The Canadian Securities Administrators announced the adoption of a national policy concerning the revocation of a compliance-related cease trade order.

The CSA policy harmonizes and streamlines the process followed by applicants seeking to revoke or vary a cease trade order. The new policy, which applies in all jurisdictions, outlines what issuers, security-holders or other parties must do to apply for a partial or full revocation of a CTO.

A securities regulator may issue a cease trade order to halt trading securities for a predetermined or an indefinite time based on a failure to comply with filing or disclosure requirements.

“This policy addresses the confusion market participants experienced in having to deal with different revocation policies and practices in various jurisdictions,” said Jean StGelais, chair of the CSA and president and CEO of the Autorité des marchés financiers. “Now issuers across Canada have a more comprehensive guidance to follow when applying for a partial or full revocation of a cease trade order”.