Canada’s regime is worth knowing for one distinctive feature: it provides for the seizure and forfeiture of sanctioned assets, rather than only their freezing.
Freezing and forfeiture
Most sanctions regimes immobilise property without changing title. Division 31 of Part 5 of the Budget Implementation Act, 2022, No. 1 amended the Special Economic Measures Act and the Justice for Victims of Corrupt Foreign Officials Act to create regimes allowing the forfeiture of property seized or restrained under those Acts, and to direct the proceeds of disposal to specified purposes. The amendments came into force in June 2022.
That is a materially different legal proposition from a freeze, and it has been used. In December 2022 Canada began proceedings to seize and pursue forfeiture of US$26 million held by Granite Capital Holdings Ltd., a company owned by Roman Abramovich — the first application of the new powers.
Other jurisdictions considering similar measures have watched the process closely, because the property rights questions it raises are substantial and are being litigated rather than assumed.
Structure
Sanctions are made by regulation under the Special Economic Measures Act, with separate statutes covering UN-mandated measures and corrupt foreign officials. Lists are published consolidated and are also bundled into international aggregators.