This is when the court decides that given the character of the offender and the nature of the crime, punishment would not be appropriate. There are two types of discharge:
Absolute discharge: No further action is taken, since either the offence was very minor, or the court considers that the experience has been enough of a deterrent. The offender will receive a criminal record.
Conditional discharge: The offender is released and the offence registered on their criminal record. No further action is taken unless they commit a further offence within a time decided by the court (no more than three years).