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The Commissioner of Competition, Matthew Boswell said in a recent speech that “it’s not bad to be big” while outlining the noteworthy legislative changes to the monopolistic practices provisions of the Competition Act. He added that “companies that grow large by innovating and competing on the merits should not be punished”. While high levels of market concentration can indicate potential monopolistic practices, modern competition policy recognizes that high market share alone should not be a concern.  Instead, the competitive dynamics of the market, consumer welfare, and the behaviour of the firms within the market must be considered to accurately assess the implications of market concentration. That being said, the recent amendments to the merger provisions which repealed the efficiency defence, introduced U.S. style rebuttable market concentration presumptions and now permit mergers to be blocked on the basis of market shares alone suggest that proposed mergers in concentrated sectors could be in for a bumpy ride from the Competition Bureau.Continue Reading Does firm size matter more with the recent amendments to the Competition Act?

This article was first published in Competition Policy International – Antitrust Chronicle on September 3, 2024; for further in-depth analysis, please visit the Antitrust Chronicle®

I. Introduction

Canada has embarked on a transformative journey to fortify its competition policy landscape, hopefully ushering in a new era of regulatory vigor and market fairness. The recent amendments to the Competition Act mark a significant milestone in Canada’s commitment to fostering a competitive marketplace that benefits consumers and businesses alike. Led by the efforts of policymakers, the Competition Bureau, and competition advocates, these reforms aim to address anti-competitive practices, enhance enforcement mechanisms, and promote a culture of fair competition.Continue Reading Amendments To The Competition Act Only One Step Towards A Truly Competitive Economy

The Evolving Competition Law Landscape in Canada – Where Are We Now and What’s Next?

The final (and most significant) legislative bill in Canada’s current competition law reform process – Bill C-59 –  received royal assent on June 20, 2024. 

Recognizing the critical role of the Competition Act (the “Act”) in promoting dynamic and fair markets, Canada’s Minister of Innovation, Science and Industry, the Honourable François-Philippe Champagne, announced on February 7, 2022 that he would carefully consider ways to modernize and improve its operation. Following this announcement, significant competition law reform has taken place in Canada, including the passage of the following three bills:Continue Reading BILL C-59 RECEIVES ROYAL ASSENT

On September 20, 2023, the Department of Innovation, Science and Economic Development (“ISED”) released a report summarizing the submissions received from the public relating to the ongoing competition law amendment consultation process (the “Consultation Report”).

By way of background, as discussed in our previous blog post, the Honourable François-Philippe Champagne, Minister of Innovation, Science and Industry, launched the much anticipated public consultation for potential amendments to the Competition Act (the “Act”) on November 17, 2022. The call for public engagement highlighted that the review would focus on the role and functioning of the Act, the role and powers of the Competition Bureau (the “Bureau”), the effectiveness of remedies and private redress mechanisms, addressing challenges of data and digital markets, and other pro-competitive policies.Continue Reading Public Consultation on Amendments to the Competition Act – Summary of Feedback

On September 18, 2023, Bill C-352, which was introduced by Jagmeet Singh (leader of the NDP), had its first reading in the House of Commons (the “Singh Bill”). On September 21, 2023, Bill C-56, which was introduced by Chrystia Freeland (Deputy Prime Minister and Minister of Finance), also received its first reading in the House of Commons (the “Government Bill”). Each of these bills includes significant proposed amendments to the Competition Act in response to the ongoing public consultation and legislation review process regarding competition policy in Canada.

While each of the bills share some similarities (including, for example, the introduction of market study powers and removal of the efficiencies defence), the bills include a number of different proposals and the Singh Bill includes overall more substantive recommendations for amendments to Canada’s existing competition law regime.Continue Reading Proposed Amendments to the Competition Act receive first reading in House of Commons

On July 19, 2023, the United States Federal Trade Commission and the United States Department of Justice (together, the “Agencies”) released draft Merger Guidelines (the “Draft Guidelines”) for public comment. Once finalized, the Draft Guidelines, which are designed to help the public, business community, practitioners and courts understand how the Agencies identify potentially illegal mergers, will replace the US Horizontal Merger Guidelines issued in 2010 and the US Vertical Merger Guidelines issued in 2020.Continue Reading United States Antitrust Agencies Announce New Merger Guidelines: Overview and Implications for Canada

In the March 30, 2023 comments submitted by Fasken[1] in response to the Government of Canada’s consultation and discussion paper[2] on the Future of Competition Policy in Canada (the “Discussion Paper”), significant concerns are raised about any amendments that move away from identifying anti-competitive conduct through evidence-based assessment of its effects and which would establish ex ante regulation to place blanket prohibitions on certain types of conduct by certain firms. In a paper recently published by the Competition Policy International[3], we examine the international and Canadian debate around ex ante regulations for Big Tech platform companies. The paper explores the need for and costs associated with ex ante regulation and concludes that pursuing such regulations at this time in Canada would be ill-advised.Continue Reading Canada Should Avoid Costly Ex Ante Regulation of Digital Markets