Key Takeaways
- Dealer corporations must report share issues or transfers that create or increase 10% holdings within 30 days (MVDA, s. 13).
- Dealers must report changes in officers or directors within five days (MVDA, s. 24(1)(b)).
- Liquor licences need approval for prescribed ownership changes (LLCA, s. 14).
- Cannabis licences and authorizations have their own transfer rules (CLA, after s. 16).
Reporting Duties
Under the MVDA, a corporate dealer must notify the registrar within 30 days after an issue or transfer of equity shares that results in a person or associated persons acquiring 10 per cent or more, or increasing an existing 10 per cent holding (s. 13). Changes in officers or directors must be reported within five days (s. 24(1)(b)).
Transfers and Approvals
Under the liquor Act, except as permitted by regulation, a prescribed change of ownership means no one may carry on the business under the licence unless the Registrar consents to a transfer (LLCA, s. 14).
Due Diligence for Buyers
- Check the licence, conditions and enforcement history.
- Confirm new owners can meet the integrity and financial tests.
- Build regulatory approval into the closing timeline.
Frequently Asked Questions
Can the regulator refuse because of a new owner?
Yes. The conduct and finances of interested persons and controlling persons are relevant under several statutes (e.g. MVDA, s. 6).
What if we missed a reporting deadline?
Report immediately with an explanation. Late reporting can itself be a contravention.
Sources
Statutory references are to the provisions listed below, as consolidated on e-Laws when this page was prepared.
- Motor Vehicle Dealers Act, 2002, ss. 6, 13, 24 — Checked November 10, 2026.
- Liquor Licence and Control Act, 2019, s. 14 — Checked November 10, 2026.
- Cannabis Licence Act, 2018 — Checked November 10, 2026.