Protecting Rewards Points Act (Consumer Protection Amendment), 2016 Potts, Arthur — Bill 47 (41st Parliament, 2nd Session)

Bill 47, 41-2

Ontario — Bills

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Bill 47, Protecting Rewards Points Act (Consumer Protection Amendment), 2016

Potts, Arthur

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Status

Debates

Acts affected

Original

As Amended by Standing Committee

Royal Assent

[41] Bill 47 Royal Assent (PDF)

Bill 47 2016

An Act to amend the

Consumer Protection Act, 2002 with respect to rewards points

Her

Majesty, by and with the advice and consent of the Legislative Assembly of the

Province of Ontario, enacts as follows:

(1) Section

1 of the Consumer Protection Act, 2002 is amended

by striking out the definition of "consumer agreement" and substituting the

following:

"consumer

agreement" means an agreement between a supplier and a consumer in which,

(

a) the

supplier agrees to supply goods or services for payment, or

(

b) the

supplier agrees to provide rewards points to the consumer, on the supplier's

own behalf or on behalf of another supplier, when the consumer purchases goods

or services or otherwise acts in a manner specified in the agreement; ("convention

de consommation")

(2) Section

1 of the Act is amended by adding the following definition:

"rewards

points" means, subject to the regulations, points provided to a consumer under

a consumer agreement that can be exchanged for money, goods or services; ("points

de récompense")

(3) Section

1 of the Act is amended by striking out the definition of "supplier" and

substituting the following:

"supplier" means a person who is in the business of

selling, leasing or trading in goods or services or is otherwise in the business

of supplying goods or services, including the supply of rewards points, and

includes an agent of the supplier and a person who holds themself out to be a

supplier or an agent of the supplier; ("fournisseur")

(1) Part

IV of the Act is amended by adding the following section:

Rewards Points

No expiry of rewards

points

47.1

(1) Subject

to the other provisions of this section, no supplier shall enter into or amend

a consumer agreement under which rewards points are provided to provide for the

expiry of rewards points due to the passage of time alone.

Application and transition

(2) This

section applies to all consumer agreements under which rewards points are

provided,

(

a) that existed on October 1,

2016;

(

b) that were entered into after

October 1, 2016, but before the day this

section came into force; or

(

c) that are entered into on or

after the date this

section comes into force.

Effect

of termination

(3) Subject to any prescribed exceptions,

on and after the day this

section comes into force, and upon providing notice

to the other party, the supplier or the consumer may terminate the consumer

agreement under which rewards points are provided, and if the consumer

agreement so provided, the consumer's accumulated rewards points may expire.

Term

of consumer agreement not enforceable

(4) Any provision or part of a provision of

a consumer agreement that contravenes this

section or that fails to comply with

the regulations with respect to rewards points is not enforceable, but such

unenforceability shall not invalidate the remaining provisions in the consumer

agreement.

Retroactive

effect on expiry of rewards points

(5) Subject to any prescribed exceptions,

within 15 days of this

section coming into force, a supplier shall credit back

to a consumer any rewards points that expired on or after October 1, 2016 and

before the day this

section comes into force.

Transition:

crediting back, supplier termination of consumer agreement

(6) If a supplier terminated a consumer

agreement under which rewards points were provided on or after October 1, 2016

and before the date this

section came into force, the previously terminated

agreement shall be deemed to not have been terminated and the supplier shall,

within 15 days of this

section coming into force, credit back to the consumer

all rewards points that expired upon that termination.

cause of action for retroactivity

(7) No cause of action arises against the

Crown as a direct or indirect result of the retroactive application of this

section

or any regulations respecting rewards points, and no costs, compensation or

damages are owing or payable by the Crown to any supplier, consumer or person

as a result of such retroactive application.

Evidence

(8) In any proceeding under this Act about

the crediting back of rewards points mentioned in subsection (5) or (6),

despite any contractual provision to the contrary, a court or tribunal may

consider records presented by the consumer, determine those records'

admissibility and may give those records whatever weight it sees fit.

Other

expiry allowed

(9) Consumer agreements under which rewards

points are provided may provide for expiry due to reasons other than the

passage of time alone, subject to any limits that may be prescribed.

retroactive offences

(10) Nothing in this

section creates a

retroactive offence.

(2) Subsections 47.1 (5), (6) and (8) of

the Act, as enacted by subsection (1), are repealed.

3. (1) Subsection

123 (1) of the Act is amended by adding the following clause:

(

k) clarifying

the definition of "rewards points" in

section 1 and specifying things that do

or do not constitute rewards points for the purposes of this Act.

(2) Subsection 123 (5) of the Act is

amended by adding the following clauses:

(

j) governing

the transfer of rewards points among consumers, including upon death;

(

k) governing

the inactivity of consumer agreements under which rewards points are provided

and of the rewards points themselves;

(

l) governing

the termination of consumer agreements under which rewards points are provided

and of the rewards points themselves;

(

m) governing

the application of

section 47.1 with respect to rewards points and, without

restricting the generality of the foregoing, providing for and prescribing

anything that that

section refers to as being prescribed or provided for in the

regulations and governing transitional matters.

Commencement

4. This

Act comes into force on a day to be named by proclamation of the Lieutenant

Governor.

Short

title

5. The

short title of this Act is the Protecting Rewards Points

Act (Consumer Protection Amendment), 2016 .

EXPLANATORY NOTE

This

Explanatory Note was written as a reader's aid to Bill 47 and does not form

part of the law. Bill 47 has been enacted as

Chapter 34 of the Statutes of

Ontario, 2016.

The

Bill amends the Consumer Protection Act, 2002 with

respect to rewards points.

The

definition of "consumer agreement" is amended to include agreements under which

a supplier agrees to provide rewards points to a consumer. The definition of

"supplier" is amended to include a person who supplies rewards points.

The

new

section 47.1 prohibits suppliers from entering into or amending consumer

agreements to provide for the expiry of rewards points due to the passage of

time alone. Rewards points may expire if a consumer agreement under which

rewards points are provided is terminated by the supplier or the consumer and

the consumer agreement provides for the expiry of the points. Transitional and

other related matters are provided for.

[41] Bill 47 As Amended by Standing Committee (PDF)

Bill 47 2016

An Act to amend the Consumer

Protection Act, 2002 with respect to rewards points

Her

Majesty, by and with the advice and consent of the Legislative Assembly of the

Province of Ontario, enacts as follows:

(1) Section

1 of the Consumer Protection Act, 2002 is amended

by striking out the definition of "consumer agreement" and substituting the

following:

"consumer

agreement" means an agreement between a supplier and a consumer in which,

(

a) the

supplier agrees to supply goods or services for payment, or

(

b) rewards points are provided to the consumer

when he or she purchases specified goods or services or otherwise acts in a

manner specified in the agreement; ("convention de consommation")

(

b) the supplier agrees to provide rewards

points to the consumer, on the supplier's own behalf or on behalf of another

supplier, when the consumer purchases goods or services or otherwise acts in a

manner specified in the agreement; ("convention de consommation")

(2) Section 1 of the Act is amended by adding

the following definition:

"rewards

points" means, subject to the regulations, points provided to a consumer under

a consumer agreement that can be exchanged for money, goods or services; ("points

de récompense")

(3) Section

1 of the Act is amended by striking out the definition of "supplier" and

substituting the following:

"supplier"

means a person who is in the business of selling, leasing or trading in goods

or services or is otherwise in the business of supplying goods or services,

including the supply of rewards points, and includes an agent of the supplier

and a person who holds themself out to be a supplier or an agent of the

supplier; ("fournisseur")

Part IV of the Act is amended by

adding the following section:

Rewards

Points

No expiry of rewards points

47.1

(1) Subject to

subsection (2), a consumer agreement under which rewards points are provided

shall not allow for the expiry of rewards points.

Expiry of consumer agreement

(2) All

of a consumer's accumulated rewards points expire when the consumer agreement

is terminated, unless it provides otherwise.

Term of consumer agreement void

(3) Any

term of a consumer agreement that contravenes this

section is void.

Retroactive effect on expiry of rewards points

(4) On

the day this

section comes into force, any rewards points that expired on or

after October 1, 2016 under a consumer agreement shall be credited back to the

consumer.

(1) Part IV of the Act

is amended by adding the following section:

Rewards

Points

No expiry of rewards points

47.1

(1) Subject

to the other provisions of this section, no supplier shall enter into or amend

a consumer agreement under which rewards points are provided to provide for the

expiry of rewards points due to the passage of time alone.

Application

and transition

(2) This

section applies to all consumer agreements under which rewards points are provided,

(

a) that

existed on October 1, 2016;

(

b) that

were entered into after October 1, 2016, but before the day this

section came

into force; or

(

c) that

are entered into on or after the date this

section comes into force.

Effect of termination

(3) Subject

to any prescribed exceptions, on and after the day this

section comes into

force, and upon providing notice to the other party, the supplier or the

consumer may terminate the consumer agreement under which rewards points are

provided, and if the consumer agreement so provided, the consumer's accumulated

rewards points may expire.

Term of consumer agreement not enforceable

(4) Any

provision or part of a provision of a consumer agreement that contravenes this

section or that fails to comply with the regulations with respect to rewards

points is not enforceable, but such unenforceability shall not invalidate the

remaining provisions in the consumer agreement.

Retroactive effect on expiry of rewards points

(5) Subject

to any prescribed exceptions, within 15 days of this

section coming into force,

a supplier shall credit back to a consumer any rewards points that expired on

or after October 1, 2016 and before the day this

section comes into force.

Transition: crediting back, supplier termination of

consumer agreement

(6) If

a supplier terminated a consumer agreement under which rewards points were

provided on or after October 1, 2016 and before the date this

section came into

force, the previously terminated agreement shall be deemed to not have been

terminated and the supplier shall, within 15 days of this

section coming into

force, credit back to th

Document details

Collection	Ontario — Bills
Citation	Bill 47, 41-2
Type	bill
Volume / chapter	p41 s2 bill 47 html
Language	en
Format	html
Source	PROVINCIAL
Identifier	0af698ed0e6cb28b10bc426de29fc98931556b2a

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