Brief
Ad Standards says Canada lacks specific rules for AI‑generated ads
Existing competition and advertising codes apply, but no dedicated AI ad regulations exist in Canada, according to Ad Standards and the Competition Bureau.
By Felo News Desk · Published
Ad Standards told Daily Hive that Canada does not have a dedicated regulatory framework for AI‑generated advertising, and the Competition Bureau confirmed that existing laws still apply.
What happened
Small businesses in Metro Vancouver are increasingly using AI to create inexpensive ads, prompting questions about when such ads cross into false advertising. Residents have voiced concerns on Reddit forums, with some demanding stricter standards similar to Japan’s food‑image rules.
What the reports add
Daily Hive reported that the Competition Bureau recently released guidance on AI transparency, but the agency has not created new rules specific to AI ads. The outlet also cited a Wall Street Journal story that described AI ads as “making people sick,” and noted a prior SFU study showing a majority of B.C. residents distrust AI‑generated content.
What was said
“Canada does not currently have a dedicated regulatory framework specifically for AI‑generated advertising,” an Ad Standards spokesperson told Daily Hive.
“If the image creates the impression that it fairly represents the food being offered, but the actual meal is materially different, the advertisement could raise concerns under the Code,” the spokesperson added.
The spokesperson also said a disclaimer that an image is AI‑generated does not automatically fix a misleading impression.
How it came about
Earlier coverage by Daily Hive highlighted public backlash against AI‑generated restaurant ads on Reddit’s AskVan and Sarnia subreddits. The outlet previously reported on AI‑staged real‑estate listings and noted the lack of clear standards, echoing the current statements from Ad Standards and the Competition Bureau.
Key facts
- Canada has no dedicated regulatory framework for AI‑generated advertising. (dailyhive.com)
- Existing laws, including the Competition Act’s misleading‑advertising provisions and the Canadian Code of Advertising Standards, still apply to AI ads. (dailyhive.com)
- Ad Standards says a disclaimer that an image is AI‑generated does not automatically correct a misleading impression. (dailyhive.com)
Sources
- [1] dailyhive.com — originally reported as “AI ads have been popping up in Metro Vancouver. Are they legal? | Daily Hive | Business & Tech”
