Reasonableness of regarding an address as a business address
39. For purposes of clauses 6(2)(b)(i)(A) and (B) of the Regulations (and clauses 8(b)(i)(A) and (B) of the Regulations, as outlined in Rule 3B), which are based on a specific type of address, it must be reasonable for the supplier to be able to conclude that the type of address obtained is a business address of the recipient based on information that is available to the supplier. For example, if an online supplier asks its customers to provide what it identifies on its website as a business address for billing purposes and this is the only address of the recipient that the supplier obtains in the ordinary course of its business, the supplier is not required to verify whether the address provided by the recipient is actually a business address of the recipient.
Meaning of address obtained in the ordinary course of business
41. [This rule] does not require a supplier to obtain an address of the recipient that the supplier does not already obtain in the ordinary course of its business. …
42. An address of the recipient obtained by a supplier is only relevant [as a business address] if it is obtained in the ordinary course of the supplier's business practices in connection with the supply. However, any address of the recipient obtained in the ordinary course of business of the supplier should be taken into consideration in applying the rule. The relevant address of the recipient also does not have to be an address obtained in respect of every supply made to the recipient for it to be considered a relevant address obtained in the ordinary course of business.
Contracting and other business addresses
43. An address of the recipient obtained by a supplier in the ordinary course of business could therefore include any of the following:
- an address of the recipient from which the supplier is hired in connection with a supply pursuant to an agreement for the supply (the contracting address)
- an address of the recipient that the supplier deals with in connection with a supply
- a billing address of the recipient in connection with a supply
Example 8
- A student in Ontario with a New Brunswick permanent address purchases for $250 at an Ontario membership desk a six-month membership to use the club’s fitness facilities, which are in both provinces. On the automatic six‑month renewal, the renewal fee of $250 is automatically billed to the student's credit card with confirmation sent by mail to the home address on file in New Brunswick which, under Reg. 6(2)(b)(i)(A), is the province of supply.