CRE-320 · Lesson 6 of 12 · 29 min
Claims and substantiation: performance, green and origin claims
Disclosure tells the audience that a post is commercial. Substantiation is about whether what the post says is true and supported. Every objective claim in a sponsored post, whether made by the brand or by the creator in their own words, must be backed by evidence that exists before the claim is made. This lesson explains how to identify claims, including implied claims, what level of evidence different claims require, and the special rules for comparative, environmental and country-of-origin claims. Health and other regulated product claims, which carry extra rules, are covered in lesson 7.
What counts as a claim
A claim is any statement or impression about a product that the audience could treat as a fact. Claims can be express, stated directly in words, or implied, conveyed through images, demonstrations, context or what is left out.
- Express: "This charger fills your phone in 15 minutes." "Removes 99 % of stains."
- Implied: a video showing a creator drinking a tea and then visibly relaxing, captioned "my anxiety fix," implies that the tea treats anxiety.
- Demonstrations: a before-and-after video implies that the product produced the change shown.
- Omissions: describing a phone plan's price without mentioning a mandatory activation fee implies the price is complete.
Opinions and obvious exaggeration are treated differently. "I love the smell" is a personal opinion that needs no test. Puffery, such as "the best coffee in the universe," is generally not treated as a factual claim because no reasonable person takes it literally. But puffery has limits: "the fastest-charging phone on the market" or "Canada's most trusted brand" sound like facts that can be measured and must be supported.
Substantiation must come first
The core principle in both countries is that evidence must exist before the claim is made. A brand cannot make a claim and look for proof only if someone complains. For creators, this means asking brands for the basis of any objective claim they want you to make, and not inventing claims of your own about how a product performs.
In Canada, section 74.01(1)(b) of the Competition Act prohibits making a representation about the performance, efficacy or length of life of a product that is not based on an adequate and proper test, and the test must be completed before the claim is made. The burden of proving that the test was adequate and proper falls on the person making the claim. The Competition Bureau's guidance says that what is adequate and proper depends on the claim and the product, but that tests should be conducted under controlled conditions that reflect real use, by qualified people, with results that support the general impression of the claim, not just its literal words.
| Claim type | Example | Evidence typically needed |
|---|---|---|
| Personal opinion | I love the colour | Genuine opinion only |
| Puffery | Simply amazing | None, if no one would take it literally |
| Performance | Charges in 15 minutes | Controlled tests that reflect real use |
| Comparative | Lasts twice as long as Brand X | Head-to-head tests on comparable products |
| Establishment | Clinically proven to reduce redness | The clinical evidence the claim describes |
| Health | Supports sleep | Evidence meeting health product rules (lesson 7) |
The creator's own claims
Creators often add their own claims to sponsored content, sometimes without realizing it. "This changed my life," "my skin has never been clearer" or "this saved me $200 a month" are statements of personal experience. They are acceptable if they are true for the creator and do not imply typical results that the brand cannot support. Problems arise when creators generalize: "this will clear your skin," "you'll save $200 a month." Those are product claims that need the brand's substantiation. A useful habit is to speak in the first person about real experiences and leave general product claims to the brand's approved, substantiated wording.
Worked problem
Building a substantiation checklist
A brand of portable power banks asks a creator to say in a video: (a) "It charges my phone three times on one charge," (b) "It's the lightest 20,000 mAh power bank you can buy," (c) "Airline approved," and (d) "I take it everywhere." What should the creator ask for before agreeing?
Show solution
- (a) Ask for test results showing three full charges for common phone models, and confirm the creator's own phone actually gets three; otherwise say what the creator's phone gets.
- (b) "Lightest you can buy" is a comparative superiority claim; ask for a current comparison of weights against competing 20,000 mAh models.
- (c) Ask for the basis: battery capacity in watt-hours and the airline or aviation authority limits it relies on; "approved" may overstate a general size limit.
- (d) Personal use; fine if true.
Answer: Ask for test data for (a), current competitive comparison for (b) and the specific aviation basis for (c), and keep the claims within what the evidence supports; (d) needs only to be true.
Comparative claims
Comparisons with competitors are lawful in both countries, and can be useful to consumers, but they must be fair and supported. A comparison must compare like with like, use tests that reflect real use, be current and not create a misleading overall impression, for example by choosing the one feature where the product wins and implying general superiority. Disparaging a competitor with false claims can also lead to lawsuits by the competitor. Creators should be careful about naming competitors in sponsored content; the brand should supply and stand behind any comparison.
Environmental claims
Environmental claims, often called green claims, are a growing area of enforcement. Vague words such as "eco-friendly," "green," "natural," "sustainable" or "planet-friendly" are risky because they imply broad environmental benefits that are rarely true across a product's whole life cycle. Specific, qualified claims, such as "packaging made from 80 % recycled paper," are safer when they are true and supported.
In June 2024, Parliament amended the Competition Act to add specific rules on environmental claims. Claims that a product is beneficial for the environment, or reduces environmental or ecological harm, or mitigates climate change, must be based on an adequate and proper test. Claims about the environmental benefits of a business or its activities must be based on adequate and proper substantiation. The original 2024 wording required that business-level substantiation follow an internationally recognized methodology, and from June 2025 allowed private parties to seek leave to bring cases about such claims. After businesses said the rules were unclear and were discouraging them from communicating climate efforts, Bill C-15 received royal assent on March 26, 2026. It removed the internationally recognized methodology requirement and removed private access for claims about a business or its activities, while keeping the test requirement for product claims and the Bureau's power to act on all environmental claims. The Bureau published final guidance on environmental claims in 2025, which it is expected to update to reflect the changes.
- Avoid general claims such as "eco-friendly" unless you can qualify them specifically and clearly.
- Specify whether a claim refers to the product, the packaging or part of either.
- Do not overstate: "made with recycled materials" when only 5 % is recycled is misleading.
- Treat "carbon neutral," "net zero" and "climate positive" claims with particular care; ask what emissions are included, how reductions were measured and whether offsets are relied on.
- Do not imply environmental certifications or seals that the product does not have.
Worked problem
Testing a green claim
A clothing brand asks a creator to say its hoodie is "sustainable and eco-friendly." The brand's information shows the hoodie is 60 % recycled polyester and 40 % virgin cotton, made in a factory powered by 30 % renewable energy, and shipped in plastic bags. What should the creator say instead?
Show solution
- "Sustainable and eco-friendly" are vague, unqualified general claims that imply broad benefits the product does not have.
- The specific, supported facts are: 60 % recycled polyester; factory 30 % renewable energy.
- The plastic packaging means even a qualified "eco" claim about the whole product would mislead.
- A supported alternative: "This hoodie is made with 60 % recycled polyester."
Answer: Replace the vague claims with a specific, true statement such as "made with 60 % recycled polyester," and avoid implying the product as a whole is environmentally beneficial.
Country-of-origin claims
Claims that a product is made in a particular country influence many buyers, so both countries regulate them.
In Canada, the Competition Bureau's guidelines for non-food products set two levels. "Product of Canada" can be used when the last substantial transformation happened in Canada and at least 98 % of the total direct costs of producing or manufacturing the product are Canadian. "Made in Canada" requires that the last substantial transformation happened in Canada, that at least 51 % of total direct costs are Canadian and that the claim carries a qualifying statement, such as "Made in Canada with imported parts." For food, the Canadian Food Inspection Agency applies its own rules: "Product of Canada" requires that all or virtually all the ingredients, processing and labour be Canadian, and "Made in Canada" requires the last substantial transformation in Canada with a qualifying statement such as "Made in Canada from imported ingredients."
Worked problem
Checking a Made in Canada claim
A brand's leather bag costs $80 in total direct costs to make: Canadian leather $30, imported hardware $18, Canadian labour $22 and imported lining $10. It is cut and sewn in Toronto. Can the brand or a creator say "Product of Canada" or "Made in Canada"?
Show solution
- Canadian direct costs: $30 + $22 = $52.
- Share: $52 ÷ $80 = 65 %.
- Product of Canada needs 98 %; 65 % does not qualify.
- Made in Canada needs 51 % plus last substantial transformation in Canada (cutting and sewing in Toronto) plus a qualifying statement.
Answer: Not "Product of Canada," but "Made in Canada with imported materials" qualifies, because 65 % exceeds 51 % and the bag is made in Toronto.
Prices, savings and "free"
Price claims are common in creator content: discount codes, "save 50 %," "was $100, now $50," "free shipping," "free trial." They must be accurate. A "was" or "regular" price must be a genuine price at which the product was actually sold, not an inflated figure invented to make a discount look large. A "free" offer must really be free, with any conditions, such as a required purchase, subscription or shipping charge, stated clearly next to the offer. Creators should confirm the details of any price or savings claim with the brand and avoid exaggerating discounts in their own words.
Demonstrations and before-and-after content
Demonstrations are powerful because seeing feels like proof. That is why they must show what the product actually does, under conditions the audience would recognize. A stain remover tested on a fresh stain should not be presented as removing a stain that set for a week, and a vacuum shown picking up dry cereal should not imply equal performance on deep carpet. Mock-ups, such as using mashed potato instead of ice cream under hot lights, are generally acceptable only if they do not exaggerate the product's qualities being advertised. Before-and-after content needs particular care: the conditions in both shots, such as lighting, angle, makeup and time between shots, should be the same, the product should be the only meaningful difference, and the results should be typical of what users can expect or be clearly qualified. If you cannot honestly show a before-and-after without those safeguards, do not show it.
Common mistakes
MistakeTreating "it's the best" style claims as always safe puffery.
InsteadMeasurable superiority claims need evidence.
MistakeGeneralizing personal results into product promises.
InsteadSpeak about your own experience; leave product claims to substantiated wording.
MistakeUsing vague green words like "eco-friendly".
InsteadMake specific, qualified, supported environmental claims.
MistakeSaying "Made in" when only assembly happened locally.
InsteadCheck origin thresholds and use qualified claims.
MistakeAccepting "clinically proven" without asking for the study.
InsteadEstablishment claims need the evidence they describe.
Summary and key terms
- Claims can be express or implied, including by images and omissions.
- Objective claims need evidence that exists before the claim is made.
- The level of evidence depends on the claim; establishment claims need what they describe.
- Creators should speak about genuine personal experience and avoid generalizing.
- Comparative claims must be fair, current and like-for-like.
- Environmental claims should be specific, qualified and supported.
- Country-of-origin and price claims follow specific rules.
- Express claim
- A claim stated directly.
- Implied claim
- A claim conveyed by images, context or omission.
- Puffery
- Obvious exaggeration no reasonable person takes literally.
- Adequate and proper test
- Testing required before a performance claim.
- Substantiation
- The evidence that supports a claim.
- Comparative claim
- A claim comparing a product with a competitor.
- Green claim
- A claim about environmental benefits.
- Bill C-15
- The 2026 law that narrowed the greenwashing provisions.
- Product of Canada
- A claim requiring at least 98 % Canadian direct costs.
- Made in Canada
- A qualified claim requiring at least 51 % Canadian direct costs.
Practice problems
Work each problem on paper first, then reveal the answer to check.
Give an example of an implied claim.
Show answer
A before-and-after video implying the product caused the change.
When must substantiation exist?
Show answer
Before the claim is made.
Who bears the burden of proving a test was adequate and proper?
Show answer
The person making the claim.
Is "the fastest phone on the market" puffery?
Show answer
No, it is measurable and must be supported.
What did the 2024 amendments require for product environmental claims?
Show answer
An adequate and proper test.
What did Bill C-15 remove?
Show answer
The internationally recognized methodology requirement and private access for business claims.
Canadian content of 45 %: Made in Canada?
Show answer
No, 51 % is required.
What qualifying statement goes with Made in Canada?
Show answer
For example, with imported parts.
What should a creator say instead of "eco-friendly"?
Show answer
A specific, supported claim such as made with 60 % recycled material.
What makes a "was" price lawful?
Show answer
It must be a genuine price at which the product was sold.
Lesson quiz · 5 questions
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