2.3 Licensee Duties, Inspections & Statutory Penalties
Key Takeaways
Under PSISA s. 34(1), a person holding themselves out as a private investigator must carry their licence, identify as a private investigator and produce the licence on request.
PSISA s. 34(2) forbids a private investigator from possessing any identification or symbol of authority other than the licence.
A public complaint must be in writing, signed and filed with the Registrar within 90 days, and Code of Conduct complaints are normally referred to a facilitator (PSISA s. 19).
Under PSISA s. 45, an individual convicted of an offence faces up to a $25,000 fine, one year in jail, or both; a business entity faces up to $250,000.
A PSISA prosecution must begin within one year after the Registrar first became aware of the facts (s. 43(2)).
Holding a licence brings continuing duties. This section covers the day-to-day duties in Part VI of the PSISA, the reporting duties in the regulations, the public complaint process in s. 19, and the offence and penalty provisions in Part VII. These are "detailed knowledge" items in syllabus section 2.
Carrying and Producing the Licence (s. 34)
s. 34(1): Every person who is holding himself or herself out as a private investigator shall (a) carry his or her licence; (b) on request, identify himself or herself as a private investigator; and (c) on request, produce his or her licence.
Three points are commonly tested:
- The duty is triggered by holding out. The ministry's study guide explains that these requirements apply to people holding themselves out as private investigators. An investigator working undercover is not required to carry or show the licence, particularly where doing so would endanger them or the investigation.
- Digital licences count. Since September 30, 2023, physical cards are no longer issued. The ministry tells licensees to carry the digital version or a printed copy on duty and to show it to anyone who asks, including employers, police and members of the public. Failing to present a valid licence when requested can result in a fine.
- No other evidence of authority (s. 34(2)). A person acting as a private investigator may not possess any identification or symbol of authority other than the licence. A metal badge is the classic example of what is banned.
Security guards have a parallel duty in s. 35(1), plus the uniform rules in s. 35(2)–(4). Questions that cite "section 35" for an investigator are mixing up the two provisions.
Other General Duties (Part VI)
| Section | Duty |
|---|---|
| s. 30 | A business licensee must carry the prescribed insurance |
| s. 31 | No business entity may employ an unlicensed investigator or guard |
| s. 32 | Licensees keep their mailing address for service, branch office addresses and street addresses on file, and report changes within five business days |
| s. 33 | A business licensee must carry on business only in its licensed name |
| s. 36 | A business licence must be displayed where the public deals with the licensee |
| s. 37 | A licence is Crown property and must be returned immediately if suspended or revoked, if a branch or business closes, or if the holder stops meeting s. 10(1) requirements |
| s. 38 | No person may possess a fake, altered or fraudulently obtained licence, lend a licence, display someone else's licence, or display a suspended, revoked or no-longer-valid licence as valid |
| s. 39 | No licensee may falsely hold themself out as providing services or performing duties connected with police |
| s. 40 | No investigator, guard or agency may use "detective" or "private detective," "law enforcement," "police" or "officer," or variations of them |
Reporting Duties in the Regulations
| Who | Event | Deadline | Source |
|---|---|---|---|
| Individual licensee | Convicted or found guilty of an O. Reg. 37/08 offence | Written notice within five days | O. Reg. 361/07, s. 5 |
| Individual licensee | No longer meets a s. 10(1) requirement | Stop working; return licence within five days excluding weekends and holidays | PSISA s. 10(2) |
| Individual licensee | Change of name, address or contact information | Notify the ministry (no fee) through ServiceOntario | ServiceOntario licence requirements |
| Business licensee | Change in officers, directors or partners | Written notice within five days | O. Reg. 361/07, s. 2 |
| Business licensee | Employee authorized to carry a firearm, or that authorization ends | Written notice within five days | O. Reg. 361/07, s. 4 |
| Any licensee | Change in mailing, branch or street address | Written notice within five business days | PSISA s. 32 |
Being charged with an offence does not trigger the five-day notice in O. Reg. 361/07, s. 5, which runs from a conviction or finding of guilt. Outstanding charges must still be listed in the declaration filed with every licence application or renewal (s. 11(1)(c)(v)).
The Public Complaint Process (s. 19)
Any person may complain to the Registrar that a licensee breached the Code of Conduct, failed to comply with the Act or regulations, or breached a licence condition.
Complaint in writing, signed, filed within 90 days of the events
(later only with the Registrar's consent) s. 19(2)
|
Registrar may inform the licensee of the complaint s. 19(3)
|
Code of Conduct complaint that is frivolous, vexatious or
not in good faith? -> Registrar may decline, with reasons s. 19(4)-(5)
|
Otherwise, a Code of Conduct complaint is referred to a
FACILITATOR, unless the complainant does not want that s. 19(6)
|
Facilitator tries to resolve it; complainant must participate
and the licensee must attend required meetings s. 19(8)
|
Facilitator recommends nothing, or recommends remedial
instruction -> Registrar imposes it as a LICENCE CONDITION s. 19(9)-(10)
The Registrar keeps all other powers regardless of the complaint process (s. 19(11)). The Registrar or an investigator may open an investigation with or without a complaint (s. 21). The ministry's study guide summarizes the possible outcomes as facilitation, a warning, charges or revocation of the licence.
Offences, Limitation and Penalties (ss. 43–45)
Offences (s. 43(1)). A person is guilty of an offence who:
- (a) knowingly gives false information in an application, statement or return;
- (b) fails to comply with an order or requirement made under the Act or regulations;
- (c) fails to comply with a licence condition; or
- (d) contravenes or fails to comply with any provision of the Act or regulations, including the Code of Conduct.
Limitation (s. 43(2)). A prosecution must start within one year after the Registrar first became aware of the facts.
Directors and officers (s. 44). When a business entity commits an offence, every director, officer or partner who authorized, permitted or acquiesced in it is also guilty.
Penalties (s. 45):
| Offender | Maximum penalty |
|---|---|
| Individual | Fine of $25,000, imprisonment for one year, or both |
| Business entity | Fine of $250,000 |
These are provincial offences, so they are prosecuted under the Provincial Offences Act in the Ontario Court of Justice.
Other Enforcement Tools
- False advertising (s. 42): if the Registrar believes on reasonable grounds that a licensee is making a false, misleading or deceptive representation in an advertisement or other material, the Registrar may order it stopped, retracted or corrected.
- Court compliance orders (s. 47): the Registrar may apply to a Superior Court judge for an order directing a person to comply with a Registrar's order.
- Licence action: conduct that does not lead to a conviction can still support conditions, refusal or revocation under ss. 13–15.
A private investigator is introducing themselves as a PI to interview a witness. What does PSISA s. 34(1) require?
Display the licence on a lanyard whenever any member of the public could see them
Carry the licence, and on request identify as a PI and produce it for inspection
Hand the licence card to any person who asks and let them keep it until the interview ends
Leave the licence at the agency office and give only the licence number in the field
Under Ontario Regulation 361/07, when must an individual licensee notify the Registrar about a conviction for an offence listed in O. Reg. 37/08?
Within 24 hours of being released from police custody
In writing within five days after the conviction or the finding of guilt
Within 14 days after the first court appearance on the related charge
Only when applying to renew the licence
What is the maximum penalty under PSISA s. 45 for an individual convicted of acting as a private investigator without a licence?
An administrative penalty of up to $5,000, with no possibility of imprisonment
A fine of up to $10,000 and up to six months in jail
A fine of up to $100,000 and mandatory community service
A fine of up to $25,000, up to one year in jail, or both
Sections you finish are checked off in the contents.