Canada: Filed appeal by TikTok against an order issued by the GIC under the Investment Canada Act to cease operations in Canada

Description

Filed appeal by TikTok against an order issued by the GIC under the Investment Canada Act to cease operations in Canada

On 5 December 2024, TikTok Technology Canada Inc. submitted an appeal against an order issued by the Governor in Council (GIC) under the Investment Canada Act (ICA). This order directed the cessation of operations in Canada by TikTok Canada, citing national security concerns. The application for judicial review asserts several grounds for this appeal, including the alleged unreasonableness of the Minister's conclusion and the GIC's order, procedural unfairness during the national security review, and the disproportionate impact of the order. The application provides a comprehensive overview of the establishment of TikTok Canada, its cooperation with the national security review, and its engagement with Canadian authorities. The central argument posits that the order exhibits an absence of rational connection to the stated national security risks, inadequate consideration of pertinent factors, and the imposition of disproportionate measures in light of the less onerous measures that were available to the GIC under the ICA, including the imposition of terms and conditions on the Investment. Furthermore, TikTok Canada asserts a deficiency in procedural fairness, citing inadequate engagement and precipitous conclusions by the Minister and the GIC. The company is seeking to have the order of the OIC set aside, or alternatively, an order setting aside the OIC, and for the matter to be remitted back to the Minister and GIC to conduct a redetermination of the investment review, with directions from this Court.

Original source

Scope

Policy Area
Foreign direct investment
Policy Instrument
MNE: Entry and ownership rule
Regulated Economic Activity
platform intermediary: user-generated content
Implementation Level
national
Government Branch
executive
Government Body
central government

Complete timeline of this policy change

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2024-11-05
in force

On 6 November 2024, the Department for Innovation, Science and Industry Development ordered the win…

2024-12-05
under appeal

On 5 December 2024, TikTok Technology Canada Inc. submitted an appeal against an order issued by th…

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