Closing a storefront in Quebec: what the law requires before you lock the door

Banks Avocats Newsletter — Thursday, September 17, 2026

Hi there,

La Cordée is closing a second downtown Montreal store tomorrow — a blunt reminder that even a long-established business can end up having to shut a location. Whether that’s ever you, or you’re on the opposite end hiring and expanding, here’s what’s worth knowing this week: the collective-dismissal rules most owners have never heard of, a very real fine for a retailer that let its website slide into English-only, what Ottawa just announced for equipment purchases, and a UK deadline you don’t want to miss if you have an overseas director. Five minutes, coffee in hand.

Quebec

1. La Cordée is closing a second store — what the law requires before you shut a location

Outdoor retailer La Cordée closes its Promenades Cathédrale location in downtown Montreal tomorrow, September 18 — its second closure since the company sought creditor protection under the Bankruptcy and Insolvency Act on July 11, weighed down by more than $13 million in debt. Here’s what a lot of owners don’t realize: closing a location or cutting staff isn’t only a business call, it’s a specific legal obligation. The moment an employer ends the employment of 10 or more people at the same establishment within a 2-month window, that’s a “collective dismissal” under Quebec’s Act respecting labour standards — and it triggers a mandatory written notice to the Ministère de l’Emploi et de la Solidarité sociale: 8 weeks’ notice for 10 to 99 employees, 12 weeks for 100 to 299, and 16 weeks for 300 or more. Past 50 affected employees, the employer must also help set up a reclassification assistance committee.

Do this week: If any staff reduction or location closure is even a possibility in the coming months, run the numbers now — 10 people in 2 months adds up faster than you’d think once you count part-time roles — and talk to your lawyer before anything is announced to staff, not after.

2. English-only website costs a clothing chain a $3,000 fine

The Office québécois de la langue française confirmed that URBN Canada Retail inc. (owner of the Anthropologie clothing brand) was found guilty by the Court of Quebec of keeping its transactional website exclusively in English, despite an Office order requiring it to comply. Quebec’s Charter of the French Language (section 52) requires any commercial publication — including a website — to be drafted in French; ignoring an Office order is a separate offence under section 205. The result: a $3,000 fine, on top of legal costs and media attention. The file took nearly two years to reach a court decision, proof that the Office doesn’t drop a case once it’s opened one.

Do this week: If you sell online, check that your site — products, cart, checkout, customer service — is genuinely available in French by default for Quebec customers, not just reachable through a language toggle. An English version can exist alongside the French one; it can’t replace it.

3. Red tape or tax cuts? Convenience stores asked the parties — the answer affects you too

The Conseil canadien de l’industrie des dépanneurs (CCID), whose members employ over 51,000 people and remit $6.7 billion in taxes annually in Quebec, wrote to the province’s five main parties on August 25 asking them to commit to consulting the sector before adopting new rules that affect it. Three parties responded before the September 8 deadline: the CAQ pledged to keep collaborating with stakeholders; the Liberals (PLQ) proposed an immediate moratorium on new regulations, a “2-for-1” rule (cutting two administrative requirements for every new one added), and a new “Efficacité Québec” task force; the Conservatives (PCQ) positioned themselves outright as the party of substantial deregulation for business. The Parti Québécois and Québec Solidaire didn’t respond.

Do this week: Whatever sector you’re in, these regulatory commitments — not just the tax promises — are worth tracking before October 5. A moratorium or a “2-for-1” rule would genuinely change the pace at which new administrative obligations land on your desk over the next few years.

Rest of Canada

4. Ottawa launches the “Productivity Mega Deduction” — $36 billion for equipment purchases

On September 15, the federal government announced the Productivity Mega Deduction, a permanent measure letting businesses immediately expense the full cost of eligible capital investments in the year the asset becomes available for use, instead of writing it off over several years. Roughly two-thirds of capital investment now qualifies, up from just 15% under the earlier Productivity Super-Deduction announced in Budget 2025. Covered categories include machinery, equipment, clean technology, zero-emission vehicles, patents, data infrastructure, and computers acquired after September 15, 2026. Buildings, goodwill, and franchises are among the exclusions. Estimated cost to Ottawa: $36 billion over five years.

Why it matters: If you’re planning to buy equipment, machinery, or clean technology for your business, the purchase date now matters almost as much as the price — an asset bought after September 15 could be fully deductible this year instead of depreciated over several. Check with your accountant on whether your planned purchases fall into an eligible category before you sign a purchase order.

International

5. Director of a UK company? The identity-verification deadline is closing in

Since November 18, 2025, UK Companies House has required every director or person with significant control (“PSC”) of a UK-registered company to verify their identity — either directly through GOV.UK One Login or through an authorised corporate service provider, at a cost of roughly £50 to £150. The transition window closes in November 2026, and in practice most directors already need to be compliant this fall, at the point of filing their company’s next annual confirmation statement. Failing to comply is a criminal offence exposing the director, the PSC, and the company itself to unlimited fines and possible disqualification or imprisonment — and since spring 2026, a filing submitted without the required personal code is simply rejected, which can trigger a loan covenant breach or stall a deal that’s already underway.

Why it matters: If you or a business partner sits on the board of a UK subsidiary or affiliated company, don’t let this slide — a rejected UK corporate filing can delay financing or a sale at exactly the wrong moment.

Business for sale? (Or shopping for one?)

35-year-old clothing retail business in the heart of Montreal — for sale. The owner is retiring after more than three decades in business. Loyal customer base, sought-after location, stable financial history: a rare chance to take over an established operation rather than start from scratch. The best deals are prepared months in advance — and a clean corporate file is worth its weight in gold at the negotiating table. Write to us in full confidence at contact@banksavocats.com to learn more.

About the author Jade Banks is a lawyer and the founder of Banks Avocats. She advises entrepreneurs and executives in Quebec and across Canada on business law: incorporations, buying and selling businesses, commercial contracts, and compliance (Law 25, the Charter of the French Language). Her approach: plain language, practical advice, and real attention to your business goals. She and her team write this newsletter every Wednesday.

This newsletter is general information only and is not legal advice. Every situation is unique — speak with a lawyer before acting. © 2026 Banks Avocats — banksavocats.com