Branching Out: Consultation On Proposed Binding Authority Framework For Ombudservice

Earlier this summer, the Canadian Securities Administrators (CSA) released a consultation, CSA Notice and Request for Comment 25-314 – Proposed Approach to Oversight and Refinements to the Proposed Binding Authority Framework for an Identified Ombudservice, on a proposed framework for an independent dispute resolution service, expected to be the Ombudsman for Banking Services and Investments (OBSI). The consultation includes a proposed oversight model.

The framework would include a two-stage process for resolving a complaint. The first stage would involve the investigation (using an inquisitorial approach) and a recommendation made by OBSI. The recommendation would become binding after being accepted by the complainant and the firm, or at the end of the acceptance period if the firm did not object to it and the complainant accepted or did not reject the recommendation. The second stage would be a review and decision conducted by OBSI under certain circumstances. If