Most marketing mistakes that get Ontario small businesses into trouble fall under three federal rule sets: anti-spam law, privacy law and the Competition Act's rules on misleading advertising. Ontario's own consumer protection rules sit alongside them. None of this is complicated once you know it exists, but many owners don't, until a complaint arrives. This guide summarises each area as of October 2026, links the official sources and suggests practical habits. It is not legal advice; for your own situation, speak with an Ontario lawyer.
Why this matters more as you grow
Small businesses can get away with informal habits; growing ones can't. Once you start sending regular emails or texts, collecting customer data in a CRM, advertising prices or making claims about speed, quality or environmental benefits, you're inside the scope of these rules.
The good news is that the habits that keep you compliant, such as clear prices, honest claims and messages only to people who want them, are also good marketing. Buyers trust businesses that behave this way.
Anti-spam law: CASL
Canada's Anti-Spam Legislation covers commercial emails, texts and similar electronic messages. According to the CRTC's CASL guidance, a commercial electronic message generally needs three things:
- Consent from the recipient, either express or a type of implied consent that qualifies under the law.
- Identification of who is sending it, with contact details.
- A working unsubscribe mechanism that is honoured promptly.
The sender must be able to prove consent. The CRTC enforces the law. Innovation, Science and Economic Development Canada also publishes guidance on getting consent.
Habits that help
- Record when and how each person agreed to hear from you, such as "asked for quotes by email on [date]".
- Put your business name, phone number and an unsubscribe line in every promotional email or text.
- Don't buy email or phone lists.
- Treat "please stop" in any form, including a reply text, as an unsubscribe.
For a growing business, the riskiest moment is often the first big promotion to "everyone in the system". Before sending, check which contacts actually agreed to promotional messages.
Privacy law: PIPEDA
In Ontario, the federal Personal Information Protection and Electronic Documents Act generally governs personal information that businesses collect in commercial activity. The Office of the Privacy Commissioner's summary explains that PIPEDA applies in most provinces, while Alberta, BC and Quebec have their own substantially similar private-sector laws that apply inside those provinces. PIPEDA also covers data crossing provincial or national borders.
That matters if your Ontario business also serves customers in Quebec or BC, or stores data with providers outside Canada.
Habits that help
- Collect only what you need. A quote request rarely needs a birth date.
- Tell people why you're collecting their information and how you'll use it, in plain words.
- Limit who on your team can see customer records.
- Know where your CRM, booking or invoicing software stores data.
- Have a simple plan for what to do if a laptop or account is compromised.
The PIPEDA overview is written for businesses and is worth half an hour of an owner's time.
Misleading advertising: the Competition Act
The Competition Act prohibits false or misleading representations to the public, and the Competition Bureau enforces it. The Bureau's page on misleading representations sets out the general principle: what matters is the overall impression your ad creates, not just the literal words.
Two areas deserve special attention for growing SMBs.
Drip pricing
Advertising a price that leaves out mandatory fixed fees is treated as drip pricing. The Bureau's drip pricing page explains the concern. If a buyer must pay a booking fee, service charge or "admin fee" to get what you advertised, include it in the price you show. Sales taxes can be added on top.
A simple check: could a customer pay exactly the advertised price, plus tax, and get the advertised product or service? If not, change the ad.
Environmental claims
Claims such as "eco-friendly", "green" or "carbon neutral" need to be true and supportable. The Bureau issued final guidelines on environmental claims in June 2025. Then, in March 2026, the Budget 2025 Implementation Act, No. 1 (Bill C-15) received Royal Assent and changed part of the law. According to the Bureau's environmental claims page and the Library of Parliament's legislative summary, it removed the requirement that certain environmental claims be backed by an "internationally recognized methodology" and removed private-party access to the Tribunal under that provision.
The general misleading-advertising rules still apply, and the Bureau has said it will update its guidance. As of October 2026, the practical advice hasn't changed: don't make a green claim you can't explain and back up with evidence.
Ontario's consumer protection rules
Ontario has its own consumer protection framework for selling to households. Consumer Protection Ontario is the province's consumer protection resource, and it is the place to start reading if you sell directly to households.
If your growth plan involves new sales methods, such as in-home sales, subscriptions or financing offers, read the relevant guidance or ask a lawyer before you launch.
A pre-launch checklist for any campaign
Run through these eight questions before a new campaign goes live.
- Does every promotional email or text go only to people who agreed to receive it?
- Does each message identify us and offer a working unsubscribe?
- Is the advertised price the full price, apart from tax?
- Can we back up every factual claim, such as "fastest", "lowest" or "eco-friendly"?
- Do any customer reviews we quote come from real customers, shown fairly and in context?
- Are we collecting only the personal information we need?
- Do we know where that information is stored and who can see it?
- If a regulated trade is involved, does our copy describe licences accurately?
If any answer is "not sure", fix it or ask a professional before launching.
Where we fit, and where we don't
We help Ontario businesses build marketing that is effective and honest; we don't give legal opinions. When we plan local marketing or rewrite pages through our website and conversion work, we build these habits in and flag anything that needs a lawyer's review.
Program and enforcement details change, so confirm current rules with the regulator before relying on this summary. For more practical guides, see the guides index, or reach us through the contact page.
Frequently asked questions
Is this legal advice?
No. This guide summarises official sources so you know which rules exist and where to read them. For advice on your own situation, speak with an Ontario lawyer who handles privacy, advertising or consumer law.
Can we text past customers about a promotion?
Promotional texts and emails are commercial electronic messages under CASL, which generally require consent, identification of the sender and a working unsubscribe option. Whether you have valid consent for a past customer depends on the details, so check the CRTC's guidance or ask a lawyer.
Do we need a privacy policy if we only take calls and emails?
If you collect personal information in commercial activity, federal privacy law (PIPEDA) generally applies in Ontario. A short, clear privacy statement explaining what you collect and why is a sensible habit. The Office of the Privacy Commissioner has plain-language guidance.
Can we advertise a price that doesn't include fees?
The Competition Bureau treats advertising a price that leaves out mandatory fixed fees as drip pricing, a form of misleading representation. Show the full price a buyer must pay, with only taxes added.
Sources
- CRTC: Frequently asked questions about Canada's Anti-Spam Legislation (2026-10-22)
- ISED: Getting consent to send email (CASL) (2026-10-22)
- Office of the Privacy Commissioner: Summary of privacy laws in Canada (2026-10-22)
- Office of the Privacy Commissioner: PIPEDA overview (2026-10-22)
- Competition Bureau: Misleading representations and deceptive marketing practices (2026-10-22)
- Competition Bureau: Drip pricing (2026-10-22)
- Competition Bureau: Environmental claims and greenwashing (2026-10-22)
- Library of Parliament: Legislative Summary of Bill C-15 (2026-10-22)
- Consumer Protection Ontario (2026-10-22)