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Report
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Clerk at 905-623-3379 ext. 2102.
Report To: General Government Committee
Date of Meeting: September 26, 2016
Report Number: LGL-005-16
File Number: Department File #2010-08-25 By-law Number:
Report Subject: Port Granby Confidentiality Agreement
Recommendations:
1.1 That Report LGL-005-16 be received; and
1.2 That Council authorize the Mayor and the Clerk to sign the Confidentiality Agreement
attached to this Report (Attachment No. 1).
Municipality of Clarington Page 2
Report LGL-005-16
Report Overview
Canadian Nuclear Laboratories Ltd. has requested that the host municipalities execute
a Confidentiality Agreement respecting the Port Hope Area Initiative project. Staff
support the request.
2. Background
2.1 On March 29, 2001, Clarington and Her Majesty The Queen in Right of Canada
(“Canada”), along with the Municipality of Port Hope and the former Township of
Hope, entered into an agreement for the clean-up and long-term safe
management of low-level radioactive waste located within Port Hope and
Clarington (the “Agreement”).
2.2 Under the Agreement, Canada was entitled to establish a “federal operating
agency” to act on its behalf. Such an agency was established in 2012 as the Port
Hope Area Initiative Management Office, which was initially managed by Atomic
Energy of Canada Limited. Subsequently, in November of 2014, the management
of the Port Hope Area Initiative Management Office was transferred to Canadian
Nuclear Laboratories Ltd. (“CNL”).
2.3 The Agreement provides that Clarington and Canada will develop and maintain
communications and professional working relationships throughout the life of the
project and that they will consult and cooperate with each other in order to expedite
the completion of the project.
2.4 In order to facilitate such communications and cooperation, CNL has requested
that the Agreement attached to this Report (Attachment No. 1) be entered into in
order to ensure that all confidential information exchanged during or in relation to
any discussions concerning the project and other matters provided for in the
Agreement are not disclosed to or discussed with third parties, without the other
party’s prior consent.
3. Discussion
3.1 Every agreement that Clarington has entered into with Canada (through its
operating agency) in relation to the project after the original Agreement was
signed has contained confidentiality clauses. Examples include the “Agreement
for the Construction, Maintenance and Use of Municipal Roads for the Port
Municipality of Clarington
Report LGL-005-16 Page 3
Granby Project” dated April 11, 2012 and the “Agreement for the Construction,
Maintenance and Use of Lakeshore Road and Nichols Road South for the Port
Granby Project” dated April 25, 2014.
3.2 Individual confidentiality agreements have also been signed to deal with the tender
documentation relating to the Project.
3.3 The Confidentiality Agreement attached to this report (Attachment No. 1) does
two things. First, it removes any uncertainty with respect to documents that
come into our possession relating to the project. Second, it sets out an accurate
description of what our obligation is under the Municipal Freedom of Information
and Protection of Privacy Act respecting information that is supplied to us with an
expectation of confidentiality. It does not make something confidential that is not
otherwise confidential.
3.4 Staff support CNL’s request to enter into the confidentiality agreement.
4. Concurrence
4.1 The Interim CAO has reviewed this report and supports the recommendations.
5. Conclusion
5.1 Strategic Plan Application – not applicable
Submitted by: Reviewed by:
Andrew C. Allison, B. Comm, LL.B Curry Clifford, MPA, CMO
Municipal Solicitor Interim CAO
Staff Contact: Andrew C. Allison, 905-623-3379 ext. 2013 or aallison@clarington.net
Attachment:
Attachment 1 – Proposed Port Granby Confidentiality Agreement
Attachment #1 to
Report LGL-005-16
Template Version. 2012-02-14 R0 Page 1 of 5
CONFIDENTIALITY AGREEMENT
THIS AGREEMENT made the day of 2016.
BETWEEN:
THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON
(“CLARINGTON”)
and
CANADIAN NUCLEAR LABORATORIES LTD.,
a company established under the laws of Canada having its main offices in
Chalk River, Ontario (“CNL”)
RECITALS:
A. On March 29, 2001 CLARINGTON and Her Majesty The Queen in Right of Canada (“Canada”),
along with the Municipality of Port Hope, entered into an agreement for the cleanup and long-
term safe management of low-level radioactive waste located within Port Hope and Clarington,
(the “Cleanup Agreement”). This cleanup is known as the Port Hope Area Initiative (PHAI)
project.
B. The Cleanup Agreement provides that CLARINGTON and Canada shall develop and maintain
excellent communications and professional working relationships throughout the life of the PHAI
project (Article 5.2) and they shall consult and cooperate with each other in order to expedite the
completion of the PHAI project (Article 5.4).
C. The Cleanup Agreement also provides that Canada may establish a “Federal Operating Agency”
to act on behalf of Canada to fulfill Canada’s obligations pursuant to the Cleanup Agreement.
Such an agency was established in 2012 as the Port Hope Area Initiative Management Office,
which was initially managed by Atomic Energy of Canada Limited. Subsequently, in November
of 2014, the management of the Port Hope Area Initiative Management Office was transferred to
CNL.
D. To facilitate such communications and cooperation CLARINGTON and CNL wish to ensure that
all confidential information exchanged during or in relation to any discussions concerning the
PHAI project and other matters provided for in the Cleanup Agreement are not disclosed to or
discussed with third parties, without the other party’s prior consent.
NOW THEREFORE, in consideration of the premises and the mutual obligations hereinafter described,
and intending to be legally bound, the parties agree as follows:
1. Definition
Confidentiality Agreement
Template Version. 2012-02-14 R0 Page 2 of 5
(a) "Confidential Information" means all or any part of the corporate, strategic, environmental
cleanup and construction plans, drawings, specifications and schedules, and other information
provided by one party to the other in accordance with Paragraph 2, whether disclosed prior to or
after the signing of this Confidentiality Agreement, except that Confidential Information will
exclude information that:
(i) at the time of its disclosure is generally available in the public domain; or
(ii) enters the public domain and becomes generally available at any time after disclosure
other than through an act or omission of the Recipient; or
(iii) the Recipient can demonstrate by competent evidence was already known to it at the time
of its disclosure (except that if portions of such information were not known to it, then
these portions will be Confidential Information); or
(iv) after its disclosure, is disclosed to the Recipient by a third party which third party has the
unrestricted right to make such disclosure to the Recipient; or
(v) the Recipient is forced to disclose to the public or a third party by order of a court,
governmental or regulatory authority having jurisdiction over the Recipient or pursuant
to the application of freedom of information legislation, provided that the Recipient
provides the Discloser with prompt notice of any efforts to compel disclosure and
reasonably co-operates with the Discloser’s lawful attempts to prevent disclosure or to
obtain a protective order;
(b) “Discloser” means the party disclosing Confidential Information; and
(c) “Recipient” means the party receiving Confidential Information.
2. Disclosure of Confidential Information
Confidential Information disclosed in writing or in any other tangible format including computer files
must be marked “Confidential Information” or words to that effect. Confidential Information disclosed
orally must be identified as Confidential Information at the time of its disclosure.
3. Use of Confidential Information
Each party shall only use the other party’s Confidential Information for purposes of discussing the PHAI
project. Confidential Information disclosed by a party shall remain the sole and exclusive property of
such party.
4. Maintenance of Confidentiality
Confidential Information received by a party shall not be disclosed to any individuals other than the
directors, officers, employees, agents, contractors and consultants of such party (and in the case of CNL,
Atomic Energy of Canada Limited and its directors, officers, employees, agents and consultants) who
need access to such Confidential Information for purposes of discussing or carrying out the PHAI project.
Each party shall ensure that such directors, officers, employees, agents, contractors and consultants who
receive access to Confidential Information are aware of the obligations of confidentiality and non-use
Confidentiality Agreement
Template Version. 2012-02-14 R0 Page 3 of 5
contained in this Agreement and take all reasonable steps to ensure that the use of such information is on
a confidential basis, including having third party agents, contractors and consultants enter into a similar
written confidentiality agreement that applies to the PHAI project. The parties shall also maintain in
confidence the discussions between them pertaining to the PHAI project.
5. Return of Confidential Information
Upon the request of a party, each party will return to the other all copies of Confidential Information
provided to or made by it; provided, however, that either party may retain an archival copy of all
Confidential Information received by it to document its obligations of nondisclosure and limited use
hereunder. Such archival copies shall continue to be treated as Confidential Information.
6. Rights and Damages
The Discloser and Recipient both acknowledge that any breach of this Agreement by Recipient, its
directors, officers, employees, agents and consultants will be deemed to cause the Discloser irreparable
harm for which damages are not an adequate remedy. Accordingly, each of the Discloser and Recipient
agrees that in the event of any such breach or threatened breach by one of them, the other party, in
addition to other remedies at law or in equity that it may have, shall be entitled, without the requirement
of posting a bond or other security, to seek equitable relief, including without limitation, injunctive relief
or specific performance or both.
7. No Warranty
The Recipient acknowledges and agrees that neither the Discloser nor its representatives makes any
express or implied representation or warranty as to the accuracy or completeness of any Confidential
Information provided to the Recipient. Neither Discloser nor its representatives will be liable to the
Recipient or its representatives with respect to or resulting from the use (or the results of such use) or
misuse of any Confidential Information furnished hereunder or any errors or omissions in such
Confidential Information. However, the Discloser will not intentionally provide the Recipient with false
or misleading information.
8. Notices
Any notices required or permitted under this Agreement shall be in writing and either delivered
personally or by courier to a party or sent by facsimile and shall be effective on the day of receipt of the
notice if received during normal business hours of the addressee, and if not received during such normal
business hours then on the first business day of the addressee after receipt. The addresses of the parties
to which all notices shall be forwarded are as follows:
to : Municipality of Clarington
40 Temperance Street, Bowmanville, ON L1C 3A6
Attention: Chief Administrative Officer
Facsimile: (905) 623-3379
Confidentiality Agreement
Template Version. 2012-02-14 R0 Page 4 of 5
to: Canadian Nuclear Laboratories
Port Hope Area Initiative Management Office
115 Toronto Road, Port Hope, ON, L1A 3S4
Attention: Director, Project Delivery and Senior Legal Counsel
Facsimile: (905) 885-9344
10. Agreement Binding
This Agreement is binding upon the parties and their respective subsidiaries, successors and permitted
assigns.
11. No Further Obligations
This Agreement shall not impose any obligations on either party to enter into any further agreements of
any description with the other nor prohibit either party from pursuing, either independently or with any
third party, any business opportunities that the parties may discuss, provided that neither party shall
disclose the other party’s Confidential Information in any such discussions.
12. Assignment
Neither party may assign any of its rights under this Agreement without the prior written consent of the
other party, which consent shall not unreasonably be withheld; provided, however, that either party may
assign any of its rights hereunder, without such consent, to its parent company, its affiliates, or its bank
or other financial institution, and in the case of CNL, to Atomic Energy of Canada Limited. No such
assignment shall relieve the assignor from any of its obligations hereunder.
13. Entire Agreement
This Agreement constitutes the entire agreement between the parties with respect to Confidential
Information.
14. Governing Law
This Agreement shall be governed by and construed and interpreted in accordance with the substantive
laws of Ontario, without regard to its conflict of laws principles.
15. Severability
If any term of the Agreement shall be held to be illegal, invalid or unenforceable by a court of competent
jurisdiction, the remaining terms hereof shall remain in full force and effect. Each party agrees that this
Agreement embodies the entire understanding between the parties and supercedes any and all prior
arrangements, whether oral or written, entered into by the parties.
IN WITNESS WHEREOF, the parties have executed this Agreement as of the day and year written
above.
Confidentiality Agreement
Template Version. 2012-02-14 R0 Page 5 of 5
THE CORPORATION OF THE
MUNICIPALITY OF CLARINGTON
CANADIAN NUCLEAR
LABORATORIES LTD.
Per:
Per:
Adrian Foster, Mayor
Bryan Tyers
Director, Project Delivery, Port Hope Area
Initiative Management Office
Per: Per:
C. Anne Greentree, Municipal Clerk
Craig Hebert
General Manager, Port Hope Area Initiative
Management Office