Canada — Sweepstakes, Contests & Promotions

The lottery test (Criminal Code)

Canada prohibits illegal lotteries that combine a prize, chance, and consideration. The standard fix is to remove consideration (free entry) and/or add a skill-testing question (STQ) so the winner is not chosen by pure chance. Most compliant Canadian contests do both.

Skill-testing question (STQ)

A mathematical or knowledge question the winner must answer correctly before claiming a prize. It must require genuine skill (not "what color is the sky?"). This introduces the skill element that takes the promotion out of pure-chance lottery territory.

Competition Act disclosure

The Competition Act requires clear disclosure: number and approximate value of prizes, regional allocation, odds (or how they are determined), eligibility, and accessible rules. Short "mini-rules" in ads may link to the full rules.

CASL (email & consent)

CASL (Anti-Spam Legislation) applies if you collect emails: you need express consent before sending commercial email, the entry form must include a clear marketing opt-in, and every message needs an unsubscribe mechanism.

Quebec

Historically Quebec required RACJ registration, duty fees, and French-language materials for most contests. As of October 27, 2023 (Bill 17), Quebec largely eliminated those contest-specific registration and fee obligations. Federal Competition Act rules and Quebec’s consumer-protection, advertising, and French-language requirements still apply. Many national contests still exclude Quebec ("Open to residents of Canada, excluding Quebec") to avoid the extra complexity.

Next steps for a cross-border promotion