New Advisory Council to Modernize Ontario's Business Laws
Ontario Reviewing Legislation to Create a More Prosperous Business Climate
Ontario is creating a new advisory council that will make recommendations to reform business laws, in order to ensure they are responsive to changing business priorities and supportive of a prosperous economy.
The council is being created following recommendations made to the province by the Business Law Agenda Stakeholder Panel, a group comprised of experts in corporate and commercial law which submitted a report to government in June 2015. The report called for a continuous review and modernization of Ontario's corporate and commercial laws, a task which the new advisory council will now take on.
Ontario is also making changes to the Business Corporations Act, Business Names Act and Personal Property Security Act by the end of this year. These changes will:
- Make it easier for companies to do business in Ontario (e.g., a corporation may make changes to a signed contract before it is adopted).
- Simplify processes (e.g., allow one signature rather than two when approving financial statements).
- Provide clarity in business transactions (e.g., ensure only independent auditors can conduct business audits).
Modernizing laws is part of the government's plan to build Ontario up. The plan includes investing in people's talents and skills, making the largest investment in public infrastructure in Ontario's history, creating a dynamic, innovative environment where business thrives and building a secure retirement savings plan.
- The new advisory council will be comprised of up to 12 members, including a chair and a vice-chair appointed for a maximum term of three years.
- The Business Law Agenda Stakeholder Panel, comprised of experts in corporate and commercial law, provided advice to reform 19 of the province’s business laws. It issued a consensus report in June 2015.
- Amendments to the Business Corporations Act, Business Names Act and Personal Property Security Act will reduce complexity and business costs.
“Modern business laws will help ensure Ontario continues to thrive. Our government is working hard to create an environment where businesses can prosper while still ensuring that Ontario consumers are protected. The advisory council will review Ontario’s business laws and help solidify our province as a place where businesses want to come, set up shop and stay long-term.”
“We would like to thank members of the Business Law Agenda Stakeholder Panel for the knowledge and expertise they brought to this process, and for their efforts to help establish the continuous review of the province’s corporate and commercial laws. Their recommendation to create this important advisory council will help modernize business laws in Ontario.”