Evidence of meeting #70 for Agriculture and Agri-Food in the 44th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was amendment.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Samir Chhabra  Director General, Marketplace Framework Policy Branch, Department of Industry

5:10 p.m.

Liberal

The Chair Liberal Kody Blois

I call the meeting to order.

Welcome to meeting number 70 of the Standing Committee on Agriculture and Agri-Food.

Thank you for your patience, colleagues, during the few minutes that we had some technical difficulties. Thank you to our team for getting us up and online.

We had more substitutions earlier on, but our regular members have come back.

I will welcome Ms. Khalid, who is here for Mr. Turnbull.

Welcome back to the committee. It's always great to have you.

Colleagues, pursuant to the order of reference of Wednesday, May 17, 2023, the committee is meeting to proceed with the clause-by-clause consideration of Bill C-280, an act to amend the Bankruptcy and Insolvency Act and the Companies' Creditors Arrangement Act (deemed trust – perishable fruits and vegetables).

To help us with the clause-by-clause study of Bill C-280, I would like to welcome our witnesses.

From the Department of Agriculture and Agri-Food we have Mr. Tom Rosser.

Welcome back. You're no stranger, of course.

From the Department of Industry, we have Samir Chhabra, director general, marketplace framework policy branch; and Paul Morrison, special adviser, corporate, insolvency and competition directorate.

Thank you, gentlemen, for joining us here in the room.

I'd like to provide the members of the committee with some instructions and a few comments on how the committee will proceed with the clause-by-clause.

As the name indicates, this is an examination of all the clauses in the order in which they appear in the bill, except for the short title, which will be considered at the end. I will call each clause successively, and each clause is subject to debate and a vote.

If there are amendments to the clause in question, I will recognize the member proposing it, who may explain it. The amendment will then be open for debate. When no further members wish to intervene, the amendment will be voted on. Amendments will be considered in the order in which they appear in the bill and in the package each member received from the clerk. Members should note that new amendments must be submitted in writing to the clerk of the committee.

The chair will go slowly to allow all members to follow the proceedings properly—slowly but efficiently.

Amendments have been given an alphanumeric number at the top right corner to indicate which party submitted them. There is no need for a seconder to move an amendment. Once moved, you will need unanimous consent to withdraw it.

During debate on an amendment, members are permitted to move subamendments. These subamendments must be submitted in writing. They do not require the approval of the mover of the amendment. Only one subamendment may be considered at a time, and that subamendment cannot be amended. When a subamendment is moved to an amendment, it is voted on first. Then another subamendment may be moved or the main amendment may be considered and voted on.

A lot of you have been around Parliament for a while and know the procedure. I'm sorry if that was repetitive; it's just for the benefit of the group.

Once every clause has been voted on, the committee will consider and vote on the short title, the title and the bill itself. If amendments are adopted, an order to reprint the bill may be required so that the House has a proper copy for use at report stage. Finally, the committee will have to order the chair to report the bill to the House. That report will contain only the text of any adopted amendments as well as an indication of any deleted clauses.

There you go. It's a lot of procedure, folks.

Pursuant to Standing Order 75(1), consideration of clause 1, the short title, is postponed.

(On clause 2)

On clause 2, as I understand it—I have my agenda here; I think it's been shared—we have G-1, which is the first amendment to be called.

I'll look to you, Mr. Drouin, if you'd like to explain G-1 to us.

5:10 p.m.

Liberal

Francis Drouin Liberal Glengarry—Prescott—Russell, ON

Mr. Chair, to save the committee some time, I will not be moving any amendments unless it has to do with coming into force.

5:10 p.m.

Liberal

The Chair Liberal Kody Blois

We'll go to Bloc-1, please.

Monsieur Perron.

5:10 p.m.

Bloc

Yves Perron Bloc Berthier—Maskinongé, QC

To save the committee time, Mr. Chair, we won't be proposing any amendments. Thank you.

5:10 p.m.

Liberal

The Chair Liberal Kody Blois

Then I guess the question is simply, shall clause 2 carry?

(Clause 2 agreed to)

(On clause 3)

Mr. Drouin, I believe, unless I'm wrong, that you said you're not going to be moving G-3 then.

Okay.

On Bloc-2, Monsieur Perron.

5:15 p.m.

Bloc

Yves Perron Bloc Berthier—Maskinongé, QC

Same as I said before.

5:15 p.m.

Liberal

The Chair Liberal Kody Blois

To ensure that we're all on board, Mr. Drouin, you're not moving G-4. Correct? Okay.

(Clause 3 agreed to)

We now have new clause 4.

Again, Mr. Drouin, just to be absolutely sure, you are not moving G-5.

I'm just getting some advice here from my legislative clerks. G-5 might be the “coming into force” one.

Mr. Drouin, you had mentioned that you might want to speak to the “coming into force” one. I believe that is new clause 4.

We're at G-5. I'll let you speak to it.

5:15 p.m.

Liberal

Francis Drouin Liberal Glengarry—Prescott—Russell, ON

Yes, I'd like to.

First, I can read it for those who don't have it in front of them. It's clause 4, on page 4, after line 25, on the coming into force 12 months after royal assent:

This Act comes into force on the day that, in the 12th month after the month in which it receives royal assent, has the same calendar number as the day on which it receives royal assent or, if that 12th month has no day with that number, the last day of that 12th month.

Obviously, when there's new legislation coming into force, departments and stakeholders need time, but I would defer, probably, to the witnesses, just to ask them if they want to comment on the coming into force. Sometimes it's six months and sometimes it comes into force on the day of royal assent.

I would ask the witnesses to comment on why this might be important.

5:15 p.m.

Samir Chhabra Director General, Marketplace Framework Policy Branch, Department of Industry

Thank you, Mr. Chair. I'm happy to speak to this issue.

I think that generally when making adjustments to marketplace frameworks, including bankruptcy and insolvency, it's wise to give time to all participants in the marketplace to make adjustments.

In this perspective, it would give participants in the fresh produce market time to adjust to the new deemed trust provisions and provide time for regulations that prescribe the forms to be developed and put in place.

5:15 p.m.

Liberal

The Chair Liberal Kody Blois

Go ahead, Mr. Barlow.

5:15 p.m.

Conservative

John Barlow Conservative Foothills, AB

Thanks, Mr. Chair.

I appreciate the comments from our witnesses, and certainly from Mr. Drouin, but we have been working on this for many years. I think our stakeholders know that it's coming. There will be months of work that will need to be done on the regulations before royal assent comes.

I would not support the 12-month coming into force. I would not support the amendment.

5:15 p.m.

Liberal

The Chair Liberal Kody Blois

Is there any further discussion?

I do have Ms. Khalid, who just stepped out. I told her to go on the basis that I thought we were going to be in smooth sailing.

I don't want to disrupt the committee, but I think that procedurally it would be fair to let her return. Other people might have things to say.

Go ahead, Mr. Louis.

5:15 p.m.

Liberal

Tim Louis Liberal Kitchener—Conestoga, ON

I just want to ask if there is a standard. Would six months be standard and 12 long? Also, they have royal assent as long as....

Maybe I can ask the witnesses through you, Chair, if there is a standard time.

5:15 p.m.

Director General, Marketplace Framework Policy Branch, Department of Industry

Samir Chhabra

Thank you for the question, Mr. Chair.

There's no kind of standard approach in bankruptcy and insolvency policy or legislation. It is generally case-by-case, so the committee does have the opportunity to think about what might be most appropriate in this circumstance.

I'll just reiterate that it is about providing some marketplace certainty, to give both creditors and fresh produce marketplace participants time to adjust and, as well, to give government the time to put in place the regulations and prescribe the manner and form in which these will take place.

5:15 p.m.

Liberal

The Chair Liberal Kody Blois

Is there any further discussion?

Monsieur Perron and Mr. MacGregor, are you guys ready?

Look, I don't want to be unfair to Ms. Khalid. We'll give it a moment or two.

Okay. Let's go to a vote.

(Amendment negatived: nays 6; yeas 5 [See Minutes of Proceedings])

Amendment G-5 does not carry.

Mr. MacGregor.

5:20 p.m.

NDP

Alistair MacGregor NDP Cowichan—Malahat—Langford, BC

Do we now have to vote on the clause itself? That was a vote on the amendment, right?

5:20 p.m.

Liberal

The Chair Liberal Kody Blois

It was a new clause.

5:20 p.m.

NDP

Alistair MacGregor NDP Cowichan—Malahat—Langford, BC

That was an amendment. Do we now vote on the clause as unamended?

5:20 p.m.

Liberal

The Chair Liberal Kody Blois

Do you mean on clause 4?

5:20 p.m.

NDP

Alistair MacGregor NDP Cowichan—Malahat—Langford, BC

That is my question.

5:20 p.m.

Liberal

The Chair Liberal Kody Blois

My folks are telling me that it's not necessary.

Thank you. We'll continue.

Shall the short title carry?

5:20 p.m.

Some hon. members

Agreed.

5:20 p.m.

Liberal

The Chair Liberal Kody Blois

Shall the title carry?

5:20 p.m.

Some hon. members

Agreed.

5:20 p.m.

Liberal

The Chair Liberal Kody Blois

Shall the bill carry?