Private: Copy of Module 6: Client Identification and Verification

Previous Lesson
Next Lesson

6.12 – Verification of Individuals

You must verify the identity of the following individuals

  • individual clients,
  • individuals who give instructions on behalf of clients who are organizations, and
  • individuals who are third parties who may be instructing the client or on whose behalf the client is retaining the lawyer.

You must verify the identity of individuals at the time that you are engaged or given instructions with respect to the receipt, payment, or transfer of funds. You are not subsequently required to re-verify that individual’s identity unless you have reason to believe the information, or the accuracy of it, has changed. See Rule 1545(11).

 

Documents for Verification of Individuals

The steps you will take to verify an individual, whether a client or a third party, vary will depend on the type of identification document that you obtain. Remember that all documents used in verification must be valid, original, and current. Keep accurate records of your verification by recording the details and the date.

Government Issued Photo Identification
Government-issued identification must include the individual’s name and photograph. When using government-issued identification to verify an individual, the individual must be physically present at the time of verification. This is so that you can compare the photograph with the individual. See Rule 1545(6)(a)(i).

Credit File
You can rely on information contained in a credit file located in Canada that has been in existence for at least three years. Use the name, address, and date of birth in the credit file to verify the individual. The individual need not be physically present at the time of verification for this method. See Rule 1545(6)(a)(ii).

Dual Process Method
In this method, you must obtain information from two reliable and independent sources and use the information to verify details about the individual. Neither you, the individual, nor an agent can be a source of the information. “Reliable sources” might include banks, utility service or cell phone providers, or government agencies, among others.

You can rely on any two of:

  • information from a reliable source containing the individual’s name and address,
  • information from a reliable source containing the individual’s name and date of birth, and/or
  • information containing the individual’s name confirming they have a deposit account or credit card or other loan amount with a financial institution.

See Rules 1545(6)(a)(iii) and (b).