Update On Canadian Securities Registration Reform

The Ontario Budget Measures Act, 2009 includes some significant amendments to the Securities Act (Ontario). Among the changes are amendments to provide the flexibility required for Ontario to adopt the harmonized national registration regime contemplated by proposed National Instrument 31-103, Registration Requirements. The Canadian securities administrators have published a staff notice advising that they expect to publish the final version of NI 31-103 in July 2009 and that it will come into force, with applicable transition periods, at the end of September 2009, subject to receipt of all necessary government approvals.

Changes in Registration Requirements

• Dealers. As expected, the obligation to register as a dealer will be changed to a "business trigger." Dealer firms and representatives of a dealer will only be required to register if they engage in or hold themselves out as engaging in the business of trading in securities as principal or agent. Dealer