| 24(1) | |
| 24(1) | File No. 900517 |
| W.C. Bailey | |
| 957-2061 |
19(1)
May 28, 1990
Dear Sirs:
Re: Rights Offering
This will reply to your letter of April 18, 1990.
Your concern is whether the exception in paragraph 15(1)(c) of the Act will apply to the situation where residents of Quebec are excluded from a rights offering in order to avoid compliance with the requirement of Quebec law that the offering material be in the French language.
While the matter of French language requirements in Quebec was not considering or addressed in the second part of paragraph 2 of IT-116R2, we do confirm that where residents of Quebec are excluded from a rights offering in order to avoid compliance with Quebec's language laws, paragraph 15(1)(c) will apply provided the rights are in fact issued to such shareholders and they are entitled to sell such rights.
Yours sincerely,
DirectorBusiness and General DivisionSpecialty Rulings DivisionLegislative and Intergovernmental Affairs Branch