Office de la protection du consommateur: New obligations for merchants

Drafting in French

• Certain contracts entered into with consumers must be drawn up in French.
• As of 2023, contracts may be drawn up in another language (including English), but the consumer must also be provided with a French version of the contract.

Multiple languages

• If the contract or the documents are drawn up in French and in another language, and there is a discrepancy between the two versions, the interpretation most favourable to the consumer prevails.

French version at no cost

• The consumer may not be charged for the drawing up of the French version of the contract or of the related documents.

Planned obsolescence

A product is considered “obsolete” when it is designed not to last for a long time. Selling or leasing these products to consumers is prohibited. Anyone who feels this rule is not being complied with can file a complaint with the Office de la protection du consommateur (the Office).

Anti-lemon measure for vehicles

Retailers should be aware of the rights of owners or long-term lessees of a vehicle with numerous problems, often called a “lemon.” Here are the key points:

1. Declaration of a seriously defective automobile
   
   • A client whose vehicle has numerous problems can ask a court to declare it a “seriously defective automobile.”
   • Once this is declared, the vehicle is considered to have a “hidden defect.”
2. Implications for the consumer
   
   • The consumer can request the cancellation of the sale or lease contract.
   • The consumer can also request a discount on the price paid.
   • Damages or punitive damages can also be sought.
3. Criteria for declaration
   
   • Distance covered and time elapsed: The defects must have appeared before the vehicle has covered over 60,000 km and within 3 years of the first sale or long-term lease of the vehicle to a party other than a dealership.
   • Severity of defects: The defects must render the vehicle unfit for its intended purposes or substantially diminish its usefulness.
   • Attempts to repair: Attempts to repair defects must have been made under the automobile’s basic conventional warranty in one of the following ways:
     • Same defect 3 times: 3 unsuccessful attempts to repair the same defect.
     • Same defect, more than 30 days: 1 or 2 unsuccessful attempts for the same defect where the merchant or the manufacturer has had the vehicle in their possession for over 30 days without successfully repairing it. This does not include delays due to a shortage of parts if the consumer has been offered a courtesy car free of charge.
     • 12 unrelated defects: 12 attempts to repair unrelated defects, whether the attempts were successful or not.

In short, if a consumer has a vehicle with significant defects which have not been successfully repaired despite numerous attempts, they can take legal action to resolve the situation. The resolution could include the cancellation of the contract, a price reduction, or financial compensation.

When a vehicle is declared “seriously defective,” the seller or vehicle recycler must disclose that information to any other seller or recycler to whom they are selling it. If the vehicle is put up for sale or lease for consumer use, the vehicle’s status must be clearly indicated on the label affixed on the vehicle. Finally, no one can advertise a seriously defective vehicle without mentioning its status.

For more information, check out the following links:

• Merchants - new vehicles (in French only)
• Merchants - used vehicles (in French only)
• Long-term lessors - new vehicles (in French only)
• Long-term lessors - used vehicles (in French only)

Additional warranties (in French only)

When proposing an additional warranty to a consumer, the seller must let them know they have 10 days to cancel it without cost or penalty. To cancel the additional warranty, the consumer must send a written notice within 10 days of signing the contract.

These rules apply to all additional warranties, whether for vehicles, appliances, or electronic devices. They do not apply to warranty contracts offered by insurers authorized by the Autorité des marchés financiers under the Insurers Act.

Long-term leases (in French only)

In a long-term contract of lease, a merchant may not add a clause allowing them to charge a fee at the end of the lease because they object to a part installed during maintenance. For such a clause to be valid, the contract must clearly state that the goods must be returned with a specific part (for example, ceramic brake pads).

The merchant likewise may not charge a fee because a part is not original or because maintenance was performed somewhere other than with the manufacturer or an approved merchant.

These rules apply to all goods leased long-term, including vehicles, appliances, and water heaters.

Warranty of good working order — used vehicles

The warranty of good working order for the sale or lease of used vehicles was updated to include older vehicles.

As of April 5, 2024, the warranty covers the following categories of used vehicles:

The Office’s website will be updated when these new measures come into effect, particularly the sections for used car merchants and long-term lessors of used vehicles.

Long-term leases — New and used vehicles

The following rules apply to contracts signed as of April 5, 2024. They do not apply to contracts already in effect on that date.

At least 90 days before the end of a long-term contract of lease, the merchant must offer the consumer a free inspection of the automobile. The consumer may accept or refuse. If the consumer accepts, the inspection must be carried out 30 to 60 days before the end of the contract. The merchant decides the location of the inspection, whether at the consumer’s residence or at their own establishment.

Immediately after the inspection, the merchant must give the consumer a written report indicating:

• the parts or components of the vehicle which show abnormal wear, and
• the consumer’s right to repair these parts or components or to have them repaired by a third party.

When the vehicle is returned at the end of the lease, in the event of a voluntary return or forced repossession, whether it has been inspected or not, the merchant must give the consumer a written notice if they find abnormal wear. This notice must include:

• which parts or components show abnormal wear; and
• the consumer’s right to repair those parts themselves or to have them repaired by a third party within 10 days.

The merchant may not claim charges for abnormal wear if:

• at least 90 days before the end of the lease, the merchant did not offer to carry out an inspection free of charge;
• the merchant did not give the consumer an inspection report after the first inspection or a written notice after the return of the vehicle; or
• the merchant sells or re-leases the vehicle before the end of the 10-day period indicated in the written notice.

Monetary administrative penalties and criminal penalties

Sections 276.1 to 276.11 and 277 to 282.1 of the CPA

Warranty of availability (sections 39 to 39.7 of the CPA)

Merchant and manufacturer obligations

• Merchants and manufacturers must supply certain elements for the repair of goods for a reasonable time after the sale.
• Replacement parts, repair services, and information necessary to maintain or repair the goods must be available at a reasonable price (i.e., that does not discourage the consumer from accessing it).
• Replacement parts, repair services, and information necessary to maintain or repair the goods must also be available for a reasonable time after the sale.
  • It must be possible to install the replacement parts using commonly available tools and without causing irreversible damage to the goods.
  • Necessary information, including any diagnostic software and its updates, must be available in French.
• Details about the availability of parts, services, and information may be determined by regulation.
  • There are specific guidelines for contracts entered into by itinerant merchants and distance contracts.

Exemption: By law, merchants or manufacturers can release themselves from these obligations with written notice to the consumer prior to the sale.

Exception: In specific situations, merchants and manufacturers cannot release themselves from their obligations, even with the exemption. If the information necessary for maintenance is accessible on a technological medium, the merchant is not obligated to provide it at a reasonable price.

Consumer rights

• The consumer may demand the goods be repaired before requesting a replacement or reimbursement.
• If goods require repairs, the merchant or manufacturer must provide the replacement parts, repair services, or necessary information during the period provided for in section 39 of the CPA.
• This right does not apply if the problem concerns information required to maintain the goods.

Prohibited practice: It is prohibited to use a technique that makes it more difficult for the consumer or their mandatary to maintain or repair goods (section 227.0.3 of the CPA).

Warranty of good working order (sections 38.1 to 38.9 of the CPA)

The following new goods that are sold or leased long-term carry a warranty of good working order:

• Stove
• Refrigerator
• Freezer
• Dishwasher
• Washing machine
• Dryer
• Television set
• Desktop computer
• Laptop computer
• Tablet
• Cell phone
• Video game console
• Air conditioner
• Heat pump
• Any other goods determined by regulation

• Malfunctioning - if the goods do not function correctly during the term determined by regulation
  • Repairs: The consumer has the right to have the goods repaired free of charge (parts and labour) by the merchant or manufacturer, and to be reimbursed for reasonable transportation costs.
  • Start date: The warranty takes effect upon delivery of the goods.
  • Issues covered: Valid for any problem, be it serious or minor, visible or hidden.
  • Exclusions: Do not cover damage resulting from improper use by the consumer.
  • Transferability: The warranty also applies to subsequent purchasers of the goods.
• Differences with other legal warranties
  • Warranty of fitness for ordinary purposes (section 37).
  • Warranty of reasonable durability (section 38).
• Warranty of good working order
  • Independent and complementary to these legal warranties.
  • Consumers can use the warranty of good working order at the same time as the legal warranties from sections 37 and 38 of the CPA, or choose one or the other.
• Manufacturer obligations
  • The manner and the conditions under which information will be disclosed will be determined by regulation.
• Merchant obligations
  • The length of the warranty must be clearly indicated near the price.
  • The manner in which information will be sent to the consumer after the sale will be determined by regulation.
• Relevant information
  • After a sale or long-term lease contract is concluded, the merchant must send the consumer the information relating to the warranty in accordance with the conditions prescribed by regulation.
• The warranty of good working order does not cover:
  • normal maintenance and the replacement of parts resulting from it;
  • damage resulting from improper use by the consumer; or
  • any accessory not specified by regulation.
• For a repair under the warranty of good working order:
  • the merchant or the manufacturer assumes reasonable transportation or shipping costs; and
  • the merchant or the manufacturer repairs the goods free of charge or allows the consumer to have them repaired by a third person and covers the cost of the repairs.
• The merchant or the manufacturer is liable for the warranty for a subsequent purchaser.

Additional warranties

Sections 228.2 and 228.3 of the CPA (in effect since October 5, 2023; except for the second sentence of the second paragraph, which will be in effect as of October 5, 2026)

Before proposing an additional warranty for goods already covered by a legal warranty (sections 38.1, 159, or 164), the merchant must inform the consumer verbally of the existence and duration of that warranty.

If proposing the purchase of an additional warranty, the merchant must inform the consumer that they may cancel that contract within 10 days without cost or penalty.

• The consumer can cancel the additional warranty within 10 days by sending a written notice.
• This time limit is extended to 1 year if the merchant has not:
  • indicated the duration of the warranty per section 38.1;
  • indicated the warranty on the label affixed on a used vehicle per section 159;
  • indicated the warranty on the label affixed on a used motorcycle per section 164;
  • informed the consumer in accordance with section 228.1; or verbally informed the consumer of the existence and duration of the warranties per sections 38.1, 159, or 164.
• The contract is cancelled once the notice is sent. The merchant must promptly reimburse the consumer.
• This section does not apply to contracts signed by authorized insurers.