MONTREAL: Retail giant Canadian Tire has been slapped with a $1.3 million fine for misleading consumers through deceptive advertising practices. The penalty was issued after the company pleaded guilty to 74 charges related to violations of Quebec’s Consumer Protection Act. While the retailer initially contested the allegations, Crown prosecutor Jérôme Dussault confirmed that the company eventually opted for a settlement.
The legal action stemmed from a rigorous six-month investigation conducted by the provincial consumer protection office in 2021. Authorities discovered that the company had been artificially inflating the “regular prices” of various items to create the illusion of massive discounts. Upon reviewing sales data, investigators found that the products were rarely sold at the cited original prices, meaning the advertised savings were largely fabricated. The probe specifically focused on flyers, website listings, and three physical store locations in the Montreal region.
Canadian Tire admitted to the violations regarding several high-profile products, including Henckels and Cuisinart knife sets, Lagostina and Heritage cookware, and DeWalt cordless drills. In a formal statement, a company spokesperson claimed that the incidents occurred five years ago and insisted that no customers were actually overcharged. Despite these claims, the court has mandated that the company must settle the full fine amount within the next 12 months.
