On August 1, 2024, a new schedule of monetary penalties relating to the Liquor Licence and Control Act, 2019 (LLCA) and its regulations went into effect. The schedule was established by the Board of the Alcohol and Gaming Commission of Ontario (AGCO) and approved by the Attorney General of Ontario following the amendment of the LLCA’s regulations to enable an expanded liquor retail framework. These Orders of Monetary Penalties apply to all liquor licensees, with particular relevance to grocery store and convenience store licensees as a number of new OMPs have been established to reflect new regulatory requirements.
The new schedule reflects the amendments that were made to the following regulations under the LLCA:
- Regulation 745/21: General
- Regulation 746/21: Licensing
- Regulation 750/21: Minimum Pricing of Liquor and Other Pricing Matters
A monetary penalty is a financial consequence where a licensee or a permit holder pays a defined amount as a result of a contravention of the LLCA, its regulations or the standards. Monetary penalties have been utilized by the AGCO as a compliance tool since 2009 and can act as a bridge between a warning and suspension or revocation of a licence or a permit. The AGCO is required to use funds collected through monetary penalties exclusively for education and training programs for licensees and permit holders or for public awareness campaigns.
Monetary penalties provide the Registrar of the AGCO with a tool to support a compliance-based regulatory regime and to ensure that the sector continues to operate with honesty, integrity and in accordance with the law. The amount of the monetary penalty will be based on the approved schedule. Each infraction has a certain maximum monetary penalty associated with it. The ranges of monetary penalties are designed to address the specific risks posed by each infraction.
It is important to note the amounts listed in the schedule are maximums only and that penalties assessed may actually fall lower in the potential range, based on individual circumstances. For example, if the monetary penalty for infraction X is up to $20,000, then the Registrar may impose a monetary penalty of any amount up to $20,000 depending on the circumstances of the infraction, including other factors such as the compliance history of the licensee.
Please see the Schedule of Monetary Penalties Relating to the Liquor Licence and Control Act, 2019 and its Regulations for a full list of the infractions and the associated maximum penalties.
Please contact the AGCO anytime via the iAGCO online portal or call AGCO Customer Service Monday to Friday from 8:30 am to 5:00 pm at 416-326-8700 or toll-free at 1-800-522-2876.