I will like to study for an LLM in Law and Information Technology in Canada but I have an LLB GPA of 2.3 ie third class honours. Can I still go ahead and apply? And to which school?

Of course you can apply. Anyone can apply. Whether you would get in is the question, and you won't know the answer to that until you apply! So just apply!
If your thesis topic is great and your application is otherwise strong, you always have a chance. You should check however on the different university websites for the basic requirements for graduate studies. You likely won't find this info on the faculty of law web pages, it would be with the faculty of graduate studies (or equivalent). For example, the university will likely have standards for admission to any graduate program (ie history/chemistry/law/etc...) and the law faculty cannot accept you without a certain grade/average from your bachelor's degree. You should look into that before applying.

As for universities that are strong in IT law, I would recommend U of Ottawa and University of Western Ontario (UWO).

Good luck!