Lottery Corporation - Misleading Representation

The Competition Bureau initiated an inquiry on November 2, 1999, following an application filed by six persons resident in Canada regarding the marketing practices of a lottery and game of chance corporation. It was alleged that in promoting its lottery games, the corporation made false and misleading statements to potential ticket purchasers and failed to disclose certain facts which could affect the ticket purchaser's chance of winning. Such practices could have raised an issue under sections 52 and 59 of the Competition Act prior to March 18, 1999 and sections 74.01 and 74.06 of the Act after March 18, 1999.

The Bureau discussed the issue with the corporation, who by making changes to its practices, ensured that adequate information was provided to its retailers and in turn made available to consumers, including complete and up-to-date information regarding:

• game prize structures;
• odds of winning;
• number of claimed and unclaimed prizes.

The results of these changes alleviated the concerns raised in the six resident application.

The inquiry was discontinued on February 16, 2004.

(108574)