OTTAWA -- For some people, waiting to see the much-hyped Super Bowl commercials is like waiting for Christmas. But on TV stations in Canada, there will be no presents from American advertisers next year.
In a 7-2 decision, the Supreme Court of Canada has ruled that Canadian viewers will no longer be seeing American commercials during the Super Bowl broadcast.
The ruling has overturned a previous decision that allowed viewers to see the U.S. ads. Generally, Canada follows simultaneous substitution rules, which allow a TV station to purchase exclusive Canadian rights to a U.S. program, but sub in its own Canadian commercials, no matter which channel the viewers turn on.
TV broadcasters pay top dollar to secure the exclusive TV rights, and then sell ad space to companies that want to cash in for exclusive Canadian audiences.
But a 2016 order from the Canadian Radio-television and Telecommunications Commission (CRTC) changed the rules for the Super Bowl broadcast. The regulator argued that the public wanted to see the much-anticipated American commercials. So those who tuned into a Canadian channel airing the game would see Canadian ads, while those tuning in to a U.S. channel could see the American ads.
Bell Media and the NFL, which signed an exclusive rights deal for the Super Bowl, took their frustrations all the way to the Supreme Court. The top court ruled that CRTC didn't have the power to make that call.
“We’re happy the issue has finally been resolved," Scott Henderson, Vice President of Communications for Bell Media, which owns CTV News, said in a statement. "We thank our partners at the NFL for their ongoing support.”
Michael Geist, a law professor at the University of Ottawa, said he thinks that viewers will be “disappointed” with the Supreme Court ruling.
"This was always just about choice,” he said. “The Canadian commercials and Canadian broadcast were still there for those that wanted it. All this did was give Canadians the option to watch the U.S. feed with U.S. commercials."
But he also points out that the Super Bowl is an “outlier,” as major sporting events like the World Series, the Olympics and the Stanley Cup have two feeds for broadcast. Canadian viewers can also see some Super Bowl ads online, with some even released before the big game.
Before Canadian sports fan cry foul, the end of American Super Bowl ads airing on Canadian TV may have come even without the Supreme Court’s decision. The 2018 version of the USMCA, or the ‘New NAFTA,’ included a provision knocking down the CRTC’s special order. Canada, U.S. and Mexico still have to ratify that agreement, but a recent signing ceremony in Mexico signalled that will happen soon.
Last year, 4.33 million Canadians tuned into the Super Bowl. In the U.S., the Super Bowl is the most-watched TV event of the year, raking in almost 100 million viewers last year.