Ten Key Issues That Can Arise in Canadian Contests and Practice Tips

CANADIAN 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 to run common types of contests in Canada).  These include 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.  If you would like to discuss legal advice in relation to your contest or other promotion, contact us: Contact.

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Practical Law Canada Competition has published a new Legal Update, which discusses key issues that can arise in Canadian contests (with practice tips for counsel to advise their clients). Below is an excerpt with a link to the full Update.

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Ten Key Issues That Can Arise in Canadian Contests and Practice Tips

This Legal Update discusses ten key legal issues that can arise in Canadian promotional contests. This Update provides a brief overview of Canadian contest law, the basic elements of a promotional contest and a practical discussion of legal issues that can arise. Also included are practice tips and references to related Practical Law Canada advertising and marketing law resources.

Practical Law Canada Competition

Promotional contests in Canada are largely governed by the Competition Act, R.S.C. 1985, c. C-34 (Competition Act), Criminal Code, R.S.C. 1985, c. C-46 (Code) and contract law. In general, contest sponsors must make adequate and fair disclosure of the information set out in section 74.06 of the Competition Act, avoid the illegal lottery provisions in section 206(1) of the Code and prepare contest rules to govern the promotion (the contract between a sponsor and contest entrants).

Other laws that may apply, depending on the type of contest, include privacy law (relating to the collection and use of personal information), Canadian anti-spam law (CASL, if electronic marketing to entrants is contemplated) and intellectual property law (for example, relating to the use of third party trade-marks or copyrighted material).

Major Contest Elements

Running a contest in Canada typically includes the following (for examples of contest rules and forms, see Standard Document, Promotional Contests: Random Draw Contest Rules and Forms):

Short rules. Short rules, which are typically a single paragraph included in advertising (for example, point-of-purchase marketing), website landing pages and social media pages, are largely intended to set out the mandatory statutory disclosure requirements in section 74.06 of the Competition Act. Other material contest terms are also typically included (for example, a statement that no purchase is necessary, language that states that entrant information may be used for marketing, if that is the case, a link to the full contest rules and other terms that, if not clearly disclosed upfront, may raise misleading advertising issues). For the Competition Bureau’s position on what should be included in point-of-purchase contest materials, see Enforcement Guidelines, Promotional Contests: Section 74.06 of the Competition Act, Competition Bureau, 2009 (Promotional Contest Enforcement Guidelines).

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For the full Update see: here.

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SERVICES AND CONTACT

I am a Toronto competition/antitrust lawyer and advertising/marketing lawyer who helps clients in Toronto, Canada and the US practically navigate Canada’s advertising and marketing laws and offers Canadian advertising/marketing law services in relation to print, online, new media, social media and e-mail marketing.

My Canadian advertising/marketing law services include advice in relation to: anti-spam legislation (CASL); Competition Bureau complaints; the general misleading advertising provisions of the federal Competition Act; Internet, new media and social media advertising and marketing; promotional contests (sweepstakes); and sales and promotions. I also provide advice relating to specific types of advertising issues, including performance claims, testimonials, disclaimers, drip pricing, astroturfing and native advertising.

For more information about my services, see: services

To contact me about a potential legal matter, see: contact

For more regulatory law updates follow me on Twitter: @CanadaAttorney

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