A statutory reciprocal order provision means a provision in the securities statute of a Canadian jurisdiction that provides for the automatic reciprocation of any order or settlement agreement imposing sanctions, conditions, restrictions or requirements issued by another securities regulatory authority in Canada and that is based on (a) a finding or admission of a contravention of securities legislation or, (b) in most jurisdictions, conduct contrary to the public interest (a statutory reciprocation provision). If that order or agreement is varied, amended or revoked by a securities regulatory authority in Canada, the variation, amendment or revocation will also apply in the jurisdiction with the statutory reciprocation provision. The jurisdiction with the statutory reciprocation provision will not issue a separate order, agreement or cease trade order (CTO) or variation, amendment or revocation of the relevant order, agreement or CTO in these circumstances. 

As a result, the absence of an order or settlement agreement against a person or company on SEDAR+ in the jurisdiction with the statutory reciprocation provision does not mean that the sanctions, conditions, restrictions or requirements issued in the originating jurisdiction do not apply in the reciprocating jurisdiction.  

For example, in respect of CTOs, the absence of a cease trade order against an issuer or person on SEDAR+ in the jurisdiction with the statutory reciprocation provision does not mean that trading for that issuer or person is not prohibited or restricted in that jurisdiction. The automatic reciprocation of CTOs occurs whether or not an issuer is a reporting issuer in the jurisdiction with the statutory reciprocation provision and applies to more than just failure-to-file cease trade orders, as defined in Multilateral Instrument 11-103 Failure-to-File Cease Trade Orders in Multiple Jurisdictions.