The B.C. Court of Appeal has dismissed an attempt by U.S.-based facial recognition company Clearview AI to reverse a decision holding it accountable under Canadian privacy laws, even after it ceased operations in the country.
Investigation and Violations
Privacy commissioners from British Columbia, Alberta, Québec, and Canada launched a probe into Clearview AI after the firm started promoting its facial recognition technology to Canadian customers in 2020. The investigation determined that the company breached both provincial and federal privacy regulations.
During the review, Clearview AI pulled out of the Canadian market. In 2021, B.C.’s privacy commissioner directed the company to halt its facial recognition services in the province and delete collected data, as it had scraped images from residents without consent.
Court’s Reasoning
Clearview AI sought a judicial review in B.C. Supreme Court, arguing that provincial laws did not apply. The court rejected this, ruling that the firm’s gathering of online facial data from B.C. residents created a “real and substantial connection” to the province.
The company contended that privacy laws should not extend beyond provincial borders. However, the Appeal Court countered that such a position would shield any internet-based firm using global search engines from domestic privacy rules.
“This would significantly compromise the ability of jurisdictions such as B.C. to protect personal information on the internet,” the ruling stated.
Clearview AI’s legal team has not yet commented on the decision.
