CONTEST RULES/PRECEDENTS
Do you need contest rules/precedents
for a Canadian contest?
We offer many types of Canadian contest/sweepstakes law precedents and forms (i.e., Canadian contest/sweepstakes law precedents for running common types of contests in Canada). These include legal precedents for random draw contests (i.e., where winners are chosen by random draw), skill contests (e.g., essay, photo or other types of contests where entrants submit content that is judged to enter the contest or for additional entries), trip contests and more.
Also available are individual Canadian contest/sweepstakes precedents, including short rules (“mini-rules”), long rules, winner releases and a Canadian contest law checklist.
For more information or to order see: Canadian Contest Law Forms/Precedents.
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DECEMBER 2023 COMPETITION ACT AMENDMENTS
On December 15, 2023, Bill C-56 (An Act to amend the Excise Tax Act and the Competition Act), which introduced the first of two new significant rounds of amendments to the federal Competition Act, largely came into force.
This first new round of amendments to the Competition Act, which is intended to strengthen the ability of the Competition Bureau (Bureau) and private parties to enforce Canadian competition law and enhance competition generally in Canada, includes fundamental changes to Canadian competition law not seen since the last major amendments to the Competition Act in 2009.
In general, the amendments to the Competition Act under Bill C-56 include new broad powers for the Bureau to conduct market studies, changes to the core substantive test for abuse of dominance under section 79 (creating new two-track tests for abuse of dominance), increased penalties for abuse of dominance, broadening the civil agreements provision (section 90.1) to include agreements between non-competitors (i.e., to also apply to vertical agreements, such as distribution/supply agreements) and repealing the efficiencies defences under section 90.1 and also for mergers under section 96.
These amendments increase the potential competition law risk for companies, trade and professional associations and other entities, particularly those without credible and effective competition law compliance programs and have not reviewed their business practices to reflect Canada’s new competition law.
The amendments introduced by Bill C-56 in December 2023 are expected to be followed by a second and more significant round of amendments contained in Bill C-59, which is currently working its way through Parliament. If passed, Bill C-59 would be the most important amendments to Canadian competition law since the current modern Competition Act replaced the former Combines Investigation Act in the 1980s.
For more information about the December 2023 amendments, see: Significant Canadian Competition Act Amendments Come Into Force (Bill C-56). See also: Competition Bureau, Guide to the December 2023 amendments to the Competition Act. For more information about Bill C-59, the second federal amendment bill, which has not yet passed, see here.
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OVERVIEW OF WRITTEN OPINIONS
(ADVISORY OPINIONS) UNDER THE COMPETITION ACT
Under section 124.1 of the Competition Act, any person may apply to the Commissioner of Competition, with supporting information, for a binding written opinion regarding the application of one or more sections of the Competition Act to proposed conduct.
Written opinions are available under the following sections of the Competition Act, among others: conspiracy (section 45), criminal and civil misleading advertising (sections 52 and 74.01), deceptive telemarketing (section 52.1), other deceptive marketing practices, multi-level marketing and pyramid selling (sections 55 and 55.1), performance claims (section 74.01(1)(b)), promotional contests (section 74.06), resale price maintenance (section 76), exclusive dealing / tied selling / market restriction (section 77), abuse of dominance (sections 78 and 79) and the civil agreements section of the Competition Act (section 90.1).
Written opinions from the Competition Bureau are one way, in addition to legal advice, to obtain comfort for some types of proposed business practices that could potentially raise issues under Canadian competition law. Advisory opinions, however, are only available for proposed conduct (i.e., for future proposed activities).
Importantly, the Commissioner of Competition has discretion under the Competition Act to issue written opinions and may consider factors including whether the Competition Bureau’s recommended information requirements to apply for an opinion have been met, facts are uncertain or hypothetical or issuing a written opinion might interfere with an ongoing examination or inquiry by the Bureau.
A written opinion, if issued, will state whether, in the Commissioner of Competition’s opinion, particular sections of the Competition Act included in the request apply to the proposed conduct.
Importantly, however, that the Competition Bureau has narrowed the scope of advice provided under such opinions. The Competition Bureau’s current policy is not to provide an assessment of the effects on competition of proposed conduct. The Bureau will also not provide an opinion on the application of potential defences.
In addition, there are some sections of the Competition Act that do not currently fall within the Commissioner of Competition’s policy for written opinions. As such, while the Competition Act refers to “any provision of the Act”, the Commissioner exercises discretion in issuing opinions in relation to some topics and sections of the Competition Act.
Written opinions are typically sought with confidentiality requests, including invoking section 29 of the Competition Act and the Competition Bureau’s policies and procedures relating to confidentiality. Section 29 sets of the Competition Act sets out confidentiality protections for information provided to the Competition Bureau including voluntarily provided information for written opinion applications under section 124.1.
A written opinion, if issued by the Competition Bureau, is binding on the Commissioner of Competition if all of the material facts have been submitted, they are accurate and for as long as the relevant facts remain substantially unchanged.
The Competition Bureau has issued guidelines for what it recommends be included in written advisory opinion applications. For more information, see: Competition Bureau Fee and Service Standards Handbook for Written Opinions.
COMPETITION ACT ENFORCEMENT
AND REMEDIES RESOURCES
For more information about Canadian competition law investigations, enforcement and remedies, see: Competition Act Complaints, Competition Act Litigation, Competition Law Enforcement, Competition Bureau Immunity and Leniency Programs, Market Studies/Inquiries and Whistleblowers.
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CANADIAN CONTEST & ADVERTISING LAW SERVICES
We are a Toronto based competition and advertising law firm that offers business and individual clients efficient and strategic advice in relation to Canadian competition and advertising laws, including contests/sweepstakes and other types of promotions. Our experience includes advising Canadian and U.S. clients in relation to Canadian contest/sweepstakes, advertising/marketing and competition/antitrust laws.
For more about our contest/advertising law services see: here
To contact us for Canadian contest or advertising law advice see: here
For more information about our firm, visit our website: Competitionlawyer.ca