A complaint is the expression of one of the following three elements where that element persists after having been considered and processed at the operational level with decision-making authority:

• a reproach in respect of the registrant;
• the identification of real or potential harm that a consumer has sustained or may sustain; or
• a request for remedial action.

A complaint must be in writing so that it can be kept on file. If a consumer makes a verbal complaint, the person taking charge of the complaint must document it so that it can be kept on file.

The initial expression of dissatisfaction by a consumer, whether in writing or otherwise, will not be considered a complaint where the issue is settled in the regular course of the business’s activities. However, if the consumer remains dissatisfied and the complaint officer designated in the business's policy takes charge of the dissatisfaction, it will be considered a complaint.

However, the business must refrain from any undue delay in referring a complaint to a higher level solely for the purpose of circumventing the requirement to enter the complaint in the complaint report.

Businesses without a multilevel structure for processing complaints must consider a client’s dissatisfaction to be a complaint when it persists after a reasonable attempt has been made by the business to settle the matter.

Reporting consumer complaints to the AMF is a complaint examination obligation imposed on businesses. Under current regulations, the AMF imposes obligations on insurers, trust companies, savings companies, financial services cooperatives, credit assessment agents, securities dealers and advisers, firms, independent partnerships and independent representatives relating to the fair and equitable processing of complaints they receive. These include:

• Adopting a complaint examination policy
• Processing every complaint in a fair manner
• Sending an acknowledgement of receipt and a notice to the complainant
• Sending  the complaint record to the AMF when requested to do so by the complainant
• Preparing and submitting a complaint report to the AMF

All these obligations aim to enhance the protection of consumers of financial products and services through the monitoring of businesses’ commercial practices.

Which individual or individuals are responsible for collecting complaint data and reporting it via the complaint report is up to each firm.

In large businesses, complaints are usually forwarded to several individuals working in different departments. If this is the case, the business must communicate the procedure to all staff concerned to ensure that it is clearly understood and properly applied.

In the past few years, the AMF noticed that many businesses were not complying with the requirement to report complaints received from clients. The AMF reminded those businesses of this requirement, including in the AMF Bulletin.

Despite these reminders, many firms are still not in compliance.

As a result, the AMF is imposing administrative measures on firms who fail to report their complaints. These firms will receive formal notices detailing the alleged facts and the penalty the AMF is planning to impose.

It is therefore important to properly complete your complaint reports and send them to the AMF in the prescribed manner and periods.

For more information, please refer to the AMF Bulletin of November 3, 2022 (in French only).

• Distribution of financial products and services – Notices and Press releases (pdf - 507 KB)This link will open in a new windowUpdated on November 3, 2022
• Financial Institutions – Notices and Press Releases (pdf - 99 KB)This link will open in a new windowUpdated on November 3, 2022
• Securities and derivatives markets – Notices and Press releases (pdf - 479 KB)This link will open in a new windowUpdated on November 3, 2022

The information collected via the complaint report will enable regulatory authorities, such as the AMF, to assess businesses’ conduct in the markets.

Using the information collected, the regulatory authorities will be able to allocate their resources to where they are most needed and more effectively develop education and awareness tools.

The information regarding complaints is collected so that regulatory authorities like the AMF can fulfill their mandate to regulate commercial practices and is not for publication. However, as with any information gathered by a regulator, members of the public may request access to it. If this happens, measures will be taken to protect the data.

Québec is reviewing the relevance of gathering information on legal proceedings brought against businesses. Although the information collected via complaint reporting by businesses is incomplete, it provides an overview of the types and nature of complaints likely to lead to legal proceedings. Such information helps regulatory authorities determine potential information needs with respect to legal proceedings.

This guidance applies to you if your firm has only one representative (at any time during a reporting period) or if you are an independent representative governed by the Act respecting the distribution of financial products and services This link will open in a new window.

The AMF encourages administrative and regulatory streamlining. With this in mind, independent representatives and firms that, at any time during a reporting period, acted solely through one representative must submit a complaint report only in the following situations:

• They received one or more complaints during a reporting period, or
• Previously reported complaints were not resolved during the previous reporting period.

Such independent representatives and firms that do not file a complaint report will be presumed to have not received any complaints.

No. If you are a dealer member of the Canadian Investment Regulatory Organization (CIRO), you must report complaints through ComSet, which allows dealer members to report client complaints and disciplinary matters to CIRO.

It has been decided, further to an agreement between CIRO and the AMF, that CIRO will send complaint reports to the AMF based on the information reported by members through ComSet.

When an initial expression of dissatisfaction by a consumer is communicated directly to a higher level, it will not be considered a complaint where the dissatisfaction is resolved in the regular course of the business’s activities.

The complaint process of each business is adapted to the size and needs of the business. Generally, a business with a small number of employees will not have a multilevel complaint process. In this case, the definition of a complaint stipulates that:

“Businesses without a multilevel structure for processing complaints must consider a client’s dissatisfaction to be a complaint when it persists after a reasonable attempt has been made by the business to settle the matter.”

This statement is included to recognize the fact that, for some businesses, the fist person to receive a complaint is also the person authorized to review ongoing decisions made at the operational level.

In claims adjustment, the claims adjuster is the one who generally makes ongoing decisions regarding complaints about the claims adjustment process.

In certain businesses, depending on the nature and the cost of the claim, the claims adjuster may need final approval from their supervisor or the claims department manager. In a situation where the complaint cannot be settled at the level of the person who gave final authorization, the complaint must be reported through the complaint report.

Yes.

Although, in certain cases, such situations may be considered a complaint according to the definition, regulatory authorities like the AMF realize that it would be difficult for businesses to report these complaints given that they are not usually taken charge of by the department responsible for complaints processing within the business. However, we presume that most consumers would attempt to communicate directly with the business first before taking the matter to court.

If the consumer involves or transfers the complaint to an independent third party such as the General Insurance OmbudService (GIO), the Canadian Life and Health Insurance OmbudService (CLHIO) or the AMF, you can simply indicate “agreement not reached” when you add the complaint (in the Processing of the complaint record section).

This occurs when a complaint is not resolved further to the complaint process and the complainant has received a final letter explaining your firm's final position or final offer and your business has notified the complainant of their right to request an independent examination of the complaint record or its transfer.

The business only has to reply “yes” to the question about legal proceedings if it is aware when submitting their complaint report that the complainant has instituted legal proceedings.

Some details may not yet be known to you at the time you enter the information for a particular complaint. Also, depending on complaint progress, new information might be communicated to you after the complaint has been reported. Inform us of any new facts by updating the information. The updated information will be submitted to us with your next report.