3.12.1. No government agency, municipal body or school body may, without the prior authorization of the Government, permit or tolerate being affected by any agreement entered into between a third person and another government in Canada or one of its departments or government agencies, or a federal public agency.
The Government may attach such conditions as it determines to the authorization.
The first paragraph also applies to a public agency which, in that case, must obtain prior authorization in writing from the Minister, who may attach such conditions as he or she determines to the authorization. The minister responsible for or the minister who subsidizes the public agency shall give an advisory opinion to the Minister before the decision on the application for authorization is made.
For the purposes of the first paragraph, an agency or body is permitting or tolerating being affected by an agreement when, for instance, it enters into an agreement that is related to an agreement referred to in that paragraph.
Any contravention of the first or third paragraph or any failure to comply with the conditions referred to in the second or third paragraph entails, for the agency or body, the nullity of any stipulation or agreement having any effect whatever in its respect.