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ARTICLE · 30 JUNE 2021

Prohibitions On Forced Labour: The New Regulatory Environment

Over the past year, Canada has implemented a significant number of measures to combat forced labour and human rights abuses.

CanadaGovernment, Public Sector

Over the past year, Canada has implemented a significant number of measures to combat forced labour and human rights abuses. Canada has introduced these measures in concert with other international partners such as the UK, US and Australia. Although some new measures are specific to China, others target any country that is alleged to be engaged in slave labour and forced labour. 

Taken together, these measures could have an impact on transactional due diligence, representation and warranty coverage regarding the acquisition of, or partnership with, companies that do significant business in regions alleged to be engaged in forced labour or child labour. This impact can extend to distribution agreements, manufacturing agreements or purchasing agreements.

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