What is fair dealing in Canada?

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Written by For Founders Law, a Toronto firm licensed by the Law Society of Ontario. About us

Short answer

Fair dealing is an exception in Canada's Copyright Act that lets you use part of a copyrighted work without permission if two conditions are met: the use is for one of the listed purposes (research, private study, education, parody, satire, criticism, review or news reporting), and the dealing is fair. Criticism, review and news reporting also require you to mention the source and the author. It's narrower than US fair use, so a use that would be fair use in the US may not be fair dealing here.

Creators making reaction, review, commentary and parody content, and startups using screenshots, quotes and clips in marketing, all eventually ask whether fair dealing covers them.

Which purposes qualify?

PurposeSectionExtra requirement
Research, private study, educations. 29None
Parody or satires. 29None
Criticism or reviews. 29.1Mention the source, and the author or creator if given
News reportings. 29.2Mention the source, and the author or creator if given

If the use isn’t for one of these purposes, fair dealing doesn’t apply, however small the use. Advertising and general promotion aren’t listed purposes.

How do courts decide whether it’s fair?

The Supreme Court of Canada set out factors in CCH Canadian Ltd. v. Law Society of Upper Canada, 2004 SCC 13, and has applied them since:

  1. Purpose: the real purpose of the dealing, looked at objectively.
  2. Character: how the work was used, for example a single copy or wide distribution.
  3. Amount: how much was taken, and how important that part is.
  4. Alternatives: whether a non-copyrighted alternative was available, or the work wasn’t needed.
  5. Nature of the work: for example, whether it was published or confidential.
  6. Effect: whether the use competes with or harms the market for the original.

No single factor decides it. Commercial use doesn’t automatically rule out fair dealing, but it weighs in the analysis.

How is it different from US fair use?

US fair use is open-ended: any purpose can qualify if the use is fair. Canada’s list of purposes is closed. Courts read the listed purposes generously (in SOCAN v. Bell Canada, 2012 SCC 36, song previews used by consumers choosing music counted as research), but a use outside them, such as using a clip purely to entertain, won’t qualify in Canada even if it might in the US. If your audience and platform are global, the stricter rule is the safer guide.

How does it apply to common creator content?

ContentFair dealing likely?
A review that shows short clips to support specific commentary, crediting the sourcePossibly, if the amount is proportionate
A reaction video that plays most of the original with little commentaryUnlikely
A parody that mocks the original or comments on something through itPossibly
Background music in a sponsored postNo. See using music in your content
A screenshot of a competitor’s site in a comparison adUnlikely, since advertising isn’t a listed purpose; comparative advertising rules also apply

Separately, section 29.21 allows some non-commercial user-generated content, such as mashups, that wouldn’t otherwise qualify. It doesn’t cover monetized brand work.

What about trademarks and people in the content?

Fair dealing is a copyright exception only. Using a brand’s logo or a person’s likeness raises separate issues. See do I need permission to use someone’s image.

What to do next

We review brand deal contracts and prepare content licensing agreements, at fixed fees on our fees page.

This guide is general information about Canadian law, not legal advice for your situation. If you’ve received a takedown or claim, book a free 15-minute consult.

Sources

  1. Copyright Act, R.S.C. 1985, c. C-42, s. 29 (research, private study, education, parody or satire)
  2. Copyright Act, s. 29.1 (criticism or review)
  3. Copyright Act, s. 29.2 (news reporting)
  4. Copyright Act, s. 29.21 (non-commercial user-generated content)
  5. CCH Canadian Ltd. v. Law Society of Upper Canada, 2004 SCC 13
  6. Society of Composers, Authors and Music Publishers of Canada v. Bell Canada, 2012 SCC 36
  7. CIPO: A guide to copyright