Digital Charter Implementation Act, 2022

An Act to enact the Consumer Privacy Protection Act, the Personal Information and Data Protection Tribunal Act and the Artificial Intelligence and Data Act and to make consequential and related amendments to other Acts

Sponsor

Status

In committee (House), as of April 24, 2023

Subscribe to a feed (what's a feed?) of speeches and votes in the House related to Bill C-27.

Summary

This is from the published bill. The Library of Parliament often publishes better independent summaries.

Part 1 enacts the Consumer Privacy Protection Act to govern the protection of personal information of individuals while taking into account the need of organizations to collect, use or disclose personal information in the course of commercial activities. In consequence, it repeals Part 1 of the Personal Information Protection and Electronic Documents Act and changes the short title of that Act to the Electronic Documents Act . It also makes consequential and related amendments to other Acts.
Part 2 enacts the Personal Information and Data Protection Tribunal Act , which establishes an administrative tribunal to hear appeals of certain decisions made by the Privacy Commissioner under the Consumer Privacy Protection Act and to impose penalties for the contravention of certain provisions of that Act. It also makes a related amendment to the Administrative Tribunals Support Service of Canada Act .
Part 3 enacts the Artificial Intelligence and Data Act to regulate international and interprovincial trade and commerce in artificial intelligence systems by requiring that certain persons adopt measures to mitigate risks of harm and biased output related to high-impact artificial intelligence systems. That Act provides for public reporting and authorizes the Minister to order the production of records related to artificial intelligence systems. That Act also establishes prohibitions related to the possession or use of illegally obtained personal information for the purpose of designing, developing, using or making available for use an artificial intelligence system and to the making available for use of an artificial intelligence system if its use causes serious harm to individuals.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from the Library of Parliament. You can also read the full text of the bill.

Votes

April 24, 2023 Passed 2nd reading of Bill C-27, An Act to enact the Consumer Privacy Protection Act, the Personal Information and Data Protection Tribunal Act and the Artificial Intelligence and Data Act and to make consequential and related amendments to other Acts
April 24, 2023 Passed 2nd reading of Bill C-27, An Act to enact the Consumer Privacy Protection Act, the Personal Information and Data Protection Tribunal Act and the Artificial Intelligence and Data Act and to make consequential and related amendments to other Acts

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 12:50 p.m.
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Conservative

Ryan Williams Conservative Bay of Quinte, ON

Mr. Speaker, I am disappointed in that question. We are talking about privacy rights for Canadians. We are talking about protecting children's privacy rights, which are being absolutely discriminated against. They are surveilled every single day by big data. We want to protect their privacy rights.

The member across from me is my neighbour, and I know he is also a father. Just how much of our children's information is out in the world, how much is being data mined and sold to other countries and companies, concerns me.

I would love to hear questions about how we are going to better this bill and, therefore, better our children's futures in a digital age.

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 12:50 p.m.
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NDP

Leah Gazan NDP Winnipeg Centre, MB

Mr. Speaker, I know there was some discussion about rights, and I heard my Liberal colleague across the way questioning the Conservatives on why they are staying silent while Doug Ford takes away the rights of workers. I found it peculiar that my Liberal colleague asked that considering the government forced postal workers back to work.

The member for Carleton has stayed silent, and I am wondering if the Conservatives support their buddy Doug Ford taking workers' rights away?

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 12:50 p.m.
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Conservative

Ryan Williams Conservative Bay of Quinte, ON

Mr. Speaker, once again, I am disappointed. I guess the Liberals and NDP do not really care about privacy rights for children, which we are talking about today. This is fundamental to the bill.

The minister did a lot of hard work putting this bill together and there have been a lot of consultations. This is the second iteration. Bill C-11 died only because there was an election called. Now we have Bill C-27, which is very serious. It talks about the rights of our children and Canadians that have been trampled on. I gave a lot of different examples where we just have not gotten it right in protecting children.

I am surprised that the NDP also does not seem to think that privacy is a fundamental right and something that we should protect. The Conservatives will certainly protect it. We are the only ones speaking about it today.

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 12:50 p.m.
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Bloc

René Villemure Bloc Trois-Rivières, QC

Mr. Speaker, I would like to thank my colleague from Bay of Quinte, who was also my colleague at the Standing Committee on Access to Information, Privacy and Ethics. We all miss him a lot.

He raised what I consider to be a very important point. He said that the bill in question does not treat privacy as a fundamental right. That really resonated with me because the Privacy Commissioner of Canada identified it as a prerequisite for moving forward.

I would like my colleague to comment on that.

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 12:55 p.m.
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Conservative

Ryan Williams Conservative Bay of Quinte, ON

Mr. Speaker, it is absolutely essential. If we lose privacy as a fundamental right, or even, as in this bill, we put it in Parliament's business, and when we get to the courts and people who have had their rights trampled on, who have had their homes addresses on the Internet for everyone to see because they donated to something, we lose what we value as individuals, as Canadians and as a Canadian society. We lose the protection for all of us to have the right to live a great life, volunteer, do the things we want to do, pursue that which motivates us the most, not because man or God says it is the right thing to do but because it is our natural right as Canadians. It is what we tout to the world as our freedom. Protecting that is paramount.

We have laws to protect that and give us the ability to look after that, but we do not mention that in any part of the bill. The bill is missing that. The biggest problem with the bill is that, if it becomes law and this is still not in the bill, then the courts and businesses are left to their own definitions of what that means. I talked about legitimate interest. It has to be in this bill from the outset. It is in the European Union's bill, and it is in Quebec's privacy bill, so why is it not in the Canadian bill being presented to Parliament?

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 12:55 p.m.
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Conservative

Pat Kelly Conservative Calgary Rocky Ridge, AB

Mr. Speaker, some of this goes to the general approach of the government. We have a bill that purports to have noble objectives, which we might agree to as objectives, but there are all kinds of problems with the bill. The member talked about how much of this bill is left to future regulation. We have seen before where bills lack details or give the minister future powers, and we do not know what the final system is going to look like.

The member was on the ethics committee when we studied artificial intelligence and facial recognition. There was a great report that had unanimous support from all parties, including the Liberal members of that committee, but this bill was already tabled, and it seemed we were really just beginning to scratch the surface.

Could the member maybe comment on some of the recommendations that came out of the ethics committee report and the problem with just leaving so much to this vague future regulation?

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 12:55 p.m.
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Conservative

Ryan Williams Conservative Bay of Quinte, ON

Mr. Speaker, we had a great study at the ethics committee, and we have just started to scratch the surface, as my hon. colleague mentioned, by looking at what has happened because of this technology and where it is going. Regarding facial recognition technology, Clearview AI was a company that scraped images off the Internet and just gave them to law enforcement.

One of the most concerning parts of the report we had was that when facial recognition technology was used, it misidentified Black women 38% of the time. That is very concerning. When we asked law enforcement whether traditional technologies like fingerprinting did the same, we heard they do not.

This technology is not perfect, and we therefore need a lot of study on it and a lot of consultation. We certainly have not had that. Our recommendation is to make sure we have tremendous consultation on the AI portion and perhaps scrap that until we are ready to present it.

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 12:55 p.m.
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Green

Mike Morrice Green Kitchener Centre, ON

Mr. Speaker, I want to start by recognizing that tensions are high today with respect to workers' rights. I appreciate that colleagues of mine have brought up the importance of being mindful that a province has invoked the notwithstanding clause to trample on workers' rights and that the federal government has the power of disallowance in the Constitution to override that.

I understand the member for Bay of Quinte does not want to speak about that, so I would like to ask a question related to Bill C-27 with respect to political parties not being required to protect consumers' private data and this gap not being addressed in the current version of Bill C-27. I would like to know if the member for Bay of Quinte is as concerned about this as he is about a number of other items in Bill C-27, and if so, if he would like to speak about that.

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 12:55 p.m.
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Conservative

Ryan Williams Conservative Bay of Quinte, ON

Mr. Speaker, I want to thank the member for bringing the subject back to the matter at hand.

I have heard of this and read about it, and it is concerning to look at it.

There are two parts we are looking at for privacy. Number one is Bill C-27, which would protect Canadians' privacy rights when it comes to business. The second side is the Privacy Act. We have not looked at that, and that needs to come back to Parliament as well. The Privacy Act pertains to everything the government holds and controls, and how much information the government gets to keep on Canadians as well. Those two are very important, and to the member's point, certainly political parties are as well.

I think we all have to be responsible with private data. We all have the right as good citizens to collect it when it is going to be good, but not when it is bad. The point I brought up before is that using personal information for political gain to identify where people live because we do not like what they donated to is absolutely irresponsible, and I hope the member agrees with that as well.

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 1 p.m.
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Liberal

Mark Gerretsen Liberal Kingston and the Islands, ON

Mr. Speaker, my previous question was not about privacy, because I agree with the member on that. My question to the member was how he is going ensure that the rights he wants so badly are not trampled on, like what we are seeing today.

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 1 p.m.
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Conservative

Ryan Williams Conservative Bay of Quinte, ON

Mr. Speaker, the first thing to do with the bill is ensure that we get it right and include fundamental privacy rights. If the member is so concerned about that, I am hoping he is going to join our side with amendments to ensure that this is absolutely the starting place for the bill. If we are doing this in this Parliament here in this place, we should do everything we can to ensure that fundamental privacy rights are included in the bill and that going forward we accept nothing else.

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 1 p.m.
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Bloc

René Villemure Bloc Trois-Rivières, QC

Mr. Speaker, I would like to begin by giving a shout out to my constituents in Trois-Rivières, whom I will be visiting all next week in my riding.

When I talk to people on the street, privacy is a topic that comes up a lot. They know that I sit on the Standing Committee on Access to Information, Privacy and Ethics, and privacy comes up often. People tell me that it is important, that we must do our best to rise to the challenge. Today, we have the opportunity to debate that very subject.

Society is a human construct. It is a reflection of how we organize our lives together. It reflects our vision of the world, the role of a citizen, the role of the state. In a democratic society where elected officials are chosen by the people to represent them, our laws must reflect our desires and the desires of our fellow citizens, as well as the way in which their visions can be realized. In other words, a society and its laws are eminently cultural constructs.

When we compare the legislation passed in the House of Commons with that of the Quebec National Assembly, the difference is striking. Ottawa tends to emphasize the enforcement mechanism, whereas in Quebec, the emphasis is on the legislator's intent. Ottawa wants to arbitrate, while Quebec wants to prescribe and guide.

When it comes to privacy, this is especially true in the digital age: the difference is dramatic.

At one end of the spectrum, so to speak, is the United States. In the United States, laws are primarily intended to arbitrate disputes rather than to shape how the digital economy operates. Laws are based on the good faith of the players and on voluntary codes. As one might imagine, this has its limits. Ultimately, if someone is wronged, they can get redress through the common law.

At the other end of the spectrum is the European Union. The legislation there prescribes clear obligations. I am referring to the General Data Protection Regulation, better known by the acronym GDPR.

In between is Canada, a hybrid creature whose intentions on privacy oscillate between the European and American extremes. This may seem like an academic debate, but there are practical implications that bring us to Bill C-27.

When it comes to privacy, European law is the most prescriptive in the world. It is based on a clear principle, namely that our personal information belongs to us and us alone, and no one can use it or benefit from it without our free, informed and explicit consent.

Once the government set out that principle or objective, it then provided a mechanism for achieving it. That mechanism is the GDPR. The GDPR is becoming the standard to follow when it comes to privacy, because it is the legal standard with the clearest objectives and the most binding application. Simply put, the GDPR does a good job of protecting privacy. That is one reason why it is the standard we should be emulating; the other is that the EU is projecting its standard-making power beyond its borders.

In order to protect the personal information of European citizens, the European Union will soon prohibit European businesses from sharing this information with foreign businesses that do not offer comparable protection. This does not affect us yet, but next year, the EU will be reviewing Canada's laws to see if they offer sufficient protection.

The existing legislation on personal electronic information protection dates back to 2000. That was 22 years ago. We were in the dinosaur era, the pre-digital era, an era we barely remember now. Also, it is far from clear whether Canada passes the comparable protection test required under the GDPR.

Information exchanges between Canadian businesses and their European partners could become more complicated. This is particularly true in areas that deal with more sensitive information, such as the financial sector. It is therefore absolutely necessary to redraft the Personal Information Protection and Electronic Documents Act, which is completely outdated. It has not kept pace with technological change and the data economy, where we are both the consumer and the product. It has not kept pace with the legal environment, where Canada is a dinosaur compared to Europe, as I was just saying.

Nevertheless, my colleagues will have figured out that the Bloc Québécois is in favour of the principle of Bill C‑27. Nevertheless, I would like to make a general comment about Bill C‑27. For some reason, the government has put into one bill two laws with completely different objectives. The bill would enact the consumer privacy protection act and also the artificial intelligence and data act. Although there is a logical link between these two acts, they could be stand-alone bills. Their objectives are different, their logic is different and they could be studied separately.

I have a suggestion for the government. It should split Bill C‑27 into two bills. We could create what I would call the traditional Bill C‑27, which would deal with personal information and the tribunal. Then, what I would call Bill C‑27 B would address artificial intelligence. As I was saying, there are logical reasons for that, but there are also practical reasons. Let me be frank and say that the artificial intelligence act being proposed is more of a draft than a law. The government has a clear idea about the mechanism for applying it, but, clearly, it has not yet wrapped its head around the objectives to be achieved and the requirements to be codified.

The mechanism is there, the bureaucratic framework is there, but the requirements to be complied with are not. Apart from a few generalities, the law relies essentially on self-regulation and the good faith of the industry. I have often faced these situations, and I can say that the industry's good faith is not the first thing I would count on.

Apart from a few generalities, this relies on good faith, but that is not a good way to protect rights. I am not convinced that this bill should be passed as written; I think it needs to be amended. Bill C‑27 probably deserves the same fate that Bill C‑11, its predecessor, encountered in the last Parliament. The government introduced it, debate got under way, criticism was fierce, and the government let it die on the Order Paper so it could keep working on it and come back with a better version. I think that is exactly what should happen to the artificial intelligence act.

The government has launched a healthy discussion, but this is not a finished product. If we decide that the government needs to keep working on it and come back with a new version, we will also be delaying the modernization of privacy and personal information legislation. Given the European legislation, which I talked about earlier, that is not what the government wants to do. That is why I would cordially advise the government to split Bill C‑27.

I am going to focus primarily on personal information protection because that is the part of Bill C‑27 that is ready to go and has the most practical applications. As I said before, Bill C‑27 is an improved version of Bill C‑11, which was introduced in the fall of 2020.

However, Bill C-27 still does not establish privacy as a fundamental right. Bill C-11 was strong on mechanics, but weak on protection. The principles were also weak and consent was unclear. It was tough on large corporations and much less so on small businesses. When it comes to privacy, however, it is the sensitivity of the data that should dictate the level of protection, not the size of the company.

A new start-up that develops an app that aggregates all of our banking data, for example, may have only two employees, but it still possesses and handles extraordinarily sensitive information that must be protected as much as possible. I cannot help but think of the ArriveCAN app, which was developed by just a few people but has a large impact on the data that is stored.

Finally, Bill C-11 did not provide for any harmonization with provincial legislation, such as Quebec's privacy legislation. The Bloc Québécois was quite insistent on that. A Quebec company subject to Quebec law would also have been subject to federal law as soon as the data left Quebec. It would have been subject to two laws that do not say the same thing and have two different rationales. This would mean duplication and uncertainty. It was quite a mess. Passing Bill C-11 would have diminished, in Quebec at least, the legal clarity that is needed to ensure that personal information is protected.

Here is what Daniel Therrien, the then privacy commissioner, told the Standing Committee on Access to Information, Privacy and Ethics, of which I am honoured to be a member. He said, and I quote, “I believe that C-11 represents a step back overall from our current law and needs significant changes if confidence in the digital economy is to be restored.”

He proposed a series of amendments that would make major changes to the bill. I want to commend the government here. It listened to the criticism. It is rare for this government to listen, but it did so in this case. It buried Bill C-11. We never debated it again in the House and it died on the Order Paper. It reappeared only after being improved.

Bill C-27 shows more respect for the various jurisdictions and avoids the legal mess I was talking about earlier.

Our personal information is private and it belongs to us. However, property and civil rights fall exclusively under provincial jurisdiction under subsection 92(13) of the Constitution of 1867.

What is more, privacy basically falls under provincial jurisdiction. That is particularly important in the case of Quebec, where our civil law tradition leads us to pass laws that are much more prescriptive.

Last spring, Quebec's National Assembly passed Bill 25, an in-depth reform of Quebec's privacy legislation. Our law, largely inspired by European laws, given that we share a legal tradition, is the most advanced in North America. As we speak, it is clear that Quebec has exceeded the European requirements and that our companies are protected from any hiccups in data circulation.

Our principles are clear: Our personal information belongs to us. It does not belong to the party who collected it or the party who stores it. The implication is clear. No one can dispose of, use, disclose or resell our personal information without our free, informed and express consent. Bill C-11 challenged this legal clarity but Bill C-27, at the very least, corrects that.

Under clause 122(2) of Bill C‑27, the government may, by order, “if satisfied that legislation of a province that is substantially similar to this Act applies to an organization, a class of organizations, an activity or a class of activities, exempt the organization, activity or class from the application of this Act in respect of the collection, use or disclosure of personal information that occurs within that province;”.

In other words, if Quebec's legislation is superior, then Quebec's legislation will apply in Quebec.

When I met with the minister's office earlier this week, I asked for some clarification just in case. Will a Quebec business be fully exempt from Bill C‑27, even if the information leaves Quebec? The answer is yes. Will it be exempt for all of its activities? The answer is yes.

There is still some grey area, though. I am thinking about businesses outside Quebec that collect personal information in Quebec. In Europe, it is clear. It is the citizen's place of residence that determines the applicable legislation. The same is true under Quebec's legislation.

It is not as clear in Bill C‑27. Since the bill relies on the general regulation powers for trade and commerce as granted by the Constitution, it focuses more on overseeing the industry than on protecting citizens. That is the sort of thing we will have to examine and fix in committee. I look forward to Bill C‑27 being studied in committee so we can debate the substance of the bill.

I have to say that I sense the openness and good faith of the government. In that regard, I would like to tell the member for Kingston and the Islands to take note that, for once, I feel he is working in good faith.

Bill C‑27 will have a much greater impact outside Quebec than within it, because it is better drafted than Bill C-11. That is not the only aspect that was improved. The fundamental principles of the bill are clearer. Consent is more clearly stated. The more sensitive data must be handled in a more rigorous manner, no matter the size of the entity holding them. That is also more clear.

If the principles are clear, the act will better stand the test of time and adjust to the evolving technologies without becoming meaningless.

We will support it at second reading after a serious debate, but without unnecessary delays. However, we believe and insist that the real work must be done in committee. Bill C-27 is complex. Good principles do not necessarily make good laws. Before we can judge whether Bill C-27 is indeed a good law, we will need to hear from witnesses from all walks of life.

When it comes to privacy, it only takes one tiny flaw to bring down the whole structure. This requires attention to detail and surgical precision. The stakes are high and involve the most intimate part of our lives: our privacy.

For a long time, all we had to do to maintain our privacy was buy curtains. That is how it used to be. It kept us safe from swindlers. Then organizations started collecting data for their records. Bankers collected financial information, the government collected tax information and doctors collected medical records. This sensitive information had to be protected, but it was fairly simple, since it was written on paper.

Today, we live in a different world. Whereas personal information used to be a prerequisite for another activity, such as caring for a patient or getting a loan from a bank, it has become the core business of many companies. Information has become the core business of many companies, which are also large companies.

Computerization enables the storage and processing of astronomical volumes of data, also known as big data. Networking that data on the Internet increases the amount of available data exponentially and circulates it around the globe constantly, sometimes in perpetuity, unfortunately.

For many corporations, including web giants, personal data is crucial to the business model. Citizen-consumers are now the product they are marketing. To quote Daniel Therrien once again, we are now in the era of surveillance capitalism. Speaking of which, The Great Hack on Netflix is worth seeing. This is troubling.

Furthermore, for our youngest citizens, the virtual world and the real world have merged. Their lives are an open book on Instagram, Facebook and TikTok. They think they are communicating with the people who matter to them, but they are in fact feeding the databases that transform them into a marketable, marketed product. We absolutely have to protect them. We need to give them back control over their personal information, which is why it is so important to amend and modernize our laws.

I would like to close my speech with an appeal to the government. Bill C‑27 does a lot, but there are also many things it does not do, or does not do properly. Consent is all well and good, but what happens when our data is compromised, when it has been stolen, when it is in the hands of criminals? These people operate outside the law and therefore are not governed by the law. All the consent-related protocols we can think of go out the window. To avoid fraud and identity theft, we will have to clarify the measures to be taken to ensure that anyone requesting a transaction is who they say they are. This really is a new dynamic. In that respect, we are somewhat in the dark, even though, curiously, this is a growing problem.

There is another gap to fill. Bill C‑27 provides a framework for the handling of personal information in the private sector, but not in the public sector. The government is still governed by the same old legislation, which dates back to the pre-digital era. The legislation is outdated, as we saw with the fraud related to the Canada emergency response benefit. The controls are also outdated. I therefore call on the government to get to work and to do so quickly. We will collaborate.

Finally, there is another thing the government needs to work on and fast. We addressed this issue in committee when we were looking at the geolocation of data. Bill C‑27 indicates what we need to do with personal data, nominative data. However, with artificial intelligence and cross-tabulation of data, it is possible to recreate an individual based on anonymous information. As no personal information was collected at the outset, Bill C‑27 is ineffective in these cases. However, we started by recreating the profile of a person with all their personal information. It is not science fiction. It is already happening. Nevertheless, this is missing from Bill C‑27, both in the part on information and the part on artificial intelligence.

I am not bringing this up as a way of opposing Bill C‑27. As I said, we will support it. However, we have to be aware of the fact that it is incomplete. As legislators, we still have some work to do. The time has come to treat privacy as a fundamental right.

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 1:20 p.m.
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Conservative

Ryan Williams Conservative Bay of Quinte, ON

Madam Speaker, I have spent a lot of time on the ethics committee with the member for Trois-Rivières, and we have dealt with a lot of this material. It has been fantastic.

He spoke about Quebec being a model for Canada, as Quebec has some of the strongest privacy laws in place at the moment. I am wondering if he could expand on two things. One, what does Quebec have that we could implement through Bill C-27 that works really well? Two, does Quebec mention privacy as a fundamental human right for Canadians?

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 1:20 p.m.
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Bloc

René Villemure Bloc Trois-Rivières, QC

Madam Speaker, to reassure my colleague, Quebec does indeed mention that the right to privacy is a fundamental right.

What is most important is that the Quebec act protects the data, no matter where it is used. It is protected based on the location of the individual. The laws apply in that place. At the same time, we do not only consider the size of the entity, but also the source of the data.

These are minor differences, but they are important at a time when data is shared around the world.

Digital Charter Implementation Act, 2022Government Orders

November 4th, 2022 / 1:20 p.m.
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NDP

Lori Idlout NDP Nunavut, NU

Uqaqtittiji, it is good to hear that the Bloc is willing to support this bill. I share the same concerns about the provisions for protecting minors, and the bill right now as it is does not provide very good guidance on sensitive information.

I wonder if the member agrees that this bill could be enhanced by providing more guidance on how to handle sensitive information in relation to protecting minors.