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ARTICLE · 20 MARCH 2017

Misguided Policy: CASL's Private Right Of Action For Competition Act Reviewable Conduct

McCarthy Tétrault
McCarthy Tétrault
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McCarthy Tétrault

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While much has been written about the impending CASL private rights of action, less has been said about the new private right of action CASL will tack on to the Competition Act for misrepresentations in electronic messages.

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While much has been written about the impending CASL private rights of action, less has been said about the new private right of action CASL will tack on to the Competition Act for misrepresentations in electronic messages.

The new CASL private right of action for reviewable conduct under section 74.011 of the Competition Act is an aberration, which will be inconsistent with and offensive to the current regime by which the Competition Act addresses deceptive marketing practices. It will make misrepresentations in electronic messages the only such reviewable conduct which will be subject to private damage claims, and it will expose legitimate advertisers to potentially significant damage claims for immaterial misrepresentations that cause no harm. We urge the relevant decision-makers to reconsider this very bad idea before it comes into force on July 1, 2017.

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