Act
Proposed amendments to Direct Selling Rules and Enforcement Rules under the Consumer Protection Act, 2002
Regulation Number(s):
O. Reg. 17/05 – General
Instrument Type:
Act
Bill or Act:
Consumer Protection Act, 2002
Summary of Proposal:
The Ontario government is considering making changes to direct selling rules and enforcement provisions under the Consumer Protection Act, 2002 (CPA).
In March 2018, rules were introduced to prohibit unsolicited door-to-door sales for the following products and services:
• Air conditioners
• Air cleaners
• Air purifiers
• Duct cleaning services
• Furnaces
• Water heaters
• Water treatment devices
• Water purifiers
• Water filters
• Water softeners
• Products and services that combine or perform the functions of the products and services above (such as HVAC)
Presently, a restricted product or service cannot be offered or sold at a consumer's home unless the consumer initiates contact with the business and invites the business to their home for the specific purpose of entering into an agreement for such a product or service. There are some exceptions if a business has a written agreement in effect with the consumer.
Based on feedback received by the government regarding these rules, this consultation proposal is seeking input on amendments that would:
• reduce burden and barriers for businesses that provide products and services when the consumer has initiated contact;
• level the playing field by increasing consumer protection to deter non-compliant businesses in the sector; and,
• strengthen enforcement powers to target businesses that cause the most harm to consumers.
The consultation paper includes proposals to increase consumer protection and strengthen enforcement provisions generally under the CPA. As a result, proposals included may impact businesses that do not engage in door-to-door sales or home-contracting.
Your advice is important. All input is welcomed and appreciated. Providing the reasons behind your views will help give a better understanding of your perspective. All comments received may be used to inform recommendations for potential changes to the Act and its regulations. This may involve disclosing some or all comments or materials, or summaries of them, to other interested parties during and after the consultation. The collection, use and disclosure of information will be subject to the Freedom of Information and Protection of Privacy Act.
In March 2018, rules were introduced to prohibit unsolicited door-to-door sales for the following products and services:
• Air conditioners
• Air cleaners
• Air purifiers
• Duct cleaning services
• Furnaces
• Water heaters
• Water treatment devices
• Water purifiers
• Water filters
• Water softeners
• Products and services that combine or perform the functions of the products and services above (such as HVAC)
Presently, a restricted product or service cannot be offered or sold at a consumer's home unless the consumer initiates contact with the business and invites the business to their home for the specific purpose of entering into an agreement for such a product or service. There are some exceptions if a business has a written agreement in effect with the consumer.
Based on feedback received by the government regarding these rules, this consultation proposal is seeking input on amendments that would:
• reduce burden and barriers for businesses that provide products and services when the consumer has initiated contact;
• level the playing field by increasing consumer protection to deter non-compliant businesses in the sector; and,
• strengthen enforcement powers to target businesses that cause the most harm to consumers.
The consultation paper includes proposals to increase consumer protection and strengthen enforcement provisions generally under the CPA. As a result, proposals included may impact businesses that do not engage in door-to-door sales or home-contracting.
Your advice is important. All input is welcomed and appreciated. Providing the reasons behind your views will help give a better understanding of your perspective. All comments received may be used to inform recommendations for potential changes to the Act and its regulations. This may involve disclosing some or all comments or materials, or summaries of them, to other interested parties during and after the consultation. The collection, use and disclosure of information will be subject to the Freedom of Information and Protection of Privacy Act.
Further Information:
Direct Selling Consultation Paper
Consumer Protection Act, 2002
O. Reg. 17/05: GENERAL
O. Reg. 8/18: REQUIREMENTS FOR DIRECT AGREEMENTS SUBJECT TO SECTION 43.1 OF ACT
Proposal Number:
19-MGCS010
Posting Date:
June 12, 2019
Comments Due Date:
July 29, 2019
Contact Address:
Direct Selling Consultation
Consumer Policy and Liaison Branch
Ministry of Government and Consumer Services
56 Wellesley Street West - 6th Floor,
Toronto, ON, M7A 1C1
Consumer Policy and Liaison Branch
Ministry of Government and Consumer Services
56 Wellesley Street West - 6th Floor,
Toronto, ON, M7A 1C1