You can return an item to a merchant at any time during the leasing period. This will end your contract. However, the merchant may claim payment for damages.

This practice is called "rescission." This means that you are terminating the contract, but you will not be reimbursed for the previous instalments paid.

Generally speaking, a merchant cannot charge:

  • cleaning fees to lease the item again or sell it;
  • towing fees that you do not require, in the case of an automobile;
  • transportation fees to take an automobile to an auction;
  • auction fees;
  • a commission.

Such fees are not incurred as a result of the contract rescission. The merchant would have incurred those expenses at the end of the contract in any case.

It is also important to note that, after returning the item, the merchant is not allowed to file a bad report in your credit file.

Last update : May 3, 2021

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The information contained on this page is presented in simple terms to make it easier to understand. It does not replace the texts of the laws and regulations.