In a speech last week, the Senior Deputy Commissioner of
Competition (the "SDC") indicated that the digital
economy is squarely on the Competition Bureau's (the
"Bureau") radar and that the agency will be vigilant in
terms of ensuring that digital and mobile advertisements comply
with the Competition Act.
Truth in Online Advertising
Recognizing that the rapid growth in e-commerce is being driven
in large part by increased consumer use of apps and greater
reliance on mobile payments, the SDC stated that the Bureau's
position is that "innovation in digital advertising must not
compromise a consumer's right to truth in
advertising."
In other words, the rules regarding misleading advertising apply
equally to online promotional activities. In this regard, the
Bureau is focussed on misrepresentations that create a general
impression to consumers that is false or misleading because the
advertiser has hidden key terms that affect the price ultimately
paid by consumers.
