On June 2, 2017, the Governor General in Council issued an Order in Council (the “new Order in Council”) amending Order in Council P.C. 2013-1323, the Order fixing the coming into force dates for sections of Canada’s Anti-Spam Legislation (“CASL”). The new Order in Council repeals a paragraph in Order in Council P.C. 2013-1323 that sets the date for the coming into force of a private right of action under CASL.
Innovation, Science and Economic Development Canada issued a press release to accompany the repeal, explaining that the government is suspending the implementation of the private right of action “in response to broad-based concerns raised by businesses, charities and the not-for-profit sector.” The press release notes that what is needed is “a balanced approach that protects the interests of consumers while eliminating any unintended consequences for organizations that have legitimate reasons for communicating electronically with Canadians.” As such, a parliamentary committee will be asked to review the legislation. The Canada Gazette further notes that the delay is for the purpose of promoting “legal certainty for numerous stakeholders claiming to experience difficulties in interpreting several provisions of the Act while being exposed to litigation risk.”
Despite the fact that the current suspension of the private right of action delays the risk of private claims and class actions, the transition period for requesting express consent ends on July 1, 2017. For more information in this regard, see Charity & NFP Law Update May 2017’s article “July 1st CASL Deadline Looms.” As there are significant penalties under CASL, charities and not-for-profits (“NFPs”) must ensure that they have complied and continue to comply with CASL. The Canadian Radio-television and Telecommunication Commission will assess each case but maximum penalties are up to $1 million for individuals and $10 million for businesses.