Government of Canada Proposes a Canadian Securities Regulator

On May 26, 2010, the Government of Canada released its long anticipated proposal for a Canadian Securities Act. The proposed Act draws on concepts currently found in provincial securities legislation, while at the same time introducing a framework designed to create a national regulator that would have the flexibility to respond to new developments. It also introduces provisions designed to respond to recent market challenges and to enhance the enforcement powers available to the regulator. But before the Government of Canada adopts the Act and before the principles in that Act can be fleshed out through regulations that the Canadian Securities Regulatory Authority (CSRA) would develop, the Supreme Court of Canada (SCC) must first reply to a critical question that the Government of Canada has referred to that Court: whether the proposed Act is "within the legislative authority of the Parliament of Canada?" The Courts of Appeal in Quebec and Alberta are scheduled to