Consumer Complaints
The ministry receives complaints from consumers about businesses. These complaints are used to identify businesses that are contravening the CPA and to inform any administrative and enforcement action(s) against them.
If a consumer makes a complaint against your business, we will review the matter. If there appears to be a contravention under the CPA, we may take action to resolve the complaint.
We may contact you to learn more about the transaction that led to the complaint and to relay the consumer’s concerns. If the consumer and business cannot resolve the matter themselves, then the ministry may pursue mediation where we may assist in reaching a resolution. Note that the ministry’s mediation is free-of-charge, voluntary, and an alternative to taking the matter to court.
In addition, the ministry may conduct an inspection to verify compliance with the CPA
The ministry’s inspectors may conduct an in-person or remote inspection of your business to:
- check for compliance with the CPA's legal requirements (for example, requirements related to signage and contracts)
- follow up on a prior inspection where violations or problems were recorded
During an inspection, an inspector may examine anything they believe may be relevant to the inspection, such as sample agreements, receipts, etc. They may also question any of your employees on matters that relate to the inspection. Inspections also provide an opportunity for your business to ask questions on compliance and you can request clarification throughout the process.
In some cases, for the ministry’s regulated sectors, inspectors could issue administrative monetary penalties if a contravention prescribed under regulation had been found (for example, under the Collection and Debt Settlement Services Act, 1990, or the Payday Loans Act, 2008).
Additionally, if your business has been the subject of multiple complaints and the behavior continues, the matter may be referred for additional compliance action (for example, a ministry investigation could lead to charges under the CPA and/or the issuance of notices).
Orders from the director under the CP may be issued that legally require your business to comply.
For example, your business may receive an Order to stop distributing materials that are believed to be false, misleading or deceptive, and to retract or correct the misrepresentation. If these Orders are not complied with, or notices of contraventions were not addressed following an inspection, your business could be added to the Consumer Beware List — a searchable public record of businesses that failed to comply with certain provisions of the Act.
The ministry also may initiate an investigation, which could lead to charges and prosecution against an individual associated with your business. When determining whether such action is needed, we may take into consideration many factors, including, but not limited to, the volume of complaints against your business, the accumulated dollar value of complaints, the nature of the allegations against your business, and the deterrence value of enforcement action on your business and the broader marketplace.
In some cases, information about a complaint can be shared with other regulators. For example, if the ministry concludes that a contravention of the CPA was likely or if we successfully prosecute your business for such a contravention, we may contact other regulators that license or provide oversight for your business to advise them of our findings.
Note that the purpose of any enforcement action by the ministry, including prosecution, is to respond to risk of harm to the broader public and to deter those responsible for that risk from violating the law.
Consumers who desire a specific remedy from the business may wish to retain independent legal counsel and initiate civil actions regardless of any actions that may be undertaken by the ministry.
If found guilty under the Consumer Protection Act, 2002, your business may be fined up to $50,000 (for an individual) or sentenced to a term of imprisonment of not more than two years less a day. For corporations, the maximum fine is $250,000.
When a charge is laid by the ministry, an order is issued against your business, contraventions were not corrected during an inspection, or a business failed to respond to the substance of the complaint after we contacted it twice, the business name may appear on the Consumer Beware List and remains there for 21 to 27 months. Information related to a charge will be removed if your business has been found not guilty of that charge.