An Act to amend the Marine Liability Act and the Federal Courts Act and to make consequential amendments to other Acts

This bill is from the 40th Parliament, 2nd session, which ended in December 2009.

Sponsor

John Baird  Conservative

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill. The Library of Parliament has also written a full legislative summary of the bill.

This enactment amends Parts 3 and 4 of the Marine Liability Act to clarify certain rules of the limitation of liability of owners of ships for maritime claims and liability for the carriage of passengers, in particular the treatment of participants in adventure tourism activities.
It also amends Part 6 of that Act to implement the Protocol of 2003 to the International Convention on the Establishment of an International Fund for Compensation for Oil Pollution Damage, 1992 as well as the International Convention on Civil Liability for Bunker Oil Pollution Damage, 2001. The enactment continues, in Part 7, the Ship-source Oil Pollution Fund and modernizes its governance. With respect to Part 8, it includes general provisions relating to the administration and enforcement of offences under that Act and creates a maritime lien for Canadian ship suppliers against foreign vessels and establishes a general limitation period for proceedings not covered by other limitation periods.
Finally, this enactment amends the Federal Courts Act and makes consequential amendments to other Acts.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from Parliament. You can also read the full text of the bill.

Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other C-7s:

C-7 (2021) An Act to amend the Parliament of Canada Act and to make consequential and related amendments to other Acts
C-7 (2020) Law An Act to amend the Criminal Code (medical assistance in dying)
C-7 (2020) An Act to amend the Criminal Code (medical assistance in dying)
C-7 (2016) Law An Act to amend the Public Service Labour Relations Act, the Public Service Labour Relations and Employment Board Act and other Acts and to provide for certain other measures

Marine Liability ActGovernment Orders

May 13th, 2009 / 4:05 p.m.

Conservative

Gordon O'Connor Conservative Carleton—Mississippi Mills, ON

moved that the bill be read the third time and passed.

Marine Liability ActGovernment Orders

May 13th, 2009 / 4:05 p.m.

Fort McMurray—Athabasca Alberta

Conservative

Brian Jean ConservativeParliamentary Secretary to the Minister of Transport

Mr. Speaker, I am very pleased to begin the third reading debate of Bill C-7, the Marine Liability Act. Let me first begin by saying that this bill has found support among many members of the House and across all party lines. I would like to express my thanks to the critics from all parties in relation to moving this bill forward for the benefit of Canadians.

I was very pleased to see that we were able to work so productively at the transport committee phase and I hope that that spirit of cooperation and collaboration will continue here in the Chamber. I do believe it will. At committee, we heard concerns from the tourism industry and legal experts. In several cases, we moved to address those concerns and strengthen this bill to make it even more effective as a piece of legislation for the benefit of all Canadians.

Indeed, all parties understand that there is a need to move forward on this bill to provide this country with the most comprehensive liability and compensation regime while balancing the concerns of all impacted stakeholders. We heard that this will be of great benefit to the industry and will impact all stakeholders across the country. This bill will significantly modernize the Marine Liability Act and offer greater protection from the risks associated with marine transportation from coast to coast.

For example, this bill will do four major things. First, it will significantly increase compensation for Canadians from damages caused by oil spills, which I am personally very excited about. I know that people across Canada are very interested in hearing more about that. Second, it will guarantee compensation for passengers on Canadian ships through compulsory insurance for shipowners. Third, it will recognize the commercial realities under which the marine adventure tourism sector must operate and make sure that the sector remains viable. We heard this from experts as well as people in the industry themselves. Finally, it will protect the interests of Canadian businesses that supply foreign ships that do not pay their bills through a form of lien, much like a builder's lien or a logger's lien.

Bill C-7 is the result of extensive consultations with stakeholders. I am pleased to inform the House that the Standing Committee on Transport, Infrastructure and Communities also conducted its own thorough examination of the bill. The committee heard strong support from a number of stakeholders and experts in the areas of marine law and maritime transport. It made appropriate changes where indicated in the bill. The witnesses before the committee spoke of the balance that Bill C-7 needs to achieve by protecting the interests of the marine industry and of the Canadian public.

We heard loud and clear from witnesses that it was time for Canada to move forward with this type of legislation and for Canada to join the rest of the world in its move forward as well. As I said, the most exciting part is that this bill addresses the gaps in the liability and compensation regime for oil spills. As Bill C-7 is a priority for this government and would significantly advance maritime law in Canada, we are excited about its passage.

I would again like to thank and acknowledge the hard work of my colleagues on the committee. I hope that through continued collaboration on both sides of the House we will be able to move this bill forward without any further delay. Together, we can take one more step to modernize this important piece of legislation and protect Canadians for years to come.

I would like to thank the members of the committee one final time because it has been a very appropriate bill to push through in such a quick nature. Indeed, with their help, we will move it through the House.

Marine Liability ActGovernment Orders

May 13th, 2009 / 4:10 p.m.

Liberal

Joe Volpe Liberal Eglinton—Lawrence, ON

Mr. Speaker, I am delighted to speak to Bill C-7. Before I begin, I would like to thank the parliamentary secretary because we are in the mode of thanking and because it is the right thing to do, acknowledging the fact that parliamentarians from both sides of the House and indeed from all four parties worked collaboratively on putting forth legislation that is in the public's interest.

The parliamentary secretary wanted to talk about four things and he touched on them very quickly. During the second reading debate, I addressed some issues that I thought needed to be looked at in some detail in order to bring forward legislation that would be commensurate with the betterment of the Canadian citizen's interest with respect to the Marine Liability Act.

Some of those issues were touched in committee. When I say “some of those were touched”, it is because when we bring issues to the committee, the committee brings forward stakeholders and other witnesses, interested parties, individuals and experts in the field in order to illuminate the issue, so that members of Parliament can penetrate on matters in a much more significant way than their own preparation might allow them to do. Putting partisanship aside, that is in fact what happened in this case.

Yes, as the parliamentary secretary said, we did want to bring forward legislation that brought Canada into the same standards of international practice with respect both to marine liabilities, the carriage of goods and services, but primarily goods, and to make penalties for contravention of the act, especially when it related to environmental damage up to a standard that would provide a real penalty.

We did look at these things, and this particular legislation does increase the penalty amount, for example, on commercial or public purpose vessels carrying passengers to a per capita limit of about $350,000 per passenger. We did not find much difficulty in that regard. We were more concerned about a series of other practices that are associated with, and may come as a result of, some of the activities that are conducted on a commercial basis.

To that end, we brought forward to the committee a variety of interested parties, including, for example, the Canadian Shipowners Association and International Ship-Owners Alliance of Canada.

Interestingly, they did not have a great deal to offer with respect to changes on a format that they thought only brought them forward to be competitive. I might say from a very personal point of view, I do not think that the punitive component of insurance and liabilities on the marine side was all that onerous for them, but it seemed to be consistent with the international practices that the rest of their competitors were operating under, and in fact did not diminish the protections that Canada, geographically, and Canadians on an individual human basis would suffer from.

We accepted their positions and it would appear that in many respects this legislation does make it easier for our own producers of services to compete in the international marketplace, but the committee was really looking at the issues of environmental degradation as a result of accidents in Canadian waters.

We noted, of course, that the Exxon Valdez, was probably the most serious of these shipwrecks that created untold damage that will carry on literally for decades, and cost enormous amounts of moneys, billions of dollars, in order to clean up and mitigate.

We did not address that sufficiently in my view. The changes that would have been required in order to get this bill through the House would probably have caused the bill to drag on and be delayed for an excessive period of time.

The committee made a decision that it would accept the limits that are proposed in the bill, such as they were, as sufficient movement forward in order to give all of those ship owners and carriers the opportunity to see that we are certainly much more serious than we were before because we have raised the limits, notwithstanding the fact that some might say that those limits are not enough.

We have delivered the message through this legislation so everyone understands that we want more due diligence. We want protocols put in place. The liabilities are going to be a lot more onerous than they have been in the past. Therefore, they need be able to up their insurance, or establish a care for the environment, a care for our shores, a care for our waters approach to doing business as they carry their products through our waters.

There was a series of amendments that did not come forward, but that reflected the interests that many Canadians from all parts of the country but in particular in our northern waters wanted us to address. They deal with not only the passage of vessels through their waters but the manufacturers of said vessels.

As we know and as we heard earlier on in the debate on environmental issues and protection of the environment, global warming is a fact of life that people are becoming more and more aware is not something that we are going to change overnight.

One of the effects of global warming is that the Northwest Passage, our northern waters, may become much more navigable not in the immediate future but in the future measured by the amount of time it takes to build some of these huge vessels, ocean-going carriers, as well as ice-breakers in order to allow countries like Chile, Russia, even the United States and other countries that see the advantage of going through our northern waters from a transportation point of view, in getting their goods to market.

Whether those markets be in Asia or in Europe, it would appear that our waters may provide all of those shippers with an opportunity to have a huge savings on the transportation cost side.

Some of the members from my own caucus brought forward some views at committee that addressed the issues of our aboriginal population in northern Canada and the protection of the environment in the northern parts of Canada.

Some of those views, while expressed at committee, have not found their way through amendments in this House, so I raise some of them today. I think some of my colleagues from the north, especially my colleague from Yukon, may take the opportunity to enumerate them as he addresses this issue at third reading. I look forward to hearing some of those expressions once again.

In addition to addressing the environmental impacts, which are not solely addressed by the insurance costs and the penalties that are going to be imposed through this legislation, in Canada and around the world, quite frankly, there is the issue of prevention, delivering the message that shippers need to use vessels that are seaworthy, crews that are appropriately prepared, trained and ready to utilize their vessels in a safe and efficient fashion as they go through our waters.

That is the essence of what this legislation aims to do. At least, from members of the Liberal caucus at committee, this is the focus of our issues on this legislation. The legislation, as we dealt with it at committee, did meet those concerns, and as a result we felt a certain level of comfort in supporting it, not just at second reading before it came to committee but at third reading as well, as we now find ourselves.

There is a series of other issues where we had concerns and we moved some amendments in this regard. I want to share them with you, Mr. Speaker, because I know that you are going to be interested in ensuring that members of Parliament do the work they need to do in committee to address the issues that Canadian citizens individually and collectively want to have addressed by their parliamentarians.

While the legislation addresses the issue of liability, insurance claims, appropriate funds at play and legislation to ensure that people abide by the contractual arrangements they have made as they operate in Canadian waters and on Canadian territory, it appeared to us in the Liberal caucus that we needed to reinforce at least two other measures. One of them is associated with non-compliance of contractual obligations and the practices of some of the shippers and the ship owners--sometimes they are not exactly the same individuals--and the liabilities they might or might not accept or forgo as they move in and out of Canadian waters.

When the member for Brampton West speaks to this later on, he will itemize the way the liens were dealt with in this legislation. It was our view that Canadians are put at a commercial disadvantage by the way that liens are treated in this legislation. I leave it for members to follow his discussion when he rises in the House in the not too distant future, probably before the end of today and if not today, then tomorrow. It will be most enlightening.

Let me point to the fact that the Canadian Bar Association, the national maritime law section, and the Canadian Maritime Law Association were impressed by the amendments the member brought forward and ones that he addressed on behalf of our caucus and parliamentarians with respect to the position that Canadian businesses would have relative to businesses originating in other places. Everything is very mobile on vessels on water and in Canadian ports. He focused, as we focused, on protecting Canadian business interests. His definitions and concerns were unfortunately not viewed with the same kind of appreciation by members of the government or the other opposition parties. However, they did accept that it was a view that was legitimate enough to be heard.

Interestingly, the Canadian Bar Association and Canadian Maritime Law Association felt that not only were the points made by my colleague from Brampton West absolutely apropos, and I hope they will accept this little jibe in a friendly fashion rather than in a negative malicious one, but in true lawyerly fashion they felt that it would not matter if they were not accepted because there were remedies in other courts. Canadian citizens are more interested in making sure that the law is much more specific rather than saying, “I can find remedies if I can get a lawyer who may be expert, who can find a judge and who will be prepared in his turn to hold the ship until I get my commercial interests addressed”.

At any rate, Mr. Speaker, those amendments were debated hotly in our committee. I say this because I know that you are interested in knowing that committees do not just receive things and rubber-stamp them, but they actually do their work. Those amendments did not go forward unfortunately, so we found ourselves in a position where we either accepted the bill in its totality and what it was designed to do, i.e., to generate greater protection for the Canadian environment, greater protection for Canadian businesses and greater protection for Canadian citizens, either we were going to hold it up or start to move forward. We adopted an incremental approach, one that says we will bring our concerns forward, as we did in committee and as we will in the course of this debate, and at the same time accept the legislation for what it will be.

The second item that created some concern for us was the issue that I am sure other members will address but that the parliamentary secretary has already alluded to, and that is the issue of adventure tourism.

Representatives from Wilderness Tours as well as from the Tourism Industry Association of Canada talked in terms of the kinds of insurance that are not available to adventure tourism operators. In fact, adventure tourism operators find it impossible in some instances to get the appropriate insurance liabilities in place for them to operate. It is with some regret that I would say we have to accept what this bill is trying to do and what it concludes in doing, and that is, it eliminates their legal responsibility to their customers by essentially saying they no longer have to have insurance as long as they can get an informed consent and a waiver before a potential client engages in the activity.

There are some in this country who think that is okay because a consenting adult engaging in adventure tourism, which by its nature is highly risk-oriented, cannot really hold somebody else responsible if there is an accident or, God forbid, a death. The person's family or close ones would have no recourse to the courts for liabilities if the person had engaged in one of those activities.

Personally, I have a different view, but it is not the view that carried the day in committee. For me, it is an abrogation of a responsibility on the part of government to say that if someone agrees to take all of those risks, the operator will not be held responsible for anything. I realize that is a philosophical position and I am willing to accept that people have a different view, but I do not like it.

Where I think we have some serious challenges is in, at the same time, absolving operators who might operate without the appropriate preparation and training of their staff and without the appropriate publication of the risks associated with something other than adventure tourism, like whitewater rafting, et cetera, for passengers who are viewers or passive passengers in these kinds of activities, without any recourse at all. The operators would be entitled to be held safe harmless from any future litigation provided they give an indication, they publicize an indication or they verbally tell people that people who engage in that activity are taking their body and their life in their own hands and they absolve the operators of all liabilities.

One of the most compelling of the witnesses, a local individual, indicated that over the course of the last 20-some years, his operation had paid, I believe it was, in excess of $1.2 million in premiums to insurance companies and the insurance companies, over that entire period of operation, had paid out a grand total of $70,000 in claims.

There are probably a few reasons for that. One of them is that the individual operates in a safe environment. The other is that there are not that many accidents. A third one is that once there is a signed public waiver, the cost to pursue a legal action in court would grow exponentially, and a lot of people would make the decision not to pursue their claim in court because it would cost more to pursue the claim than what the claim would eventually get them.

These are the kinds of anomalies in the legislation that, as I say, after we debated them, the committee decided that those concerns were not sufficiently grave to accept them as amendments. I am of a different view, but the legislation in its total deserves support. Again, some of these issues will be raised by some of my colleagues and I welcome their observations.

Marine Liability ActGovernment Orders

May 13th, 2009 / 4:30 p.m.

NDP

Jim Maloway NDP Elmwood—Transcona, MB

Mr. Speaker, my question really was for the parliamentary secretary to the minister, but the member for Eglinton--Lawrence is extremely well informed on any topic he speaks to, so he could probably answer my question.

The member probably knows that insurance markets are international and they are also very cyclical. There are times, say over a three to five year cycle, when insurance companies cut premiums in half and expand coverage, and then just as abruptly they turn around and ratchet premiums up four, five or ten times the price and cut back the coverage.

We are taking a real risk when we pass legislation mandating something, expecting that somehow the insurance, while it might be available today, will be available two or three years down the road. What happens if the insurance markets dry up? In other areas, an extra option is given that if an insurance policy cannot be provided to the regulator, a monetary guarantee or some other alternative has to be put up if the insurance is not available.

Would the member like to comment on that? I have a follow-up question for him after that as well.

Marine Liability ActGovernment Orders

May 13th, 2009 / 4:35 p.m.

Liberal

Joe Volpe Liberal Eglinton—Lawrence, ON

Mr. Speaker, as the hon. member has suggested, his question would be best directed to the government that proposed this legislation.

As a member on the committee, I dealt with some of this. I think a member from his own caucus was present when some of these issues were discussed.

I cannot speak to the practices of insurance companies in part because I share his views about their practices and how they set their rates and deal with their own customer base. They really do hold many of their clients in a disadvantaged position. That was raised.

I referred to the adventure tourism business as an example. Those are small and medium size businesses and essentially family operated environments. They have a difficult time getting insurance coverage anyway. This legislation, in my interpretation and I think in the interpretation of others, makes it unnecessary.

When people such as the hon. member suggest that might not be an advantage for the client, he is right. I took pains to give the example in my presentation that was provided to the committee of a business that operated for 20 years, paid in excess of $1 million in premiums, but the customers only accessed $70,000 in payment for liabilities.

On the commercial side, presenters before committee, lawyers and I think insurance people as well, said all of these concerns are addressed by other laws, laws of the sea, liability, maritime, both national and international. It is all a part of doing business and it is all factored in when the shipper or the ship owner puts the vessel in the water or puts products into the vessel. That has already been considered.

This legislation would augment the amount of liability required for those having goods that may, if there is an accident, damage our coastal environment.

Marine Liability ActGovernment Orders

May 13th, 2009 / 4:35 p.m.

NDP

Jim Maloway NDP Elmwood—Transcona, MB

Mr. Speaker, my follow-up question concerning Bill C-7 deals with the whole adventure tourism industry question.

I did sit in for a while at committee when the bill was being considered. It does not seem to me to be overly prudent to exclude the adventure tourism industry on a blanket basis and allow waivers to take the place of financial responsibility. I am really concerned that the public is not going to be protected with this measure.

I recognize that a lot of presentations were made at committee and that people have considered this whole option, but in spite of amendments being suggested that the member would support that would have helped this matter out, the committee decided to proceed with the exemption for the adventure tourism industry.

Is there some way other than making the industry take out insurance policies that the public could be protected? Could there be some sort of guarantee or a fund which the adventure tourism industry association could build up over a few years to pay for liability claims that result from certain accidents in this type of business?

Marine Liability ActGovernment Orders

May 13th, 2009 / 4:35 p.m.

Liberal

Joe Volpe Liberal Eglinton—Lawrence, ON

Mr. Speaker, the member will know that Adventure Tourism is captured by the current legislation and that this legislation essentially took it out of what is called part 4. Therefore, it does not make it necessary for it to have to be captured by legislation in order to be held liable under other parts of the legislation.

I gather, because I cannot speak for them, that other members on the government side and other opposition members were convinced by that particular argument. I shared the member's views and presented amendments that were defeated by the government and the other two opposition parties, including his own. We presented what we needed to do in order to address those concerns without expressing any malice. The other two opposition parties and the government side were more convinced by the argument that said that just because we were taking it out of part 4 did not mean that we could not hold other people liable. I cannot say more than that. They were convinced by that argument and we on the Liberal side were not.

However, the legislation passed through committee because that is the way things happen. We need to vote on some amendments.

I am glad the hon. member still shares the concerns that I expressed in committee and that I put forward in writing through amendments. However, the Adventure Tourism business operators and tourism associations in general, I guess, made a compelling enough argument for the committee to accept the view that it is okay to take Adventure Tourism out of part 4.

Marine Liability ActGovernment Orders

May 13th, 2009 / 4:40 p.m.

The Deputy Speaker Andrew Scheer

It is my duty pursuant to Standing Order 38 to inform the House that the questions to be raised tonight at the time of adjournment are as follows: the hon. member for Moncton—Riverview—Dieppe, Correctional Service Canada; the hon. member for Pickering—Scarborough East, Oil and Gas Industry; the hon. member for Random—Burin—St. George's, Revenue Canada.

Marine Liability ActGovernment Orders

May 13th, 2009 / 4:40 p.m.

Bloc

Mario Laframboise Bloc Argenteuil—Papineau—Mirabel, QC

Mr. Speaker, I am pleased to rise on behalf of the Bloc Québécois to speak to Bill C-7, An Act to amend the Marine Liability Act and the Federal Courts Act and to make consequential amendments to other Acts.

During the few minutes I have to speak, I would like to take the time to go over the entire bill in order to ensure that our viewers have a clear understanding of this bill.

First of all, our party will be supporting this bill.

I would like to read part of the summary, which can be found on the first page of the bill, after the title:

This enactment amends Parts 3 and 4 of the Marine Liability Act to clarify certain rules of the limitation of liability of owners of ships for maritime claims and liability for the carriage of passengers, in particular the treatment of participants in adventure tourism activities.

The articles affected by this bill relate directly to liability and insurance. The bill limits the liability of shipowners in cases of maritime claims. This is a rather complicated text for shipowners. Among other things, it limits them to 2,000 units of account, because before the change, certain excesses in applying the act forced the industry to appeal to the government, asking that the legislation conform to international standards. That is the purpose of this bill.

The same applies to “liability for the carriage of passengers, in particular the treatment of participants in adventure tourism activities”. The act was amended in 2001, and all passenger carriers were required to have insurance. The Marine Liability Act makes shipowners liable and requires them to have insurance.

Shipowners wanted their claims limit to be the same as the international standard, so one sector in particular, the adventure tourism sector, approached the government. The sector has been having major difficulties since the amendments to the Marine Liability Act, which I mentioned earlier, came into force in 2001. Given the requirements for insurance and coverage, the premiums got so high that businesses had to close their doors or operate without insurance, becoming outlaws.

That is pretty hard to understand, unless we realize that adventure tourism operators are often small and medium-sized businesses. I will try to explain because I am not sure that all of the committee members have understood.

In his speech, the minister said that discussion of these amendments began in 2003. A committee considered the matter in 2005. The reason things are not any further ahead in 2009 is that we have had minority governments. It started back in the days of the Liberals, and the government has not had a chance to amend the bill.

The industry was under pressure from insurance companies, and their sky-high insurance rates were adjusted. Earlier, one of our NDP colleagues said that prices fluctuated in the insurance industry. Oddly enough, premiums have gone down this year because this bill is before the House. That is a fact. Faced with the fact that this bill will not apply to adventure tourism, insurance companies have finally talked to each other and decided to stop that kind of exploitation, which is exactly what it was. In terms of accidents, it has been shown that there are far fewer accidents related to adventure tourism than to waterskiing and downhill skiing, for example.

Adventure tourism covers river rafting operations, but some Niagara-based businesses take their clients right up to the falls.

We now have adventure tourism. I am smiling because I am a notary and sometimes we joke with our lawyer colleagues. One of the lawyers was saying that when he goes on an adventure tour, he wants to be safe. He wants to be on a boat that he knows is insured. He said he had gone on a whale-watching expedition. There are some on the St. Lawrence. Adventure tours now use small vessels for whale-watching, the same kind of boat used for river rafting. They can get closer to the whales but the risk is greater. There is a market for such expeditions. Some people like to take greater risks. If the lawyers do not wish to take risks, they can go on the big cruise ships, which carry insurance. Those who want a bit more excitement and adventure will take the smaller boats and try to get closer to the whales. That is the reality.

I was not referring to my colleague from Marc-Aurèle-Fortin because taking risks does not bother him. I have seen his photographs and he is not afraid to get close to the animals. He went on a photo safari and you have to be careful when you get close to the animals.

Adventure tourism is a growing market. We know that Quebec is lucky to have hundreds of thousands of bodies of water, lakes and beautiful rivers. There are many small and medium-sized companies in this sector and the lawyers mentioned that in Quebec many companies do not have insurance. They do not have the money to pay for the insurance. However, there is a market for this type of tourism and this bill addresses the situation. It excludes adventure tourism from this requirement, but not just haphazardly.

We must take the time to read section 37.1 of the act, on page 5 of the bill, which states:

This Part does not apply to an adventure tourism activity that meets the following conditions:

(a) it exposes participants to an aquatic environment;

(b) it normally requires safety equipment and procedures beyond those normally used in the carriage of passengers;

Of course, if the rafts go close to the whales or people go downriver in speed boats, passengers wear rescue belts and get some training before beginning the activity so that they are aware of the danger. People can always decide not to go if they do not want to. The operators have measures in place. The same clause also says that:

(c) participants are exposed to greater risks than passengers are normally exposed to in the carriage of passengers;

Yes, there are whale-watching excursions on bigger vessels on the St. Lawrence. People who do not want to take any risks go on those boats. Those boats have insurance. There is no problem. However, people who do want to take more risks are aware that they have to take more safety precautions. They have to wear their life jackets, which is not the case with cruise ships or day boats. I will read the next part of the clause:

(d) its risks have been presented to the participants and they have accepted in writing to be exposed to them;

All participants have to sign a document saying that they understand the risks and will not hold the operator responsible in case of an accident. The bill continues:

(e) any condition prescribed under paragraph 39(c).

This is about mandatory training, a short preparation course. That is how it works. It is not true that some people will not be covered. There are requirements. I think that people who have signed the document are aware that the activity requires more safety precautions because they are required to wear life jackets at all times. Sometimes things are done differently than on cruise ships or day boats. These people know that they are participating in adventure tourism and that if a serious accident happens, which nobody wants, after they have signed the waiver, they cannot sue the operator.

Of course, I can understand that people who do not take part in such activities will be thinking that they will end up not being covered by insurance if they are on a cruise ship. That is not what it is all about. We are talking about activity that is far closer to the aquatic environment. That is the reality. Think of white water rafting, but also of boats that go close to falls, like the ones at Niagara Falls. People want to see them up close, as close as possible, and things can go wrong.

It is the same thing when a person goes out whale-watching in an inflatable, in order to be able to get as close as possible. There have been reports on this. We have to respect aquatic life, but this is far closer than a person can get with a cruise ship or a day boat in order to observe marine life. We could name other similar activities. Those watching can surely think of a lot of other activities that take place on water.

When we are engaged in this type of activity, adventure tourism, and we have to sign a waiver in case of accident, i.e. something indicating that the operator will not be held responsible, we always have the choice of just not going. We have a choice not to take part in this activity, to say that we are not prepared to take responsibility on ourselves for what might happen. That does not mean we are unfriendly, and the operator will understand that. It is a reality, but we cannot prevent an industry from developing, especially in Quebec with all its waterways. There is such potential, and operators have succeeded in developing a clientele.

I might add that the young generation—which I hope I can still count myself as part of—wants a little more excitement in their lives and their activities. There is a whole generation of skateboarders and wakeboarders, and I know my colleagues have said how dangerous this is. People get hurt all the time doing water skiing and wakeboarding. I have a lakeside property and I know that. These, of course, are private properties and people who engage in these sports are responsible for their activities.

At present, there is real potential for activities that are much more participatory than passive, in other words, involving sitting and watching. Some people prefer to get more involved. We must recognize that. When legislation forces businesses to insure themselves, it is like winning the lottery. Insurance companies tell themselves that the legislation will force people to pay, either to their company or to another. They are charged so much that they cannot even operate, grow or even make a profit.

Of course, this bill addresses more than just that. I will continue reading from the summary, which can be found before the first page, and I quote:

It also amends Part 6 of that Act to implement the Protocol of 2003 to the International Convention on the Establishment of an International Fund for Compensation for Oil Pollution Damage, 1992 as well as the International Convention on Civil Liability for Bunker Oil Pollution Damage, 2001. The enactment continues, in Part 7, the Ship-source Oil Pollution Fund and modernizes its governance.

I am sure we all remember the Exxon Valdez disaster off the coast of Alaska, which of course had certain repercussions for Canada. In order to avoid another situation like that, it is important that the oil pollution fund, created in Canada, is well funded, that enough money is collected, that the fund is properly governed and of course, that it is modernized to conform to international standards under the 2003 international protocol. This will allow us to renew it.

As I said, studies were conducted in 2005 and the industry had no criticisms in this file. Both the legal community and the industry agree. This file suffered too many delays to be passed quickly. Both the Liberals and the Conservatives have been dragging their feet on this. They could have passed it quickly, but no, they delayed until 2009.

We have to modernize this fund, because we never know what sort of accident could happen. No one wants oil pollution. The Conservative government is looking at developing the Arctic. There is ice and there is the Northwest Passage. A lot is happening in this regard. But there could also be oil and fuel spills and shipwrecks.

We are taking more and more risks, and that always surprises me. There should be ice in the Northwest Passage. If people were really thinking about their children and grandchildren, the rest of Canada would have done as Quebec has done for a long time: it would have tried to reduce its greenhouse gas emissions and complied with the Kyoto protocol. Then we might not be talking today about developing the passage through the Arctic for marine traffic. We would be talking about a good sheet of ice, a good ice floe. That would be good for us, for our children, for our grandchildren and for future generations. That is not what the Liberals started. They started making the ice melt in the north. The Conservatives have picked up where the Liberals left off, and they think that everything is great. That is a fact.

This is what happens when we do not take action to reduce greenhouse gases and we always say that it is not our fault and that things are worse elsewhere. We blithely talk about running ships through ice floes. And we create funds because there could be oil spills. The government is not developing the north and the Arctic for the sake of the people there, despite what it would have us believe. In fact, it is because of the undersea oil there. That is the real reason. There is a reason why the Russians are trying to take some of our land. While this is going on, we have to stand up.

As I said, if Canada had fought to reduce greenhouse gases, there would be nothing but ice in the Arctic and we would not be discussing this today. One day, people who are fed up will pass judgment on the Conservatives and the Liberals. Their children and grandchildren will tell them that when they were in the House of Commons, they did everything they could to despoil the planet.

Fortunately, the Bloc Québécois is Quebec's conscience in this House, At least, the written record will prove that we warned them. That, too, is a fact.

And now for the last part of the bill. Part 8 includes:

—general provisions relating to the administration and enforcement of offences under that Act and creates a maritime lien for Canadian ship suppliers against foreign vessels and establishes a general limitation period for proceedings not covered by other limitation periods.

This has given rise, once again, to debate between the legal community and the industry on the maritime lien, although not necessarily on the need for one, but on its implementation and the text that was tabled. The request was made by our Quebec and Canadian suppliers.

The United States has a lien. Some Canadian vessels must be repaired or may wish to obtain or purchase services or goods from American suppliers. If they do not pay, a lien is created and the ship can be seized. That is not the case in Canada. It does not apply to American vessels that arrive here. If our suppliers were not paid, there would be no way of asserting our rights or creating a lien on the ship. Canadian shipowners told us that we needed this legislation to be fair but that our Canadian vessels should not be covered by this legislation. We are asking for reciprocity with the United States. Having said that, we did not reach an agreement.

I will read the applicable clause of the bill because it is not that long. This is what clause 139 says about a maritime lien:

139. (1) In this section, “foreign vessel” has the same meaning as in section 2 of the Canada Shipping Act, 2001.

(2) A person, carrying on business in Canada, has a maritime lien against a foreign vessel for claims that arise

(a) in respect of goods, materials or services wherever supplied to the foreign vessel for its operation or maintenance, including, without restricting the generality of the foregoing, stevedoring and lighterage; or

(b) out of a contract relating to the repair or equipping of the foreign vessel.

My colleague for Manicouagan is quite aware of this because he spends his time in such ports as the ones in Sept-Îles or Baie-Comeau. Thus—

Marine Liability ActGovernment Orders

May 13th, 2009 / 5 p.m.

The Acting Speaker Denise Savoie

Moving on to questions and comments.

The hon. member for Eglinton—Lawrence.

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May 13th, 2009 / 5 p.m.

Liberal

Joe Volpe Liberal Eglinton—Lawrence, ON

Madam Speaker, I congratulate my colleague on his speech on this bill. He never ceases to amaze me with his eloquence and his ability to see something pleasant in serious topics. I really like to work with him in committee.

Today he has baptized the Bloc Québécois, if I may use a religious term in a secular context, as the “conscience”, not only of Quebec, but of Canadian law. Does he feel that the activity of his party with respect to this law presented to us by the present government is sufficient, given the current challenges and conditions, not the climatic conditions but the legal ones, that is the penalties and accountability for international businesses in Canadian waters and in the Canadian waters of the largest province, Quebec? Does he feel that this role of conscience he attributes to his party is sufficient to balance out the inactivity, or unproductive activity, of the present government?

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May 13th, 2009 / 5 p.m.

Bloc

Mario Laframboise Bloc Argenteuil—Papineau—Mirabel, QC

Madam Speaker, I thank my colleague for Eglinton—Lawrence for his kind words about me. If he lived in my riding, perhaps he would vote for me. That would be interesting.

The bill as introduced is an adjustment to international laws. I could, of course, disagree with the fact that we are discussing this entire matter of a fund in the event of oil spills. I gave the Arctic as an example because it is distressing to think of there being no more ice and ships being able to travel wherever they wish. Nevertheless, as a country we will have to adjust. Taking Quebec as an example, if we were a country, we would have to adapt such a law to international laws.

Where I disagree with my colleague's opinion is in discussing adventure tourism, as he knows. I say we are the conscience of Quebec in this House because adventure tourism is very much a reality in Quebec. There is some in other provinces, but because of the St. Lawrence River and our hundreds of thousands of lakes and waterways, Quebec has a great many small and medium businesses involved in adventure tourism. For us it is important to see that industry covered by this bill and everything placed in its proper perspective.

The way that adventure tourism has been excluded, by the obligation to sign a waiver if one wants to participate in it, is a good way of maintaining that industry and not killing it off with unaffordably high insurance premiums.

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May 13th, 2009 / 5:05 p.m.

Liberal

Joe Volpe Liberal Eglinton—Lawrence, ON

Madam Speaker, once again, my comment is for my colleague from Argenteuil—Papineau—Mirabel. He asked whether I would vote for him if I lived in his riding. I hope that he would vote for me in Eglinton—Lawrence. Today, however, we are talking about conscience. We have here in the House our colleague from Don Valley West, who is an expert on issues related to conscience. He is a clergyman.

I would like to know if my colleague from Argenteuil—Papineau—Mirabel talked to the member for Don Valley West before standing up to say that his party serves as the House's conscience?

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May 13th, 2009 / 5:05 p.m.

Bloc

Mario Laframboise Bloc Argenteuil—Papineau—Mirabel, QC

Madam Speaker, I do not know which religion my Liberal colleague subscribes to. However, I can comment on the Liberal Party's demands and the amendments it proposed, particularly with respect to maritime liens.

I know that his colleagues worked hard to present amendments that are in line with the Canadian Bar Association's position. However, the Bar and his colleague are trying to tell us that the shipowner should be prudent. There should be a contract with the owner when the service is provided or when a subcontractor works on a boat so that the lien can come into effect.

I have a very hard time accepting that, because owners can be in any country around the world. When we asked departmental officials about this, they said that they were aware of the Canadian Bar Association's position and that of other lawyers who specialize in maritime law. They said that this was the best solution because it was easier for suppliers. The purpose of the legislation is not to protect shipowners, but to protect suppliers who end up not getting paid by owners.

I know that they worked hard. I know that this is a legal issue, but the departmental officials who analyzed the legal situation had a very strong position, and I would say that they did a better job of convincing me than my Liberal colleague did. Who knows—maybe that will change down the road.

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May 13th, 2009 / 5:10 p.m.

NDP

Dennis Bevington NDP Western Arctic, NT

Madam Speaker, I thank all those who applauded me from across the House. That is very nice. It really speaks to the goodwill that came out of the transport committee in bringing forward the third reading of this bill to amend the Marine Liability Act.

I may not have served as much time as many of my august compatriots on the transport committee but in the time I have been here I did feel that this bill was a good example of parliamentarians working carefully on a bill that had very little partisan aspects to it and very little ideology. It is a pretty straightforward bill that would put into place certain international conventions and then ratify them. These conventions have been around for a very long time in which Canadian law has picked up, in one way or the other, over that time and there are provisions within those conventions.

The bulk of the bill's importance was within the conventions but that did not necessarily translate into the time the committee spent on those particular aspects of it. More of the committee's time was spent on the Adventure Tourism aspect of it and the opportunities for establishing liens against foreign vessels in Canadian waters.

The committee's work should be applauded by all members of the House because it does represent good work together. However, it is not like this committee does this all the time. We have differences. Quite clearly, the debate that took place over Bill C-9, the amendments to the Transportation of Dangerous Goods Act, showed that when the issues are controversial and they speak to differences in ideological direction on the committee there will be a healthy debate and a strong presence by all parties.

The functioning of the committee is good but this is a committee that is also in charge of infrastructure. What I have seen here on the committee is a failure to deal with infrastructure issues. We saw that quite clearly with a vote at the last committee meeting on a motion brought forward by a Liberal member to examine right away the aspects of the infrastructure stimulus moneys that had been put forward in the budget. The motion was defeated because there was a reluctance on the part of two of the parties to deal with a very important part of parliamentary business, for which this committee is responsible. The committee has a responsibility to Canadians to ensure that the work that is going on under the infrastructure stimulus program is well understood and well expressed in the committee.

I find that these types of issues sometime need to come back to Parliament as well. We need to have exposure of what we are doing on the committee in order for the committee to work properly and for individual members on the committee representing their parties to understand that there is are reactions to the positions they take.

I was quite willing to accept that with Bill C-9. I had to come and stand up again in Parliament to debate amendments to try to bring sense to the bill as I saw it. I exposed the workings of the bill because I considered it inappropriate but I suffered the consequences in the vote and did not get what I wanted. Nonetheless, the House understood what was going on in the committee and it understood what was happening with the bill, which is a better situation for everyone. Infrastructure is important and I hope the committee will come around, as it has come around with Bill C-7, to work on the issues that are important and in front of the committee.

I mentioned earlier that two aspects of the bill were under some degree of scrutiny and that they were clearly understood by the committee as to their impact on citizens in Canada. The impact of ratifying conventions when enormous sums of money may or may not be utilized for the purposes of cleaning up oil spills or other types of pollution that occur in waterways was probably not that well understood by the committee and we simply accepted the good advice that came from a variety of witnesses and experts in international law who gave us the assurance that these larger issues matched up to what was good for Canada.

There is background to this. In May 2005, Transport Canada put forward a marine law reform discussion paper in which many of the points in the bill were brought out so that the legal communities had many years to take a look at it and understand what was happening with the larger conventions.

When it comes to the smaller issues, such as Adventure Tourism, there were many more grounds for improvement in the bill and the government, in bringing forward a number of amendments, admitted that, which was a good step forward. We have come to a better understanding of how Adventure Tourism waivers will work in the system and how this bill would enhance the ability of the industry, which is not a huge industry and a very seasonal industry.

I understand the Adventure Tourism industry because in my hometown of Fort Smith, Northwest Territories, we have probably one of the largest whitewater rivers in Canada with class six rapids. For many years we had Adventure Tourism with rubber rafts on that river but the nature of the risk involved with these rubber rafts, bringing people in and putting them on the river, made the business of Adventure Tourism very difficult and expensive to operate.

Adventure Tourism is not a gold mine of opportunity and the cost of insurance is a drag on the system. The opportunity to use waivers to allow people to engage in Adventure Tourism is with the understanding that they take on the risk themselves for the activity that they are involved in as long as the operator provides a certain measure of safe conditions, equipment, professional conduct and trained guides. When those are in place, the waivers are acceptable and there is a prior understanding by the people involved in the Adventure Tourism that the waivers are something they can either accept or not participate in the activity. They have that knowledge prior to showing up at the river's edge with their families for the Adventure Tourism opportunity.

All of those things were discussed. We went through them in detail in committee and heard from many witnesses and I think we came to a satisfactory solution on Adventure Tourism. However, this would be the third attempt by Parliament to come to grips with it. There was a law in place prior to 2000, then another law was put in place in 2000 and now we have another law in 2009. This subject is not perfect and will not likely to be perfect but it is the third iteration of the understanding of the nature of the liability that Adventure Tourism operators take on.

This subject is not perfect, and not likely to be perfect, but this is the third iteration of the understanding of the nature of the liability that adventure tourism operators take on. We worked on it and I think in all conscience all parties tried to come to a good understanding on this issue.

Then we took on another issue that was controversial, and a number lawyers were present to debate this with us. This issue was the nature of maritime liens and whether maritime liens, as outlined in the bill, would be effective to ensure Canadian suppliers would get their money out of foreign boats before they escaped to the high seas.

There was considerable debate on this. There was a sense that if we gave it to the lawyers, it might not be good enough because lawyers might not be available, their fees might be too high, the timing might not work right and the foreign vessel would escape Canadian waters and the Canadian supplier would be out the dollars for whatever type of provision had been given to the boat. There were differences of opinion on it, but they were differences of opinion that were primarily technical. They were not going to stop a ship supplier from putting a lien against a boat. They might make it a little more difficult, they might make it expensive, but it was there for the ship supplier to do it.

This was the compromise we finally achieved in putting the bill forward to Parliament. My Liberal colleagues made valiant presentations about the nature of the lien and the nature of work of lawyers, and I thank them for that. The Liberal Party is well supported by lawyers. They like those intricate details of how these things work. I appreciate the work they did. I think we have came to a solution on that one.

The bill is now before us. The good work of the transport committee in agreeing to put the bill forward, with the unanimous support for it at the end, suggests it should pass through Parliament just like a foreign vessel slipping out of Canadian waters without paying its bill.

We are not at the end of debate at the transport committee. We saw this in the previous Parliament when the safety management system in the bill to amend the Aeronautics Act was fought tooth and nail by my party, and to good success. We kept it from coming back and being foisted upon the Canadian public in a fashion that it could have been without the hard work of the New Democratic Party. We stood day after day and debated the issue to ensure it did not go forward.

That kind of work will continue in the transport committee when the occasion requires it. At this point in time, though, we can be congratulatory and we can be happy about the work we have done. Parliament now has the opportunity to move forward in a consensual fashion with the Marine Liability Act.