Settlement Reached In Three Complaints Based On Marital Status

The Prince Edward Island Human Rights Commission announced today that a settlement had been reached between four individual complainants and the Government of Prince Edward Island.

A Government of Prince Edward Island policy provided an exemption to the payment of tax on sales of private automobile transfers between family members. Married couples qualified for the tax exemption, but common-law couples do not. The policy was enforced by the Provincial Tax Commissioner and applied by the Registrar of Motor Vehicles. Between 1994 and 1998 the Prince Edward Island Human Rights Commission received four Complaints filed against the Government of Prince Edward Island alleging discrimination in the provision of services on the basis of marital status. The Highway Safety Division informed the Complainants that they were required to pay taxes on the transfer of ownership or joint ownership of a vehicle from one common-law spouse to the other. The Complainants would not have had to pay the taxes if they were married to their common-law spouse.

The Prince Edward Island Human Rights Act states that no person shall discriminate against anyone in the enjoyment or manner in which services are provided to the public. Marital status is defined in the Act as "...living with a person of the opposite sex in a conjugal relationship outside marriage".

A Human Rights Panel Hearing was scheduled for June 28, 2000. Shortly before the Hearing, the Government of Prince Edward Island advised the Commission that to settle the complaints it was prepared to discontinue its discriminatory practice. The Respondent has agreed to modify the policy of the Provincial Tax Commissioner which is applied by the Registrar of Motor Vehicles. The Government of Prince Edward Island will now extend to common-law couples, who identify as such, an exemption from sales tax for transfers. This exemption shall be offered as long as it is made available to married couples. The Government of Prince Edward Island will also refund to the Complainants the amount of sales tax, with interest, that they paid in respect to the transfers.