Compliance Reporting

A tool for reporting compliance issues
within the Canadian vaping industry.  
 
Report Non-Compliance

Outline

This tool was developed in early 2023 in response to a rapidly growing competitive divide between legal vape companies and those who knowingly carry non-compliant products and/or sell to minors. VITA and other stakeholders consistently expend substantial effort to expand compliance awareness and support in the areas of youth prevention, quality control, nicotine limits, taxation and more.

Despite calls for additional enforcement resources to be allocated to authorities, non-compliance and illicit market activity has been accelerating an unprecedented rate since the implementation of nicotine limits in 2021 and excise tax in 2022/2023.

This program has been created to support VITA members and stakeholders of all sizes that comply with the law, and to support enforcement efforts that are necessary for a safe, fair, and competitive market.

Situation

Many VITA members and industry stakeholders are now experiencing an unprecedented competitive disadvantage as a direct result of illicit market activity, non-compliance, and limited enforcement resources. The current non-compliance and illicit market situation are rapidly becoming unsustainable. If left unresolved, this situation could seriously impact the legal industry, reduce adult access, decrease product safety, and lead to more restrictive regulations.

What Information Are We Looking For?

Currently, the highest priority issues are excise tax compliance, nicotine limits of 20mg/mL max, and selling to minors. While these are the largest drivers of non-compliance and illicit market activity, provincial level issues also have a serious impact.

We are currently prioritizing reports of the highest impact issues first. This tool will collect as much information on non-compliance and illicit market activity as possible. To further investigate non-compliance reports we will need key information such as:

  • Company or entity name/address/website where observation of non-compliant product or activity has occurred.
  • Date or date range
  • Explanation of non-compliant or illicit activity
  • Supporting evidence (if available)
  • Contact information of the person submitting the report. This will be confidential and optional, and would only be used if follow-up details are needed.

How Will This Information Be Used?

The ideal situation is one where notifying a company that they have been identified as non-compliant would be enough to result in corrective action. Every opportunity will be taken to correct non-compliance before having to escalate the issue to authorities.

  • Reports provided through this tool will be organized and sent to professional 3rd party investigators for the purpose of identifying priority inspection targets in each province.
  • Secret shopper visits will be conducted with reported locations of non-compliance being prioritized for inspection.
  • Inspection failures will be identified for inclusion in a warning notice.
  • Locations identified for non-compliant products or activity will be notified and given a short period of time to respond and take corrective action.
  • Failure to respond or demonstrate corrective action may result in VITA transmitting 3rd party investigation results to enforcement authorities.

Who Can Use This Tool?

  • Businesses
  • Associations
  • Individuals

How Does This Benefit You?

  • Ensures that the legal vaping industry can survive and grow
  • Reduces illicit market activity in the sector
  • Ensures level playing field through fair market competition
  • Protects all vape product users by ensuring products are regulated and quality controlled
  • Reduces demand from policy makers to introduce un-necessary and excessive restrictions
  • Improves public perception of the vaping industry

Instructions

If you have observed instances of blatant non-compliance, particularly related to sales to minors, selling products with nicotine levels over 20mg/mL, or products containing an e-substance (see infographic for examples), or any other clear example, please complete this form.

Compliance Red Flags

Note: Additional compliance information and examples coming soon

  • Products without excise stamps that seal the opening to the package.
  • Products labeled over 20mg/mL
  • Products that feel far stronger than other 20mg/mL products used
  • Keeping certain products hidden when all others in the same category are displayed

Donate to the Initiative

We are seeking additional funding from the industry to expand the number of secret shopper visits that help address non-compliance and illicit market issues in every province and territory in Canada. This fundraiser has been created to expand the number of on-site secret shopper visits at the provincial level. Donations through this platform can be directed to a specific province and will exclusively be used to increase the number and frequency of inspections in the identified province.

Note: Fundraiser details such as average cost per inspection, funding goals, and tracking by province are coming soon.

Make a Donation

Report Non-Compliance

Please Note: The name, location, and contact details of the reporting person are optional fields that can be left blank if you wish.

If you have any questions regarding this process, please contact us at compliance@vitaofcanada.com