Is AI cold calling legal in Canada?
Key Facts
- AI cold calling is illegal in Canada without express consent—even with human-like voices like Rime or MistV2.
- 73% of sales organizations were unknowingly violating AI-call rules in a 2023 industry audit.
- Businesses face fines up to $10 million per violation under CASL—$1 million for individuals.
- Inbound AI call handling is fully compliant if the customer initiates the call—no consent required.
- Answrr’s AI receptionist answers 99% of calls—far above the 38% industry average—without violating CASL.
- AI must disclose its identity at the start of a call: 'You are speaking with an AI.'
- Internal Do Not Call (DNC) lists must be maintained for at least 3 years after opt-out requests.
The Legal Reality: Why AI Cold Calling Is Not Allowed Without Consent
The Legal Reality: Why AI Cold Calling Is Not Allowed Without Consent
AI-powered cold calling is not legal in Canada without prior express consent, according to the Canadian Anti-Spam Legislation (CASL) and the Telecommunications Act. Even if the voice sounds human—like Rime or MistV2—it’s still classified as an automated, artificial message under Canadian law.
This means natural-sounding AI voices do not bypass legal requirements. Whether the call is generated by a robotic tone or a lifelike synthetic voice, unsolicited outbound outreach remains prohibited without documented permission.
- CASL applies to all automated calls, regardless of voice realism
- AI-generated voices are treated the same as traditional robocalls
- Consent must be explicit, documented, and revocable at any time
- Businesses are liable for third-party vendors’ actions
- No exceptions exist for "advanced" or "human-like" AI voices
According to the CRTC, businesses using external AI platforms for telemarketing are vicariously liable for compliance violations—even if they didn’t directly initiate the call. This includes lead generators, AI call centers, or any partner involved in outbound outreach.
The penalties are severe:
- Up to $1 million per violation for individuals
- Up to $10 million per violation for corporations
- Additional fines of $15,000 per violation under the Telecommunications Act
A 2023 industry audit found that 73% of sales organizations were unknowingly violating AI-call rules, highlighting how easily compliance can be compromised—even with advanced technology.
Answrr’s AI receptionist is designed for inbound use only, meaning it responds only when a customer calls—never initiates contact. This ensures full alignment with CASL’s consent framework.
- Uses natural-sounding Rime and MistV2 voices
- Operates exclusively on inbound leads
- Designed with compliance-by-design principles
- Maintains 99% answer rate (vs. 38% industry average)
- 500+ Canadian businesses use it safely
Because Answrr never makes unsolicited calls, it avoids the legal risks tied to AI cold calling.
The key takeaway? AI voice technology doesn’t change the law—it only amplifies the consequences of non-compliance.
For Canadian small businesses, the safest path is to use AI for inbound automation, not outbound outreach.
Next: How to legally automate your business with AI—without breaking the law.
The Safe Alternative: How Inbound AI Call Handling Complies with Canadian Law
The Safe Alternative: How Inbound AI Call Handling Complies with Canadian Law
In Canada, AI-powered cold calling is illegal without express consent, but inbound AI call handling is a fully compliant, legally sound alternative. For small businesses, the difference between legal and risky AI use comes down to one key factor: who initiates the call.
When a customer dials your business, an AI receptionist like Answrr responds—this is inbound interaction, and it aligns with Canadian Anti-Spam Legislation (CASL) and the Telecommunications Act. The system does not reach out unsolicited, eliminating the need for prior consent.
- ✅ Inbound use is compliant
- ✅ No prior consent required for user-initiated calls
- ✅ Natural-sounding voices (Rime, MistV2) are allowed in inbound contexts
- ✅ No violation of CASL or CRTC rules when AI responds to incoming calls
- ✅ Answrr is designed exclusively for inbound lead capture and appointment booking
According to CRTC guidelines, businesses are only liable for telemarketing violations if they initiate unsolicited calls. Since Answrr’s AI receptionist waits for the customer to call, it operates entirely within legal boundaries.
73% of sales organizations were unknowingly violating AI-call rules in a 2023 industry audit according to Martal Group. Many assume that realistic AI voices like Rime and MistV2 bypass regulations—but that’s not true. AnyBiz.io confirms that even human-like AI voices fall under CASL if used in outbound, unsolicited calls.
A real-world example: A Toronto-based dental clinic began using Answrr to handle after-hours appointment requests. With 99% call answer rate—far above the industry average of 38%—they captured leads without violating any laws. Because the AI only responds when someone calls, they avoided consent pitfalls and reduced missed opportunities.
This compliance-by-design approach means businesses can scale customer service without risking fines of up to $1 million per violation for individuals or $10 million for corporations as warned by Newport Thomson.
Next, we’ll explore how to implement inbound AI safely—without compromising privacy, compliance, or customer trust.
How to Implement AI Responsibly: A Step-by-Step Compliance Guide
How to Implement AI Responsibly: A Step-by-Step Compliance Guide
AI-powered outreach in Canada must be built on consent, transparency, and accountability—especially when using natural-sounding voices like Rime and MistV2. While these voices mimic human speech, they are still classified as artificial messages under Canadian law, making unsolicited outbound calls illegal without express consent. The safest path? Focus on inbound automation—where AI responds only after a customer initiates contact.
For Canadian small businesses, this means leveraging AI tools like Answrr, which are designed exclusively for inbound call handling. These systems answer incoming leads, qualify prospects, and book appointments—never initiating cold calls. This design ensures alignment with Canadian Anti-Spam Legislation (CASL) and the Telecommunications Act, avoiding high-risk violations.
- ✅ Use AI only for inbound interactions
- ✅ Never initiate unsolicited outbound calls
- ✅ Ensure all AI voices disclose their identity
- ✅ Maintain verifiable consent records
- ✅ Honor opt-out requests within 14 days
According to the CRTC, businesses are liable for third-party vendors’ actions—even if they didn’t place the call. This means using external AI platforms for telemarketing carries vicarious liability. A 2023 industry audit found 73% of sales organizations were unknowingly violating AI-call rules, highlighting the need for proactive compliance.
The foundation of compliance is purpose clarity. AI should never be used to cold-call prospects. Instead, deploy it to answer incoming calls, capture leads, and schedule appointments. Answrr’s platform, used by over 500 businesses, answers 10,000+ calls monthly with a 99% answer rate—far above the industry average of 38%.
Example: A Toronto-based dental clinic uses Answrr to handle after-hours calls. Patients calling for emergency appointments are greeted by a natural-sounding Rime voice that confirms their details and books a slot—without ever making an unsolicited outreach.
This inbound-only model eliminates consent risks and aligns with CRTC guidelines and CASL’s core principle: communication must be initiated by the recipient.
Even for inbound use, consent must be verifiable. Record the date, method (e.g., online form, voicemail), and nature of the communication. Maintain these records for at least 3 years—a requirement under CASL and the Telecommunications Act.
- Consent must be express, not implied
- Opt-out mechanisms must be clear and functional
- Internal Do Not Call (DNC) lists must be updated within 14 days of request
As reported by Martal Group, failing to maintain accurate records can trigger penalties. Businesses must also scrub their lists monthly against the National Do Not Call List (DNCL).
The FCC and CRTC require AI to identify itself at the start of a call. Use a script like:
“This call is from [Company], using an automated voice system. You are speaking with an AI. To stop, say ‘opt out’ at any time.”
This disclosure is non-negotiable—even for human-like voices. Answrr’s platform embeds this requirement into its core architecture, ensuring compliance by design.
Compliance isn’t a one-time task. Conduct monthly DNCL scrubbing, audit consent logs, and review AI interactions. As AIQ Labs emphasizes: “Scalability without compliance is a liability, not an advantage.”
With fines up to $10 million per violation for corporations and $1 million for individuals, proactive steps now prevent costly consequences later.
Next, explore how to build trust with customers while automating your customer experience—without crossing legal lines.
Frequently Asked Questions
Is it legal to use AI like Rime or MistV2 for cold calling in Canada?
Can I use AI to answer customer calls without breaking the law?
What happens if my business uses AI cold calling without consent?
Do I need to get consent before using AI to call customers?
How can small businesses safely use AI without risking fines?
Does Answrr’s AI receptionist comply with Canadian privacy laws?
Stay Compliant, Stay Ahead: The Smart Way to Use AI in Canadian Business
AI-powered cold calling isn’t just risky—it’s illegal in Canada without express, documented consent under CASL and the Telecommunications Act. Even lifelike AI voices from platforms like Rime or MistV2 don’t exempt businesses from these rules. Automated outbound calls, regardless of voice realism, require prior permission, and violations can result in penalties of up to $10 million for corporations. Crucially, businesses are vicariously liable—even when using third-party vendors—making compliance a shared responsibility. The good news? You don’t have to choose between innovation and legality. Answrr’s AI receptionist is built for inbound use only—responding to customer calls, not initiating them. By leveraging natural-sounding AI voices for lead capture and appointment booking, Answrr ensures full alignment with CASL while keeping your business protected. For Canadian small businesses, this means harnessing the power of voice AI without crossing legal lines. If you’re looking to modernize your customer service while staying compliant, it’s time to rethink how you use AI. Try Answrr today—where smart technology meets legal certainty.