Judgments

Decision Information

Decision Content

T-2300-86
Mary Bland (Applicant)
v.
National Capital Commission (Respondent)
and
Privacy Commissioner of Canada (Intervener)
and
Information Commissioner of Canada (Intervener)
INDEXED AS: BLAND V. NATIONAL CAPITAL COMMISSION (T.D.)
Trial Division, Muldoon J.—Ottawa, May 14, 1990 and May 17, 1991.
Access to information — Application to review complaint against NCC's refusal to allow access to certain records requested under Access to Information Act — Meaning of 'personal information" under Privacy Act, s. 3 — Information sought concerning properties rented from respondent, tenants' names and rents paid — Public interest in disclosure out weighing invasion of privacy resulting therefrom — Crown Corporation conferring discretionary benefit of financial nature by charging lower than market value rents — Informa tion sought by applicant excluded from statutory definition of "personal information".
Privacy — NCC, Crown corporation, refusing to disclose information as to tenants' names, addresses and rents on ground of privacy — Whether information sought "personal information" not to be disclosed under Privacy Act, s. 3 — Public interest in disclosure of information outweighing inva sion of tenants' privacy within meaning of Act, s. 8(2)(m)(i) — Non-disclosure generating suspicion, cynicism in democratic society.
Crown — Real property — Crown properties administered by National Capital Commission — Newspaper researcher, working on story political party "hacks" rented premises at less than fair market value, denied information as to tenants' names, rents — Access to information versus privacy interests — Where Crown corporation conferring discretionary benefit of financial nature, information not protected from disclosure as "personal information" — Much information of nature sought publicly available under land registration systems, rent control legislation — Public interest in not eroding public trust
by cover up of facts where rumours of favouritism, misman agement of taxpayers' property.
This was an application to review a complaint against the refusal by the National Capital Commission (NCC) to allow access to certain records requested by the applicant pursuant to the Access to Information Act. As a researcher for The Ottawa Citizen, a daily newspaper, the applicant sought a list of all properties owned and administered by the NCC as well as the names and rental charges of the tenants of said properties. She was given the list but not the other information on the ground that it was protected under the Privacy Act. She then wrote to the Information Commissioner, making the point that commer cial transactions between a tax financed body and an individual or a corporation could not be regarded as "personal informa tion". The Information Commissioner would be content if the properties and rentals, but not tenants' names, were disclosed.
Counsel agreed that there were three main issues to be decided: I) What is "personal information" under section 3 of the Privacy Act? 2) Are tenants' names and rents charged personal information? 3) If yes, does the public interest in disclosure clearly outweigh any resulting invasion of privacy? A further issue was whether, if rents charged by the NCC were less than fair market value, was this "information relating to any discretionary benefit of a financial nature ... conferred on an individual, including the name of the individual and the exact nature of the benefit", in which case the latter would be excepted from "personal information". As to whether tenants' names, addresses and rental payments constitute "personal information", the applicant and the Information Commissioner argued that if tenants had contracted with the NCC for lower rents than were exacted for comparable residential properties, the NCC would have conferred a benefit upon such tenants and, ipso facto, a discretionary benefit: this is precisely what is prescribed by paragraph 3(1) of the Privacy Act to be excluded from the "personal information" within the ambit of subsection 19(1) of the Access to Information Act. As justification for her decision to refuse disclosure, the NCC chairman made representations to the Information Commissioner that the public interest in disclosure is less than apparent as there would be no general benefit for the public to be provided with that information. She added that the mere fact that public lands are being leased certainly does not imply under the legislation that the public has a right to know.
Held, the application should be allowed.
The NCC being a "government institution" as defined in section 3 of the Privacy Act, its conduct should be an open book and any information relating to rental levels and the process of establishing them should be available to the public. This is why Parliament promulgated the Access to Information Act, the purpose of which was to provide a right of access to information in records under the control of a government institution. The independent review of the decision to refuse access to the
information sought by the applicant is provided in section 41 of the Act. Since the NCC was entrusted with the management of the taxpayers' money and property and in view of the fact that rumours had circulated for years that certain tenants were the beneficiaries of "sweetheart deals", the question of public interest was a most important consideration. It is always in the public interest to dispel rumours of corruption or mismanage ment of the taxpayers' money and property.
The key statutory provision here was subparagraph 8(2)(m)(i) of the Privacy Act, which is to the effect that personal information under the control of a government institu tion may be disclosed where, in the opinion of the head of the institution, the public interest in disclosure clearly outweighs any invasion of privacy that could result from the disclosure. In the case of Rubin v. Canada (Canada Mortgage and Housing Corp.), Heald J.A. stated that the general rule is disclosure; the exception is exemption and the onus of proving the entitlement to the benefit of the exception rests upon he who claims it. His Lordship added that the Court had the obligation of ensuring that the discretion given to the administrative head has been exercised within proper limits and on proper principles. One could then ask whether the decision of the NCC chairman to bar disclosure in regard to invasion of privacy versus public interest was taken "within proper limits and on proper princi ples" in deference to the "general intent and purpose of the Act, as expressed in section 2 supra". Upon review of the chairman's written representations, which was the only evi dence of what was considered by the respondent in weighing the statutory factors before deciding not to disclose the informa tion, it was obvious that the NCC had evinced no weighing of the factor of invasion of privacy against that of the public interest in disclosure. The simple assertions that "the public interest in disclosure is less than apparent" and that "there would be no general benefit for or advantage to the public to be provided with that information" did not constitute any weigh ing of one statutory factor against the other. The "public interest in disclosure" is a paramount value which is to be suppressed only when and if it clearly does not outweigh any invasion of privacy.
The evidence and arguments indicated that the tenants' privacy interest in the non-disclosure of their rental obligations was so negligible that any invasion of it, resulting from disclo sure, was clearly outweighed by the public interest. Whether or not a tenant of a government institution, the NCC, pays rent is not a matter of privacy for it must be presumed that every tenant pays rent in money or in kind. If a tenant had an arrangement whereby no legal consideration flowed to the NCC for the use of rented premises, it would be in the public interest to disclose that information and not to cover up the facts, even more so when there were rumours of favouritism and consequent mismanagement of the taxpayers' money and property. Much information of the type sought by applicant is available to the public under land registration systems and provincial rent control legislation. Accordingly, the NCC and the Privacy Commissioner had failed to demonstrate that any real harm would befall tenants as a result of disclosure. In view of the fact that nondisclosure would generate the corrosion of public trust, suspicion and public cynicism in a free and
democratic society, the public interest in disclosure clearly outweighed any invasion of privacy resulting from disclosure.
STATUTES AND REGULATIONS JUDICIALLY CONSI DERED
Access to Information Act, S.C. 1980-81-82-83, c. 111,
Schedule I, ss. 2(1), 3, 41.
Income Tax Act, S.C. 1970-71-72, c. 63.
Land Titles Act, R.S.O. 1980, c. 230, s. 110.
Ontario Regulations, 449/88.
Privacy Act, S.C. 1980-81-82-83, c. 111, Schedule II, ss.
2, 3 (l), 8 ( 1 ),(2)(m)(i), 41.
Registry Act, R.S.O. 1980, c. 445.
Residential Rent Regulation Act, 1986, S.O. 1986, c. 63,
s. 5.
CASES JUDICIALLY CONSIDERED APPLIED:
Rubin v. Canada (Canada Mortgage and Housing Corp.), [1989] 1 F.C. 265; (1988), 52 D.L.R. (4th) 671; 19 F.T.R. 160; 86 N.R. 186 (C.A.).
CONSIDERED:
R. v. Pollock (1983), 29 Sask. R. 70 (Q.B.).
REFERRED TO:
Swain et al. v. Dennison et al., [1967] S.C.R. 7; (1966), 59 D.L.R. (2d) 357; 58 W.W.R. 232.
COUNSEL:
Richard G. Dearden and Neil Wilson for applicant.
Barbara A. Mclsaac, Q.C., for respondent. Simon Noël for intervener Privacy Commis sioner.
Michael Phalen, Pat Wilson and Paul Tetro
for intervener Information Commissioner.
SOLICITORS:
Cowling, Strathy and Henderson, Ottawa, for applicant.
Deputy Attorney General, of Canada for respondent.
Noël, Berthiaume, Aubry, Hull, Quebec, for intervener Privacy Commissioner.
Osler, Hoskin and Harcourt, Ottawa, for intervener Information Commissioner.
EDITOR'S NOTE
The Executive Editor has decided that His Lordship's 40 page reasons for order herein should be reported as abridged. The omitted ma terial concerns the background of the case, the arguments and the issue as to whether NCC tenants' names, addresses and rental payments were "personal information" and accordingly not to be disclosed upon application under the Access to Information Act. This case is of par ticular interest for the discussion of the public interest in disclosure which outweighed any resulting invasion of privacy. Summaries of the deleted portions of the reasons are provided.
The following are the reasons for order ren dered in English by
MULDOON J.: Despite the great weight of paper filed in this case, counsel aver that there are few litigious issues. Counsel for the applicant enumer ates as follows: 1) What is "personal information" defined in section 3 of the Privacy Act, S.C. 1980-81-82-83, c. 111, Schedule II? 2) Are the tenants' names and rental charged for their prem ises personal information? 3) If the previous ques tion be answered against the applicant's conten tions, then is there that degree of public interest in such disclosures which would clearly outweigh any resulting invasion of privacy? The respondent's counsel agrees, in effect, saying that the legal issue is the meaning of "personal information" and what is involved in it. There is yet another issue such that, if it be established that the rent payable to the NCC by the residential tenants is less than fair market rent, does that reduction constitute "infor- mation relating to any discretionary benefit of a financial nature . . . conferred on an individual, including the name of the individual and the exact nature of the benefit"? If so, the identity and the exact nature of the benefit are excepted from "personal information" "for the purposes of sec tions 7, 8 and 26 [of the Privacy Act] and section 19 of the Access to Information Act [S.C. 1980-
81-82-83, c. 111, Schedule I]", as provided in paragraph 3(1) of the Privacy Act.
The National Capital Commission, a Crown cor poration, is the landlord of residential, commer cial, institutional and recreational properties in the National Capital Region. For some years rumours had circulated that certain of its tenants — said to be political "hacks" of the party which had been in power federally prior to 1984 — were the beneficiaries of "sweetheart deals" in that they were tenants of NCC properties at below market value rentals. One of the persons who had drawn these rumours to the attention of the media (in particular, to the author of The Ottawa Citizen column "The Bureaucrats") was Jean E. Pigott, since named NCC Chairman. It was ironic that she now was resisting the very disclosure which she once sought.
The applicant herein, Mary Bland, was a researcher with The Ottawa Citizen, a daily news paper. She had written the NCC for a list of its rental properties along with the tenants' names and rental charges. The Commission disclosed the properties list but declined to divulge the other information as personal information protect ed under section 3 of the Privacy Act. Much of the requested information was subsequently dis closed and at the date of the hearing of this motion it was information concerning residential properties that was still being sought. In cross- examination upon her affidavit, the applicant referred to "a conversation with Jean Pigott her self who mentioned that look, tell Frank [Howard — an The Ottawa Citizen columnist] I am glad he is onto this because it is common knowledge around Ottawa that there are quite a few Liberals that — and Liberal hacks that have been getting benefit of these properties ... ".
It was not reasonable to assume that notable personages such as Pigott would have conveyed these rumours only to the media. By making such allegations to friends and acquaintances they
could create public turmoil in regard to the administration of the taxpayers' lands.
Reference was made to a memo from an NCC official acknowledging that the Commission was essentially subsidizing tenants who were occupy ing properties costing more to operate than was being recovered in rent.
All of the mitigating factors in fixing rents (other than observation of the Government's 6 and 5 anti-inflation policy) set out in the Chairman's representations pursuant to subsection 35(2) of the Access to Information Act were discretionary benefits of a financial nature.
The Court could not accept the submissions of NCC counsel that the rumours were unfounded and widespread as a result of Mr. Howard's columns. The evidence was that they had been circulating for years before their publication in "The Bureaucrats". Counsel's submission was amazing as it implied that Mrs. Pigott was wrong to have spread rumours of serious wrongdoing prior to becoming NCC Chairman.
All this silliness certainly could, and did, have an effect upon the public interest. In Canada it is not permitted to any appointed, or even elected, officials to assume aristocratic airs in the manage ment of public money or property by telling the citizen-taxpayers that the officials' stewardship is just none of the citizens' business. There is a well known compulsiveness on the part of government officials to keep secret matters which are of inter est to the public in regard to the management of the taxpayers' money and property. Is that a gratuitous assumption? It is an inference from the fact that despite the powers and activities of the Auditor General of Canada and of the committees of Parliament, and of the responsibility of the government-of-the-day to possess the confidence of the House of Commons, Parliament still thought fit to enact, and to promote its stated purpose in promulgating the Access to Information Act:
2. (1) The purpose of this Act is to extend the present laws of Canada to provide a right of access to information in records under the control of a government institution in accordance
with the principles that government information should be available to the public, that necessary exceptions to the right of access should be limited and specific and that decisions on the disclosure of government information should be reviewed independently of government.
That definite purpose is expressed no less resolute ly in the other official language of this statute. Both versions are equally definite and assertive.
The NCC is a "government institution" as defined in section 3 of the Act and designated in Schedule I thereto. The independent review of the decision to refuse access to the information sought by the applicant is provided in section 41, and exemplified in these very proceedings.
Now this matter of the rumours is emplaced in this litigation because of their alleged impact on the public interest, their potential for diluting public confidence in the administration of the gov ernment in general, and of the NCC in particular. The destruction of public confidence never leaves a vacuum in its place.
History, as the Court is entitled to note, notori ously demonstrates that destroyed public confi dence is soon replaced by that most accursed, corrosive, dangerous and pernicious of all public attitudes, cynicism. So, what in this situation is in the public interest? That is abundantly clear. It is that, whatever and whenever rumours fly, the con duct of the NCC should be an open book, with all the explanations it cares or needs to make about rental levels, the process of establishing them, or whatever.
It is always in the public interest to dispel rumours of corruption or just plain mismanage ment of the taxpayers' money and property. Natu rally, if there has been negligence, somnolence or wrongdoing in the conduct of a government insti tution's operations it is, by virtual definition, in the public interest to disclose it, and not to cover it up in wraps of secrecy. In that case government offi cials arrogate to themselves, by their refusal to give requested information, the role of judges in their own cause. In this free and democratic socie ty nothing, apart from a direction from the respon sible Minister, prevents the government institution
from giving whatever explanations it judges appro priate, along with the requested information law fully disclosed. The Court is not here adjudicating on the validity of the NCC's explanations about its rental levels. The true explanations themselves might in many situations amply dispel the rumours, as it appears from the confidential record placed before this Court.
The Court, in any event does not relish, but can hardly ignore, the NCC Chairman's personal involvement in the generation of this litigation. The interpretation of those paired statutes in pari materia, the Access to Information Act and the Privacy Act deserves a better, less personal basis of elaboration by the Court. So, while the Court is forced not to disregard that personal element, it will attempt to proceed as far as possible along regular, basic lines, just as if the Chairman had evinced no personal connection with the rumours alleged to bear on the determination of the public interest versus any alleged invasion of privacy which results from disclosure of the information.
Is the Court empowered by law to prefer the Court's view of the public interest over that of the NCC? The statutory provision under consideration here is emplaced in the Privacy Act, thus:
s....
(2) Subject to any other Act of Parliament, personal infor mation under the control of a government institution may be disclosed
(m) for any purpose where, in the opinion of the head of the institution,
(i) the public interest in disclosure clearly outweighs any invasion of privacy that could result from the disclosure, or ... [Emphasis not in original text.]
What outweighs something else is clearly a matter of opinion — and oftentimes a very subtle adjustment of opinion — which, in the statute, resides primarily at least in the head (or Chair man) of the government institution, (here, the NCC). In the Access to Information Act and in the Privacy Act the respective sections numbered 41 both begin with the headline, "Review by the Federal Court" and they both provide, in the same words, for a "person" or an "individual" to "apply
to the Court for a review of the matter". This, then, is the review of the matter which subsection 2(1) of the information legislation exacts "be reviewed independently of government, (recours indépendants du pouvoir exécutif)."
The meaning of this latter provision for the matter to be reviewed independently of govern ment in the total context of the legislation — that is, independently of the decision made or discretion exercised by the head of the government institu tion, was conveyed forcefully and lucidly by Mr. Justice Heald J.A., for the unanimous Appeal Division of this Court in Rubin v. Canada (Canada Mortgage and Housing Corp.), [1989] 1 F.C. 265.
At page 272 of the Rubin case, Heald J.A. is recorded as discoursing on paragraph 21(1)(b) of the Act, in an example which serves present pur poses, by analogy, thus:
The Assistant Information Commissioner of Canada in his letter to the respondent dated September 3, 1986, expressed the very definite opinion, based on his review of the sample records that: "disclosure of the vast majority of the minutes would be innocuous to the interests of the Corporation."
Here, the Information Commissioner herself, in her scrupulously painstaking 29 -page Report on Results of Investigation (exhibit B to applicant's affidavit sworn October 21, 1986 — public application record, vol. I, tab 2) devoted the last 17 pages to the matter of public interest. Here are two passages from pages 26-27:
To sum up, this is not an instance in which an applicant is merely fishing for information of tenuous relevance based on totally unsubstantiated allegations. There is clear prima facie evidence, eventually confirmed by public statements from the NCC itself, that some — perhaps most — NCC rents are or were below market value.
The public interest in this case is based on the public's right to have its concerns about the NCC leasing arrangements laid to rest — not in chasing a moving target.
The facts revealed by this investigation, in my opinion, give rise to a legitimate, overriding public interest in determining wheth er subsidized rents have been established and subsidized rental properties allocation [sic] in an open and equitable manner by the NCC. That public interest arises whether or not the rents below market value constitute a "discretionary benefit of a financial nature."
So wrote the Information Commissioner in this matter, and here is what Mr. Justice Heald J.A. continued (at page 272) to write in the Rubin case:
This considered opinion from a senior and responsible public official should not be ignored. Furthermore, the broad exemp tion claimed in this case by the respondent does violence to the purposes of the Act as expressed in section 2 of the Act. [above recited]
The passages of the Rubin decision which are applicable in the case at bar continue on pages 273-274 as follows:
In my view, section 49 clothes the Court with jurisdiction to determine whether the head of the institution is authorized to refuse disclosure. The discretion given to the institutional head is not unfettered. It must be exercised in accordance with recognized legal principles. It must also be used in a manner which is in accord with the conferring statute. (Lord Reid in Padfield v. Minister of Agriculture, Fisheries and Food, [1968] A.C. 997 (H.L.) at pages 1030, 1034). The applicable legal principles are well stated by Wilson J. in the Oakwood case when she said that an administrative decision-maker "must be seen not only to have restricted its gaze to factors within its statutory mandate but must also be seen to have turned its mind to all the factors relevant to the proper fulfil ment of its statutory decision-making function." In the Pad- field case, supra, Lord Reid said, at page 1030:
Parliament must have conferred the discretion with the intention that it should be used to promote the policy and objects of the Act; the policy and objects of the Act must be determined by construing the Act as a whole and construc tion is always a matter of law for the court ... if the Minister, by reason of his having misconstrued the Act, or for any other reason, so uses his discretion as to thwart or run counter to the policy and objects of the Act, then our law would be very defective if persons aggrieved were not entitled to the protection of the court.
Accordingly, it is incumbent upon the institutional head (or his delegate) to have regard to the policy and object of the Access to Information Act when exercising the discretion con ferred by Parliament pursuant to the provisions of subsection 21(1). When it is remembered that subsection 4(1) of the Act confers upon every Canadian citizen and permanent resident of Canada a general right to access and that the exemptions to that general rule must be limited and specific, I think it clear that Parliament intended the exemptions to be interpreted strictly.
The issue then is whether, in the circumstances of this case, the delegate of the respondent did exercise properly the discre tion conferred upon her, in promotion of the policy and objects of this Act.
The passage beginning on page 276 of the Rubin case is of great import here. It runs:
In approving of the course of action of the respondent's delegate herein, the Motions Judge followed the decision ... in the CRTC case, supra. Specifically, he relied on the statement ... at page 420, supra, which I repeat hereunder for convenience:
Once it is determined that a record falls within the class of records referred to in subsection 21(1) the applicant's right to disclosure becomes subject to the head of the government institution's discretion to disclose it.
With every deference, I am unable to agree with that view of the matter. Such a conclusion fails to have regard to the objects and purposes of the Act. The general intent and purpose of the Act, as expressed in section 2 supra, includes a clear intention by Parliament to provide a means whereby decisions respecting public access to public documents will be reviewed "independ- ently of government." (Subsection 2(1), supra.) Then in section 48, it is provided:
48. In any proceedings before the Court arising from an application under section 41 or 42, the burden of establishing that the head of a government institution is authorized to refuse to disclose a record requested under this Act or a part thereof shall be on the government institution concerned.
This section places the onus of proving an exemption squarely upon the government institution which claims that exemption.
The general rule is disclosure, the exception is exemption and the onus of proving the entitlement to the benefit of the exception rests upon those who claim it. Section 46 must also be considered. It reads as follows:
46. Notwithstanding any other Act of Parliament or any privilege under the law of evidence, the Court may, in the course of any proceedings before the Court arising from an application under section 41, 42 or 44, examine any record to which this Act applies that is under the control of a govern ment institution, and no such record may be withheld from the Court on any grounds.
In my view Parliament enacted section 46 so that the Court would have the information and material necessary to the fulfilment of its mandate to ensure that the discretion given to the administrative head has been exercised within proper limits and on proper principles. Judicial deference to the exercise of discretion by an administrative tribunal must, necessarily, be confined to the proper limits of the tribunal's power of decision. The determination of those proper limits is a task for the Court.
What then did the NCC, by its chairman, con sider when it concluded that the invasion of its tenants' privacy clearly outweighed the public in terest in disclosure of the rental charge exacted for each tenant's right to peaceful exclusive possession of his or her rented premises during the term of the lease? Was the decision to bar disclosure in regard to invasion of privacy versus public interest taken " within proper limits and on proper princi-
pies" in deference to the "general intent and pur pose of the Act, as expressed in section 2 supra"?
L. J. Prevost's affidavit has been mentioned. Here is its paragraph 11, which runs:
I1 . The Chairman of the NCC wrote to the Information Commissioner and made representations under subsection 35(2) of the Act on June 9, 1986. A copy of said representa tions is attached hereto and marked as Exhibit "D" to this my affidavit. [Public application record, vol. IV, tab 17, page 1028.]
He refers to the chairman's written representa tions, above noted, in which she recited some 19 mitigating factors involved in fixing rental charges.
L. J. Prevost was cross-examined on his affida vit. Here is his testimony on the matter of public interest and invasion of privacy, about which he was questioned, since they figure visibly in those written representations, exhibit D to his affidavit:
Q. Okay. Now with respect to paragraph 8(m) of the Priva cy Act of what we will call the public interest override of privacy, what discussions were held with the Chairman with respect to whether or not that particular section of the Privacy Act would apply?
A. That subject, as I recall, only came up at a meeting between our Chairman and Mrs. Hansen of the Informa tion Commissioner's office. Right along the discussions we had not raised the public interest. That was raised at one of the last meetings, I do not recall which one, after having argued the definition of personal information as opposed to public interest. That was strictly based on the financial — discretionary financial benefit to the tenants. That was the argument.
Q. So that would be sometime in 1986 if you say it is one of
the last meetings with the Commissioner?
A. Late '85 or '86. I believe late '85.
Q. Late '85. Okay, and you — are you aware, sir of the criteria that the Chairman used in exercising her discre tion under or deciding as to whether paragraph 8(m) of the Privacy Act applied or did not apply?
A. I am aware of a decision. I am aware of her discussions with our senior counsel. I was at one of the meetings, but not all of them. The response, of course, I was aware of.
Q. Which was no, the public interest does not — A. Which was no to the public interest
Q. — outweigh the invasion of privacy. But do you know any of the reasons or facts that form the foundation for her opinion that the public interest in disclosure did not clearly outweigh an invasion of privacy of the tenants?
A. No minutes were kept except maybe a few notes here and there of the several meetings, but at one particular meet ing, I do recall that if it was in the public interest, then possibly there should be a tenant singled out which would be subject to the RCMP investigation and not a general condemnation of all tenants because of the possibility of favours being done to tenants.
Q. Why would there be an RCMP investigation?
A. Well if there was suspicion that there was that type of thing, then that was the view that that is the way it would be dealt with.
Q. What type of thing?
A. Sweetheart deal, so-called, as special benefits to certain tenants, that type of thing which was the question raised by Howard.
Raised by Howard, indeed! The question was, as is now plainly acknowledged and proved, originally planted by, (among others), the Chairman, herself!
However, since no minutes were kept, then the Chairman's written representations (exhibit D) are the only evidence of what was considered in the respondent's weighing of the statutory factors in the NCC's decision not to disclose the information which the applicant seeks. That is, those represen tations furnish the only evidence before this Court about whether the decision was made "within proper limits and on proper principles" having due regard to the "general intent and purpose of the Act, as expressed in section 2 supra".
The representations signed by the NCC Chair man on June 9, 1986, take up 8 1 / 2 pages, legal size. On page 3 thereof (page 1038 of vol. IV), the first reference to subparagraph 8(2)(m)(i) arises with the note of a meeting between, as it seems, the Information Commissioner's counsel and the NCC counsel, on December 3, 1985. The short passage records:
The Commissioner then invoked the notion of public interest pursuant to subparagraph 8(2)(m)(i) of the Privacy Act for the disclosure of the information. [That subparagraph is then recited in full.]
The matter is next mentioned at page 4 (page 1039 of vol. IV), thus:
On April 25, 1986 the Chairman of the NCC replied to the Commissioner and reiterated the need for another appraisal. She also confirmed that the NCC was at odds on the principle of disclosure of personal information in the public interest.
The Chairman's written representations return to the matter of the public interest on page 7 where subparagraph 8(2)(m)(i) is again recited. The question inherent in that provision is men tioned at greater length on page 8 (or, page 1043 of vol. IV) in these passages, which are continued in reference to subparagraph 8(2)(m)(i), and the public interest, on to page 9 (1044):
The head of this institution has therefore the discretion to disclose personal information; in exercising this discretion she must balance the public interest in disclosure against the threat to an individual's privacy. As stated in Part III of the Interim Policy Guide: Access to Information Act and Privacy Act of the Treasury Board.
"Information shall be disclosed under this provision only when it is apparent that there is a clear public interest in disclosure but no other release category under subsection 8(2) is applicable."
The public interest in disclosure is less than apparent in this situation as there would be no general benefit for or advantage to the public to be provided with that information. Further more, since some of the conditions forming an integral part of a lease would not be disclosed in this process, it would be misleading to the public and unfair to the tenants.
A high standard both in terms of weight and nature of the public interest is requested [sic] to demonstrate that the inva sion of privacy is clearly outweighed by the public interest. The mere fact that public lands are being leased certainly does not imply under the legislation that the public has a right to know.
The head of this institution has determined in accordance with subparagraph 8(2)(m)(i) of the Privacy Act that there is no public interest in this case, or if any, would not be persuasive or of such significance to outweigh any invasion of privacy.
The head of this institution, has determined that no public benefit would be gained through the disclosure of the requested information pertaining to residential tenants. Therefore no information will be released pursuant to subparagraph 8(2)(m)(i) of the Privacy Act.
RECOMMENDATION
Moreover, the Privacy Commissioner should be requested to intervene in this matter in an attempt to delineate the scope and the parameters of subparagraph 8(2)(m)(i) of the Privacy Act as it would be of benefit to this investigation.
Dated at Ottawa, Ontario this 9th day of June 1986.
[signed] Jean Pigott
Chairman
[Emphasis not in original text.]
The emphasized sentence in the Chairman's text conveys an assertion which is plainly antagonistic to "the general intent and purpose of the Act", which is the basic criterion enunciated by the Federal Court of Appeal, speaking by and through Mr. Justice Heald J.A. in the Rubin case, above cited. That simple, direct assertion emphasized in the chairman's written representations, without any explanation (and there is none), just cannot be made to accord with the "right of access to infor mation in records under the control of a govern ment institution in accordance with the principles that government information should be available to the public [and] that necessary exceptions should be limited and specific", promulgated in subsection 2(1) of the Access to Information Act. It is clear that a blunt, bare assertion of the opposite is not a specific, limited exception no matter how simplistic its expression. Indeed, that mere traversal of the statutory principle is no exception at all.
The NCC, speaking and acting by and through its Chairman, evinces no weighing of the factor of invasion of privacy against that of the public inter est in disclosure, which weighing exercise is man dated by subparagraph 8(2)(m)(î) of the Privacy Act. The "public interest in disclosure" is a statu tory Polaris, and it is not to be cursorily denigrated by the simple assertions that it is "less than appar ent in this situation" and that "there would be no general benefit for or advantage to the public to be provided with that information". Such assertions do not constitute any weighing of one statutory factor against the other. In any event, under sec tion 2 of the information legislation, "the public interest in disclosure" exists as a paramount value which is to be suppressed only when and if it clearly does not outweigh any invasion of privacy. That requires that "any invasion of privacy" must be a weighty matter, indeed, for if not, it will inevitably be clearly outweighed by "the public interest in disclosure".
So often in the jurisprudence one sees govern ment institutions refusing to disclose information because its subjects are individuals. Canada is not a nation quantified in terms of automatons, spirits or legal fictions, but in terms of people. In logic, then, of all the information in records under the control of a government institution, the over-
whelmingly greater part simply must be about people. That factor does not make their privacy paramount, for if that were the case, "the public interest in disclosure" would be stillborn.
So, it is clear that one must, at least notionally, quantify what might be called "the privacy inter est" in order that "the public interest in disclo sure" and it may be weighed against each other. This is an intellectual exercise par excellence, which subparagraph 8(2)(m)(i) exacts firstly of the heads of government institutions, and secondly by this Court, in order "that [their] decisions on the disclosure of government information should be reviewed independently of government."
Counsel for the Privacy Commissioner cited the case of R. v. Pollock (1983), 29 Sask. R. 70 (Q.B.) which propounds a test for forming an "opinion" under a statute, whereby it can be seen that according to such test (at pages 73-74) the head of the NCC must be found to have formed no valid opinion on the competing factors described in sub- paragraph 8(2)(m)(i). Inter alia, the Pollock case holds:
... the opinion must have been arrived at upon proper consider ation, based on sufficient observation. It must have been an objective opinion, capable of justification by appropriate reasons.
For its circumstances, that test is closely akin to the Rubin test applied in the present circum stances. The effort by the Chairman of the NCC demonstrably fails the test. The mere assertion of the result falls far short of justification by appro priate reasons. How such an opinion, pursuant to a statutory provision, may be dealt with on appeal is also illustrated in Swain et al. v. Dennison et al., [1967] S.C.R. 7, at pages 12-13.
How did the chairman of the NCC form her alleged opinion? How did she weigh the counter- vailing privacy interest? She hardly did so at all. She did report in her written representations of June 9, 1986, at page 8, or page 1043 of vol. IV, that:
They [those tenants who made numerous phone calls to the NCC] seemed very reluctant to disclose the information requested as they expected that that information would remain confidential. They also have expressed strong feelings that the public has no right to know.
Now, the consent of the individual to whom the information relates is the discrete subject of sub section 8(1) of the Privacy Act, which forbids disclosure by the institution without such consent, "except in accordance with this section". Then comes the next portion of "this section" in the form of subsection 8(2) which accords many and various permissions for the disclosure of informa tion, listed in paragraphs from (a) to (m). Sub- paragraph 8(2)(m)(i) permits disclosure for any purpose, where in the opinion of the head of the institution, the public interest clearly outweighs any invasion of privacy which could result from such disclosure.
The operation of subparagraph 8(2)(m)(i) accords no weight at all to the consent or refusal thereof, or the opinion, of the tenant, the individu al to whom the information relates. It is obvious why. Unless tenants were infused with some rare desire to be "open books", they might all decline to consent to disclosure, even if not treated with favouritism, and once again the paramount public interest in disclosure would be thwarted. The head of the NCC, in reporting some of the tenants' feelings, evinces no objective consideration of their privacy interests, nor the weight to be accorded any "invasion" thereof resulting with the require ments of the statutory provision which she pur ported to invoke, subparagraph 8(2)(m)(i). The proof resides in the written representations which she signed on June 9, 1986, exhibit C to L. J. Prevost's affidavit (vol. IV, tab 17).
In performing this review "independently of government", that is, independently of the head of the government institution involved here, the Court concludes, upon consideration of the evi dence and reflection on the arguments of counsel including their references to matters already in the public domain, that the tenants' privacy interest in the non-disclosure of their rental payment obliga tions is negligible. It is so negligible that any invasion of it, resulting from disclosure, is clearly outweighed by the public interest.
How so? In the first place it is just not a matter of privacy as to whether or not a tenant of a government institution, the NCC, pays rent. It must be presumed that every tenant pays rent in money or in kind. If a tenant had an arrangement whereby no legal consideration flowed to the NCC for according to the tenant peaceful, exclusive possession of the premises for rent, then it surely would be in the public interest to disclose that information, and not to cover up the facts. So, presumably every tenant pays rent in some form, in consideration for the right to occupy the rented government-owned property. Leasing by a tenant from a private landlord, generates a certain priva cy interest, save perhaps in terms of the Income Tax Act. One presumes that the tenant pays rent. So, there can be no expectation of a privacy inter est in the fact that the NCC's residential tenants are presumed to pay rent. It is clearly in the public interest to know that, or at least to presume it.
Now, what privacy interest is served by keeping the amount of the rent under wraps? Millions of Canadian home owners — mortgagors or their successors in title — enjoy no privacy whatever in regard to the amount, rate of interest thereon and frequency of the instalments whereby they repay the loans for which they have pledged their resi dential premises as security under a mortgage or hypothèque. It is all in the public domain, as is the price paid for the real property upon purchase, whether under the Torrens system, the cadastre system or even, in many instances, under the old "deeds" system. Even leases over a certain mini mum term may be registered in the Torrens system as must an estate in fee simple. The Court may, and does, notice that the modern land titles system, whereby the province issues and guaran tees an indefeasible Torrens title to the fee simple, mines and minerals, surface or leasehold, which is completely open to the public with any and all mortgages, encumbrances, liens, easements and any cloud on the title assumed or imposed, is not regarded as a curse by the people where it is in force. Millions of Canadians outside the National Capital Region, who yet have a public interest in the NCC's stewardship, seem to evince a much lower threshold of privacy interest, at least for
private real property possessions securing indebt edness, than is evinced by some of the NCC's tenants and officials. Indeed that which is open to public scrutiny is not only encumbered title to real property, but clear title, too. No one appears to be in agony, or even discomfort over such an institu tionalized "invasion" of privacy, for no privacy exists in such instances. This, in face of the fact that, quite apart from clear titles, the mortgaged homes or leaseholds are also utterly private prop erty securing quite private indebtedness. So, the NCC's tenants are also indebted through renting, in effect, publicly owned real property under lease arrangements, about which there are rumours of favouritism and consequent mismanagement (or worse), of the taxpayers' money and property.
In Ontario, Quebec and Manitoba inter alia there are rent control laws. They vary in the ease with which a member of the public can have access to information of the kind sought here. Counsel did not invite the Court to survey all of the ten ants' rights, or all landlord and tenant legislation in Canada, even although the whole country is the natural constituency of the NCC.
The applicant's counsel mentioned the law of Ontario only. He averred (transcript, vol. I, pages 48-49) that pursuant to section 110 of the Land Titles Act [R.S.O. 1980, c. 230] and subsection 21(7) of the Registry Act [R.S.O. 1980, c. 445] leases can be registered and thereby become avail able for public inspection, yielding the very kind of information which is here in issue. Moreover the Ontario Residential Rent Regulation Act, 1986 [S.O. 1986, c. 63], through regulations made pur suant to it, last amended in the repeal and re-enactment of section 5 thereof by Ont. Reg. 449/88 provides for release of "information respecting the rent for a single specific rental unit ... by telephone, by mail or in person" and of all other information upon application "in Form 7R". Then again, the respondent's witness, Gaetan Roy, an accredited appraiser of the Appraisal Institute of Canada, under cross-examination on his affida vit sworn July 6, 1988 (public record, vol. III, tabs 13 and 14, pages 937-938), swore that he dis covered the rental rates paid for private (non-
NCC) comparable properties simply from the multiple listing service, of which he was, and maybe still is, a member.
Furthermore, all counsel agree that under the NCC's constitutive statute, any lease of five years' duration must be approved by Order-in-Council and that tips the sought-after information right into the public domain, despite the NCC Chair- man's proclivity for keeping all NCC residential rents and tenants' identities protected. But there is more to consider in this regard. The Information Commissioner's extremely well balanced and cogently composed Report on results of investiga tion, dated September 11, 1986, is persuasive in presentation of fact and conclusions. At that report's pages 21-22 are these passages:
Whether it [the privacy interest] is demonstratively greater may depend on various factors. One is the degree to which the information in question is regarded as private by the commu nity generally and by the persons concerned — whether it is treated as sensitive and highly private (like an invisible disabili ty) or as a matter of general knowledge (like approximate weight and height).
Section 3 of the Privacy Act explicitly expresses the common view that there is a privacy interest requiring some measure of control over one's name, address and financial information — the very matters covered by the complainant's access request.
However, the situation with regard to the amount of rent paid is ambiguous. Rent typically figures prominently in the finan cial affairs of tenants — a matter specified in section 3 of the Privacy Act among elements of "personal information" not ordinarily subject to disclosure. But the amount of rent charged for a particular property is commonly advertised by landlords seeking to attract tenants. The amount is also routinely dis closed by the landlord without the tenant's consent in a variety of other circumstances, in connection, for example, with almost any real estate transaction and through co-operation among creditors. At the time of this access request, indeed, it was NCC policy to routinely disclose the amount of rent paid to creditors who asked, as well as whether and to what degree a particular tenant was in arrears.
Further, the privacy interest in the amount of rent one pays is similar in character to the privacy interest in the property value of one's home which, again, is routinely available in tax assess ment rolls, real estate transactions and expropriations.
The expectation of privacy is a related concern. The records in this case involve property owned by a government institution. This might lessen expectations of privacy, in light of the
generally acknowledged principle of government accountability to Parliament for its activities, particularly since the passage of the Access to Information Act. But, following passage of the Privacy Act, the expectation of privacy might be higher.
Any harm that may be done to the individuals concerned by invasion of their privacy is also a consideration. It is not necessary to show that specific harm will — or even may — be done, but an invasion of privacy will obviously be more serious if it results in harm to the one whose privacy has been invaded. Such harm could be stigma, disgrace, harassment, loss of money, employment or friends, or adverse publicity. It is not easy to predict what the effects of any invasion of privacy of information will be, so it becomes necessary to weigh not only the potential harm itself but also the likelihood that the harm will occur. [Applicant's affidavit of October 21, 1986, exhibit 12 in public application record, vol. I, pages 0059-60.1
The emphasized sentence in the above quoted passage is confirmed by an internal NCC memo to "property branch staff" dated September 10, 1981, a copy of which is exhibit T to Bruce M. Anderson's affidavit sworn February 18, 1988, filed in public application vol. II, tab 9, page 0472. According to Mr. Anderson's exhibit U, the NCC's free and easy access policy was somewhat restrained by NCC's chief of financial services on March 11, 1986, long after the applicant began her quest for the kind of information formerly given out.
In response to telephone enquiries by prospective tenants, the NCC provides the information about the amount of rent payable for a property. This was admitted during the cross-examination of L. J. Prevost, exhibited in public application record, vol. IV, tab 18, page 1156. Moreover, exhibit 11 on his cross-examination demonstrates that, almost uni versally in the region, newspaper advertisements for residential premises disclose the amount of rent to be paid by a tenant, (public application record, vol. VI, pages 1613-1642).
The respondent and the Privacy Commissioner could demonstrate no real harm to tenants, and the NCC's witness testified on cross-examination that he had heard of none, in the already existing free and easy access policy. It is acknowledged that privacy is nevertheless privacy, whether its
invasion results in harm or not. However, the disclosure of how much residential rent a person pays to a government institution, pales into com parative insignificance when one thinks of a really serious invasion of privacy such as disclosure of a criminal record, or of marital infidelity or medical condition for examples of matters which, along with income tax returns, most folks would not wish to disclose, or to have disclosed about themselves.
It must also be acknowledged that those tenants, if any, who really did benefit from the corrupt "sweetheart deals" previously alleged to Mr. Howard and to the applicant by Mrs. Pigott, among others, if any such deals there be, would possibly suffer embarrassment. Perversely, too, they might enjoy respect and admiration for their "astuteness", "influence" or "importance" in the materialistic, hedonistic elements in the society of Canada today. The Court concludes, upon all of the evidence, argumentation and deliberation engaged herein, that the privacy interest of the NCC's residential tenants in their being identified with the amount they pay for the NCC property they occupy is a slight, leaky vessel.
The applicant and the Information Commission er diverge in their argumentation as to whether the tenants ought to be named in relation to the identity of the NCC lands which they occupy. The Information Commissioner is content to have only the properties and their respective rents disclosed. The applicant seeks all the information. Given how much other real property holdings and holders are so fully in the public domain all across Canada, it seems unreasonable to shield the personal identi ties of this small band of NCC tenants. Upon all the foregoing, the Court concludes — as the head of the NCC ought to have concluded — that "any invasion of privacy" [of her institution's tenants] which "could result from the disclosure" would be of negligible weight or importance, both subjec tively, and especially objectively, viewed and assessed.
For centuries past, no doubt, it would have been said by informed folk, as well as by the Courts, that the sum of money or other consideration paid by any identified tenant, as rent, to a private landlord was nobody's business but the parties' own. With the advent of rent control measures established by the provinces, even that domain of
private contracting has yielded to the legislator's notions of the public interest. The NCC, however, is no private landlord. It is entrusted with the good administration of the public's money and property. That fact alone discloses a strong public interest in knowing precisely how the public money and prop erty, entrusted to the NCC, a government institu tion, are administered. What further strengthens the public interest, to the point of irresistibility, is the spreading of rumours by persons of substance to the effect that unjustifiable, if not corrupt, favours are being bestowed by the NCC on its tenants — the spreading of rumours even unto the point of urging a newspaper columnist to verify them. This, if anything, imparts such a massive weight to the public interest in disclosure, that any invasion of the tenants' meagre privacy interest is of negligible consequence.
The public interest in disclosure has already been extensively described and reviewed herein, in terms of non-disclosure generating the corrosion of public trust, and generating suspicion and public cynicism in a free and democratic society which is gravely, if not mortally, wounded by public cyni cism. It is abundantly clear in such circumstances that the public interest in disclosure clearly, vastly outweighs any invasion of privacy which could result from such disclosure.
His Lordship then dealt with the issue as to whether the tenants' names, addresses and rental payments constituted "personal informa tion". Applicant's argument was that if certain NCC tenants were paying less rent than was exacted for comparable residential properties, the NCC was conferring upon them a discretionary benefit of a financial nature. In that case, the information would not be "personal information" under paragraph 3(I) of the Privacy Act.
The Information Commissioner had engaged a real estate appraiser to give an opinion as to the fair market rent of some 30 NCC properties. His report indicated that 26 of these were worth more than the rent charged. On average, the market value was 65% higher than the rent charged by the NCC. An appraiser engaged by the NCC reported that 15 out of 26 properties were rented
at less than fair market value. The Information Commissioner had made out a prima facie case that a benefit of a financial nature had been conferred by charging lower than market value rents so that the information sought by applicant was excluded from the statutory definition of "personal information". It was open to the NCC to publish some valid explanation for that situation.
Upon a proper interpretation of paragraph 3(I) of the Privacy Act, it was unnecessary to have obtained evidence of a quantifiable benefit. Just by entering into a government contract (a lease from the NCC) the tenants had conferred upon them a discretionary benefit of a financial nature. The contractual relationship need not be other than ordinary and honourable. In other words, a contractual relationship between an individual and a government institution is enough to bring infor mation relating thereto into the contemplation of paragraph 3(I) of the Privacy Act.
Accordingly, the NCC was ordered by the Court to disclose to the applicant the names and addresses of its residential tenants as well as the exact amount of rent that each was charged. The applicant was awarded costs on a solicitor-and- client basis while the Information Commissioner had judgment for party-and-party costs.
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