Law protecting consumers against misleading or fraudulent use of a person's identity or image

Summary#

• Subject: Prohibit the misleading or fraudulent use of a person's identity, image, or voice to make a representation to a consumer without their consent.
• Scope: The rule applies to all commercial practices covered by the Consumer Protection Act (CPA), even in sectors typically excluded. A "representation" is a message made to a consumer to promote or offer a good or service.
• Expanded definition: "Image" includes any real or modified image, any image that appears to represent a person (e.g., lookalike, deepfake), as well as any visual or sound recording (e.g., voice cloning).
• Enhanced powers: The president of the Consumer Protection Office (CPO) can order:
  • the cessation of a prohibited practice;
  • the cessation of allowing such a practice (e.g., hosting or online storage services);
  • the preservation of evidence related to an offense, including from third parties.
• Emergency procedure: The CPO can issue an immediate order in case of emergency or to prevent irreparable harm, and then hear observations afterward (minimum delay of 10 days).
• Enforcement: An order filed with the Superior Court has the same force as a judgment.
• Financial sector: The Financial Markets Authority (FMA) holds these order powers when the representation targets an activity governed by financial laws.
• Sanctions: Violations of the new prohibition and non-compliance with an order may result in criminal penalties and monetary administrative sanctions.
• Coming into force: No publicly available information.

What this means for you#

• Consumers
  • Reduced risk of fraud and misleading advertisements using a person's image or voice without consent (e.g., false endorsements from celebrities, calls with cloned voices).
  • Ability to quickly report to the CPO (or to the FMA for financial services) to stop the practice and preserve evidence.
• Businesses, merchants, agencies, and influencers
  • Obtain valid consent before using someone's identity, image, or voice in any marketing communication, advertisement, testimonial, newsletter, social media, chatbot, etc.
  • Keep evidence of consent (traceability, records).
  • Verify AI-generated content to avoid any unauthorized resemblance.
  • Prepare to respond quickly to an order from the CPO/FMA (cessation, content removal, data preservation).
• Platforms, hosts, online storage services
  • You may receive orders to cease a practice on your services and to preserve evidence, even if you are not the author of the advertisement.
• Financial sector (banks, insurance, investments, etc.)
  • Same obligation of consent; the FMA can order cessation and preservation of evidence for representations related to your activities (e.g., fake advisors, identity theft).

Concrete examples:

• Prohibited: Using a deepfake of a celebrity to promote a product without their consent.
• Prohibited: Sending an advertising email with a customer's photo without their consent.
• Prohibited: Calling consumers with a cloned voice of a personality to sell a service.

Costs#

• For businesses and content creators
  • Implementation or strengthening of consent processes and evidence archiving.
  • Additional checks on campaigns (including AI content).
  • Possible costs for removal/moderation in case of an order.
• For platforms and hosts
  • Internal processes to quickly comply with orders and freeze evidence.
• For the state
  • Increased enforcement resources at the CPO and FMA.
• Amount of sanctions
  • The bill provides for criminal and administrative sanctions but does not specify the exact amounts here. They will arise from the CPA and its regulations. No publicly available information.

Supporters' viewpoint#

• Strengthens consumer protection against identity theft and increasingly common deepfakes.
• Clarifies the obligation of consent for the use of image and voice in marketing.
• Provides quick tools (orders, evidence preservation) to stop fraud before it causes major harm.
• Covers all sectors, including those often excluded from the CPA, while entrusting the FMA with the financial aspect for tailored enforcement.
• Also holds intermediaries (hosts, platforms) accountable who facilitate dissemination.

Opponents' viewpoint#

• Risk of a chilling effect on creation, parody, or use of lookalikes if the limits of "appearing to represent" are not clear.
• Administrative burden for small businesses, influencers, and agencies (managing consents, AI checks).
• Concerns about freedom of expression and about preventive removals by platforms following quick orders.
• Possible overlap with other existing remedies (civil image rights, fraud offenses), creating complexity.
• Difficult enforcement against foreign actors targeting Quebec consumers.