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FOR BUSINESS LEADERS · COALDALECoaldale

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Hypothetical example: a Coaldale vegetable-processing company has bought a plant in the United States and wants to move its quality-assurance director there. He has two direct reports. L-1A requires one continuous year of qualifying employment with the related company abroad within the three years before the petition, a qualifying relationship between the two entities — parent, branch, subsidiary or affiliate — with both actively doing business, and duties in the United States that are primarily managerial or executive. Time in L-1A status is capped at seven years, and an L-2 spouse is employment-authorized incident to status. The question this file has to answer is whether managing a company-wide function counts as managerial when the team is small.

Talk about L-1A
PurposeExecutive or managerial transfer
Company linkQualifying related businesses
New officeA distinct evidence requirement

IN THIS GUIDE · A quality-assurance director who manages a function rather than a department

Start with the L-1A eligibility and application overview

01

Managing a function is recognised, but it has to be described properly

A manager does not have to supervise a large staff. The definition also reaches someone who manages an essential function of the organisation, operates at a senior level within it, and has authority over that function rather than merely performing it. For a quality-assurance director that means demonstrating ownership of the food-safety programme itself: setting the standards, approving the procedures, deciding what gets released and holding the authority to stop production. Write the description around those decisions rather than around headcount.

02

Show who does the hands-on work instead

The weakness in a small-team file is usually that the transferee is also the person swabbing lines and writing reports. Identify by name and role the technicians, supervisors and contractors who carry out testing, sanitation verification and record-keeping at the U.S. plant. If nobody does, that is an honest finding and it changes the analysis: a transferee who will personally perform the function is not managing it, however senior the title on the door.

03

Fix the corporate relationship on paper before the plant deal closes

Hypothetical example: the U.S. plant is bought by a numbered company owned personally by two of the Canadian shareholders rather than by the Canadian corporation. That structure may make commercial sense and still fail the relationship test. Establish who owns each entity and in what proportion, obtain the share registers and any trust or holding arrangements, and confirm that both companies are and will remain actively doing business rather than existing only as an address.

04

Document the qualifying year exactly as it happened

One continuous year of qualifying employment abroad within the preceding three years is a factual claim that payroll can prove or disprove. Gather T4 records, pay statements and an employment letter that gives the start date, the role and any leave. If the director spent part of that period seconded elsewhere, working reduced hours or on a leave, say so and check how it affects continuity rather than presenting a tidy summary the records do not support.

PUT THE DETAILS TO WORK

Guides for your next decision.

L-1A · COALDALE

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