice of the change within 30 days after it occurs.

(5) Despite paragraph 2 of subsection (1), if a partner ceases to be a partner in a partnership that is a licence holder, the partnership may manufacture liquor for sale to the Liquor Control Board of Ontario without transferring its licence, if the partnership gives the Registrar of Alcohol and Gaming notice of the change within 30 days after it occurs.   

4. This Regulation comes into force on the day it is filed.