Regulation 87 — Provincial nominee class

(1) For the purposes of subsection 12(2) of the Act, the provincial nominee class is hereby prescribed as a class of persons who may become permanent residents on the basis of their ability to become economically established in Canada.

(2) A foreign national is a member of the provincial nominee class if

(a) subject to subsection (5), they are named in a nomination certificate issued by the government of a province under a provincial nomination agreement between that province and the Minister; and

(b) they intend to reside in the province that has nominated them.

(3) If the fact that the foreign national is named in a certificate referred to in paragraph (2)(a) is not a sufficient indicator of whether they may become economically established in Canada and an officer has consulted the government that issued the certificate, the officer may substitute for the criteria set out in subsection (2) their evaluation of the likelihood of the ability of the foreign national to become economically established in Canada.

(4) An evaluation made under subsection (3) requires the concurrence of a second officer.

(5) Subject to subsection (6), a foreign national who is named in a certificate referred to in paragraph (2)(a) shall not be considered a member of the provincial nominee class if

(a) the nomination was based on the provision of capital by the foreign national; or

(b) the foreign national intends to participate in, or has participated in, an immigration-linked investment scheme.

(6) Subsection (5) does not apply if

(a) the capital is provided by the foreign national to a business in the province that nominated them, other than a business operated primarily for the purpose of deriving investment income such as interest, dividends or capital gains;

(b) the foreign national controls or will control

(i) a percentage of equity in the business equal to or greater than 33 1/3 per cent, or

(ii) an equity investment in the business of at least $1,000,000;

(c) the foreign national provides or will provide active and ongoing management of the business from within the province that nominated them; and

(d) the terms of the investment in the business do not include a redemption option.

(7) and (8) [Repealed, SOR/2008-253, s. 10]

(9) The following definitions apply in this section.

immigration-linked investment scheme means a strategy or plan

(a) where one of the objectives of the strategy or plan is to facilitate immigration to Canada and one of the objectives of the promoters of the strategy or plan is to raise capital; or

(b) where the agreement or arrangement in respect of the strategy or plan was entered into primarily for the purpose of acquiring a status or privilege under the Act. (projet de placement lié à l’immigration)

percentage of equity means

(a) in respect of a sole proprietorship, 100% of the equity of the sole proprietorship controlled by a foreign national or their spouse or common-law partner;

(b) in respect of a corporation, the percentage of the issued and outstanding voting shares of the capital stock of the corporation controlled by a foreign national or their spouse or common-law partner; and

(c) in respect of a partnership or joint venture, the percentage of the profit or loss of the partnership or joint venture to which a foreign national or their spouse or common-law partner is entitled. (pourcentage des capitaux propres)

(10) Subsections (5), (6) and (9) do not apply in respect of a foreign national who is issued a nomination certificate referred to in paragraph (2)(a) before September 2, 2008.

(11) Subsections (5) and (6) as they read immediately before September 2, 2008 apply in respect of a foreign national referred to in subsection (10).

(12) A foreign national who is an accompanying family member of a person who makes an application as a member of the provincial nominee class shall become a permanent resident if, following an examination, it is established that

a) the person who made the application has become a permanent resident; and

b) the foreign national is not inadmissible.