On February 18, 2003, the Competition Bureau (the "Bureau") released its Information Bulletin on the Application of the Competition Act to Representations on the Internet (the "Bulletin"). The Bulletin is designed to ensure that businesses that are making online representations understand their responsibilities under the misleading representation and deceptive marketing provisions of the Competition Act (the "Act"). The Bulletin, which followed a consultation process with stakeholders, details the Bureau's approach to the application of the Act to online representations. The Bureau's position is that the Act applies equally to false or misleading representations, regardless of the medium used, and that the same basic principles that govern truthfulness in traditional advertising and marketing practices apply to their online counterparts. The Bureau does not believe that the enforcement of the Act will bias business activity either toward or away from the Internet.

Commissioner Shares Views and Encourages Input on Canada's
Changing Competition Regime

On February 26, 2003, Konrad von Finckenstein gave an address to the Insight Conference on Canada's changing competition regime. He briefly outlined the changes brought about by Bill C-23, which became law in June 2002, and discussed the process that is currently underway to develop the next round of proposed amendments to the Act. The Commissioner noted, among other things, the considerable support for a two-track approach to the conspiracy provisions, the possibility of introducing administrative monetary penalties into several provisions of the Act, the possible extension of private access to certain civil provisions, as well as possible changes to the current criminal pricing provisions. The Commissioner ended his address by encouraging stakeholders to actively participate in the upcoming consultation process.

Interpretation Guideline Outlines Bureau's Approach to Ordinary
Course Acquisitions Exemption

The Bureau recently released its Interpretation Guideline on the exemption for acquisitions in the ordinary course of business. Paragraph 111(a) of the Act exempts certain acquisitions in the ordinary course of business from notification. The exemption was enacted for the benefit of large purchasers that buy real or personal property over the value of C$35 million for use in their ordinary business operations. The Guideline outlines the Bureau's method of determining whether an acquisition of real property or goods qualifies for the exemption.