Modernizing Co-ops and Corporate Records

Summary#

This is a housekeeping bill that updates many Saskatchewan laws to line up with the new Co-operatives Act, 2025. Most changes replace old references and definitions so all laws talk about co-ops the same way. It also makes a few updates to the Business Corporations Act, 2021.

Key changes and impacts:

• Updates dozens of laws to refer to The Co-operatives Act, 2025 (instead of older co-op laws).
• Clarifies that co-ops and credit unions follow their own laws, not the Business Corporations Act, unless those laws say otherwise.
• Tightens company records on who owns or controls a company (beneficial owners), and adds items like date of birth, residential address, and citizenship.
• Allows electronic signatures on share certificates and lets companies send shareholder notices by email if certain conditions are met.
• Phases out “bearer” share or scrip certificates (ownership tied to the paper itself) in favor of named, registered certificates.
• Sets that court orders under the Business Corporations Act can be appealed only with a judge’s permission (leave).

What it means for you#

• Co‑operative members and boards

  • Your co‑op will now be covered by the new Co-operatives Act, 2025. Other laws now point to this new act, which should reduce confusion.
  • Health care co‑ops and housing co‑ops are clearly recognized in health privacy and tenancy laws.

• Small business owners and corporations

  • You must keep a register of people who own or control your company and update it at least once each financial year, and when the Registrar (government official) asks. The register must include name, date of birth, residential address, address for service (if provided), and citizenship.
  • You may use electronic signatures on share certificates.
  • You can send required notices to shareholders by email if they agree, if your articles or bylaws allow it, or if you are a public company that meets securities rules.
  • If you have any old “bearer” share or scrip certificates (including for fractional shares), holders can ask to exchange them for registered certificates that list the owner by name.
  • Appeals of court orders under the Business Corporations Act require permission from the Court of Appeal.

• Investors and shareholders

  • You may receive company notices electronically if you consent or the company is allowed to do so.
  • Companies will keep clearer records of who really controls them, which can improve transparency.
  • Bearer certificates are being replaced with registered ones, reducing anonymous ownership.

• Tenants and landlords

  • If a rental building is converted to a housing co‑op, that co‑op is defined under the new act. Day‑to‑day tenant rights are not changed by this bill.

• Health care providers and patients

  • Health care co‑ops are named in the health information law, clarifying that privacy rules apply to them.

• Municipalities and northern communities

  • References are updated so you can incorporate development bodies as business corporations, non‑profits, or co‑ops under current laws without wording conflicts.

• Credit unions and financial sector

  • Cross‑references align with the new co‑op law, and certain co‑op rules apply to Credit Union Central as specified.

Expenses#

Estimated annual cost: likely small and administrative.

• Government: minor costs to update forms, systems, and guidance.
• Private companies: small compliance costs to review and update ownership registers each year and to collect added data points.
• Rare cases: costs to replace old bearer or scrip certificates with registered certificates.

Proponents' View#

• Brings all provincial laws into line with the new Co-operatives Act, reducing confusion and legal gaps.
• Improves corporate transparency by tightening records on who owns or controls companies, which can help combat fraud and money laundering.
• Cuts paperwork and speeds service by allowing electronic signatures and email notices.
• Replacing bearer certificates with registered ones protects investors and makes ownership traceable.
• Aligns company rules with Saskatchewan securities laws for public companies.

Opponents' View#

• Adds work for small, private companies to collect and verify owner information every year.
• Collecting personal details like date of birth and citizenship may raise privacy concerns.
• Replacing old bearer or scrip certificates could be inconvenient for some firms and investors.
• More use of electronic notices may disadvantage people who prefer paper or lack easy internet access.
• Requiring a judge’s permission to appeal court orders may make appeals harder or slower.