Guides
Canadian influencer marketing disclosure rules: what Competition Bureau expects
Canadian influencer marketing disclosure rules: what the Competition Bureau expects under the Competition Act, plus Ad Standards Canada decisions and record duties.
What to take away
- The Competition Bureau enforces federal truth in advertising rules for influencer posts.
- Ad Standards Canada handles consumer complaints under the Canadian Code of Advertising Standards.
- A compliant disclosure must be clear, prominent and visible before the audience engages.
- Keep records of briefs, contracts, payments and posts for at least six years.
- Failure can bring court orders, administrative monetary penalties or mandatory corrective notices.
Who has jurisdiction
The Competition Bureau is the federal regulator for deceptive marketing under the Competition Act. It can review a paid post that looks like independent content and ask whether the material connection was disclosed. Ad Standards Canada administers the Canadian Code of Advertising Standards, which applies to influencer marketing through its endorsement and testimonial clause. The Competition Bureau may act on its own initiative or after a complaint. Ad Standards Canada accepts consumer complaints online and publishes upheld decisions. Both bodies can address an influencer post, but only the Competition Bureau can seek court orders or monetary penalties.
| Regulator | Role | Relevant standard |
|---|---|---|
| Competition Bureau | Enforces Competition Act deceptive marketing rules | Material connection must be disclosed to avoid a false or misleading impression |
| Ad Standards Canada | Administers Canadian Code of Advertising Standards | Endorsements must disclose a material connection clearly and prominently |
What a compliant disclosure contains
A compliant disclosure tells the viewer that the creator has a material connection to the brand before the viewer interacts with the post. The Competition Bureau's Deceptive Marketing Practices Digest says the disclosure must be clear, prominent and unavoidable. On Instagram Reels, place it in the first line of the caption, not after a "more" break or buried in hashtags. On TikTok, overlay the words "Ad" or "Paid partnership" for the full video. On YouTube, say it out loud or show it on screen at the start. The disclosure can be in English or French, depending on the audience. Ad Standards Canada applies the same standard: the audience must understand the connection without clicking or scrolling. A label that says "Thanks Brand" is not enough unless the audience already knows the relationship. For a comparison with the American standard, read FTC endorsement guides.
Records to keep
Keep records for each influencer deal for at least six years, the period the CRA expects for GST/HST audit. Your files need not be elaborate, but they should show what was promised and what was posted. A written contract terms should sit beside the creative brief and the live post.
- Written brief or email from brand to creator
- Contract or insertion order
- Proof of payment or gift value
- Screenshot of the live post with disclosure visible
- Any edits, corrections or removal requests
CRA wants records that support the GST/HST charged and collected on the agency commission. If a brand sends free product instead of cash, record the fair market value and the date the product was received. These records also help respond to a Competition Bureau request or an Ad Standards complaint.
What happens if you do not
The Competition Bureau can seek a court order to stop the campaign, publish a corrective notice, or pay an administrative monetary penalty. A deceptive claim under the Competition Act can also attract criminal charges if the conduct is serious. Ad Standards Canada may uphold a complaint and ask the advertiser to remove or amend the post. An upheld complaint appears in Ad Standards' public report, which brands and agencies see. One missed disclosure can lead a brand to terminate the agency contract and refuse future work. Unpaid posts that include free product fall under the same disclosure duty. influencer brand deal payment terms explains how agencies classify those deals.
Where the rules differ by place
Quebec requires commercial messages to be in French under the Charter of the French Language. An influencer post aimed at Quebec audiences should use a French disclosure such as "Partenariat rémunéré" or "Annonce". Ontario licenses employment agencies that find work for performers and creators under Ontario's Employment Standards Act. Alberta and British Columbia have consumer protection statutes that apply to advertising, but Ad Standards Canada applies its code across the country. When a US agency signs Canadian creators, cross-border representation changes which disclosure rules lead. The Competition Bureau can act on posts viewed in Canada, even if the brand is based elsewhere.
Common questions
Does a gifted product need a disclosure? Yes. A free product or trip is a material connection. The disclosure rules apply even when no money changes hands.
Can a hashtag like #ad be enough? Only if it is visible at the start. Buried hashtags or a disclosure after a "more" break do not meet the Competition Bureau's clear and prominent standard.
Who enforces the Canadian Code of Advertising Standards? Ad Standards Canada. It accepts complaints from the public and industry and can ask for amendments or removal.
Do American FTC rules apply to a Canadian audience? Not directly. The Competition Bureau applies Canadian law. A post aimed at both countries may need to meet both standards.
