Consumer Tips

Generally, a contract is binding when the following is true:

• the parties intend to make a contract;
• there is an offer and an acceptance; and
• the parties receive something (e.g. the company receives money and you receive a service) in return for their promises.

A contract may take many forms, such as an oral, written or standard form agreement. All are equally valid.

Getting out of a contract is not an easy thing, but it can be done. For example, both parties could agree to end the contract.

In some provinces and territories, there is an automatic cancellation period for contracts for credit, dating clubs, health clubs, funeral and cemetery services, timeshares, natural gas, electricity and door-to-door sales.

This is called a cooling off period and depending on your province or territory of residence, you may be entitled to one, which may vary in duration. A cooling off period is defined as a specific period of time in which you can reconsider your consumer decision. As a consumer, you are entitled to cancel within this period, for any reason you like.

Contact your provincial or territorial office of consumer affairs to find out more about the cooling off period, if it applies to your jurisdiction, how many days it encompasses and for what services it applies to.

Unless the other party agrees, consumers should not attempt to get out of a contract without seeking legal advice. An attempted cancellation may backfire and end up being more expensive than fulfilling the original contract would have been.

Please also see the section on fraud.

Special Contracts

Dating Services

When you choose to deal with a dating service, be sure to check the following:

• from how far away the referrals might come;
• that dates are club members;
• the opportunity you will have to review the video, profile or picture of a proposed date before your phone number is given or a meeting is arranged;
• that the information in your file is clear (e.g. your wishes, interests, requirements and "won't accepts");
• the length of the contract and the number of dates and introductions promised;
• the cost of any additional fee to extend, renew or continue the membership;
• whether there are any extra costs associated with club functions (for parties, picnics or trips, for example);
• what the club promises to do for the basic fee (there might be little relationship between the cost and performance of the club, so beware of very high-priced companies);
• that all guarantees are in writing;
• for figures on its success rate and the average length of time needed to locate an acceptable spouse when the club promises to find you a spouse; and
• the cancellation policy; contact your provincial or territorial consumer agency to find out about your legal rights and with your local consumer affairs agency to file a complaint.

Health Clubs

When you are considering whether to join a health club, be cautious of the following:

Before you sign, be sure to do the following:

• check with your doctor (you should do this before you begin any exercise program);
• visit the club at the hours you will be using it;
• check that promised equipment and services are actually available;
• talk to current members about their satisfaction with the club;
• check out several clubs;
• consider your commitment to a long-term program: good intentions seem to fade as the reality of the hard work sets in;
• read the contract carefully to find out if interest is charged for a payment plan and that all promises are in writing; and
• check with your provincial or territorial consumer affairs office for any laws or cancellation rights that apply where you live.

Timeshares/Campgrounds

• Overvalued or misrepresented prizes and awards are sometimes used to promote timeshares and campgrounds. Free awards might "bait" you into driving a long distance to the property, only to attend a long, high-pressure sales pitch to obtain your prize.
• Be realistic. Make your decision based on how much you will use the property and if it provides the recreational and vacation opportunities you want. Don't decide to purchase based on an investment possibility. The property might be difficult or almost impossible to resell.
• Ask about additional costs, such as finance charges, annual fees and maintenance fees. Maintenance fees can go up yearly.
• Compare your total annual cost with that of hotels or your normal vacation expenses.
• Ask about availability during your vacation periods. Ask what other timeshares or campgrounds you may use with your membership.
• Talk to individuals who have already purchased from the company about the services, availability, upkeep and reciprocal rights to use other facilities.
• Get everything in writing, and make sure verbal promises are in the written contract. Have an independent attorney review any contracts and documents, and make sure there are no blanks on papers you sign.
• Ensure that cancellation rights are spelled out in the contract before you sign.
• Check for any complaints against the company, seller, developer or management company with the Better Business Bureau.
• Check that the property complies with local laws.