The Commissioner of Competition sought declaratory and remedial relief under s. 74.01(1)(a) of the Competition Act for a deceptive marketing scheme involving unsolicited faxes and websites designed to mimic a well‑known business directory provider.
The respondents’ materials suggested recipients were updating existing listings while the fine print created binding two‑year contracts for directory services.
The court found the representations materially false or misleading and concluded the scheme deceived thousands of Canadian businesses and organizations.
The court declared the conduct reviewable under the Competition Act, voided the contracts, ordered restitution to affected customers, imposed corrective notice requirements, and issued a ten‑year prohibition order.
Administrative monetary penalties totaling $8 million against corporate respondents and additional penalties against individual respondents were imposed.
