Canadian Government Suspends Implementation of Private Right of Action Under CASL

Our previous alert regarding changes to Canada’s Anti-Spam Legislation (“CASL”) previewed two important changes that were to come into effect as of July 1, 2017:

• The end of the transition period under CASL, during which companies could rely on implied consent for sending “commercial electronic messages” in certain instances; and
• A private right of action for violations of CASL

On June 2, 2017, the Government of Canada suspended the implementation of the private right of action provision. The private right of action will not come into effect unless and until the government takes further action to implement it. According to its press release on June 7, 2017, the Canadian Government will ask a parliamentary committee to review the private right of action provision, and hopes to strike a balance between consumer protection and legitimate business marketing activity, that is, protecting Canadians from spam while allowing entities such as businesses, charities and non-profits to communicate with Canadians electronically.

The government’s action does not impact the termination of the transition period, which will become effective on July 1, 2017.