Your Ontario-based customer owes you CAD $47,000. The invoice is 63 days overdue. Their AP says "we're processing it through our Montreal office." You're not sure if that's a routing issue or a stall tactic. Welcome to Canadian B2B collections: where provincial jurisdictions, bilingual requirements, and the Quebec civil law distinction turn simple invoices into complex recovery puzzles.
This guide introduces The Canada Provincial Protocol™—a 5-step framework designed for cross-border creditors collecting from Canadian businesses. Unlike one-size-fits-all approaches, this system accounts for the fundamental difference between common law provinces (Ontario, BC, Alberta) and Quebec's civil law system, plus the bilingual communication requirements that can make or break your collection effort.
Why Canadian B2B Collections Are Different
🟢 Ontario (Fastest)
: Largest commercial market, well-developed small claims system, English-only proceedings acceptable
🟡 British Columbia (Moderate)
: Strong tech/resource sector, Civil Resolution Tribunal for under $5,000, Vancouver-centric business culture
🟡 Alberta (Moderate)
: Energy-sector dominant, Provincial Court civil division efficient, Calgary/Edmonton commercial hubs
🔴 Quebec (Complex)
: Civil law jurisdiction, French-language requirements for legal proceedings, unique Cour du Québec procedures
The Canada Provincial Protocol™
5-step provincial-aware collection for Canadian B2B across common law and Quebec civil law
Verify debtor via provincial registry, determine common law vs Quebec civil law jurisdiction.
- Pull provincial corporate registry extract
- Identify registered vs operating province
- Determine Quebec civil law applicability
Build provincial-compliant evidence file with interest per provincial rates.
- Index invoices, POs, delivery confirmations
- Calculate interest per provincial statute
- Prepare bilingual documentation (EN/FR) if Quebec
Calibrated outreach in English or French respecting provincial business culture.
- Initial statement in appropriate language
- Phone follow-up to accounts payable
- Escalation to financial controller
Pre-legal formal demand with explicit timeline per provincial requirements.
- Send formal demand via registered mail
- Reference provincial limitation periods
- Set 10-14 day response deadline
Route via Small Claims Court or Provincial Superior Court based on amount.
- Small Claims for amounts under provincial limit
- Provincial Superior Court for larger claims
- Cour du Québec for Quebec civil procedure
⚖️ Route via Small Claims Court or Provincial Superior Court
Provincial Differences: Ontario vs Quebec vs BC vs Alberta
Small Claims Limit
$35,000
Pre-Judgment Interest
Per Courts of Justice Act (currently ~3%)
Language
English proceedings standard
Key Court
Small Claims Court, Superior Court of Justice
Small Claims Limit
$15,000
Pre-Judgment Interest
Per Civil Code (legal rate ~5%)
Language
French required for proceedings; mise en demeure must be French
Key Court
Cour du Québec, Cour supérieure
Small Claims Limit
$35,000
Pre-Judgment Interest
Per Court Order Interest Act (~variable)
Language
English proceedings standard
Key Court
Provincial Court, Supreme Court of BC
Small Claims Limit
$50,000 (highest in Canada)
Pre-Judgment Interest
Per Judgment Interest Act (~4%)
Language
English proceedings standard
Key Court
Provincial Court Civil Division, Court of Queen's Bench
Quebec Civil Law Considerations
Quebec operates under a civil law system based on the Civil Code of Québec, not common law. This creates distinct collection requirements:
- Mise en demeure required: Before legal action, you must send a formal mise en demeure (demand letter) in French
- Prescription period: 3 years for most commercial claims (vs. 2 years in common law provinces)
- Solidary liability: Directors may have personal liability under certain conditions (Art. 317 CCQ)
- Hypothecs: Security interests work differently than PPSA registrations
- French language: Bill 96 strengthens French-language requirements—legal documents should be in French
Canada B2B Evidence Pack Checklist
Checklist
0 of 8 completeEmail Templates (English and French)
Subject: Past Due Invoice [#XXXXX] — Statement of Account Dear [Name],
City-Specific Collection Guides
For detailed guidance on collecting in specific Canadian cities, see our local guides:
- Toronto B2B Debt Collection Guide — Ontario's financial hub, Bay Street dynamics
- Montreal B2B Debt Collection Guide — Quebec civil law, bilingual requirements
- Vancouver B2B Debt Collection Guide — BC tech sector, Pacific Rim trade
- Calgary B2B Debt Collection Guide — Alberta energy sector, oil & gas collections
- Ottawa B2B Debt Collection Guide — Federal government contractors, bilingual capital
Frequently Asked Questions
What If You Delay? The Cost of Waiting
🇨🇦Canada Collection Delay Simulator
See how delays at each stage of the USMCA Protocol™ affect your recovery time
Results
Total Timeline
86 days
Interest Accrued
$1,414
@ 12.00% p.a. (Provincial rates (avg ~12%))
Recovery rates begin declining after 60 days
Calculations based on $50,000 invoice value. Actual interest may vary based on contract terms.
Sarah Lindberg
International Operations Lead
Sarah coordinates our global partner network across 160+ countries, ensuring seamless cross-border debt recovery.
