The purpose of the Competition Act is to promote the efficiency and adaptability of the Canadian economy, including by prohibiting anticompetitive conduct and providing for the review of competitive effects
Like many other countries, Canada has a complex set of competition laws. These laws, among other things, (i) prohibit cartel behaviour; (ii) prohibit abuses of a dominant position; (iii) regulate mergers and acquisitions; and (iv) otherwise govern the conduct of businesses in their relationships with competitors, customers, suppliers and other employers. Canada’s competition laws are contained in a single federal statute called the Competition Act (CA). With the exception of activities that are specifically exempted or actively regulated, all business activities in Canada are subject to the CA. In contrast to jurisdictions such as the United States, Canada does not have provincial competition laws, although several provinces have fair business practice laws directed primarily toward consumer protection. Since provincial consumer protection laws are beyond the scope of this guide, businesses with activities in Canada are encouraged to consult with counsel to ensure compliance with consumer protection requirements in the provinces in which they operate. The purpose of the Competition Act is to promote the efficiency and adaptability of the Canadian economy, including by prohibiting anticompetitive conduct and providing for the review of competitive effects of proposed transactions. Administration and Enforcement of the Competition Act The CA is administered by the Competition Bureau (Bureau), which is part of Innovation, Science and Economic Development Canada. The head of the Bureau is the Commissioner of Competition (Commissioner), who has the statutory responsibility for administering and enforcing the CA. Bureau staff routinely investigate complaints from the public concerning competition matters. The CA also permits, and in some cases requires, the Commissioner to commence a formal inquiry. Once an inquiry has been commenced, the Commissioner has a broad range of formal enforcement powers and may obtain authority from a court to (i) enter and search premises and seize records; (ii) require the production of records or the provision of written information; or (iii) require a person to appear and be examined under oath or affirmation. The CA was amended to provide that orders for examinations or the production of records or provision of information may be made against persons outside Canada who carry on business in Canada or sell products into Canada. The Commissioner has increasingly resorted to the use of such powers over the past several years.
of proposed transactions.
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Doing Business in Canada
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