An undertaking is a negotiated agreement. The Director of Fair Trading (as delegated) can offer an undertaking to a business or individual that has breached Alberta’s Consumer Protection Act (formerly the Fair Trading Act) or associated regulations.
- An undertaking is a voluntary acknowledgement of a contravention.
- Undertakings can only be offered if a bad practice (breach) has already stopped.
- AMVIC is required by law to maintain a public record of undertakings.
An undertaking may require the business or individual to:
- Stop or change a practice described in the undertaking
- Provide compensation to anyone who has suffered a loss
- Pay the costs of investigating the activities.
Undertakings are public records and are posted to AMVIC’s website for a period of three years. A breach of any terms of an undertaking will constitute an offence.
Do I have to sign an undertaking?
No, an undertaking does not have to be accepted, it can be negotiated or refused. However, if you do agree to the terms of an undertaking you are required by law to follow them.
What happens if I don’t sign?
If you don’t agree to an undertaking AMVIC will pursue other options within its progressive enforcement model.
NOTE: at the time of offering an undertaking the director cannot tell you what could happen if you do not sign an undertaking, however he/she may refer you to amvic.org for more information on AMVIC’s progressive enforcement model. You can also refer to the administrative review notification letter you received which outlines the model.