Canadian securities regulators outline disclosure expectations and certain risks for issuers with U.S. marijuana-related activities

TORONTO, Oct. 16, 2017 /CNW Telbec/ -The Canadian Securities Administrators (CSA) today published CSA Staff Notice 51-352 Issuers with U.S. Marijuana-Related Activities, which among other things, outlines CSA staff's specific disclosure expectations for issuers that have, or are in the process of developing, marijuana-related activities in the U.S. 

Issuers with marijuana-related activities in the U.S. assume certain risks due to conflicting state and federal laws. While some states have authorized the use and sale of marijuana, it remains illegal under federal law. The federal law relating to marijuana could be enforced at any time, and this would put issuers with U.S. marijuana-related activities at risk of being prosecuted and having their assets seized.

"We expect issuers with marijuana-related activities in the U.S. to address the current legal and regulatory environment in their disclosures, including any risks that result from changes in the approach to enforcement of U.S. federal law," said Louis Morisset, CSA Chair and President and CEO of the Autorité des marchés financiers.

The CSA's disclosure expectations apply to all issuers with U.S. marijuana-related activities, including those with direct and indirect involvement in the cultivation and distribution of marijuana, as well as issuers that provide goods and services to third parties involved in the U.S. marijuana industry. Issuers are expected to provide these disclosures in prospectus filings and other required documents, such as their Annual Information Form and Management's Discussion and Analysis.

CSA Notice 51-352, as well as a media backgrounder, can be found on CSA members' websites.

The CSA, the council of securities regulators of Canada's provinces and territories, coordinates and harmonizes regulation for the Canadian capital markets. 

For more information:
Kristen Rose	Hilary McMeekin
Ontario Securities Commission	Alberta Securities Commission
416-593-2336	403-592-8186
Alison Walker	Sylvain Théberge
British Columbia Securities Commission	Autorité des marchés financiers
604-899-6713	514-940-2176
Jason (Jay) Booth	Andrew Nicholson
Manitoba Securities Commission	Financial and Consumer Services
204-945-1660	Commission, New Brunswick
506-658-3021
David Harrison	Steve Dowling
Nova Scotia Securities Commission	Government of Prince Edward Island,
902-424-8586	Superintendent of Securities
	902-368-6288
Kimberly Ryan	Rhonda Horte
Office of the Superintendent of Securities	Office of the Yukon Superintendent of
Newfoundland and Labrador	Securities
709-729-2602	867-667-5466
Jeff Mason	Tom Hall
Nunavut Securities Office	Office of the Superintendent of Securities
867-975-6591	Northwest Territories
	867-767-9305
Shannon McMillan
Financial and Consumer Affairs
Authority of Saskatchewan
306-798-4160

SOURCE Autorité des marchés financiers

Kristen Rose, Ontario Securities Commission, 416-593-2336; Hilary McMeekin, Alberta Securities Commission, 403-592-8186; Alison Walker, British Columbia Securities Commission, 604-899-6713; Sylvain Théberge, Autorité des marchés financiers, 514-940-2176; Jason (Jay) Booth, Manitoba Securities Commission, 204-945-1660; Andrew Nicholson, Financial and Consumer Services Commission, New Brunswick, 506-658-3021; David Harrison, Nova Scotia Securities Commission 902-424-8586; Steve Dowling, Government of Prince Edward Island, Superintendent of Securities, 902-368-6288; Kimberly Ryan, Office of the Superintendent of Securities, Newfoundland and Labrador, 709-729-2602; Rhonda Horte, Office of the Yukon Superintendent of Securities, 867-667-5466; Jeff Mason, Nunavut Securities Office, 867-975-6591; Tom Hall; Office of the Superintendent of Securities, Northwest Territories, 867-767-9305; Shannon McMillan, Financial and Consumer Affairs, Authority of Saskatchewan, 306-798-4160

Related Links

www.lautorite.qc.ca