These changes apply to the following licences:
Private corporations that are applying for a Manufacturer and/or Agent licence, licence transfer, or approval of new shareholders will continue to submit Criminal Record Checks and Personal History Summary forms for all shareholders holding 10% or more voting interest.
Manufacturer and Agent licensees will continue to report external and internal transfers of shares (TSE/TSI).
If a licensee holds both a Manufacturer/Agent licence and any other liquor licence type, they must report both external/internal transfers of shares and changes to directors/officers.
Generally, tied house relationships between licensees (specifically liquor primary, food primary, private liquor/wine store, or the business location of a caterer) and manufacturers or agents are prohibited under the Liquor Control and Licensing Act. “Tied house” refers to a relationship between a manufacturer/agent and another licensee, if the relationship puts the licensee in the position of being likely to promote the sale of that manufacturer’s/agent’s liquor products over another manufacturer. A tied house relationship may result in the licensee benefitting more when they sell the liquor of that manufacturer or agent.
Directors and officers of a private corporation are now included when determining if a tied house relationship exists.
To support these changes, applicants and licensees can now report tied house associations through the Permanent Change to a Licensee application in the liquor and cannabis licensing portal.
Under the Liquor Control and Licensing Act the general manager has the authority to determine whether a licensee or applicant is fit and proper (i.e., suitable) to hold a licence. This includes the ability to request documentation from a licensee to assess their legal entity such as their corporate structure.
To support this authority, the branch is introducing a new Legal Entity Review process. This process will be managed through the liquor and cannabis licensing portal allowing:
Once initiated by LCRB staff, a Legal Entity Review request appears in the licensee/applicant's portal dashboard and they receive a letter with instructions on next steps. After the documents are submitted and LCRB staff complete the Legal Entity Review, the licensee/applicant receives an Outcome Letter notifying them if action is necessary to comply with their licence requirements.
These changes improve LCRB's oversight of tied house associations by listing all possible associations between a Manufacturer/Agent and other licensed establishments establishments. In addition, the online applications for tied house reporting and the legal entity review modernize the liquor licensing process and increase operational efficiency.
Learn more about these changes in the:
Bulletins are for general information and may not apply to all situations. Bulletins do not constitute legal advice nor are they a comprehensive statement of the legal obligations that arise under the Liquor Control and Licensing Act, Cannabis Control and Licensing Act, regulations, or any other applicable laws.
When interpreting and applying the information contained in the Bulletins, you are encouraged to seek advice from your professional advisors as appropriate in the circumstances.