Ontario to examine if stronger consumer protection needed against door-to-door sales
The door-to-door sales ban in Ontario is now five years old, but many homeowners are still having issues with expensive rental contracts and have been shocked to discover liens on their homes.
The Ministry that oversees the door-to-door sales ban says its began a review of the Consumer Protection Act (CPA) this month to see if new and stronger protections are necessary.
“Look I have always said this many, many times that, for bad actors, these are unacceptable behaviours from such individuals or companies,” Kaleed Rasheed, Minister of Public and Business Service Delivery of Ontario, said.
CTV News Toronto has done many stories with homeowners who felt they were misled into signing long-term, expensive contracts due to high-pressure sales tactics prior to March 2018 when the ban took effect.
However, even with the ban in effect, CTV News Toronto continues to receieve complaints from people who are either stuck in or who have entered into expensive long-term rental contracts.
While the ban does not allow for the door-to-door sale of furnaces, water heaters, air conditioners, and water filtration systems, sales staff are still allowed to knock on doors to try and sell you door bells, smoke detectors, and thermostats.
“It's way too easy to put a lien on someone's home in this province," Dennis Crawford, a lawyer with Ontario HVAC Scan, a law firm that represents homeowners who have signed rental agreements and have liens on their homes, told CTV News Toronto.
A business may register a Notice of Security Interest (lien) against the title of a customer’s property, to protect the value of any asset, fixture, or equipment installed on the property where the asset, fixture or equiment is being leased by the customer from the business.
Consumers who finance, lease or rent HVAC equipment can check their title to see if a Notice of Security Interest is registered on their property. The fee is about $35. They can also choose to speak directly to a representative at 1-888-278-0001.
Crawford said one way people attempt to get around the ban is to call people up and make appointments so it’s not considered a door-to-door sale or to run ads on social media that may offer of a free item or home inspection with a visit.
“They aren't going door-to-door, they have just switched their marketing efforts to the web and phone, but make no mistake they want to get in your house so they can try to get you to sign up for an expensive rental HVAC system," Crawford said.
Crawford believes there could be as many as tens of thousands of people in Ontario with liens on their homes after being locked into long-term rental contracts, which he sees as unfair.
“In my view, the government should revoke these liens and take them off the books. What legitimate commercial interest are we protecting by allowing these liens to be secretly registered against people’s houses?” said Crawford.
When CTV News reached out to Minister Rasheed’s office a spokesperson said that “this month [the] ministry began consulting on a comprehensive review of the CPA."
"These consultations include proposals that would provide new and stronger protections for consumers, and include consultations on issues relating to the use of Notices of Security Interest (commonly referred to as liens) by businesses. Ontarians are encouraged to share concerns and offer first-hand input on the proposed changes through the Ontario’s Regulatory Registry," the statement read.
“Under our ministry, the CPA prohibits door-to-door contracts for certain goods and services. Breaking these restrictions puts an individual in criminal violation of the CPA and liable for a fine up to $50,000 or to imprisonment for up to two years, or both," it continued.
If a business has induced the consumer to enter into the contract through misrepresentation or committed an offence under the CPA, the consumer has the right to terminate the contract and seek a refund and the removal of all liens.
Furthermore, under the CPA, Ontarians also have a 10 day cooling-off period in which they may cancel the contract for any reason.
If Ontarians believe that a business has contravened the CPA, the ministry encourages them to contact its office at 416-326-8800, or toll-free at 1-800-889-9768.
CTVNews.ca Top Stories
Grandparents killed in wrong-way crash on Hwy. 401 identified
A 60-year-old man and a 55-year-old woman killed in a wrong-way crash on Highway 401 earlier this week have been identified by the Consulate General of India in Toronto.
Police arrest 3 Indian nationals in killing of B.C. Sikh activist Hardeep Singh Nijjar
Three people have been arrested and charged in the killing of B.C. Sikh activist Hardeep Singh Nijjar – as authorities continue investigating potential connections to the Indian government.
Suter scores late goal, clinches series for Canucks
Pius Suter scored with 1:39 left and the Vancouver Canucks advanced to the second round of the NHL playoffs with a 1-0 victory over the Nashville Predators on Friday night in Game 6.
TD worst-case scenario more likely after drug money laundering allegations: analyst
TD Bank Group could be hit with more severe penalties than previously expected, says a banking analyst after a report that the investigation it faces in the U.S. is tied to laundering illicit fentanyl profits.
Quebec man who threatened Trudeau, Legault online sentenced to 20 months in jail
A Quebec man who pleaded guilty to threatening Prime Minister Justin Trudeau and Premier François Legault has been sentenced to 20 months in jail.
Human remains found in rural Sask. possibly a decade old, RCMP say
RCMP say human remains found in a rural area in central Saskatchewan may have been there for a decade or more.
Britney Spears 'home and safe' after paramedics responded to an incident at the Chateau Marmont, source tells CNN
A source close to singer Britney Spears tells CNN that the pop star is 'home and safe' after she had a 'major fight' with her boyfriend on Wednesday night at the Chateau Marmont in West Hollywood.
Canadian doctor concerned new weight-loss drug Wegovy may be used inappropriately
As Wegovy becomes available to Canadians starting Monday, a medical expert is cautioning patients wanting to use the drug to lose weight that no medication is a ''magic bullet,' and the new medication is meant particularly for people who meet certain criteria related to obesity and weight.
Drew Carey is never quitting 'The Price Is Right'
Drew Carey took over as host of 'The Price Is Right' and hopes he’s there for life. 'I'm not going anywhere,' he told 'Entertainment Tonight' of the job he took over from longtime host Bob Barker in 2007.