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What revenue teams need to know about CASL, the Unsolicited Telecommunications Rules, and the National DNCL when running AI voice and SMS campaigns targeting Canadian leads.
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If your revenue team uses AI voiceAI voiceAn artificially generated, natural-sounding voice produced by a TTS model. Thoughtly supports a library of AI voices and brand-specific cloning. agents or automated SMS follow-upSMS follow-upSMS follow-up is the use of compliant two-way text messages to continue a lead conversation after a form fill, missed call, voicemail, or prior interaction. to contact Canadian prospects, two separate regulatory frameworks apply. Canada's Anti-Spam Legislation (CASL) governs commercial electronic messages — including SMS, email, and instant messaging — while the CRTC's Unsolicited Telecommunications Rules (UTR) govern voice telemarketing calls. Teams that assume their US TCPATCPAUS federal law governing telemarketing calls and SMS. Thoughtly enforces consent capture, time-of-day windows, and DNC scrubbing automatically. compliance program covers Canada are leaving significant gaps.
This guide breaks down what each framework requires, how they interact with AI-driven outreach, and what revenue operations teams need to implement to stay compliant when calling or texting Canadian leads.
CASL applies to commercial electronic messages (CEMs) sent to an electronic address. Under the legislation, an electronic address includes email accounts, telephone accounts (SMS text messages), instant messaging accounts, and other similar accounts. The key test is whether one of the purposes of the message is to encourage participation in a commercial activity.
What surprises many US-based teams is that CASL does not apply to voice calls — including live telemarketing and automated voice calls. Those are regulated separately under the Unsolicited Telecommunications Rules (UTR) enforced by the CRTC. But any SMS follow-up sent by an AI agent after a call, or as part of a multi-channel cadence, falls squarely under CASL.
CASL applies to messages sent from Canada to recipients anywhere in the world, and to messages received in Canada from other countries. If your AI follow-up system sends SMS to a Canadian phone number, CASL applies regardless of where your servers are located.
CASL recognizes two types of consent: express and implied. Express consent does not expire, but the recipient can withdraw it at any time. The sender bears the burden of proving consent exists.
Express consent can be obtained in writing or orally, but pre-checked boxes do not count. The recipient must take a positive action — such as checking an unchecked box — to indicate consent. Silence or inaction cannot be construed as consent.
For AI SMS follow-up workflows, this means your web form or lead capture mechanism must include an unchecked, clearly labeled opt-in for text messaging. A generic "I agree to terms" checkbox that buries SMS consent in fine print does not meet the standard.
Implied consent arises in specific situations defined by the legislation and regulations. The most relevant for revenue teams include:
Abandoned shopping carts do not automatically triggerTriggerThe event or condition that starts an automated workflow, such as a new lead, missed call, CRM status change, calendar booking, or completed call. implied consent. The CRTC recommends securing express consent at the point of email or phone number collection in checkout processes rather than assuming a business relationship was formed.
AI voice calls to Canadian phone numbers are governed by the Unsolicited Telecommunications Rules (UTR), not CASL. The UTR covers three areas: National Do Not Call ListDNC scrubbingFiltering outbound dialing lists against federal and internal Do-Not-Call registries. Required for compliant outbound — Thoughtly scrubs every call. Rules, Telemarketing Rules, and Automatic Dialing-Announcing Device (ADAD) Rules.
Telemarketers must register with the National DNCL before making unsolicited calls. For non-exempt telemarketing calls, you must also subscribe to the DNCL for the area codes you intend to call. The version of the DNCL used for compliance must be no more than 31 days old.
Telemarketers must also maintain an internal do-not-call list. When a consumer asks not to be called, their number must be added to the internal list within 14 days and retained for three years and 14 days.
The UTR restricts telemarketing calls to specific hours based on the recipient's local time:
| Day | Allowed calling hours (local time) |
|---|---|
| Weekdays (Monday–Friday) | 9:00 a.m. – 9:30 p.m. |
| Weekends (Saturday–Sunday) | 10:00 a.m. – 6:00 p.m. |
These restrictions apply to all unsolicited telemarketing calls, including those made by AI voice agents. If your AI outbound system calls outside these windows, each call is a separate violation.
An ADAD is what most people call a robocall — a device that dials numbers and plays a recorded or automated message. Under the UTR, telemarketers may make solicitation calls using an ADAD only if the consumer has given express consent prior to the call. This applies to AI voice agents that place outbound calls without a human on the line.
This is a critical distinction for AI voice platforms: if your AI agent places an outbound call to a Canadian number without prior express consent, and the call functions as an ADAD call (automated dialing with an automated message), it violates the UTR. Consent to be called must be obtained before the call is placed — not after the recipient answers.
Both CASL and UTR violations carry significant financial penalties. Under the UTR, penalties vary by violator type:
| Violator type | Maximum penalty per violation |
|---|---|
| Individuals | Up to $1,500 per call |
| Corporations | Up to $15,000 per call |
Under CASL, administrative monetary penalties can reach up to $10 million for a first violation and $15 million for subsequent violations. CASL also includes a private right of action, allowing individuals to sue for damages.
Vicarious liability applies: if you hire a vendor or lead generator to make calls on your behalf, you are responsible for their compliance with the UTR. If they violate the rules while conducting telemarketing on your behalf, you can be held liable.
Thoughtly reserves the right to revoke platform access for non-compliance with telemarketing, spam, and privacy laws, as outlined in the Terms of Service.
Use this checklist before launching AI voice or SMS campaigns targeting Canadian leads:
| Requirement | CASL (SMS/Email) | UTR (Voice calls) |
|---|---|---|
| Obtain consent before contact | Yes — express or implied | Yes — express consent for ADAD/robocalls |
| Register with National DNCL | Not applicable | Yes — before making any unsolicited calls |
| Subscribe to DNCL for target area codes | Not applicable | Yes — for non-exempt telemarketing |
| Scrub lists against DNCL (≤31 days old) | Not applicable | Yes |
| Maintain internal do-not-call list | Not directly required | Yes — 14-day honor, 3-year retention |
| Provide sender identification | Yes — name, contact info | Yes — identify on call, provide info on request |
| Include unsubscribe mechanism | Yes — functional in every CEM | Honor opt-out requests within 14 days |
| Respect calling hours | Not applicable | Weekdays 9am–9:30pm, weekends 10am–6pm |
| Use unchecked opt-in boxes for express consent | Yes | Yes — for ADAD express consent |
| Keep consent records | Yes — burden of proof on sender | Yes — maintain call logs and scripts |
| Honor withdrawal of consent | Yes — immediately | Yes — add to internal DNC within 14 days |
Thoughtly provides several features that support CASL and UTR compliance for teams running AI voice and SMS outreach to Canadian leads. These are platform capabilities — not legal certifications. Your compliance program is still your responsibility.
Thoughtly's audience settings include workspace-level consent mode and suppression list management. You can choose between universal suppression (one opt-outOpt-outA recipient’s request to stop receiving calls or messages. Compliant systems must capture opt-outs and suppress future outreach where required. blocks all channels) or granular suppression (per-channel opt-out). For Canadian campaigns, granular mode lets you respect a contact who opted out of SMS but still consented to voice contact, or vice versa.
Suppression entries can be created manually or automatically — for example, when a contact texts an opt-out keyword like STOP or UNSUBSCRIBE. Each entry records the identifier, channel, reason, source, and timestamp.
Thoughtly's dark windows feature lets you block outbound calls and SMS during specified hours. You can configure quiet hoursQuiet hoursTime windows when outbound calls or texts should not be sent, based on legal rules, customer preferences, or business policy. per channel, aligned to the contact's time zone. For Canadian campaigns, this directly supports UTR calling-hour compliance: set weekday windows to 9:00 a.m.–9:30 p.m. and weekend windows to 10:00 a.m.–6:00 p.m. local time.
Thoughtly supports branded callingBranded callingDisplaying a verified business name, logo, or call reason on the recipient’s phone so legitimate calls are less likely to be ignored or flagged as spam. for outbound numbers, which helps recipients see a verified business name on supported carriers and devices. While branded calling is a trust and answer-rate feature — not a compliance requirement — it supports the UTR identification obligation by making your business identity visible before the recipient picks up.
Thoughtly automatically logs and records calls, providing transparency and supporting compliance audit requirements. Call transcripts, timestamps, and outcome data are retained on the call record. For Canadian campaigns, this helps demonstrate that identification was provided, consent was verified, and opt-out requests were honored.
Thoughtly's start node allows you to set a verbatim opening script — including AI disclosure language and compliance statements. For Canadian calls, this supports both the UTR identification requirement and emerging AI disclosure expectations. Configure your agent's opening node to clearly state who is calling and that the caller is an AI assistant.
The US TCPA and Canada's CASL/UTR share some surface-level similarities but differ in material ways. CASL's consent standard is stricter than TCPA for electronic messages. The UTR's calling-hour restrictions and DNCL requirements differ from US rules. A compliance program built only around US regulations will not protect you in Canada.
A common mistake is treating any lead who provided a phone number as having consented to SMS. Under CASL, providing a phone number in a form does not automatically constitute express consent to receive commercial text messages. You need either an explicit opt-in for SMS or a qualifying implied-consent relationship.
The DNCL version used for compliance must be no more than 31 days old. Teams that download the list once and never refresh it are operating with stale data. If a Canadian consumer registers their number on the DNCL and your list is more than 31 days old, your next call is a violation.
The National DNCL is not a substitute for an internal DNC list. If a consumer asks your AI agent not to call again, that request must be captured and honored — even if their number is not on the National DNCL. The internal list must retain numbers for three years and 14 days, and additions must be processed within 14 days.
CASL explicitly prohibits pre-checked boxes for obtaining express consent. If your lead capture form has a checkbox that defaults to "Yes, I agree to receive messages" and the user must uncheck it to opt out, you do not have valid consent. The box must start unchecked.
No. CASL applies to commercial electronic messages sent to electronic addresses — including SMS, email, and instant messaging. AI voice calls are regulated under the CRTC's Unsolicited Telecommunications Rules (UTR), which govern telemarketing calls, ADAD/robocalls, and the National Do Not Call List.
Yes. SMS messages are commercial electronic messages under CASL if their purpose is to encourage participation in a commercial activity. AI-generated SMS follow-up sent to a Canadian phone number must comply with CASL's consent, identification, and unsubscribe requirements.
Under the UTR, telemarketing calls may only be made between 9:00 a.m. and 9:30 p.m. on weekdays and between 10:00 a.m. and 6:00 p.m. on weekends, based on the recipient's local time. These restrictions apply to AI voice agents.
Telemarketers must register with the National DNCL before making any unsolicited calls, even if the calls being made are exempt. For non-exempt calls, you must also subscribe to the DNCL for the area codes you are calling. Existing customer relationships may qualify for exemptions, but registration is still required.
CASL administrative monetary penalties can reach up to $10 million for a first violation and $15 million for subsequent violations. CASL also includes a private right of action. UTR violations carry penalties of up to $1,500 per call for individuals and $15,000 per call for corporations.
This article is informational and does not constitute legal advice. Consult qualified legal counsel for compliance decisions specific to your organization.
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