Blakes Competitive Edge™: May 2025 Update

Welcome to the May issue of Blakes Competitive Edge, a monthly publication of the Blakes Competition, Antitrust & Foreign Investment group. Blakes Competitive Edge provides an overview of recent developments in Canadian competition and foreign investment law, including updates on enforcement activity by the Canadian Competition Bureau (Bureau), recent initiatives and key trends.

Key Highlights 

• Merger review activity in 2025 is up compared to the last two years, with the Bureau completing 72 merger reviews through the end of April, a 28.6% increase from the 56 completed through April 2024 and a 22% increase from the 59 completed through April 2023. Merger reviews resulting in No Action Letters have also risen to 63%, compared to 55% through April 2024 and 53% through December 2024.
• The Competition Tribunal has bifurcated the abuse of dominance proceedings against Google.
• The Bureau has brought an application against Canada’s Wonderland for alleged misleading advertising.
• Foreign investment screening legislation was introduced in the Legislative Assembly of Ontario.

Competition Act 

Merger Monitor 

April 1 – April 30, 2025 Highlights

• Nine merger reviews announced, 15 merger reviews completed
• Primary industries of completed reviews: wholesale trade (20%); manufacturing (13%); construction (13%); retail trade (13%); mining, quarrying, and oil and gas extraction (13%); transportation and warehousing (7%)
• Nine transactions received a No Action Letter (60%); five transactions received an Advanced Ruling Certificate (33%); one transaction was resolved through other means

January – April 30, 2025 Highlights

• 64 merger reviews announced, 72 merger reviews completed
• Primary industries of completed reviews: real estate and rental and leasing (22%); wholesale trade (13%); finance and insurance (13%); manufacturing (11%); transportation and warehousing (10%); mining, quarrying, and oil and gas extraction (8%)
• 45 transactions received a No Action Letter (63%); 24 transactions received an Advance Ruling Certificate (34%); one transaction was abandoned by the merging parties; two transactions were resolved through other means

Merger Reviews Completed Year to Date Through April 30, 2025, by Primary Industry 

Enforcement Activity

Competition Tribunal Bifurcates Abuse of Dominance Proceedings Against Google

• On May 7, 2025, the Competition Tribunal issued a bifurcation and scheduling order along with a protective and confidentiality order regarding the Commissioner of Competition’s (Commissioner) application against Google Canada and Google LLC (Google) for alleged abuse of dominance. The orders follow agreement between the Commissioner and Google that the proceedings should be divided into two phases: a first phase to determine Google’s liability and a subsequent phase to determine a remedy, if necessary. The Competition Tribunal’s orders were informed by an ongoing proceeding in the United States District Court for the Eastern District of Virginia, which overlaps with the issues raised in the Commissioner’s application and is also bifurcated into liability and remedy phases. The bifurcation and scheduling order also contains a proposed schedule for the first phase of the bifurcated proceedings. For more information on the Bureau’s application against Google, see the Blakes Competitive Edge™ December 2024, March 2025 and April 2025 updates.

Bureau Furthers Its Investigation Into Competition in the Quebec Real Estate Services Market

• On May 6, 2025, the Bureau announced it had obtained a second court order to advance an investigation into conduct by the Quebec Professional Association for Real Estate Brokers (QPAREB) and its subsidiary, Société Centris. The Bureau is investigating whether QPAREB engaged in real estate data sharing restriction practices that harm competition in the real estate brokerage services market and prevent the development of innovative online brokerage services in Quebec. The Federal Court order requires QPAREB to produce records regarding its relationship with its business partners and data on real estate transactions in Quebec. For information on the initial court order obtained by the Bureau in connection with this investigation in 2023, see the Blakes Competitive Edge™: March 2023 Update.

Bureau Sues Canada’s Wonderland for Alleged Drip Pricing Practices

• On May 5, 2025, the Bureau announced that it had filed an application with the Competition Tribunal, alleging that Canada’s Wonderland Company (Canada’s Wonderland), an amusement park, has been advertising misleading prices by improperly disclosing its processing fees for online purchases. In its notice of application, the Bureau alleged that Canada’s Wonderland advertises prices for a number of its products, including park admission, that do not include a mandatory online processing fee of up to C$9.99, which varies depending on the number of products purchased. On that basis, the Commissioner alleged that Canada’s Wonderland has engaged in drip pricing, a practice in which customers are not presented with an attainable price upfront. Among other things, the Bureau is seeking 1) an order prohibiting Canada’s Wonderland from engaging in the alleged conduct for ten years, 2) an administrative monetary penalty as deemed appropriate by the Competition Tribunal and 3) restitution for customers of Canada’s Wonderland who have paid the mandatory online processing fee.

Bureau Investigates Express Scripts Canada’s Business Practices

• On April 11, 2025, the Bureau announced that it had obtained a Federal Court order to advance an investigation into Express Scripts Canada, a company that provides prescription drug claim processing services. The Bureau is investigating whether Express Scripts Canada is engaging in patient steering and margin-squeezing tactics that contravene the restrictive trade practices provisions of the Competition Act. Specifically, it is alleged that Express Scripts Canada may be using Preferred Provider Networks to steer patients toward using Express Scripts Canada-owned or associated pharmacies, rather than their pharmacies of choice. It is also alleged that Express Scripts Canada may be reducing the margins of its retail pharmacy competitors by increasing its Pharmacy Benefit Manager service fee, a fee associated with the provision of prescription drug claim processing services for insurance providers and pharmacists, and by engaging in a costly and onerous audit process. The Federal Court order requires Express Scripts Canada to provide oral testimony, along with compelling the production of records and written information deemed relevant to the Bureau’s investigation.

Investment Canada Act 

Foreign Investment Monitor

Non-Cultural Investments

March 2025 Highlights

• 89 notifications filed (65 filed for an acquisition, 24 for the establishment of a new Canadian business)
• Country of ultimate control: United States (52%); Germany (13%); China (7%); United Kingdom (6%); Australia (3%); Belgium (3%); France (3%)

January – March 2025 Highlights

• One reviewable investment approval and 273 notifications filed (213 filed for an acquisition, 60 for the establishment of a new Canadian business)
• Country of ultimate control: United States (55%); Germany (7%); France (6%); China (5%); United Kingdom (4%); Iran (2%); Sweden (2%)

Investment Canada Act Non-Cultural Investment Filings and Approvals, January – March 2025

Non-Enforcement Activity

Bill Proposes Screening of Foreign Investment Into Ontario’s Critical Minerals and Energy Sectors

• On April 17, 2025, Ontario’s Minister of Energy and Mines introduced Bill 5, Protect Ontario by Unleashing our Economy Act to the Legislative Assembly of Ontario. The proposed legislation has the espoused aims of protecting Ontario’s critical mining resources and energy infrastructure from hostile foreign actors and regimes, creating favourable investment conditions and ensuring Ontario and Canada’s economies are resilient and self-reliant. Critically, the proposed legislation introduces changes to Ontario’s Mining Act that would grant discretionary powers to the Minister of Energy and Mines to deny the issuance of mining leases and cancel existing mining claims and tenures when it is determined that such action would be “desirable for the protection of the strategic national mineral supply chain.” Additionally, the proposed legislation would enable the Minister of Energy and Mines to suspend or remove a registrant from the Mining Lands Administration System (MLAS), the province’s online mining claims system, or suspend the MLAS itself altogether. Further, the proposed legislation contains restrictions on the ability of gas transmitters, gas distributors or storage companies, that meet certain criteria relating to country, region or territory of origin, to win procurement processes in Ontario. The Ontario government has issued a consultation on the proposed legislation, which closes on May 17, 2025.

Blakes Notes 

• On May 27, 2025, Blakes Partner Julie Soloway will be moderating a webinar, hosted by Wolters Kluwer, on the latest developments in global merger control. Register for the webinar here.
• On May 15, 2025, Blakes Partner Julia Potter hosted an episode of the Counterfactual Podcast titled “Criminal Matter Enforcement in Flux: Cross-Border Insights and Trends,” with participation from Blakes Associate Joe McGrade. 
• On May 14, 2025, Blakes hosted a webinar on the topic of Navigating Competition Law and Regulatory Compliance in a Highly Charged Political Environment. A recording of the session will be available for clients on Blakes Business Class soon.
• On May 8, 2025, Blakes Partner Randall Hofley was named “Competition Litigator of the Year” at the Benchmark Canada Awards. The awards celebrate Canada’s most distinguished litigators.
• On May 7, 2025, the Blakes Toronto Office hosted the CBA Competition Law Spring Conference’s “Canadian Women in Competition Law Social.” Blakes Partner Julia Potter interviewed internationally recognized scholar Poonam Puri on the topic of “Governance in Turbulent Times.”
• On May 1, 2025, the third episode of the Counterfactual Podcast’s “Better Know the Bureau” series was released. The episode featured Blakes Partner Julia Potter, who interviewed Kristen McLean, a Senior Competition Law Officer in the Monopolistic Practices Branch at the Bureau.
• Browse our thought-leadership insights from the Competition, Antitrust & Foreign Investment group to learn more.

Contact Us 

If you have any questions, please do not hesitate to contact your usual Blakes contact or any member of the Blakes Competition, Antitrust & Foreign Investment group.