Text your customers within Yukon’s cannabis advertising rules

Yukon has legal adult-use cannabis, with private retail

Retail licensing and advertising rules are enforced by the Cannabis Licensing Board (licences) and Yukon Liquor Corporation (wholesale and compliance).

• Retail model: the government Cannabis Yukon website closed and private retailers were authorized for e-commerce in May 2022 (Yukon Liquor Corporation, Session Briefing Note LQ-01, Fall 2022).

These Yukon rules bear on texting customers

• Standard retail licensees must not encourage the consumption of cannabis, including by engaging in loyalty programs or other similar programs (Cannabis Licensing Regulation, O.I.C. 2019/43, s.7(e)).
• The Yukon Liquor Corporation states that Yukon legislation contains a specific prohibition on loyalty programs (Yukon Liquor Corporation, Session Briefing Note LQ-01, Fall 2022 (released by the Government of Yukon)).
• The Corporation states that discounts and loyalty programs are regulated federally and territorially and that it enforces the Regulation (Yukon Liquor Corporation, Session Briefing Note LQ-01, Fall 2022).
• Private retail licences are issued under the Cannabis Licensing Regulation and reviewed by the Cannabis Licensing Board (Government of Yukon news release 19-004).

Federal law applies in Yukon too

The Cannabis Act and Canada’s anti-spam law (CASL) apply across Canada. Our guide to texting cannabis customers under CASL and the Cannabis Act covers consent and unsubscribe step by step.

The Cannabis Act allows factual texts to a named adult

• The Cannabis Act prohibits promoting cannabis, cannabis accessories and related services unless the Act authorizes it, and communicating price or distribution information is listed as a form of promotion (Cannabis Act, s.17(1)(a)).
• A person authorized to sell cannabis may use informational or brand-preference promotion in a communication addressed and sent to a named individual who is 18 or older (Cannabis Act, s.17(2)(a)).
• Informational promotion is defined as factual information, including the availability or price of cannabis (Cannabis Act, s.2(1), definition of informational promotion).
• Brand-preference promotion is defined as promotion by means of brand characteristics (Cannabis Act, s.2(1), definition of brand-preference promotion).
• Section 17(2) also allows informational and brand-preference promotion by telecommunication where reasonable steps keep it from young persons (Cannabis Act, s.17(2)(c)).
• Promotion at the point of sale is limited to availability and price (Cannabis Act, s.17(4)).
• Promotion that is false, misleading or deceptive is prohibited (Cannabis Act, s.18(1)).

The Cannabis Act bans inducements to buy cannabis

• Sellers may not provide or offer cannabis or accessories free of charge or in exchange for a purchase or service (Cannabis Act, s.24(1)(a)).
• Sellers may not offer non-cannabis items, including entry into a game, draw, lottery or contest, as an inducement to buy cannabis (Cannabis Act, s.24(1)(b)).
• Sellers may not offer a service as an inducement to buy cannabis (Cannabis Act, s.24(1)(c)).
• Health Canada guidance says loyalty programs are not inducements on their own, but the benefits offered through them could be (Health Canada, Promotion of cannabis: Prohibitions and permissions in the Cannabis Act and Regulations).
• Health Canada notes that provinces and territories may have additional rules (Health Canada, Promotion of cannabis: Prohibitions and permissions in the Cannabis Act and Regulations).
• Health Canada says sellers cannot give loyalty program members benefits as an inducement to buy cannabis or accessories (Health Canada, Promotion of cannabis: Prohibitions and permissions in the Cannabis Act and Regulations).
• Health Canada says information-only programs, such as mailing lists about upcoming product releases, would generally not be inducements, though other promotion rules still apply (Health Canada, Promotion of cannabis: Prohibitions and permissions in the Cannabis Act and Regulations).
• Health Canada says the seller must make sure a price is not an inducement, and that a very low sale price may be one (Health Canada, Promotion of cannabis: Prohibitions and permissions in the Cannabis Act and Regulations).

CASL requires consent and a working unsubscribe

• CASL prohibits sending a commercial electronic message without the recipient's express or implied consent (Canada's Anti-Spam Legislation (S.C. 2010, c. 23), s.6(1)(a)).
• CASL implies consent when the sender has an existing business relationship with the recipient, and a purchase from the sender counts for two years from the day of the purchase (Canada's Anti-Spam Legislation, s.10(9)(a) and s.10(10)(a)).
• An inquiry or application implies consent for only six months (Canada's Anti-Spam Legislation, s.10(10)(e)).
• A request for express consent must state clearly and simply what the consent is for and who is asking for it (Canada's Anti-Spam Legislation, s.10(1)(a) and (b)).
• The CRTC states that express consent is not time-limited and lasts until the recipient says they no longer want messages, while implied consent can expire (CRTC, Canada's Anti-Spam Legislation (CASL) Guidance on Implied Consent).
• Government of Canada guidance says implied consent is generally time-limited, while express consent has no time limit unless the recipient withdraws it (Government of Canada (ISED), Getting consent to send email).
• The CRTC advises asking for express consent whenever you are unsure whether implied consent applies (CRTC, Frequently Asked Questions about Canada's Anti-Spam Legislation).
• The CRTC states that an abandoned online shopping cart is not a purchase and does not start the two-year implied consent period (CRTC, Frequently Asked Questions about Canada's Anti-Spam Legislation).
• The sender must be able to prove consent, whether express or implied (Canada's Anti-Spam Legislation, s.13).
• A message that solely facilitates, completes or confirms a transaction the recipient already agreed to does not need consent (Canada's Anti-Spam Legislation, s.6(6)(b)).
• A message that asks for consent to send commercial messages is itself a commercial electronic message (Canada's Anti-Spam Legislation, s.1(3)).
• Each commercial electronic message must identify the sender, give contact information and include an unsubscribe mechanism (Canada's Anti-Spam Legislation, s.6(2)(a) to (c)).
• Unsubscribe requests must be given effect without delay and within 10 business days (Canada's Anti-Spam Legislation, s.11(3)).
• The CRTC states that CASL covers SMS and other messaging to mobile phones (CRTC, Frequently Asked Questions about Canada's Anti-Spam Legislation).
• The CRTC states that express consent must be opt-in and cannot be obtained with a pre-checked box (CRTC, Frequently Asked Questions about Canada's Anti-Spam Legislation).
• The CRTC gives texting STOP as an example of an SMS unsubscribe mechanism (CRTC, Frequently Asked Questions about Canada's Anti-Spam Legislation).

Start with consent, your store name and an opt-out line

• Text only people who opted in, and keep the record of when and how they did. Our guide to SMS opt-in and consent for dispensaries covers what to record.
• Put your store name first and an opt-out line on every text.
• Keep product details, prices and offers on an age-gated page rather than in the text, and check the wording against our list of banned words in cannabis texts.

Sticky SMS, by Sticky Cards, the loyalty and marketing platform for cannabis dispensaries, files your Canadian short code with no filing fee, and holds Canadian texts to the same strict content rules as US texts. How Yukon’s rules apply to your program stays with you and your counsel.

Work with Sticky Cards in Yukon

• Run a dispensary, CBD or vape shop in Yukon? Book a demo to see Sticky SMS.
• Run a texting agency in Yukon? Sticky Cards is looking for expert texting partner agencies in Yukon. Email support@stickycards.co to talk about working together.