On November 18, 2025, the federal government proposed Bill C-15 to implement certain provisions from the 2025 federal budget, which includes important revisions to the “anti-greenwashing” provisions of the Competition Act introduced in June of 2024.
Importantly, the proposed amendments include removing the requirement that businesses substantiate claims regarding the environment benefits of its business or business activities in accordance with an “internationally-recognized methodology” and rescinding the ability of third parties to bring greenwashing complaints directly to the Competition Tribunal (the “Tribunal”).
As discussed in our previous articles, the Competition Act (the “Act”) was amended in June of 2024 to, among other things:
- Expand the civil misleading advertising provisions to include representations about the environmental benefits or a product, service or business interest in the absence of adequate and proper testing or substantiation “in accordance with internationally-recognized methodologies” and
- Enhance private rights of action by allowing private parties to seek remedies from the Tribunal with respect to the deceptive marketing practices of another person or business, including complaints of greenwashing.
On November 4, 2025, the federal government released its 2025 budget (“Budget 2025”), which outlined its intention to update the Act as part of a broader “Climate Competitiveness Strategy.” While Budget 2025 did not provide specific details as to which provisions of the Act would be amended or repealed, it did state that “protections against false claims” would be maintained.
After Budget 2025 narrowly passed a confidence vote in the House of Commons, the federal government proposed Bill C-15 to implement certain provisions of Budget 2025, including the proposed changes to the “anti-greenwashing” provisions.
Specifically, Bill C-15 proposes to amend the Act by:
- Revising section 74.01(2)(b) such that representations with respect to the environmental benefits of a business or business activity would no longer need to be substantiated “in accordance with internationally recognized methodology” and
- Adding new provisions to sections 74.01 and 103.1 which would prohibit private parties from obtaining leave from the Tribunal to seek remedies with respect to environmental claims regarding the business or business activity of another party.
The amendments outlined in Bill C-15 appear to suggest that, for the time being, the federal government is not planning to amend or repeal the requirement that representations about the environmental benefits of a product be supported by “proper and adequate testing” at this time.
The lack of substantive guidance from the Competition Bureau with respect to compliance with the “internationally-recognized methodology” requirements in the first six to 12 months following the implementation of the “anti-greenwashing” provisions caused significant confusion among Canadian businesses. The federal government appears to have acknowledged these challenges, as Budget 2025 cited the “investment uncertainty” arising from the “anti-greenwashing” provisions as the primary motivation behind these proposed amendments.
MLT Aikins will continue to monitor the progress of Bill C-15 and will publish further updates as information becomes available. In the meantime, if you or your business have any questions regarding compliance with Canadian competition laws, please contact a member of our competition law team or your existing MLT Aikins contact.
Note: This article is of a general nature only and is not exhaustive of all possible legal rights or remedies. In addition, laws may change over time and should be interpreted only in the context of particular circumstances such that these materials are not intended to be relied upon or taken as legal advice or opinion. Readers should consult a legal professional for specific advice in any particular situation.
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