Quebec's Bill 96 could lead to 'disappearance of popular products': International Trademark Association

People take part in a protest against Bill 96 in Montreal, Thursday, May 26, 2022. The language law reform, known as Bill 96, forbids provincial government agencies, municipalities and municipal bodies from making systematic use of languages other than French. THE CANADIAN PRESS/Graham Hughes

Proposed regulations on the language of commercial signage could lead to the "disappearance of popular products" from Quebec stores, says an international business group.

The costs and irritants surrounding its application could force some manufacturers to avoid Quebec, according to the head of the International Trademark Association (INTA), which represents 6,500 companies in 181 jurisdictions.

"Companies will have to ask themselves if it really makes sense to be in the Quebec market," warns INTA President and CEO Etienne Sanz de Acedo in an interview. "The moment a company asks itself these questions, it means a possible product withdrawal from the market, and therefore less choice for consumers."

Sanz de Acedo points out that consumers would lose out: "If there's less choice for consumers, it means that some companies will have more opportunities to raise prices, since less choice means higher prices."

The draft regulation on commercial signage clarifies the application of certain provisions of Bill 96. The spokesperson for trademark owners said INTA supports the principle of protecting the French language. "I'm French," he said. "I will always defend the interests of the French language."

However, his association is "worried" about certain provisions of the draft regulations. One of INTA's concerns is the translation of words engraved on a product. In its brief, the association gives the example of the inside drawer of a washing machine, where the identification of the various compartments (detergents, fabric softeners, etc.) are engraved in English.

Sanz de Acedo stresses that translating these markings is much more complex than translating a user manual: "It would mean, for example, that manufacturers would have to change their manufacturing molds. If a manufacturer had to change its manufacturing method exclusively for the Quebec market, it would entail considerable costs for a company."

The association is also concerned about the obligation to translate descriptions that are part of a registered trademark. It is also concerned about the costs and deadlines involved in applying the rules on commercial signage.

Quebec's storefront businesses have until June 1, 2025, to double the space devoted to French in their windows, according to a draft regulation published in the Gazette officielle du gouvernement du Québec on Jan. 10.

Sanz de Acedo believes that the draft regulations "may not be consistent with Canadian intellectual property law and international treaties signed by Canada."

Asked to elaborate, he cites two World Trade Organization (WTO) agreements as examples: the Agreement on Technical Barriers to Trade (TBT) and the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS). He also refers to the North American Free Trade Agreement (NAFTA). "Bill 96 raises some very serious questions," he added.

INTA is not alone in expressing reservations about the proposed regulations. In January, the Biden administration expressed concern about "the potential impact on U.S. businesses" of the proposed regulations at a meeting of senior U.S. and Canadian officials.

The Legault government is still analyzing comments on the draft regulations. Jean-François Roberge, Minister of the French Language, said he is taking comments into consideration to ensure that "the regulations are properly applied, and that ideally all services currently available remain available," he replied to a question from The Canadian Press during a media scrum on Friday.

"However, the right of Quebecers to be greeted in French, to be served in French, to have objects labeled in French so that we can understand what we're buying, so that we know what's in the products, I think that's non-negotiable."

Roberge drew parallels with the concerns expressed when the Charter of the French Language was adopted in 1977. "Listen, it was the massacre that was announced. In the end, that's not what happened (...) There's no one who would go back to before 1977, before the charter."

"Every time we make a gesture of national affirmation, every time we raise the bar, there are people who worry. That's fine. There are also people who run fear campaigns. I don't think there's any need for that."

This report by The Canadian Press was first published in French on March 25, 2024.