Western Canadian business groups launch legal challenge against Ottawa’s anti-greenwashing rules

Western Canadian business groups have launched a constitutional challenge against Ottawa’s anti-greenwashing provisions, claiming they infringe on corporations’ freedom of speech by quashing debate on environmental issues.

They said businesses are already prohibited from making false or misleading statements about the benefits or impacts of their products and activities under other laws, but that the Under the provision, enacted this summer, companies face legal risk for making assertions about their environmental records that do not stand up to scientific scrutiny. The government said corporate communications must be backed up by international standards, but those remain unspecified. Individuals and companies could face sizable fines if found liable.to their websites and social-media feeds, or deleted content, citing legal uncertainty.

The Competition Bureau has yet to issue final guidance on the provisions. In July, it offered initial guidelines to help companies navigate the new rules.

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