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Home | ESG Enforcement Tracker | Cases | Canadian competition authority opens investigation into the Royal Bank of Canada following allegations of false or misleading environmental marketing

Canadian competition authority opens investigation into the Royal Bank of Canada following allegations of false or misleading environmental marketing

Date:
29 September 2022

Relevant legislation/regulation:
Competition Act

Jurisdiction:
Canada

Status:
Ongoing

Regulator/enforcement authority:
Competition Bureau Canada

ESG Category:
Environmental

Defendant(s)/subjects(s):
Royal Bank of Canada (RBC)

Key Facts:

On 29 September 2022, the Canadian Competition Bureau announced an investigation under paragraph 10(1)(a) of the Competition Act into allegations of “false or misleading environmental representations” made by the RBC.

The decision was communicated to individuals who had applied to the Bureau, under paragraph 9 of the Competition Act, for an investigation into deceptive marketing practices. The applicants relied on the contrast between RBC’s public representations in its marketing literature on its support for reducing greenhouse gas emissions and addressing climate changes as against its action in financing fossil fuel development and expansion.

Similar challenges have subsequently been raised as part of the proposed acquisition of HSBC Bank Canada by RBC.

Sources:

Competition Bureau Canada judgment