DAOD 7004-0, Claims By or Against the Crown and Ex gratia Payments

1. Introduction

Date of Issue: 2003-10-17

Application: This is a directive that applies to employees of the Department of National Defence (DND) and an order that applies to officers and non-commissioned members of the Canadian Armed Forces (CAF members).

Supersession:

  • CFAO 59-3, Claims By or Against the Crown
  • CFAO 59-4, Compensation for Loss of or Damage to Personal Baggage Accepted for Shipment
  • CFAO 205-5, Military Foreign Service Regulations, Part 10, Compensation for Damage or Loss of Furniture and Effects, Section 5, Claims Procedures for Damage or Loss of F&E
  • CFAO 210-25, Compensation for Loss or Damage to Personal Property Caused by Service Laundries and Dry Cleaning Establishments
  • CFAO 210-27, Compensation for Loss of or Damage to Personal Property
  • CPAO 3.15, Recovery for Loss of or Damage to Public Property
  • CPAO 3.16, Policy on Claims and Ex gratia Payments for Damage to Servants Effects

Approval Authority: This DAOD is issued under the authority of the Department of National Defence/Canadian Forces Legal Advisor (DND/CF LA).

Enquiries: Director, Claims and Civil Litigation (DCCL) or the nearest representative of the Judge Advocate General (JAG).

2. Definitions

claims (réclamations)

Claims include requests for compensation to cover losses, expenditures or damages sustained by the Crown or a claimant, including requests or suggestions that the Crown make an ex gratia payment.

Claims do not include claims made under other governing instruments or policies, for example:

  • under section 11 of the Canadian Human Rights Act (Equal Wages);
  • from a contract dispute;
  • for loss and recovery of money;
  • for damage or loss to Crown servants' effects during travel or relocation that may be claimed under the public service or CAF integrated relocation programs; and
  • related to bodily injury while on duty.

Crown servant (fonctionnaire de l'État)

Crown servant has the same meaning as set out in the Treasury Board Policy on Claims and Ex gratia Payments made by the Treasury Board. DND employees and CAF members are Crown servants. Persons engaged under contracts for services are not Crown servants.

ex gratia payment (paiement à titre gracieux)

Ex gratia payment means a benevolent payment made to anyone in the public interest by the Crown under the authority of the Governor in Council for loss or expenditure incurred for which there is no legal liability on the part of the Crown.

personal property (effets personnels)

Personal property means personal items which would normally be carried by a CAF member in a field pack or maintained in permanent or temporary quarters, e.g., basic clothing, radios, clocks, cameras, clothing, pictures, appliances, sports equipment, books and instruments.

3. Policy Direction

Policy Statement

3.1 DND and the CAF are committed to providing reasonable and timely settlement and payment of claims made against the Crown.

3.2 Every reasonable effort shall be made to obtain satisfaction of claims by the Crown, taking into account administrative efficiency and cost-effectiveness.

Requirements

3.3 Claims against the Crown are assessed and paid as a liability of the Crown or on an ex gratia basis pursuant to the Policy on Claims and Ex gratia Payments. An ex gratia payment may not be made if there is a statutory, regulatory or policy basis for compensation.

3.4 DND employees and CAF members should secure adequate insurance to pay for the replacement cost of their personal property located in DND accommodation as the Crown may not be legally liable in respect of a claim for loss or damage to such property.

4. Authorities

Authority Table

4.1 The following table identifies the authorities responsible for implementing this policy:

The …has/have authority up to …to …

DCCL

$200,000

  • accept amounts in settlement of claims by the Crown;
  • recover from a Crown servant amounts owing to the Crown; and
  • pay amounts in settlement of a liability claim against the Crown.

Assistant Judge Advocates General (AJAGs)

$25,000

JAG legal officers on operations

$10,000

DCCL and AJAGs, and other JAG legal officers on operations

$2,000

  • make ex gratia payments.

Note - Under the Policy on Claims and Ex gratia Payments, the Deputy Minister of DND has the authority to settle claims on the basis of legal liability and make ex gratia payments. Designations of this authority have been made as set out in the above table.

5. References

Acts, Regulations, Central Agency Policies and Policy DAOD

  • NATO Status of Forces Agreement
  • Policy on Claims and Ex gratia Payments, Treasury Board of Canada Secretariat
  • Policy on Indemnification of and Legal Assistance for Crown Servants, Treasury Board of Canada Secretariat
  • National Defence Claims Regulations, 1970
  • QR&O Chapter 38, Liability for Public and Non-Public Property
  • Deputy Minister Designation Minute, 6 October 2000
  • DND/CF LA Designation Minute, 12 October 2000

Other References

  • Canadian Human Rights Act
  • Section 1 (Compensation for Loss of or Damage to Personal Property) of CBI Chapter 210 (Miscellaneous Entitlements and Grants)
  • DAOD 7004-1, Claims and Ex gratia Procedures
  • DAOD 7004-2, Compensation for Loss or Damage to Personal Property