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Service NL
April 2, 2012

Legislative Amendments Will Help Protect Consumers

Consumer protection will be further enhanced through amendments to the Consumer Protection and Business Practices Act introduced today in the House of Assembly by the Honourable Paul Davis, Minister of Service NL. The amendments will require actions on the part of service providers surrounding distance service contracts, which include contracts for cell phones, residential phones, Internet, cable and satellite television, and remote surveillance, along with the goods used in conjunction with these contracts.

“We regularly receive complaints from consumers regarding distance service contracts,” said Minister Davis. “Our goal through this new legislation is to simplify the way these contracts are presented to the people of the province, so that we can further protect their interests, and allow consumers to make informed decisions when choosing a service provider.”

With these amendments, service providers will be required to outline the terms and conditions of such contracts in plain language, including provisions for contract cancellation and all associated fees, contract renewal and the use of security deposits. Suppliers of such services will be required under the new legislation to disclose total monthly costs in their advertising, thereby simplifying the process of informed decision-making for consumers.

Newfoundland and Labrador will be the third province to pass such legislation. Quebec has already enacted similar legislation and Manitoba’s legislation is expected to come into effect this spring.

“As part of regulating these services, we will ensure that consumers have clearer information before entering into a distance service contract,” said the Honourable Paul Davis, Minister of Service NL. “This includes information respecting all charges, terms and warranties associated with their contract.”

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Media contact:
Hugh Donnan
Director of Communications
Service NL
709-729-4860, 725-6511
hughdonnan@gov.nl.ca 

2012 04 02             3:50 p.m.

 
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