Canada’s Proposed Artificial Intelligence and Data Act (AIDA): A Critical Review

26 Pages Posted: 1 Feb 2024

Date Written: July 24, 2023


This research paper provides an in-depth examination of the forthcoming Canadian Artificial Intelligence and Data Act (AIDA), emphasizing its likely implications for the growth of AI. The study reveals pervasive ambiguity within the Act's clauses, thereby complicating its interpretation and enforcement. This ambiguity presents particular risks for researchers, small businesses, and private individuals who, due to the unclear definitions of risk and harm, could potentially incur substantial penalties or imprisonment. Furthermore, the absence of explicit definitions and standards potentially empowers Innovation, Science, and Economic Development Canada (ISED) to institute and enforce broad AI regulations without a transparent public deliberation or approval mechanism. The paper proposes a series of solutions for policymakers to mitigate these issues, concluding that rectifying the detected ambiguities and establishing an efficient regulatory infrastructure is essential to maintain a healthy equilibrium between effective oversight and the promotion of innovation within the AI landscape.

Keywords: AI,Artificial Intelligence,AIDA,Canada,Data Act

JEL Classification: O38,L86,O33

Suggested Citation

Brown, Derek, Canada’s Proposed Artificial Intelligence and Data Act (AIDA): A Critical Review (July 24, 2023). Available at SSRN: or

Derek Brown (Contact Author)

Seattle University ( email )

Seattle, WA
United States

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