Enforcement Regime

Enforcement options range from initial warnings and increased supervision of the Agency, to fines, probation, suspension, and de-accreditation.

The system overseen by the CLSAB has a very good track record of identifying deficiencies in the grading system and taking appropriate corrective action.

CLSAB inspectors are trained to identify non-compliance during their inspections – and given the authority to take appropriate action. CLSAB has the authority to bring an Agency before a disciplinary review panel and to impose a range of disciplinary actions. Compliance is monitored by increased inspection and reports.

CLSAB works with law enforcement agencies to stop the unauthorized use of grade stamps. In these rare cases, appropriate legal action is taken.

The Operations Committee recommends and implements enforcement actions, and reports its findings to the Board of Directors. Where disciplinary action is required, the Operations Committee is empowered by the Board to establish a Review Panel. This panel includes members of the Operations Committee and non-competing Grading Agencies. It follows appropriate legal procedures and can conduct investigations and hearings, and issue reports on findings. It can also levy penalties including fines and suspensions. In the event that de-accreditation is required, the Review Panel must make its recommendation to the Board of Directors.

Policy, bylaws, and regulations governing all the processes from accreditation to disciplinary action are reviewed periodically by the CLSAB’s Strategic Planning Committee. That committee makes recommendations for changes to the governance of the CLSAB to the Board of Directors.