What is CASL?
The
Canadian Anti-Spam Legislation (CASL) is a law designed to protect Canadians from spam, malware, and other electronic threats. Enacted in 2014, it sets the rules for how businesses can communicate with consumers electronically, including email marketing. CASL aims to promote efficiency in electronic commerce by ensuring that businesses obtain explicit consent before sending commercial electronic messages (CEMs).
Why is CASL Important in Email Marketing?
Compliance with CASL is crucial for businesses engaging in
email marketing to Canadian recipients. Violating CASL can result in severe penalties, including fines up to $10 million. Understanding and adhering to CASL helps protect your brand from legal repercussions and enhances your reputation by respecting consumer preferences and privacy.
Key CASL Requirements
To comply with CASL, businesses must adhere to several key requirements, including: Consent: Obtain either express or implied consent before sending CEMs.
Express consent means that the recipient has explicitly agreed to receive emails.
Implied consent can occur through an existing business relationship.
Identification: Clearly identify your business in every email. Include your business name, physical address, and contact information.
Unsubscribe Mechanism: Provide a clear and simple way for recipients to unsubscribe from future emails. This mechanism must be functional for at least 60 days after the email is sent, and unsubscribe requests must be honored within 10 business days.
How to Obtain Consent?
There are two types of consent under CASL: express and implied. Express Consent: This is the gold standard for CASL compliance. It requires a clear and affirmative action by the recipient, such as checking a box on a signup form. The request for consent must clearly state the purpose of the consent and identify the sender.
Implied Consent: Implied consent is more limited and can be inferred from certain actions, such as making a purchase or an inquiry. However, implied consent has a time limit, typically two years from the date of the last transaction or inquiry.
What Should Be Included in Your Emails?
Every email sent under CASL must include specific information to ensure transparency and allow recipients to easily identify and contact the sender: Sender Identification: Include your business name, physical address, and contact information.
Purpose of the Email: Clearly state that the email is a commercial electronic message.
Unsubscribe Mechanism: Provide a functional and easy-to-use unsubscribe link.
Penalties for Non-Compliance
CASL sets out significant penalties for non-compliance. Individuals can be fined up to $1 million, while businesses can face fines up to $10 million. In addition to financial penalties, non-compliance can result in reputational damage and loss of consumer trust.
Best Practices for CASL Compliance
To ensure compliance with CASL, consider implementing the following best practices: Double Opt-In: Use a double opt-in process to confirm express consent. This involves sending a confirmation email to verify the recipient’s consent.
Maintain Records: Keep detailed records of consent, including the date, time, and manner in which consent was obtained.
Regular Audits: Conduct regular audits of your email marketing practices to ensure ongoing compliance with CASL.
Training: Educate your marketing team about CASL requirements and the importance of compliance.
Conclusion
Understanding and complying with CASL is essential for any business engaged in email marketing to Canadian recipients. By obtaining proper consent, including required information in your emails, and following best practices, you can avoid hefty fines and build trust with your audience. Stay informed about CASL updates and continuously review your email marketing strategies to ensure compliance.