CASL CASL

Whatyouneedtoknowabout
CanadasnewAntiSpamLegislation
JasonMcLinton,SeniorDirector,RetailCouncilofCanada&
ScottSmith,Director,CanadianChamberofCommerce
January29,2014
Format for this webinar Formatforthiswebinar
WillfocusonCommercialElectronicMessages
Whodoesthelawapplyto?
WhyNow?
KeyConcepts
Transition
Preparingforcompliance
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Who does the law apply to? Whodoesthelawapplyto?
Essentially everyone
Corporations,nonprofits,individuals,colleges&universities,trade
associations,hospitals,incorporated&unincorporatedbusinesses,
etc.
The exemptions are for registered charities & political parties who are Theexemptionsareforregistered charities&politicalpartieswhoare
seekingdonations
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CASL Why now? CASL Whynow?
Publicconsultationsonspam&malwarebeganin2004
L i l ti d i 2010 b t did t i t f til l ti Legislationpassedin2010butdidnotcomeintoforceuntilregulations
werefinalized
ElectronicCommerceProtectionRegulationsadoptedin2013(CRTC
enforcement enabling regulations adopted in 2012) enforcementenablingregulationsadoptedin2012)
LegislationtakeseffectonJuly1,2014
WaitingforenforcementguidelinesfromCRTC
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Key Concepts KeyConcepts
CommercialElectronicMessages CEMs
d h Consent YoucantsendaCEMwithoutit
Prescribedinformation InformationthatmustbeineveryCEMyousend
Includinganunsubscribemechanism
R d B d f f i Records Burdenofproofisonyou
Penalties Administrative&civil
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What is a commercial electronic message? Whatisacommercialelectronicmessage?
CEMdefinedintheActas:
Meaning of commercial electronic message Meaningofcommercialelectronicmessage
(2) ForthepurposesofthisAct,acommercialelectronicmessageisan
electronicmessagethat,havingregardtothecontentofthemessage,the
hyperlinksinthemessagetocontentonawebsiteorotherdatabase,orthe
contactinformationcontainedinthemessage,itwouldbereasonableto
concludehasasitspurpose,oroneofitspurposes,toencourageparticipation
inacommercialactivity,includinganelectronicmessagethat
(a) offerstopurchase,sell,barterorleaseaproduct,goods,aservice,landoran
interestorrightinland;
(b) offers to provide a business investment or gaming opportunity; (b) offerstoprovideabusiness,investmentorgamingopportunity;
(c) advertisesorpromotesanythingreferredtoinparagraph(a)or(b);or
(d) promotesaperson,includingthepublicimageofaperson,asbeingapersonwho
doesanythingreferredtoinanyofparagraphs(a)to(c),orwhointendstodoso.
Othercommercialelectronicmessage
(3) Anelectronicmessagethatcontainsarequestforconsenttosenda
messagedescribedinsubsection(2)isalsoconsideredtobeacommercial
electronicmessage.
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What does that mean? Whatdoesthatmean?
Ifyouaresendingamessagethatenticessomeonetobuy
something itsaCEM
Ifyouaresendingamessagetoasksomeonetogiveyou
permissiontosendthemaCEM itsaCEM
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What does that mean? Whatdoesthatmean?
Email,SMSTexts,instantmessages&socialnetworkmessages
are all electronic messages areallelectronicmessages
ThemajorityofB2Cmessagesarecommercial
ManyB2Bmessagesarecommercial
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What does that mean? Whatdoesthatmean?
TheCRTCdetermineswhatiscommercialcontent themessage,the
intent,thelinksallfactorinthedecision
IfitsaCEM,youmusthaveconsenttosenditorfitintooneofthe
exemptionsintheregulations
Th ti t h t i id d CEM if it h TherearenoexceptionstowhatisconsideredaCEM ifithas
commercialcontent,itsaCEMbutthereareexemptionstowhenthe
rulesapply
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What are the exemptions? Whataretheexemptions?
EvenifamessageisaCEM,youwillnotneedconsentto:
Sendaquotationuponrequest
Completeatransaction
Providewarranty,recallorsafetyinformation
I ll f th t till i l d th ib d i f ti & Inallofthesecasesyoumust stillincludetheprescribedinformation&
anunsubscribemechanism
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What is consent? Whatisconsent?
AnyonewhoreceivesaCEMfromyoumusthavegivenyoutheir
permissiontodosoaheadoftime
Therearetwotypesofconsent:
Express,meaningsomeoneactivelygaveyoupermissiontosendthemaCEM
I li d i it ld b bl t l d h Implied,meaningitwouldbereasonabletoconcludeyouhavesomeones
permissiontosendthemaCEMbasedonpriorrelationships
Youcannotsendanelectronicmessageaskingforthispermissionafter
July1 y
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Express Consent ExpressConsent
Anactive,positiveindicationthat
someonewishestoreceiveCEMs
Canbeintheformof:
Signuponawebsite
Response to a contest or Responsetoacontestor
couponoffer
Signupatpointofsale
Sign up over the phone Signupoverthephone
Cannot pretoggle,must
discloseprescribedinfo&must
maintain records maintainrecords
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Anotherexampleforacquiringexpress
consent
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Hownottoacquireconsent
X C D S XCoupons,DrawsorSurveys
40%Off!!
Enteryouremailbelowtoredeemyourfreegiftcertificatefor40%offand
toqualifyforourgrandprizedrawofover1,000prizes.
____________[SUBMIT]
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Hownottoacquireconsent
X F ll il XFollowupemailstocoupons,etc.
Please find your coupon for 40% Pleasefindyourcouponfor40%
offattached.Youhavealsobeen
entered in our grand prize draw for enteredinourgrandprizedrawfor
achanceatoneofover1,000
i !! prizes!!
IagreetoreceiveCompanyInc.s g p y
newsletter.Youcanwithdrawyour
consentatanytime.
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Implied Consent ImpliedConsent
AFamilyrelationship
R l d b i hild l i hi h di Relatedbymarriageorparentchildrelationshipwheredirect,twoway
communicationcanbedemonstrated
APersonalrelationship
Evidence of sharing of interests through direct twoway communications over Evidenceofsharingofintereststhroughdirecttwo waycommunicationsover
aperiodoftime
Abusinessornonbusinessrelationship
Severalexemptionsfromsection6oftheAct
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Business relationship exemptions Businessrelationshipexemptions
EvenifamessageisaCEM,CASLdoesnotapply(consentwillnot
required)formessagessent:
Withinanorganization
Betweenorganizationsthathavearelationship
To satisfy a complaint Tosatisfyacomplaint
Torespondtoaninquiry
Tosatisfyalegalobligation
That also means there is no requirement to include prescribed Thatalsomeansthereisnorequirementtoincludeprescribed
informationorunsubscribemechanismforthesetypesofmessages
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Other consent considerations Otherconsentconsiderations
SoughtSeparately g p y
computerprograms&
CEMsmusthaveseparate
consents consents
Youcannotbundle
consent aconsentto
receiveCEMscannotbe
tiedtoanagreement,
purchase or contest purchaseorcontest
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Examplesforacquiringconsent
SSeparate
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Hownottoacquireconsent
X M l i l XMultiple
I accept the terms and conditions I agree to the installation of Company Iacceptthetermsandconditions.IagreetotheinstallationofCompany
Inc.ssoftware.IaccepttoreceiveCompanyInc.snewsletter.
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Prescribed Information PrescribedInformation
AllCEMs underCASLmust:
Identifywhosentthemessage
AND identifywhothemessageissentonbehalfof
Providecontactinformationforbothoftheabove thatmeanssnail
mailaddress
Theaddressesmustbevalidforaminimumof60daysafterthemessage
issent
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An unsubscribe mechanism Anunsubscribemechanism
Mustbebysameelectronic
means as the CEM meansastheCEM
Ifthatsnotpractical(suchas
inanSMStext),thenbyother
electronicmeans&aweb
dd address
Itmustbeincludedinevery
messagesent
It must be at no cost to the Itmustbeatnocosttothe
receiver
Ifthereceiverunsubscribes
within 10 business days, you within10 businessdays,you
mustensurethatnofurther
messagesaresent!
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Sample email Sampleemail
Thisweeksspecial:40%offeverythinginthestore!
ThismessagewassenttoyoubyAgencyABConbehalfofXYZLtd.Pleasecontactusat
example@xyzltd or at <<mailing address>> example@xyzltdorat<<mailingaddress>>.
UNSUBSCRIBE
IfyoudonotwishtoreceiveelectronicmessagesfromXYZLtd.inthefuture,please y g , p
replybyemailwithyourname<<andotheridentifyinginformation,suchasanemail
address>>tounsubscribe@xyzltd.Pleasebeadvisedthatthismayrestrictourabilityto
sendmessagestoyouinthefuture.
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Records Burden of proof is on you Records Burdenofproofisonyou
Youmust havearecordofhowconsentwasacquired:
Forexpressconsent,thatmeansanelectronicdatabase,paperrecords,
audiofilesorothermeanstorecordthetime,date,circumstances&active
permissionofthereceiver
For implied consent, that means a record of the nature of the relationship & Forimpliedconsent,thatmeansarecordofthenatureoftherelationship&
recordofanytwowaycommunications(preferablycopiesofelectronic
communications)
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Penalties Penalties
AMPs(administrativemonetarypenalties)forviolationsareamaximumof
$1millionforindividuals&$10millionfororganizations
AMPsareimposedbyCRTCordesignate
AMPsareintendedtoencouragecompliance
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Penalties Penalties
Violationsarenot acriminaloffence
CanbeappealedtoFederalCourt
Notliableifduediligencecanbedemonstrated
PRA(PrivateRightofAction)notinforcefor3years
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Transition Transition
LawdoesnotcomeintoforceuntilJuly1,2014forCEMs
January152015forcomputerprograms
Obligatorylegislativereviewin2017
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Transition Transition
Lawalsostipulates3yeartransitionperiod
Someconsentsremainvalidduringtransitionperiod(expressconsents
thatdonotconformtoprescribedrequirements)
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Transition cautions Transitioncautions
CRTCFAQsreleasedinDecember
DeterminingifthecontentofamessageconstitutesaCEMwilllikely
havetobedecidedonacasebycasebasis
Inpracticalterms,someconsentsacquiredpriortocomingintoforce
ill t b t bl ( t i d d PIPEDA) willnotbeacceptable(consentsacquiredunderPIPEDA)
Erronthesideofcaution
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How to prepare Howtoprepare
1.Reviewyourprocesses
Whoareyousendingmessagesto?
Whatisthecontentofthesemessages?
Doyouhaveproperconsent?
H i t h t? Howareyougoingtoproveyouhaveconsent?
Howareyougoingtomanagerequeststounsubscribe?
Areyourstaffproperlytrained?
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How to prepare Howtoprepare
2.Whatyoucandonow:
Getconsentforyourcurrentmailinglistsifyourenotcertaintheyre
covered
Startkeepingrecordsofconsents
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How to prepare Howtoprepare
3.WhatyoucanasofJuly1:
StartincludingprescribedinformationinyourCEMsunlessanexemption
applies
Stopsendingelectronicmessagesasyourfirstpointofcontact
Stop sending CEMs without consent StopsendingCEMswithoutconsent
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Next Steps NextSteps
IndustryCanada/CRTCsessionsinFebruary&March
FirstsessionisFeb5inToronto.Youcanregisterat
caslsessionslcap@crtc.gc.ca
ExploringpossibilityoftargetedsessionsforRCC/CCCmembers
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Questions?
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FAQs FAQs
Q:Canwecontinuetousethirdpartyliststhatwepurchasedpreviously?
A:Inmostcases,yesaslongasyouhavearecord&futuremessageshave
therequiredinformation&unsubscribemechanismaslongasyouhave
d ill t d t t t arecord,youwillnotneedtogetanewexpressconsent
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FAQs FAQs
Q:CanIsendamessagetoallmycustomerstoannouncethelegalchanges,
&thenaskthattheyrespondviaasurveytoconfirmordenythatthey
areprovidingconsent?
A:BeforeJuly1,2014,yes.AfterJuly1,2014,yesifyouhaveconsent.Note
that if you have a record of how the electronic address was acquired thatifyouhavearecordofhowtheelectronicaddresswasacquired
beforeJuly1,2014,consentisconsideredimplieduntilJuly1,2017,&
youcouldsendthistypeofmessage,unlessofcoursetherecipient
unsubscribes.
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FAQs FAQs
Q:CanIsendaCEMtoanotherbusinesswithoutexpressconsent?Doesit
havetocontainanunsubscribemechanism?
A:Insomecases,yes.Somebusinesstobusinesscommunicationsareexempt
f th f & t t i t & th f d t h t t i fromtheform&contentrequirements&thereforedonothavetocontain
anunsubscribemechanism.
Toemployees,betweensimilarbusinessesthathavearelationshiporto
contractorsthathavesimilarbusinessinterests
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FAQs FAQs
Q:Iworkforanindustryassociation&oftensendCEMstomymembers.Does
thismeanImexemptfromtherequirementforexpressconsent?What
abouttheform&contentofCEMs?Iftheyunsubscribefromreceiving
CEMsfromme,canIstillsendthemtheirrenewalnotice?
A:Anindustryassociationisacorporation.YoucansendaCEMtoanother
businesswithoutexpressconsentaslongasyouhavearelationship&
haverecords,businesstobusinesscommunicationsareexemptfromthe , p
form&contentrequirements&thereforedonothavetocontainan
unsubscribemechanism.However,inpracticalterms,itmaybeprudentto
includeanunsubscribemechanismtomessagessuchasnewsletters&
advertisements It is also important to note that membership prospects advertisements.Itisalsoimportanttonotethatmembershipprospects
maynotbecoveredunderthebusinessexemption.
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FAQs FAQs
Q:Wesellthroughdistribution.Wouldwebeconsideredashavingan
existingbusinessrelationshipwiththeendcustomer?Doesthismean
wereexemptfromtherequirementforexpressconsent?Whataboutthe
form&contentofCEMs?
A:Itdependsonwhotheendcustomeris.Iftheendcustomerisaconsumer,
thenno.Ifitisanotherbusiness,youwouldneedtobeableto
demonstrate&havearecordoftherelationship. f p
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FAQs FAQs
Q:Howlongdoweneedtomaintainrecordsofconsents?
A:Foraslongasyouintendtocommunicatewiththereceiver.Inpractical
terms,itisprudenttokeepthoserecordswellbeyondthelast
i ti d t Th l ti l t th t di b communicationdate.Thelawstipulatesthataproceedingmaybe
initiatedupto3yearsaftertheviolationwasnotedbytheCRTC.
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FAQs FAQs
Q:Atatradeshow,wouldscanningaperson'sbadgebeconsideredconsent
iftheyagree.Wouldthelistderivedfromshowmanagementbeusedas
proofofconsent?
A N if th diti f t i th t d h b dl d ith th A:No,iftheconditionofenteringthetradeshowwasbundledwiththe
requestforconsent.Yesifenteringthetradeshowwasseparate+ifyou
clearlyaskthepersoniftheygranttheirconsenttoreceiveexactlywhat
typeofCEMs&indicatedthatscanningtheirbadgewasthewayyou yp f g g y y
weremakingarecordofthatconsent.
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FAQs FAQs
Q:Forconferencesortradeshows,wouldeblaststopreviousattendeesto
letthemknowonlineregistrationisnowopenoraremindertoregister
ok?Wouldthisbeacaseofabusinessrelationshipthatdoesnotrequire
expressconsentaslongastheyhaveattendedorpreregisteredinthe
past 2 years? past2years?
A:Formostexistingbusinessrelationships,consentisimpliedfor2yearsor
untilthepersonwithdrawstheirconsent.Itisimpliedfor6monthswhen p p f
theexistingbusinessrelationshipconsistsonlyofaninquiryor
application.Asatransitionalmeasure,consentisimpliedforexisting
businessrelationshipsuntilJuly1,2017,oruntilthepersonwithdraws
their consent theirconsent.
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Annex A Further reading AnnexA Furtherreading
TheAct,wheremostofthenewrequirementsarelisted , q
(http://lawslois.justice.gc.ca/eng/acts/E
1.6/index.html)
Th l t i f th d l ti th t d fi Thelastversionoftheproposedregulationsthatdefine
keyterms&listexemptions,likelytochangebeforethey
arefinalized,expectedthisfall(http://gazette.gc.ca/rp
pr/p1/2013/20130105/html/reg1eng.html)
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Annex A Further reading AnnexA Furtherreading
CRTCsregulations&interpretationbulletins&FAQs g p Q
thatclarifyhowtheyinterpret,&intendtoenforce,the
newrules
htt // t / / hi /2012/2012 http://www.crtc.gc.ca/eng/archive/2012/2012
183.htm
http://www.crtc.gc.ca/eng/archive/2012/2012 p // g / g/ / /
548.htm
http://www.crtc.gc.ca/eng/archive/2012/2012
549 h 549.htm
http://www.crtc.gc.ca/eng/casllcap.htm
44
Thank You! ThankYou!
Contact Contact
JasonMcLinton,SeniorDirector
FederalGovernmentRelations
RetailCouncilofCanada
ScottSmith,Director
IntellectualProperty&
InnovationPolicy
613.656.7903
jmclinton@retailcouncil.org
y
CanadianChamberof
Commerce
613.238.4000(251)
ssmith@chamber ca ssmith@chamber.ca
46