Question 1

Is a store required to give a refund in Canada?

Accepted Answer

In most of Canada there is no general legal right to a refund for a change of mind. Refund policies are set by the retailer and must be disclosed before purchase. A refund may be required when the goods are defective, not as described, not fit for their ordinary purpose, or when an unfair practice under the Consumer Protection Act, 2002 is involved. Goods purchased through a direct agreement (door-to-door, off-site) over $50 may be cancelled within 10 days and refunded within 15 days under CPA ss. 42-44.

Question 2

What is a cooling-off period and when does it apply?

Accepted Answer

A cooling-off period is a window during which a consumer may cancel an agreement without penalty and without reason. Under Ontario's Consumer Protection Act, 2002, direct agreements (door-to-door and other off-site sales) over $50 have a 10-day cooling-off period. Time share agreements carry a 10-day cooling-off period. Personal development services (gym memberships, dating clubs) have a 10-day cooling-off period. The clock starts from the day the consumer receives the written copy of the contract, and extends if the contract fails to meet disclosure requirements.

Question 3

Can a store refuse a refund if I lost the receipt?

Accepted Answer

A retailer's voluntary return policy may require a receipt, but statutory remedies under the Consumer Protection Act, 2002 and the Sale of Goods Act do not depend on a receipt. Proof of purchase may be shown through credit card statements, bank records, email confirmations, or delivery invoices. Where the remedy is based on an implied warranty of acceptable quality or an unfair practice, the consumer may pursue the claim without the paper receipt.

Question 4

What is the difference between an express and implied warranty?

Accepted Answer

An express warranty is any promise the supplier makes about a product, either in writing or verbally. An implied warranty is one created by law: the Sale of Goods Act and Consumer Protection Act, 2002 imply that goods sold by a business are of acceptable quality, match their description, and are reasonably fit for ordinary purposes. Implied warranties apply even when the contract is silent, and consumer agreements in Ontario cannot waive the CPA s. 9 implied warranty.

Question 5

Does an 'as is' sale waive my warranty rights?

Accepted Answer

An 'as is' or 'no warranty' clause in a consumer agreement is of limited effect in Ontario. Section 9 of the Consumer Protection Act, 2002 provides that the implied conditions and warranties in the Sale of Goods Act apply to consumer transactions notwithstanding any agreement to the contrary. This means that a supplier cannot contract out of the implied warranty of acceptable quality in a consumer sale. Private (non-business) sales are not covered by the CPA.

Question 6

How long does a manufacturer's warranty last in Canada?

Accepted Answer

The length of a manufacturer's express warranty is whatever the manufacturer specifies (often one year). Implied warranties under the Sale of Goods Act and the Consumer Protection Act, 2002 do not have a fixed end date, but the reasonable life of the goods is relevant when deciding whether a defect constitutes a breach. A consumer may pursue a claim under the Limitations Act, 2002 within two years of discovering a breach of warranty.

Question 7

What counts as an unfair or deceptive business practice?

Accepted Answer

Part III of the Consumer Protection Act, 2002 lists specific unfair practices, including false, misleading, or deceptive representations, unconscionable representations (such as taking advantage of a consumer's inability to understand the transaction), and using undue pressure. The Competition Act (federal) separately prohibits false or misleading representations made to promote a product or business. A finding of an unfair practice may give rise to rescission of the agreement within one year and a claim for damages.

Question 8

Where do I report a misleading advertisement in Canada?

Accepted Answer

Misleading advertisements may be reported to the Competition Bureau of Canada, which investigates under Part VII.1 of the Competition Act. Complaints may also be submitted to the Ministry of Public and Business Service Delivery in Ontario under the Consumer Protection Act, 2002. Advertising Standards Canada accepts complaints about conformance with the Canadian Code of Advertising Standards, which is an industry self-regulation body. A private claim for rescission and damages may be brought under CPA s. 18 within one year of entering the agreement.

Question 9

What is bait-and-switch selling?

Accepted Answer

Bait-and-switch selling occurs when a supplier advertises a product at a particular price without supplying it in reasonable quantities, and then attempts to sell the consumer a different product. Section 74.04 of the Competition Act makes bait selling reviewable conduct, unless the supplier can show that the non-supply was because of events beyond their control or that a rain check was offered. The Competition Bureau may order administrative monetary penalties and corrective notices.

Question 10

Does an online purchase count as a consumer agreement?

Accepted Answer

Yes. Online purchases are 'internet agreements' under the Consumer Protection Act, 2002 and are subject to specific disclosure and cancellation rules in CPA ss. 38-40. The supplier is required to provide a copy of the agreement within 15 days and to disclose required information before the consumer enters the agreement. A consumer may cancel an internet agreement within 7 days if the supplier fails to disclose required information, and within 30 days if a required copy of the agreement is not delivered.

Question 11

What information must a contract disclose before I sign?

Accepted Answer

Under the Consumer Protection Act, 2002, most consumer agreements must disclose the supplier's name and contact information, an itemized list of the goods or services, the total price, all ancillary charges, the terms of payment, the cancellation rights and procedures, and any warranty or guarantee terms. The level of detail varies by agreement type (direct, internet, remote, future performance). Failure to provide required disclosure gives the consumer an extended right to cancel.

Question 12

Can an automatic renewal clause be enforced in Ontario?

Accepted Answer

Automatic renewal clauses in consumer agreements are subject to the disclosure and notice requirements of the Consumer Protection Act, 2002 and the Electronic Commerce Act, 2000. A supplier that renews a consumer agreement without clear prior disclosure and consent may be engaged in an unfair practice. A renewed agreement may be challenged on the basis that material terms were not disclosed or that the consumer was not given a meaningful opportunity to opt out.

Question 13

How do I dispute a credit card charge in Canada?

Accepted Answer

Section 99 of the Consumer Protection Act, 2002 gives Ontario consumers the right to request a credit card chargeback when a consumer agreement is validly cancelled and the supplier does not refund within 15 days. Separately, Visa, Mastercard, and American Express all have network rules that allow chargebacks for non-delivery, defective merchandise, and unauthorized charges. A chargeback request is made to the card issuer, typically in writing and within the timeframe set by the card network (often 120 days from the transaction).

Question 14

Are gift cards allowed to expire in Canada?

Accepted Answer

Most gift cards sold in Ontario are prohibited from expiring under the Consumer Protection Act, 2002 and General Regulation 17/05. Fees on gift cards are also restricted: the card may not charge a dormancy fee, activation fee, or fee for redeeming the card. Exceptions apply to certain promotional and multi-merchant cards, which may have different rules. Similar protections exist in most other provinces.

Question 15

What are the rules for payday loans in Ontario?

Accepted Answer

Payday loans in Ontario are regulated by the Payday Loans Act, 2008 and its regulations. The maximum cost of borrowing is $15 per $100 borrowed. The lender is required to provide a written agreement, a cancellation form, and disclosure of the total cost of borrowing. A borrower may cancel a payday loan within two business days and return the principal without penalty. Rollovers and concurrent loans from the same lender are restricted.

Question 16

Where do I find Canadian product recalls?

Accepted Answer

Health Canada publishes recall notices at recalls-rappels.canada.ca, covering consumer products, health products, and food. Transport Canada publishes vehicle recalls at tc.canada.ca. The Canadian Food Inspection Agency publishes food-related recalls. The Canada Consumer Product Safety Act requires suppliers to report serious incidents involving consumer products, and gives Health Canada authority to order mandatory recalls and corrective measures.

Question 17

Can I return a product that has been recalled?

Accepted Answer

Where a recall notice specifies a remedy, consumers are typically entitled to a refund, repair, or replacement from the manufacturer or supplier. The specific remedy depends on the notice published by Health Canada or the supplier. Where the supplier fails to comply with the recall notice, Health Canada may take enforcement action under the Canada Consumer Product Safety Act. A consumer may also have a claim under the Sale of Goods Act if the product was not of acceptable quality.

Question 18

How do I file a consumer complaint in Ontario?

Accepted Answer

Consumer complaints in Ontario may be filed with Consumer Protection Ontario, administered by the Ministry of Public and Business Service Delivery. The complaint may be submitted online at ontario.ca/consumerprotection, by mail, or by phone. The Ministry investigates matters under the Consumer Protection Act, 2002 and related sector statutes. Complaints about misleading advertising may be submitted to the Competition Bureau of Canada. A consumer may also pursue a civil claim in Small Claims Court (up to $35,000).

Question 19

What is the limit for Small Claims Court in Ontario?

Accepted Answer

The monetary jurisdiction of Ontario's Small Claims Court is $35,000 (excluding interest and costs). Consumer claims for refunds, warranty remedies, and damages for unfair practices are commonly heard in Small Claims Court. Filing fees apply and vary by the amount claimed. The court is designed to be accessible without a lawyer, though a licensed paralegal may represent a party. The process involves a filing, a settlement conference, and a trial if the matter is not resolved.

Question 20

What happens if a business ignores a chargeback or complaint?

Accepted Answer

If a business ignores a validly made chargeback request, the credit card issuer may process the reversal based on its own investigation under network rules or under CPA s. 99. If the business ignores a Ministry or Competition Bureau complaint, the regulator may take enforcement action, including administrative monetary penalties and prosecution. A consumer may also commence a civil action in Small Claims Court or Superior Court, depending on the amount in dispute, and may seek damages, rescission, and costs.

Frequently Asked Questions

Didn't find your answer?