News Releases

Government and businesses work together to bring stronger protections to consumers

TORONTO -- June 23, 2005 -- The McGuinty government will put in place the most significant changes to consumer protection laws in more than 30 years, Minister of Consumer and Business Services Jim Watson told the Toronto Board of Trade today.

"We have updated our consumer laws to reflect today's more complex, dynamic and diverse marketplace," said Watson. "The new act will provide a fair marketplace for businesses and ensure their contributions to Ontario's economy."

The new Consumer Protection Act, 2002 will come into force on July 30, 2005. Businesses will have to meet new requirements, such as:

• Delivering goods or services within 30 days of the date specified in the contract
• Ensuring final costs of home renovations or moving services do not exceed a written estimate by more than 10 per cent
• Prohibiting negative-option billing – consumers won't be liable for goods or services they did not ask for
• Allowing a 10-day cooling off period for agreements with fitness, dance and vacation clubs, timeshares and most door-to-door contracts worth more than $50.

"The new Consumer Protection Act is the result of much work and careful consultations with more than 90 businesses and associations," said Watson. "These changes deliver a package that makes Ontario a leader in consumer protection."

The new legislation also provides Ontario consumers with new protections in areas where none existed before, including Internet sales.

In addition, the new Consumer Protection Act increases enforcements with maximum fines of $50,000 for individuals and $250,000 for corporations. Where warranted, imprisonment for individuals will be up to two years less a day.

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Contact:
Julie Rosenberg
Ministry of Consumer and Business Services
(416) 326-8558

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