After-Sales and Lease Services

After-Sales and Lease Services

A commonly encountered sub-category of the business visitor work permit exemption applies to individuals who are entering Canada to provide after-sales/lease services.

Eligible individuals must be seeking entry to repair; service; set-up, which do not include hands-on activities; test, or supervise work on equipment, machinery or software manufactured outside of Canada and purchased outside Canada by a Canadian entity. This means that if, for instance, a Canadian manufactured product is sold in Canada by a U.S. entity, U.S. personnel would not be able to enter Canada to perform the work.

The After-sales and lease services must be performed as part of the original contract or extended sales agreement, lease or rental agreement, warranty, or service contract.

Further, it must be performed by an Original Equipment Manufacturer (OEM), an employee of the OEM, or a third party that was identified in the original of sale agreement for that specific purpose.

As long as it is provided for in the original sales agreement or extended warranty, the business person can:

  • Install, set up and test the commercial equipment, machinery or software;
  • Train or supervise Canadian workers on the commercial equipment, machinery and software;
  • Supervise installers on the commercial equipment, machinery and software;
  • Repair and service the commercial equipment, machinery or software;
  • Perform software upgrades.

However, even if stipulated in the agreement some activities cannot be performed in Canada by a business person, including:

  • Operation of the equipment, machinery or software for production; or
  • Set-up activities, meaning hands-on installation performed by construction or building trades.