The Canadian Anti-Spam Law (CASL) came into effect on July 1, 2015. This law is designed to protect the privacy of Canadians and to combat spamming in Canada. It has a significant impact on all businesses that send commercial electronic messages in Canada, regardless of where the business operates from.
This article will help you understand what CASL is and how it might affect your business. We’ve also compiled a list of resources that can help you to get up to speed with this new law and ensure that your company complies with it. So read on, and learn more about SMS marketing laws Canada and how it applies to your small business.
What is the Anti-Spam Law?
The CASL is a law created to protect the privacy of Canadians and to combat spamming. It came into effect on July 1, 2015.
This law applies to all businesses that send commercial electronic messages in Canada, regardless of where the business operates from.
What does this mean for your company? The CASL requires that any organization sending commercial electronic messages (CEM) use an opt-in consent method before sending such messages to consumers in Canada. This means you’ll need explicit consent and approval before sending CEMs about products and services to Canadian consumers.
How are businesses affected by CASL?
Any company that sends commercial electronic messages to Canadians is affected by CASL. A commercial message is an electronic message that contains an advertisement or a promotion, like a new product or service. That includes email messages, text messages, and social media posts.
The bottom line: If you send any promotional content via email or other digital means to anyone in Canada, you will be required to comply with CASL.
Sending an email to a Canadian citizen containing information about your latest product is subject to the law. If someone opens that email and clicks on a link contained in it, the website of your company must comply with Canadian standards of advertising and marketing practices before she can access it.
This article will help you understand how your small business should be complying with the Canadian Anti-Spam Law (CASL). From understanding what constitutes spam under this law, to ensuring that you are not in violation of the law when communicating with customers, read on for more information about CASL and how it applies to your small business.
What are the penalties for violating CASL?
Canada’s Anti-Spam Law (CASL) is a strict law that requires you to ask for consent before sending any sort of commercial email. It differs from the US CAN-SPAM Act, which only requires you to provide an opt-out link in your email.
If you violate the law, you could end up facing penalties of up to $10 million CAD or imprisonment of up to five years.
If you send spam to someone’s inbox without their consent, they can take action against your business by suing them in civil court. There are also criminal punishments for breaking CASL. The criminal penalties will depend on the severity of the violation. For example, if you send 16 million spam emails without asking for permission, that could result in a prison sentence of up to five years and/or a fine of $1 million CAD.
The potential cost for violating CASL doesn’t just include monetary penalties, but also includes an increase in your company’s reputation risk—and potentially lost customers due to tarnished reputations or decreased credibility.
Resources for small business owners
While CASL applies to all businesses that send commercial electronic messages in Canada, it’s important to note that the law has a number of exemptions. For instance, if you’re a small business that sends fewer than 10 emails per week to your customers, you’re exempt from CASL.
Additionally, there are other exemptions for businesses with less than $500 000 in revenues and who don’t offer goods or services to Canadians electronically.
The following resources can help you better understand how CASL affects your small business:
The Anti-Spam Law (or CASL) was passed in Canada on July 1, 2014 and has been in effect since July 1, 2015. The law is designed to protect Canadians from spam and other electronic threats. It applies to email and text messages, and it’s important that companies and organizations that do business or operate in Canada comply with it.
CASL prohibits sending commercial electronic messages (CEMs) without consent. It also places some limitations on the sending of CEMs to an individual’s wireless device, such as a mobile phone. Violating CASL can lead to significant penalties such as fines of up to $10 million, imprisonment of up to two years, or both.
The resources below can help small business owners navigate the law and stay compliant:
- Canada Post FAQ
- Government of Canada: Guide on CASL
- Government of Canada: FAQ on CASL
- The Canadian Marketing Association: CASL Compliance Guide for Marketers