Overview
In June 2022, Canadian lawmakers added drip pricing provisions to the Competition Act, R.S.C. 1985, c. C-34 as part of its overhaul of Canada’s competition regime. Drip pricing refers to a deceptive marketing practice where a company advertises a price that is not attainable due to fixed obligatory charges or fees other than those imposed by the federal or provincial legislature such as a sales tax.[1] The Competition Act also contains prohibitions against double ticketing, which occurs when a company advertises two prices for a product and charges the higher of the two.[2]
In July 2025, the Federal Court of Canada certified a drip pricing class action for the first time in Deane v. Canada Post Corporation, 2025 FC 1194 but declined to certify the plaintiff’s double ticketing claim. The Federal Court provided important guidance on the drip pricing framework under the Competition Act and clarified the difference between drip pricing and double ticketing.
Background
The Competition Act creates statutory causes of action which allow private individuals to recover damages for harm suffered due to criminal conduct prohibited by the Act,[3] including drip pricing and double ticketing offences.
In this case, the Plaintiff alleged that the Defendant’s online services failed to disclose the full price of shipping by later adding a “fuel surcharge”.[4] The Plaintiff claimed damages under the Competition Act and sought to certify the action as a class proceeding on behalf of herself and others who used the relevant online services platforms and who paid the fuel surcharge.[5]