Canadian retail legislation pertaining to gift cards in the five most populous provinces

Retailers must uphold Canadian retail legislation in order to maintain Canadian retail compliance, and the laws pertaining to gift cards are no exception. In every province, suppliers are required to clearly disclose terms and conditions, and are only permitted to charge fees and implement expiry dates under specific circumstances. As with any legislation, you should regularly check for updates to these rules. Here is a breakdown of the legislation pertaining to the country’s five most populated provinces:

Alberta
According to the Retail Council of Canada, Alberta does not generally allow gift card fees and expiry dates. However, cards that have a monetary value can expire, while suppliers may charge for one-time activation, customization and replacement in the event of loss or theft. The same rules apply for multi-vendor gift cards, which can be used at multiple unaffiliated sellers and are commonly referred to as “mall cards.”

British Columbia
British Columbia outlaws fees and expiry dates, but cards issued or sold for charitable/promotional purposes or for specific goods or services (“experience cards” redeemable only for a manicure at a spa, for instance) are permitted to expire. Fees may be charged for personalization, lost/stolen card replacement and mall cards. For multi-vendor gift cards, up to $1.50 can be charged at the time of purchase and a further $2.50 may be levied for any balance remaining 15 months afterward, known as a dormancy fee.

Manitoba
Manitoba does not allow gift card fees and expiry dates, with the exception of experience cards and cards for which the holder does not provide anything of value upon issuance. Suppliers may also charge for replacement and customization. For mall cards, suppliers can charge a maximum monthly dormancy fee of $2.50 after a card has not been activated for 12 months.

Ontario
In Ontario, expiry dates are only allowed on experience cards. No fees can be charged for cash-equivalent gift cards, but customization and replacement fees may apply. Dormancy fees of up to $2.50 are permitted 15 months after the month in which a card is purchased.

Quebec
Quebec disallows expiration dates, with the exception of cards for unlimited use of a service, such as mobile phone cards. Gift card fees are also outlawed, except for mall cards. An activation fee of up to $3.50 can be charged for mall card activation after the 15th month, and up to $2.50 for non-use after the 15th month.