We're talking specifically Canada here, right?I read on the Federal site that the 400foot rule does apply to the sub 250 drone class as well.
None of the section 901 requirements referring to registration, licensing, line-of-sight, max altitude, operating near an aerodrome or in controlled airspace, Basic vs Advanced operations, etc, etc, etc, none of those apply to under-250 gram micro-drones. Check the links I posted above. You can read for yourself the actual legal requirements there.
Yes, Transport Canada has posted Guidelines on their website for micro-drones, but those are not regulations. Those are sensible recommendations, but not legal requirements.
That said, if you choose to ignore those Guidelines and insist on your "rights" to fly above 400 ft (which is not illegal for under-250 gram drones), you risk having your actions interpreted as being reckless or negligent.
And worse, if you flaunt your legal "right" to fly in such a manner, you risk having Transport Canada impose more severe legal restrictions on under-250 gram drones. And nobody wants that.