Owner of small Quebec hotel fined $3K for not taking down 3-star sign by deadline

A Gaspé hotel owner has received a $3,000 fine from Revenu Québec for not removing a government sign saying his business has a three-star rating.

In September 2022, the Tourism Ministry abandoned the mandatory classification system, which the Corporation de l’industrie touristique du Québec oversaw.

Bobby Cotton acknowledges that he missed the deadline to take down the sign, but he disagrees with the amount of the fine.

“It’s a lot. It’s a lot of money,” said the entrepreneur, who built the Chalets around the world 15 years ago, in the forest, with a view of Gaspé Bay.

The ministry gave tourist accommodation owners in the province until Sept. 1, 2023, to remove the government-issued signs. Besides specifying the star rating of an accommodation, the signs certified that properties were legal and registered.

The notice of violation that Cotton received says a Revenu Québec inspector saw the sign posted on Oct. 12, 2023. Cotton said he removed it at the end of October.

Cotton says he would have accepted a $200 fine, but he considers the $3,000 penalty disproportionate to his revenue.

“We think it’s exaggerated,” he said, noting the amount of the fine represents about 10 per cent of profits from his business.

Given a short tourist season, he says business owners “make great efforts to keep our heads above water, which is not easy in Gaspésie.”

Amount is excessive: Hotel association

The Association hôtellerie du Québec also believes the fine amount is too high and confirmed that Revenu Québec served the same notice of violation to other chalet owners in the province.

It says a warning would have been enough and that Revenu Québec should instead concentrate its efforts on sanctioning illegal lodging.

“The objective of the Tourist Accommodation Act, the new law, is to counter illegal accommodation. In this case, we’re not talking about illegal accommodation,” said Association hôtellerie du Québec president and executive director Véronyque Tremblay.

Véronyque Tremblay is the president and executive director of the Association hôtellerie du Québec. (Radio-Canada)

In an email, the Tourism Ministry said the amount of the fine is prescribed in the law.

It added that the Corporation de l’industrie touristique du Québec had informed industry members that they had one year to comply with the new regulations.

Based on reporting by Radio-Canada’s Martin Toulgoat, with files from Kim Garritty, translated by Holly Cabrera