Gift Card Legislation in Canada


Gift cards have become wildly popular in Canada. Their main appeal is that they make easy gifts: they're compact, lightweight, and flexible. They're available in a wide range of retail outlets, and they take the guesswork out of gift giving. This has resulted in gift cards becoming a multi-billion dollar industry in Canada.

However, with all of these sales comes a problem for retailers: how do you encourage recipients to use their cards within a reasonable amount of time? The answer for many retailers has been to impose expiry dates or to reduce the value of unused cards over time. That solution is effective, but unpopular with consumers.

By Chris Bennett, Davis LLP,

Originally published in the Lawyers Weekly, August 7, 2009

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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