Canada Exam Prep
Selling It Right overview

Selling It Right: Records, inspections and penalties

Six-year records and the cannabis register, incident logs, LCRB inspections and cooperation, the penalty and suspension schedule and court fines.

  • 13 questions
  • Topic drill
0/13
Records, inspections and penalties · Question 1Score 0/0

Which event should be recorded as an incident?

Study reference: B.C. cannabis law and LCRB guidance (Oct 2026), Ch. 8 Records and enforcement — CLR ss. 24, 31 to 35 and Schedule 2; CCLA ss. 84, 85, 110; CRS Licence Handbook 3.4, 6.1

All 13 questions in this test

Every question and its answer choices. The correct answers and explanations appear when you take the test above.

  1. Which event should be recorded as an incident?

    1. A customer asking about prices
    2. A routine delivery from the LDB
    3. A minor attempting to buy cannabis
    4. A staff member starting a shift

  2. Which document must be kept in the retail store?

    1. The building's original deed
    2. The owner's personal tax return
    3. The floor plan approved by the LCRB
    4. Each employee's high school and college transcripts

  3. Which detail belongs in an incident record?

    1. Names of employees who witnessed it
    2. The customer's favourite products
    3. The weather forecast for the week
    4. The store's monthly profit

  4. What is the maximum court fine for a corporation convicted of selling cannabis to a minor?

    1. $10,000
    2. $1,000,000
    3. $50,000
    4. $2,000

  5. During an inspection, whom may an LCRB inspector ask to show ID?

    1. Only the licensee personally, never staff
    2. No one, because only records may be checked
    3. Any person in the store, including customers
    4. Only employees who are on that day's schedule

  6. What is the penalty range for unlawful sale of cannabis by a licensee?

    1. $1,000 to $3,000, or a 1 to 3 day suspension
    2. $15,000 to $50,000, or a 15 to 90 day suspension
    3. A warning letter for a first time
    4. $3,000 to $7,000, or a 3 to 7 day suspension

  7. Besides sales records, what register must a store maintain?

    1. A register of the home addresses of all staff members
    2. A register of cannabis purchased and received
    3. A register of competitors' prices checked each week
    4. A register of every customer's full name and address

  8. How long must a cannabis retail store keep its required records?

    1. 6 years from when each record is made
    2. Only until the licence is renewed
    3. 30 days from when each record is made
    4. 1 year from when each record is made

  9. After enforcement action, what may the general manager publish?

    1. The licensee's name, the contravention and the action
    2. The home addresses of all employees at the store
    3. Nothing, since enforcement in B.C. is always private
    4. The store's full customer list and purchase history

  10. A licensee holds two store licences. How must records be kept?

    1. Only at the head office
    2. One combined set for both stores
    3. A separate set for each licence
    4. Only for the busier store

  11. When an LCRB inspector arrives, what must the licensee do?

    1. Ask the inspector to book a time to return next week
    2. Close the store to customers for the rest of the day
    3. Call a lawyer and keep the door closed until they arrive
    4. Let the inspector in right away and produce records

  12. The LCRB posts a suspension sign on a store's door. What must the licensee do?

    1. Cover it with a sale banner
    2. Remove it once regular customers have had a chance to see it
    3. Move it inside, out of public view
    4. Leave it up, unaltered, until the period ends

  13. How does the LCRB decide whether a contravention is a second contravention?

    1. Same type at the same store within the previous 12 months
    2. Any contravention anywhere in the past 5 years
    3. Any two contraventions in the same week
    4. Only if a court has convicted the licensee

Records, inspections and penalties: key rules to remember

Our summary of what the official handbook says on this topic, in our own words. Read it before or after the practice questions above, then check the original chapter. Read the official chapter ↗

Records

  • Records are kept 6 years from creation (and 6 months after the licence ends); a separate set for each licence.
  • Required: cannabis purchase and sales records (quantity and price); delivery records; transfers between own stores; disposal records (date, place, method, type and amount); accessory and prepaid card sales; contracts; invoices; incident records; court orders; employee records; training records.
  • A register of all cannabis purchased and received is also kept for 6 years.
  • Kept in the store: the licence appendix, any special terms letter, and the approved floor plan.
  • Incident records include date and time, description, people involved, employee witnesses, action taken, relevant sales records and statements.
  • Examples of incidents to record: refusing entry or asking someone to leave, a minor trying to buy, injuries or accidents (including during delivery), calling emergency services, unlawful activity.

Inspections

  • LCRB inspectors may enter non-residential premises at any reasonable time, inspect and remove records, require information, require anyone in the store (including patrons) to show ID, open packages, take samples, seize unlawfully possessed cannabis and make audio or video records.
  • Inspectors may be assisted by a peace officer.
  • The licensee must let the inspector in immediately, promptly produce records and things, and must not obstruct or withhold information.

Penalties

  • The general manager can impose monetary penalties or licence suspensions using a schedule; a contravention is a first, second or subsequent one depending on same-type contraventions at that store in the previous 12 months.
  • Unlawful possession, sale or supply of cannabis: $15,000–$50,000 or 15–90 days.
  • Self-service display or dispensing device: first $3,000–$7,000 or 3–7 days.
  • Allowing consumption in the store: first $3,000–$7,000 or 3–7 days.
  • Breaking display (window) rules: first $7,000–$11,000 or 7–11 days.
  • The GM may post signs about a suspension or penalty; the licensee must not remove, deface or move them until the period ends.
  • The GM may publish the licensee's name, the contravention and the action taken.

Court fines (selected)

  • Offences in s. 109 (1) (d) (e.g. selling to minors, training rules, conduct rules): corporation up to $50,000; individual licensee up to $50,000 and/or 6 months; other individual up to $10,000 and/or 6 months.

Study the Records, inspections and penalties rules as flashcards →

Other topics

Full practice tests