A man who faced 250 days in jail for failing to pay a $30,000 fine under Alberta’s Workers Compensation Act has been granted a payment extension after an Alberta Court of Justice judge identified serious flaws in how provincial fines are enforced compared to criminal penalties.
B.D. had pleaded guilty to a Workers Compensation Act offence and was fined $30,000 plus a $4,500 victim surcharge, with restitution of nearly $100,000. The court granted him two years to pay the fine, but when he failed to meet the December 2022 deadline, a warrant was automatically issued for his arrest with 250 days of jail time in default.
System creates ‘two-tiered enforcement’
The case exposed what the judge called a “fundamentally flawed” system that puts people convicted of provincial offences at greater risk of imprisonment for poverty than those convicted of criminal offences.
Under the Criminal Code, before someone can be jailed for not paying a criminal fine, a hearing must be held to determine if the non-payment was wilful. This protection does not exist for provincial fines.
“This means that the vast majority, if not all, of the persons who go to jail solely for the non-payment of fines in Alberta are non-criminal defendants,” the judge noted.
The court found that provincial fine enforcement creates a “two-tiered system of enforcement that puts non-criminal defendants in a worse position than persons fined for criminal offences.”
Enforcement options limited
The differences extend beyond hearings. Under Criminal Code provisions, the Crown can pursue alternatives like withholding government licences or civil enforcement before resorting to jail time. These options must be found inappropriate before incarceration can occur.
For provincial fines, the system is “either/or” — civil enforcement cannot be pursued if jail time is imposed as a default, and vice versa.
Confusion over ‘deemed days’
The case was complicated by ambiguity in the original sentencing. When imposing the fine, the court had said “deemed days in default” without specifying the actual number of days that would be served.
The judge learned that unlike criminal matters, there are no “deemed days in default” for provincial cases. The Criminal Code contains a formula for calculating default time, but this does not apply to provincial offences.
Under the Provincial Offences Procedure Act, default time is capped at six months, well below the 250 days that would result from applying the Criminal Code formula.
Current circumstances considered
B.D. is currently working and has made a recent $5,000 payment toward his fine. He is raising three children and would lose his employment if required to serve jail time. The court accepted that he likely cannot pay the full balance within a year but payment over multiple years may be possible.
The judge rejected B.D.’s explanation that he thought the lump sum paid through counsel covered both the fine and restitution, but was satisfied he is motivated to pay based on his recent payment and current employment.
Judge’s concerns about the system
The judge expressed several concerns about the provincial fine enforcement scheme:
- It may unnecessarily lead to the most costly enforcement option given the expense of imprisonment
- It cuts off other enforcement options once default time is imposed
- It provides no opportunity to change orders if circumstances change
- Once a warrant is executed, people go straight to jail with no court access
“Even if the Court were to make a direction that no Committal Warrant could issue without allowing the defendant to first appear for a means-inquiry, I do not know where that jurisdiction would come from nor how it would be accomplished without a process in place,” the judge stated.
Ruling and implications
The judge concluded the uncertainty about default days must be resolved in the applicant’s favor, determining the number of default days to be zero. This makes civil enforcement an option for the government.
B.D. was granted an extension until September 1, 2025, to allow him and the Crown to reach a payment agreement. If no agreement is reached by that date, the Crown can proceed with civil recovery.
The judge indicated several changes to future practice, including never again saying “deemed days in default” for provincial fines, considering civil enforcement as the default position, and being mindful that imposing default time cuts off other enforcement options.
Legislative framework
The case showed some of the tensions that exist between federal and provincial legislation. The Provincial Offences Procedure Act states that Criminal Code provisions apply to provincial matters except where inconsistent, but 2016 regulations specifically exclude Criminal Code sections dealing with committal warrant procedures.
The Workers Compensation Act allows fines up to $10,000 per day for continuing offences but is silent on default time. In this case, the offence spanned more than 18 months, making the joint submission well within the permissible range.
For more information, see Douglas v R, 2025 ABCJ 111 (CanLII).