CRTC launches show cause proceeding against Bell device-locking policy

The CRTC has asked BCE Inc.’s Bell Canada to prove why its 60-day device-locking policy does not violate the Wireless Code. Bell implemented a policy to lock all new devices for 60 days following purchase in April 2025, citing a desire to reduce smartphone theft and fraud. In 2017, the Wireless Code was updated to disallow device-locking altogether, a shift from the previous policy of up to 90 days. On Friday, the CRTC launched a proceeding “in which Bell Canada is required to show cause why its practice of selling locked devices is not a violation of paragraphs F.1.i. and ii. of the Wireless Code.” Last year, when Bell informed the commission of its intention to start locking devices again, CRTC staff warned the telco it must remain in compliance with the code. Mark Graham, senior vice president of legal and regulatory for Bell Canada, told The Wire Report in an interview he doesn’t believe the commission has to reverse its 2017 decision because the way Bell has implemented the new policy still aligns with the code. “We’re not requiring customers to come to us and pay a fee to get their phone unlocked or anything like that,” he said. “Their phone is automatically unlocked without any cost to them, without any requirement for them to take any activity. Just after a short, reasonable period where we can confirm that they are a legitimate customer and not a criminal actor.” Sections F.1.i. and ii. of the Wireless Code state: “i. Any device provided by a service provider to the customer for the purpose of providing wireless services must be provided unlocked.” “ii. If a device is, or becomes, locked to a service provider’s network, that service provider must unlock the device, or give the customer the means to unlock the device, upon request, at no charge.” Graham argued the policy has no adverse effects on customers and protects them against bad actors wanting to take control of their accounts and identities. Bell’s policy also allows customers to request the lock be lifted early under certain circumstances. According to Graham, at the start of 2025, he said the number of robberies at Bell stores had increased by more than 500 per cent compared to the previous year, though he refused to specify the exact number of robberies, citing security concerns. After implementing the policy, he said, in-store robberies have “effectively disappeared.” Unlike the recent application from Telus Corp., which requested an interim and permanent decision from the CRTC to allow all telcos to begin implementing 60-day device locking policies for the same reasons, Bell did not ask for the commission’s permission before implementing the policy. “Many of these robberies include physical violence, threats of intimidation, firearms,” Graham said. “We feel responsibility to not just keep them to a relatively low number but to eliminate as many of them as possible because, as you can imagine, people are drawing firearms in the stores, it’s only a matter of time until someone gets seriously injured or killed.” “We just have no tolerance for that to happen, so we take every measure we can to prevent that.” Bell only began implementing the device locks as a last resort, Graham said, after trying various other measures to mitigate the issues, including increasing in-store security and ramping up protections across the supply chain. Graham said the 60-day lock disincentivizes thefts since bad actors would have to hold onto the inventory for two months before they can sell the unlocked phones abroad. It also gives the company a chance to detect the fraud and take action to either deactivate or recover the device, he said. In the Friday morning release, the commission announced it would implement a temporary stay on the device-locking decision for all service providers until it finalizes its decision on harmonizing consumer protection codes. That stay, however, only allows the lock to remain in place for two business days after purchase. Graham said if the commission believes Bell’s policy violates the Wireless Code, he has every reason to think the 2017 decision will be changed. He points out similar actions have been taken in other countries, including the U.S., to combat a “global” problem. The commission is also asking Telus whether it wants to continue with its device-locking application from May 2026. Comments from Bell and any interested parties are due by Sept. 14. mcollins@thewirereport.ca

CRTC launches show cause proceeding against Bell device-locking policy

Regulatory |
By Maria Collins
|August 14, 2026

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CRTC launches show cause proceeding against Bell device-locking policy

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