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Glossary Terms

Social Media & Influencer Law Glossary (Canada)

This glossary explains common terms used in social media law, influencer marketing, digital advertising, contests and privacy compliance in Canada. It is written for founders, influencers, med spas and digital brands that work with Instagram, TikTok, YouTube, Facebook, X, Pinterest and other platforms.

Information only, not legal advice. For advice specific to your campaign or contract, please contact For Founders Law.

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Acceptable Use Policy (AUP)

Rules for how users may use a platform

A section of a website or app's Terms of Use that sets out prohibited conduct, such as harassment, hate speech, fraud, scraping, reverse engineering, or illegal activity. An AUP helps digital businesses define boundaries for user behaviour and supports enforcement actions like content removal, account suspension, or termination.

Ad Standards (Canada)

Advertising regulator

Canada's self-regulatory advertising body. It administers the Canadian Code of Advertising Standards and issues guidance on influencer marketing, testimonials, environmental claims and other ad practices. Many Canadian social media campaigns are reviewed against Ad Standards guidance in addition to the Competition Act.

Administrative Monetary Penalties (AMPs)

Enforcement outcome

Civil monetary penalties that can be ordered under the Competition Act and certain other statutes when advertising or digital marketing laws are violated. In serious misleading advertising cases, AMPs for corporations can reach into the millions of dollars.

Algorithm (Social Media)

How platforms rank content

The automated systems social media platforms use to decide which posts, videos or ads to show to which users. Algorithms consider signals like engagement, watch time, click-through rate, relevancy and past behaviour, and can have a major impact on the reach of influencer content.

Astroturfing

Fake grassroots reviews

Fake “grassroots” reviews or endorsements that are secretly created or controlled by a brand or agency. Examples include paying for fake five-star reviews, using employees to review products without disclosing their role, or running a “review for reward” campaign without transparency. Astroturfing can breach the Competition Act and Ad Standards guidance.


Brand Ambassador

Ongoing influencer relationship

An influencer or creator who has an ongoing relationship with a brand, often posting multiple times over a longer period in exchange for fees, product or both. Brand ambassador deals should be documented in an influencer agreement with clear deliverables, usage rights, non-competes and disclosure requirements.

Branded Content

Paid or sponsored content

Social media content that features or is influenced by a business in exchange for money, free product, discounts or another benefit. Platforms like Instagram, TikTok and Facebook require branded content tools or “paid partnership” tags, and Canadian law requires clear disclosure of material connections.

Brand Guidelines

Rules for how a brand shows up

A document that sets out how a brand's name, logo, colours, fonts, tone of voice and disclaimers should be used. For influencers and agencies, brand guidelines help keep posts consistent with the brand's image while still complying with platform rules and advertising law.

Browsewrap Agreement

Passive acceptance of online terms

A type of online agreement where terms are posted via a link (often in a footer) and users are deemed to accept them by using the website or app. In Canada, browsewrap agreements are generally harder to enforce than clickwrap agreements, especially where users are not clearly directed to the terms.


Call-to-Action (CTA)

What you ask users to do

The prompt that tells users what to do next, such as “Book now,” “Sign up,” “Enter the giveaway” or “Use code [NAME].” CTAs in Canadian social media posts should be clear, not misleading and matched to the actual legal terms of the offer.

CASL (Canada's Anti-Spam Legislation)

Email, SMS & DM rules

Federal legislation that regulates commercial electronic messages (CEMs). CASL covers email, SMS, some social media direct messages and certain automated outreach. It generally requires consent, sender identification and an unsubscribe mechanism, and carries significant penalties for non-compliance.

Clickwrap Agreement

Active acceptance of online terms

An online agreement that requires users to actively agree to terms, usually by clicking an “I agree” checkbox during sign-up or checkout. Clickwrap agreements are the preferred and most enforceable method for accepting Terms of Service in Canadian apps and software platforms.

Commercial Electronic Message (CEM)

CASL term

An electronic message that encourages participation in a commercial activity, such as promoting a product, service or brand. Under CASL, most CEMs sent to electronic addresses (including some social media inboxes) require consent and must include an unsubscribe option and required identification details.

Click-Through Rate (CTR)

Measure of clicks vs. impressions

A performance metric that compares how many people saw a link (for example, in an ad or Story) to how many actually clicked it. CTR is commonly used in paid ads, but high-pressure or deceptive tactics to increase clicks can raise misleading advertising issues.

Competition Act (Canada)

Key misleading advertising law

Canada's primary federal competition and misleading advertising statute. It prohibits false or misleading claims, unsubstantiated performance claims, deceptive marketing practices and certain types of drip pricing. It applies to social media ads, sponsored posts, websites, funnels and other digital marketing.

Community Guidelines

Behaviour rules for online communities

Plain-language rules that set expectations for user behaviour on a platform, especially where users can message, post content, comment, or interact with each other. Community Guidelines work alongside Terms of Use: guidelines explain what behaviour is not allowed, while the terms give the business legal authority to suspend, remove content, or terminate accounts.

Contest (Promotional Contest)

Giveaways & sweeps

A marketing promotion that offers prizes in exchange for some form of participation, such as filling out a form, following an account or posting content. Canadian contests must comply with the Competition Act, Criminal Code, CASL, privacy laws, Québec language rules (if applicable) and platform-specific contest policies.

Creator Economy

Business built around individual creators

The ecosystem of influencers, content creators, UGC creators, streamers and other individuals who monetize their audience through brand deals, sponsored content, own products, subscriptions and other channels. For Founders Law focuses on legal and compliance support for this economy.


Dark Pattern

Manipulative interface design

A design choice in a website, landing page or app that nudges users into taking actions they wouldn't otherwise choose, such as hiding fees until checkout or making it confusing to cancel. Dark patterns can raise issues under Canadian misleading advertising and privacy laws.

Disclosure (Influencer Disclosure)

Ad or sponsorship label

Clear language that tells viewers when content is sponsored, paid, gifted or otherwise tied to a brand. Examples include “Ad,” “Sponsored,” “Paid partnership with [Brand]” or “Gifted by [Brand].” In Canada, disclosure must be prominent, easy to understand and not buried in hashtags.

Direct Messages (DMs)

Private messages on platforms

Private messages sent through platforms like Instagram, Facebook, TikTok, X or LinkedIn. DMs that promote products or services may be treated as commercial electronic messages and can trigger CASL consent and unsubscribe requirements.


Endorsement

Support for a product or service

A statement, review, video or post that expresses an opinion about a brand, product or service. Endorsements in Canada must be truthful, not misleading and must disclose any material connection between the endorser and the brand (such as payment or free product).

Engagement Rate

How interactive your audience is

A metric that compares the number of interactions on content (likes, comments, saves, shares, clicks) to the size of the audience or number of impressions. Often used to price influencer campaigns, but should not be artificially inflated with bots or fake engagement.


Feed (Social Media Feed)

Main stream of content

The main stream of posts or videos a user sees when they open a social platform. Algorithms decide which content appears in the feed, and the mix of organic and paid content has compliance implications for ad labeling and disclosures.

Federal Trade Commission (FTC)

U.S. advertising regulator

The U.S. regulator responsible for many misleading advertising and influencer marketing rules for campaigns targeting U.S. consumers. Canadian brands and influencers often follow both FTC and Canadian guidance when campaigns reach U.S. audiences.

Funnel (Marketing Funnel)

Customer journey path

The sequence of steps a user takes from first seeing content (for example, a TikTok or Reel) to clicking a link, joining an email list and ultimately purchasing. Every step in the funnel must use accurate, non-misleading claims and comply with CASL and privacy laws where applicable.


GDPR (General Data Protection Regulation)

EU privacy regulation

Comprehensive privacy law that applies to the personal data of individuals in the European Union. Canadian businesses running campaigns that target or track EU users may need to comply with the GDPR in addition to Canadian privacy laws.

Giveaway

Prize promotion on social media

A type of promotional contest commonly run on Instagram, TikTok or Facebook where users can win a product or service. Despite informal language, giveaways are still contests and must follow Canadian contest, privacy, CASL and platform rules.

Governing Law & Jurisdiction

Which laws apply and where disputes are handled

A clause in terms and conditions that specifies which province's laws apply (often Ontario) and where disputes must be resolved. Clear governing law clauses help reduce uncertainty, especially for businesses with customers or users across Canada and internationally.

Greenwashing

Misleading environmental claims

Marketing that overstates or falsely states environmental benefits, such as claiming a product is “eco-friendly” or “carbon neutral” without proper evidence. The Competition Bureau has published specific guidance on environmental claims and greenwashing.


Hashtag

Keyword preceded by “#”

A tag (for example, #ad, #sponsored, #contest) used on social platforms to categorize content and support search and discovery. Hashtags can be used as part of disclosure, but disclosure should still be clear and understandable in plain language.

Hyperlink

Clickable link to another page

A link that takes users to a landing page, long-form contest rules, privacy policy or other site. Disclaimers and full terms are often hosted behind hyperlinks, but key conditions should not be hidden or contradicted in the main post.


I

Impressions

How many times content is shown

The number of times a piece of content is displayed on a screen, regardless of whether the user clicked or engaged. Impressions are a common metric in influencer reporting and paid ad dashboards.

In-App Purchases

Paid features or digital goods inside an app

Purchases made within an app or software platform, such as subscriptions, premium features, credits, or digital content. In-app purchase terms should clearly disclose pricing, renewal timing, cancellation options, and refund rules to reduce disputes and chargeback risk.

Influencer

Person with commercial audience influence

An individual whose social media presence can influence purchasing decisions of others. Influencers may be nano, micro, mid-tier or macro, and often operate as independent businesses. Their content must comply with both platform rules and Canadian advertising, privacy and contest laws.

Influencer Agreement

Contract between brand and creator

A written contract that sets out deliverables, timelines, fees, usage rights, disclosure obligations, exclusivity, cancellation, moral rights, IP ownership and compliance clauses. Proper agreements help brands and creators stay aligned and onside with Canadian law.

Intellectual Property (IP)

Rights in creative and brand assets

Legal rights in creations of the mind, including trademarks, copyrights and sometimes trade secrets. Social media campaigns rely heavily on IP: logos, brand names, video footage, photos, captions, music and UGC must all be cleared and used under the proper licences.


Key Performance Indicator (KPI)

Goal-based metric

A measurable value that indicates how effectively a campaign is achieving its objectives. Common influencer KPIs include reach, engagement rate, click-through rate, cost per acquisition and return on ad spend. KPIs should be tracked honestly and not manipulated with fake traffic.


Landing Page

Destination page for clicks

The web page users see after clicking a link or ad, such as a service page, booking form or contest entry form. Claims on the landing page must match the social post or ad and avoid fine-print contradictions that could be misleading.

Licence (IP Licence)

Permission to use IP

A licence is permission from an IP owner to use their content—such as photos, logos, music or UGC—on specific terms. Influencer agreements should clearly state who owns the content and what licences are granted for future use in ads or on websites.

Limitation of Liability

Clause that caps legal exposure

A provision in terms and conditions that limits the types or amounts of damages a business may be responsible for. In Canada, limitation of liability clauses must be clearly drafted and reasonably brought to the user's attention to support enforceability.

“Like & Share” Contest

Engagement-based entry mechanic

A contest that asks users to like, share or comment on a post to enter. These are still promotional contests, and brands must ensure the rules comply with Canadian contest law and the specific platform's promotion guidelines.


Material Connection

Relationship that must be disclosed

Any financial or other connection between an influencer and a brand that could affect how people understand the influencer's content. This includes payment, free product, discounts, affiliate links, family relationships and brand ownership. Material connections must be disclosed clearly.

Micro-Influencer

Smaller but often highly engaged audience

An influencer with a relatively smaller but highly engaged following, often in a specific niche (for example, Toronto med spa clients, fitness, or UGC creators). Many Canadian brands prioritize micro-influencer campaigns for authenticity and cost-effective reach.

Metrics (Social Media Metrics)

Numbers behind performance

Quantitative data such as impressions, reach, clicks, watch time, saves, shares and conversions. Metrics help founders and influencers assess what is working, but they must be reported honestly to avoid misleading brands, agencies or regulators.


Native Advertising

Ads that blend into content

Paid content designed to match the look and feel of the platform or feed where it appears, such as sponsored TikToks or in-feed Instagram ads. Native ads must still be clearly identified as promotional and cannot hide their commercial nature.

Non-Disclosure Agreement (NDA)

Confidentiality contract

A contract that restricts the sharing of confidential information. NDAs are often used when brands share early product concepts, campaign plans or pricing with influencers, agencies or contractors.


Organic Reach

Non-paid visibility

The number of people who see content without paid promotion. While organic posts don't involve media spend, they are still subject to advertising, contest and disclosure rules if they promote a product, service or brand.

Opt-In / Opt-Out

Consent choices

Mechanisms that allow users to choose whether to receive marketing emails, texts or DMs. Under Canadian privacy and anti-spam laws, consent must be meaningful, and unsubscribe requests must be honoured promptly.


Paid Partnership

Platform label for sponsored content

A built-in tool on platforms like Instagram and TikTok that tags posts as a “paid partnership” with a named brand. Using the tool supports transparency, but brands and influencers must still ensure that disclosure is clear and that legal requirements are met.

Personal Information

Identifiable information about a person

Any information about an identifiable individual, such as name, email address, phone number, user ID, device identifiers or behavioural profiles. Collecting personal information through contests, lead magnets or pixel tracking must comply with Canadian privacy laws.

PIPEDA

Federal private-sector privacy law

The Personal Information Protection and Electronic Documents Act, which sets out rules for how many private-sector organizations in Canada must collect, use and disclose personal information. Social media campaigns that collect leads or track behaviour often engage PIPEDA.

Platform Rules

Terms and policies of each app

The terms of use, community guidelines, advertising policies and contest rules of platforms such as Instagram, TikTok, Facebook, X, Pinterest, YouTube and LinkedIn. Brands and influencers must follow both the law and these platform-specific policies.

Platform Terms

Rules governing use of a website or app

Another term for Terms of Use or Terms and Conditions. Platform terms govern how users may access and use a website, app, or online service, including acceptable use, account rules, content rules, liability limits, and dispute resolution.

Privacy Policy

Statement about data practices

A document that explains how a business collects, uses, discloses and protects personal information. Any brand running social media campaigns that collect leads, run contests or use tracking tools should have a clear, accessible privacy policy.


Québec Language Requirements

French language rules

For contests and campaigns open to Québec residents, or for Québec-based businesses, French language requirements apply to many marketing materials and contracts. Brands should obtain specific advice before running national contests or campaigns that include Québec.


Reach

Number of unique viewers

The total number of unique users who saw a piece of content. Reach is often used to report campaign results and price influencer deals alongside engagement and conversions.

Review (Online Review)

Customer feedback posted online

A written or video review left by a customer or user about a product or service. Paying for fake reviews, failing to disclose material connections, or suppressing honest negative reviews can create misleading advertising and consumer protection issues.


Social Media Policy

Internal rules for staff and contractors

A written policy that sets expectations for how employees, contractors and sometimes influencers may refer to the company online, use social media at work and handle confidential or sensitive information. Good policies help prevent reputational and legal issues.

Sponsored Content

Content paid for by a brand

Any post, Story, video, podcast segment or blog that a brand has paid for or otherwise influenced. Sponsored content must be clearly labelled and follow advertising, contest and platform rules.

Sponsored Post

Paid social media post

A single post, story or video on a social platform where a brand provides payment, product or another benefit to the creator. In Canada, sponsored posts require clear disclosure and must not contain false, misleading or unsubstantiated claims.

Stories (Social Media Stories)

Short, time-limited content

Full-screen vertical content that typically disappears after 24 hours (for example, Instagram Stories, Facebook Stories). Disclosures in Stories must still be clearly visible and easy to read, especially when using quick frames or stickers.

Substantiation (Ad Claims)

Evidence behind claims

The requirement that brands have adequate and proper testing or support before making performance claims (for example, “clinically proven,” “fastest,” “best in Toronto”). Lack of substantiation can lead to Competition Bureau investigations or Ad Standards complaints.


Terms of Use / Terms & Conditions

Rules for using a site or app

A contract that sets out the rules for using a website, app or online service, including limitations of liability, acceptable use, IP and dispute resolution. Many promotions link to terms of use and contest rules from social media posts.

Terms of Service

Online agreement for platforms and apps

A common term used for website and app “terms” that govern how users access and use an online service. Terms of Service typically cover acceptable use, account rules, content rules, IP, disclaimers, limitation of liability, and dispute resolution. For enforceability, terms are usually presented through clickwrap acceptance during sign-up or checkout.

Testimonial

Customer or influencer statement

A statement from a customer, client or influencer about their experience with a product or service. Testimonials must be truthful, accurately presented and clearly disclose any material connection to the brand.

Trademark

Brand name, logo or slogan

A sign used to distinguish a business's products or services from others, such as a name, logo or tagline. Social media handles, hashtags and logos can all function as trademarks and may be registered for stronger protection.

Transparency

Clear, honest communication

The principle that marketers and influencers should be open and honest about who they are, what they are offering and how they are compensated. Transparency underpins most disclosure, privacy and misleading advertising rules in Canada.


Unsubscribe Mechanism

Way to stop receiving messages

A link, button or process that allows recipients to easily stop receiving commercial electronic messages. Under CASL, unsubscribe mechanisms must be simple, functional and processed within the time period required by law.

User-Generated Content (UGC)

Content created by users, not the brand

Photos, videos, reviews, testimonials or posts created by customers or fans. Brands increasingly use UGC in ads and on websites, but must obtain proper permissions, respect privacy and personality rights, and ensure the content is not misleading or infringing.


Whitelisting (Creator Whitelisting)

Brand runs ads through creator handle

A practice where a brand gains permission to run paid ads from an influencer's account, using their handle and content in the ad account. Whitelisting clauses should be clearly spelled out in influencer agreements, including duration, spend limits and approval rights.

Word-of-Mouth Marketing

Organic sharing and referrals

When customers or followers talk about a brand voluntarily. Once brands provide incentives or benefits for sharing, the content may become sponsored or incentivized and require appropriate disclosures.


X (Formerly Twitter)

Microblogging and real-time updates

A social network focused on short posts, replies and quote posts. X has its own advertising, contest, authenticity and safety policies that apply to brand campaigns, creator monetization and promotions run on the platform.


YouTube Partner Program

YouTube's monetization system

A program that allows eligible creators to earn revenue from ads, channel memberships and other monetization features on YouTube. Branded content and sponsorships on YouTube also require disclosure and must comply with Canadian advertising, privacy and contest laws when targeted to Canadian viewers.


This glossary is provided for general information purposes only and does not constitute legal advice. Reading this page does not create a lawyer–client relationship. For advice tailored to your social media, influencer or digital marketing campaign, please contact For Founders Law.

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