Canada has not enacted an AI-specific federal law. The Artificial Intelligence and Data Act (AIDA) was part of Bill C-27 and died on the order paper when Parliament was prorogued in January 2025. As of October 23, 2026, federal policy rests on the "AI for All" national strategy launched on June 4, 2026 by the Minister of Artificial Intelligence and Digital Innovation, Evan Solomon, together with privacy and online safety bills, a voluntary code for generative AI, and existing sector and provincial rules.
Key takeaways
- AIDA lapsed in January 2025; the 2026 strategy points to updated privacy and online safety laws instead.
- Bill C-36, introduced on June 15, 2026, would add transparency rules for automated decision systems but is still a proposal.
- Federal departments must follow the Treasury Board Directive on Automated Decision-Making, which requires published impact assessments.
- Quebec already requires businesses to tell people when a decision rests only on automated processing.
- The United States has no single AI statute either: it combines a December 2025 executive order with state laws that keep changing.
What happened to AIDA
AIDA was the third part of Bill C-27, which also proposed a new private-sector privacy law. In its 2024-25 annual report, the Office of the Privacy Commissioner of Canada states that the bill died on the order paper with the prorogation of Parliament in January 2025. The same report says Canada's existing privacy laws continue to apply to new technologies such as generative AI, and the Commissioner expects law reform to return as a priority in the 45th Parliament.
Government bills lapse at prorogation unless they are reintroduced, and no reintroduction of AIDA appears in the 2026 federal materials reviewed for this article. Policy has moved toward a strategy-led model instead.
The 2026 federal approach
The Prime Minister announced AI for All, Canada's national AI strategy, in Toronto on June 4, 2026. It has six pillars: protecting Canadians, skills, adoption, sovereign infrastructure, scaling Canadian companies, and trusted international partnerships. On the legal side it commits to modern privacy and online safety laws, an online safety regime covering social media and chatbot users, better AI transparency, and an expanded Canadian AI Safety Institute with a mandate to run transparent evaluations of AI models. It also sets an adoption goal: business use of AI rising from just over 12 percent to 60 percent by 2034.
The strategy pages do not announce a standalone AI act. The legislative vehicle in view is the privacy bill described next.
Bill C-36 and automated decisions
Bill C-36, the Protecting Privacy and Consumer Data Act, was introduced on June 15, 2026. According to the government's backgrounder, it recognizes privacy as a fundamental right, holds organizations to a higher standard for children's data, and increases transparency about automated decision systems, including those powered by AI. Proposed administrative penalties reach CAD 10 million or three percent of global revenue, whichever is greater, and fines for the most serious offences reach CAD 25 million or five percent. A new Digital Safety and Data Protection Commission would administer the act. The bill does not regulate AI broadly, and it has not been enacted.
Voluntary code and government use
In September 2023, the federal government issued the Voluntary Code of Conduct on the Responsible Development and Management of Advanced Generative AI Systems, built on six principles: accountability, safety, fairness and equity, transparency, human oversight and monitoring, and validity and robustness. Signing is voluntary, and the code does not change existing legal duties such as those under PIPEDA.
Federal institutions face a binding rule of their own. The Treasury Board Directive on Automated Decision-Making, last modified on June 24, 2025, requires an algorithmic impact assessment to be completed and published on the Open Government Portal before an automated decision system goes into production, along with notice to affected clients, an explanation of how the system works, and testing and monitoring for bias. Systems already in use before June 24, 2025 had until June 24, 2026 to comply, and the directive is to be reviewed every two years.
Provincial measures
Quebec's privacy reforms (Law 25) require organizations to inform a person when a decision about them is based exclusively on automated processing of their personal information, no later than when the decision is communicated, and to give the person a chance to present observations to a staff member able to review it, according to the Commission d'accès à l'information. Ontario passed the Enhancing Digital Security and Trust Act, 2024, which creates a framework for cyber security and for AI use in parts of the public sector. The regulations that took effect on July 1, 2026 address cyber security and school boards' handling of children's data; a regulation specific to AI use was not found in this review.
Canada and the United States compared
| Area | Canada | United States |
|---|---|---|
| Comprehensive AI statute | None; AIDA lapsed in January 2025 | None identified in this review; the December 2025 executive order calls for Congress to adopt a national framework |
| Main federal policy | AI for All strategy, June 4, 2026 | Executive Order 14365, signed December 11, 2025 |
| Federal enforcement posture | Existing privacy and sector laws; Bill C-36 proposed | The order directs a Justice Department task force to challenge state AI laws and links some federal broadband funding to state policy |
| Sub-national law | Quebec automated decision rules; Ontario public-sector act | Colorado SB 26-189, signed May 14, 2026, with developer duties from January 1, 2027; California SB 53, signed September 29, 2025 |
| Voluntary measures | Generative AI code, September 2023 | Not covered in this comparison |
The US picture changes quickly. Colorado's 2026 act repealed and replaced its 2024 AI law and focuses on automated decision-making technology used in consequential decisions, and the Attorney General must adopt clarifying rules by January 1, 2027. Readers who rely on this comparison for business or legal planning should confirm the current status with the primary sources below.
This article is general information, not legal advice. Statutes, regulations, and bills named here can change, and anyone with a specific compliance question should consult a qualified lawyer or the text of the law itself.
FAQ
Is AIDA law in Canada?
No. It was part of Bill C-27, which died on the order paper in January 2025, and it has not been enacted.
Who is the federal minister responsible for AI?
Evan Solomon, Minister of Artificial Intelligence and Digital Innovation, who also oversees the Federal Economic Development Agency for Southern Ontario.
Is the generative AI code of conduct mandatory?
No. It is a voluntary commitment released in September 2023, and it does not alter any existing legal obligations.
Do any Canadian rules on automated decisions apply today?
Yes. Federal departments follow the Treasury Board directive, and businesses in Quebec must meet the notice and review duties for fully automated decisions. Other organizations remain subject to general privacy law.
Related reading
- AI rules in Canadian health care
- AI in Canadian fintech
- AI in cyber defense
- the wider AI risk debate
Detail on each measure, with a dated status board, is in the AI Law in Canada tracker, including pages on Bill C-36, Quebec Law 25, and Ontario.
More in AI Policy and Ethics.
Last verified: October 2026
Sources
- OPC annual report for 2024-25, covering the end of Bill C-27, 2025
- Overview of Canada's National Artificial Intelligence Strategy: AI for All, Innovation, Science and Economic Development Canada, 2026
- Prime Minister Carney launches AI for All, Prime Minister of Canada, June 4, 2026
- Bill C-36 backgrounder, ISED, June 15, 2026
- Voluntary Code of Conduct on the Responsible Development and Management of Advanced Generative AI Systems, Innovation, Science and Economic Development Canada, 2023
- Directive on Automated Decision-Making, Treasury Board of Canada Secretariat, 2025
- Principaux changements de la Loi 25, Commission d'accès à l'information du Québec
- Enhancing Digital Security and Trust Act, Government of Ontario, 2026
- Fact Sheet: President Donald J. Trump Ensures a National Policy Framework for Artificial Intelligence, The White House, December 2025
- SB26-189 Automated Decision-Making Technology, Colorado General Assembly, 2026
- Governor Newsom signs SB 53, Governor of California, September 29, 2025