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Macdonald-Laurier Institute

Beyond patchwork protection: Towards comprehensive property rights in Canadian law

Canada is one of the few developed democracies with no constitutional protection for property rights.

November 27, 2025
in Domestic Policy, Latest News, Intergovernmental Affairs, Papers, Rights and Freedoms
Reading Time: 5 mins read
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Beyond patchwork protection: Towards comprehensive property rights in Canadian law

By Paul Warchuk

November 27, 2025

PDF of paper

Executive Summary | Sommaire (le français suit)

Canadians rarely stop to think that everything they own, from their homes and savings to their farms, vehicles, and small businesses, exist only so long as government allows it.

A single regulation, order, or policy change can erase a lifetime of work, uproot families, and disrupt lives. Indeed, across Canada, property owners have watched livelihoods disappear overnight through land-use restrictions, forfeiture orders, and regulatory bans.

Property rights underlie the stability that Canadians take for granted when they leave home, run businesses, or save money. Yet each of these assumptions depends on an invisible foundation – respect for property rights – that is far weaker in Canada than in almost every other developed country.

This report examines the current state of property rights protection in Canada, focusing on protections against takings by government.

Canada is one of the few developed democracies with no constitutional protection for property rights. Unlike the United States, Germany, or France – all of which constitutionally guarantee compensation when government takes property – Canada relies on ordinary statutes and judge-made law that can be changed or ignored. This gap permits governments considerable discretion with respect to how to treat property. The result is a patchwork of protections that vary considerably depending on the nature of the property and taking at issue.

Expropriation laws ensure fair market compensation for formally taken land, but most government actions affecting property aren’t classified as expropriations. Licences can be revoked, businesses regulated out of existence, or assets seized under forfeiture laws – all without compensation. Government increasingly uses property seizure as a punishment, and widespread regulatory restrictions often strip property of value without triggering any right to compensation.

The consequences reach far beyond individual hardship. Weak property rights discourage investment, erode public trust, and concentrate power in the state. A society that treats ownership as conditional undermines citizens’ freedom to plan, build, and innovate.

The solution to this checkerboard of protections is a comprehensive framework for property rights protection. This framework has four pillars:

1. Fair compensation for all takings: Whether government takes property through direct expropriation or constructively through regulation that removes substantially all reasonable uses of property, fair compensation must be provided.

2. Legitimate public purpose: Property deprivations must serve a valid public purpose. Government interference with property rights cannot be justified solely by administrative convenience.

3. Due process before deprivation: No property should be seized, frozen, or forfeited without notice to the owner and a meaningful opportunity to be heard before an impartial decision-maker.

4. Proportionality: Property deprivations must be proportionate to legitimate government objectives, and the severity of any interference must be demonstrably necessary to achieve the government’s stated purpose.

A comprehensive framework could be implemented through legislation or constitutional amendment. Ultimately, a comprehensive statutory framework offers the most practical path forward, providing robust protection without requiring the political consensus necessary for constitutional amendment.


Les Canadiens se demandent rarement si tout ce qu’ils possèdent n’existe qu’au bon vouloir du gouvernement, que ce soit leurs maisons et leurs économies, leurs fermes et leurs véhicules ou, encore, leurs petites entreprises.

Une seule réglementation, requête ou modification de politique peut détruire une vie entière de travail, briser une famille et bouleverser les habitudes. Et, effectivement, partout au Canada, des propriétaires ont vu leur vie basculer du jour au lendemain en raison de restrictions, de confiscations et de réglementations liées à des terrains.

Les droits de propriété sous-tendent l’idée de permanence tenue pour acquise par les Canadiens lorsqu’ils sortent de chez eux, dirigent leurs entreprises ou épargnent de l’argent. Ces scénarios touchent à un fondement invisible – le respect des droits de propriété – bien moins musclés au Canada que dans la plupart des pays développés.

Ce rapport analyse la protection des droits de propriété au Canada, notamment en cas d’expropriation gouvernementale.

Le Canada ne protège pas les droits de propriété dans sa constitution, contrairement à la plupart des démocraties développées. Alors que les États-Unis, l’Allemagne et la France garantissent constitutionnellement une indemnisation en cas d’expropriation, le Canada s’appuie sur des lois et des jurisprudences modifiables. Cette lacune laisse beaucoup de liberté aux gouvernements quant à la manière d’envisager la propriété. Elle donne lieu à de multiples mesures de protection disparates qui varient selon la nature du bien et de l’expropriation en cause.

Les lois sur l’expropriation assurent une indemnisation basée sur la juste valeur marchande, mais la plupart des mesures gouvernementales touchant la propriété ne peuvent être qualifiées d’expropriations. Les permis peuvent être révoqués, les entreprises, réglementées au point de disparaître, et les actifs, saisis en vertu des lois sur la confiscation de biens – sans indemnisation. Les gouvernements saisissent de plus en plus de biens à titre de sanction, et les restrictions réglementaires généralisées les dévaluent souvent entièrement sans dédommagement.

Les conséquences vont bien au-delà des épreuves personnelles. Des droits de propriété faibles découragent les investissements, érodent la confiance du public et concentrent le pouvoir dans les mains de l’État. Une société qui définit la propriété comme étant conditionnelle nuit à la capacité des citoyens de planifier, de construire et d’innover.

La solution à cette mosaïque de mesures réside dans un cadre complet de protection pour les droits de propriété. Ce cadre repose sur quatre piliers :

1. Une juste indemnisation pour toutes les expropriations: qu’elles soient directes ou réglementaires, en fonction de pratiquement toutes les utilisations raisonnables de la propriété.

2. Un objectif public légitime: les dépossessions des droits de propriété doivent servir un objectif public valable. En matière de droits de propriété, le gouvernement ne peut pas intervenir seulement pour des raisons de commodité administrative.

3. Un droit de recours avant la dépossession: aucun bien ne doit être saisi, gelé ou confisqué sans que le propriétaire soit informé et puisse se défendre devant un décideur impartial.

4. La proportionnalité: les dépossessions doivent être proportionnelles aux objectifs légitimes du gouvernement, et toute ingérence grave doit être manifestement nécessaire pour atteindre l’objectif gouvernemental déclaré.

Un cadre complet pourrait être instauré par une loi ou un amendement constitutionnel. Mais, au final, un cadre législatif complet offre la voie la plus pratique à suivre  : une protection solide sans besoin du consensus politique exigé pour un amendement constitutionnel.

 

Tags: Paul Warchuk

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