Note: The following is a letter provided by the Recreation Vehicle Dealers Association (RVDA) of Canada, offering insight from Transport Canada into the impact of the Canada Post Strike on compliance notices.
Transport Canada is aware of the ongoing strike by the Canadian Union of Postal Workers, which may impact the delivery of notices of defect and/or notices of noncompliance to vehicle owners.
Historically, companies have employed Canada Post to deliver these notices and, in some isolated cases, couriers where expedited delivery was required. Under paragraphs 10(1)(b) and 10.1(1)(b) of the Motor Vehicle Safety Act (MVSA), companies who become aware of a defect that affects or is likely to affect the safety of any person, or a noncompliance with the regulations, are required to give a notice of defect or noncompliance to all current owners of affected vehicles or equipment and to other prescribed persons (e.g., dealers).
The MVSA and attendant regulations stipulate that owners and prescribed persons are to be notified in writing as soon as feasible, but not later than 60 days after the day the notice is given to the Minister. A strike may affect Canada Post’s ability to deliver notices to owners. Given the requirements of the MVSA and attendant regulations, any delay in delivery of notices beyond the prescribed timeframe would result in the company being in noncompliance with the MVSA.
For greater clarity, a postal strike would not absolve a company of its obligations under the MVSA to notify owners and other prescribed persons. In 2019, the regulations were amended to allow notices of defect or noncompliance to be provided electronically.
Therefore, if a company has the email addresses of its vehicle owners or can use direct to-vehicle or infotainment system notifications, those methods of communication are acceptable. Alternatively, companies may consider using courier services to ensure timely delivery of notices and compliance with the MVSA.
Penalties for Noncompliance
Noncompliance with PFAS reporting requirements can result in substantial penalties of up to $500,000 for first offenses, and up to $1,000,000 for subsequent violations. Directors and officers of a company may also be personally liable if they were aware of the reporting obligation but failed to ensure compliance.
Impact on the RV Industry
For the RV industry, these regulations pose new challenges in terms of supply chain transparency and compliance.
RV manufacturers, importers (into Canada) and suppliers must assess whether their products contain PFAS, whether they are the importer or foreign supplier, and ensure proper reporting for any items imported or used in the Canadian market.
Failure to comply may result in fines, disruption of supply chains and potential legal liabilities. Additionally, RV components such as textiles, carpets and upholstery may be subject to these regulations if PFAS are present, further complicating compliance efforts.
Read full announcement from Ministry of Environment and Climate Change Canada here.
Please contact CRVA if you have any questions or need additional information.
