Canada’s anti-spam legislation took effect at the beginning of the month, sparking a steady stream of critical opinion pieces calling it an absurd solution to a mostly non-problem or “ludicrous regulatory overkill.” The criticisms generally boil down to three claims: spam isn’t a big problem, the law is ineffective because most spam originates outside Canada, and the law is overbroad because it targets legitimate businesses alongside fraudulent spam. I think all three criticisms are wrong. This post addresses why spam is still a problem and how the law will help. A second post tomorrow tackles the broad scope of the law, arguing that it is better understood as privacy legislation that fairly apportions the costs associated with electronic marketing.
News
Why the Latest Canadian Wireless Policy Move is More Shakeup Than Shakedown
Industry Minister James Moore announced new spectrum policy measures yesterday designed to help foster the creation of a viable fourth national wireless competitor. The policy features an accelerated timeline for another spectrum auction (AWS-3) and a significant set-aside of spectrum for new entrants such as Wind Mobile. When combined with the government’s policies on domestic roaming, tower sharing, and foreign investment, it is clear that it intends to continue to use the policy levers at its disposal to encourage greater wireless competition. For this, the government deserves kudos, as its emphasis on fostering greater competition is the right thing to do.
While the announcement generated criticism from the usual suspects who want Canadians to believe that the market is already competitive (or incredibly might somehow become more competitive if it shrunk down further to two competitors), it is worth revisiting the Competition Bureau’s analysis of the wireless market. Earlier this year, Canada’s independent agency responsible for competition in the marketplace concluded that the Big 3 enjoy “market power”, which it defines as “the ability of a firm or firms to profitably maintain prices above competitive levels (or similarly restrict non-price dimensions of competition) for a significant period of time.” In fact, the Bureau commissioned its own study of the market on domestic roaming and found that a more competitive market would deliver approximately $1 billion in benefits to the Canadian economy.
As if on cue, the Big 3’s most recent quarterly investor calls confirmed that they face little Canadian pricing pressure.
Enforcing CASL: How To Report Spam Violations
With Canada’s anti-spam law now in effect, many are starting to ask about enforcement of the law. While no one should expect the law to eliminate spam, the goal much more modest: target the bad actors based in Canada and change the privacy culture by making opt-in consent the expected standard for consumer consents. The CRTC, the lead regulatory agency, has made it clear that the fear-mongering of million dollar penalties for inadvertent violations is not going to happen. Chair Jean-Pierre Blais recently stated:
The Benefits of Consent
Commercial email did not grind to a halt the day after Canada’s anti-spam legislation took effect and neither did the coverage about the law’s impact (I appeared on CBC’s The Current to debate the issue). Coverage included Microsoft backtracking from its earlier decision to stop security update emails, apparently taking the time to actually read the legislation and find the exception for security notification. There was also a CBC story about the Canadian Avalanche Centre, which stopped an email service after hundred of customization options became “too much of a hassle to maintain”, but the CBC used the timing to link the decision to CASL.
But what really caught my attention was this tweet from Jason Faber, the marketing manager at BoldRadius.
Welcome to the New MichaelGeist.ca
Welcome to the new look MichaelGeist.ca. Months in the making, the site is new in just about every way: a new cleaner, more colourful design, new content management system (from Joomla to WordPress), updated content, new topic pages for the most popular issues discussed on the site, and better search and social media functionality. The new site still uses a Creative Commons licence and now adds dozens of photos that are also CC licensed.
My thanks to Willy Karam for his years of assistance on the old site, to Amanda Lutz for her work in transitioning to the new site, to students such as Emily Murray and Alexandra Lyn for their help updating content, and to the many creators who use Creative Commons to make their work available to others.
While we have worked hard to ensure a seamless transition, any major website overhaul that transfer thousands of posts and tens of thousands of comments is bound to have unforeseen issues. Readers are invited to provide feedback and to notify me know of anything they encounter that does not work as it should.
Recent Posts
Ignoring the Warning Signs: Why Did the Canadian Government Dismiss the Trade Risks of a Digital Services Tax? 
Why Bill C-2 Faces a Likely Constitutional Challenge By Placing Solicitor-Client Privilege at Risk 
The Law Bytes Podcast, Episode 237: A Conversation with Jason Woywada of BCFIPA on Political Party Privacy and Bill C-4 
Lawful Access on Steroids: Why Bill C-2’s Big Brother Tactics Combine Expansive Warrantless Disclosure with Unprecedented Secrecy 
Government Reverses on Privacy and the Charter: Department of Justice Analysis Concludes Political Party Privacy Bill Raises No Charter of Rights Effects
