The new requirements are not expected to be onerous, but it should cause executives to reconsider their dealings with cabinet ministers and senior officials, says Ben Mills, a lawyer with McCarthy Tetrault who specializes in lobbying legislation.

"It's not groundbreaking, but things have definitely changed," he said. "When government changes the offence provision and the penalties, that's a clear signal that they view it more seriously and are probably more inclined to pursue greater enforcement."

Financial penalties for violations have been doubled to $50,000 for a summary conviction and $200,000 for an indictable offence, with potential jail terms remaining at six months and two years respectively.

The new act is culmination of the Conservative government's campaign promise to clean up government after a series of Liberal scandals.

The key provisions were not directed at corporations, but rather in what was seen as a too thin line between public and private that saw senior public servants, politicians and their staff translate their experience and contacts in government into quick and lucrative lobbying jobs after leaving government.

The statute calls for a five-year "cooling off" period preventing designated public office holders from becoming lobbyists.

The biggest change for businesses is that they must report any conversation on a pre-arranged meeting with senior officials or ministers and their staff, listing both the person contacted and the nature of the lobbying. Previously, lobbyists needed to just report generally on the subject and departments being approached.

On a practical level, Mills said, even a friendly dinner chat between friends, if one is a an executive or lobbyist and the other a government official, must be reported if the conversation turns to a subject in which the private individual has an interest.

"That means that even when they are having (friends) over to dinner, they need to be vigilant," Mills pointed out.

Business groups have voiced a number of complaints with the legislation, including that requiring they divulge the subject of a conversation to a government official might provide competitors with key information about a particular company's plans.

As well, they argued the new requirements added to the burden and paperwork of doing business.

In a letter to government earlier this year, the Canadian Chamber of Commerce also cited a double standard when it came to representatives of foreign governments, who did not have to report their lobbying even if it is on behalf of a company.

"It seems inconsistent that regulations meant to provide transparency regarding lobbying would create a situation where a Canadian company that communicates with a designated public office holder on a particular issue would be required to report the encounter, but a representative of a foreign government, possibly acting on behalf of a company, that speaks to the same government official on the same issue, would not have to report the meeting," the chamber wrote.

Public interest advocates, such as Duff Conacher of Democracy Watch, criticized the bill for not going far enough, saying it was full of loopholes.