If you concluded a fixed-length Internet access service contract in which you received no discount on a device essential to the use of the service, such as a modem or a router, the service provider is subject to rules that limit the cancellation fees that may be charged.
Calculating cancellation fees
If you did not receive a discount on the sale price of a modem or a router, the cancellation fees cannot exceed the lesser of the following 2 amounts:
- an amount not exceeding 10% of the price of the services specified in the contract that were not delivered.
This calculation also applies if you received a discount on the price of a service.
If you are cancelling the rental of a device related to your Internet access service subscription (for example, a router) and the provider wants to charge cancellation fees, these fees must be included in the maximum amount allowed. They cannot be added to it.
Sample calculation when no discount was given
If you signed a 12-month contract with a monthly fee of $30 and decide to cancel your contract in the 7th month, the price of the services specified in the contract that were not delivered is $150 (5 months [number of months remaining in the contract] x $30 [monthly fee]).
10% of $150 is $15. As this amount is lesser than $50, the maximum cancellation fee that can be charged is $15.
Failure to respect the maximum cancellation fees
If your service provider has charged cancellation fees greater than what is permitted, you can dispute the fees charged. You can also file a complaint with the Office de la protection du consommateur. See Contact us to find out how to reach us.
Last update : October 23, 2020
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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.