Last Updated: January 8, 2010
In Saskatchewan there are specific rules regarding future performance contracts, personal development services contracts and travel club contracts. The type of agreements that are covered by these rules and the requirements for a written contract containing specific information were discussed in the previous article Consumer Protection – Future Performance Agreements, Travel Clubs & Personal Development Services. As discussed, consumers have the right to cancel these types of agreements within a year of receiving the written contract, if it does not contain the required information. Consumers also have additional cancellation rights.
A purchaser can cancel a future performance contract if the delivery of the goods or services does not begin within 30 days of the delivery date set out in the agreement. If the agreement does not set a delivery date, the contract can be cancelled if delivery does not begin within 30 days of when the agreement was entered into. If a future performance contract is cancelled the seller must return any money paid and the purchaser must return any goods they have received.
It is important to note that future performance contracts concerning personal development services or travel club benefits are covered by the rules for these types of agreements. These rules are discussed below. Similarly, future performance contracts made over the internet or made when the parties are not physically present together are covered by the rules concerning these types of contracts and are discussed in the article Consumer Protection – Internet and Remote Contracts.
A purchaser can cancel a personal development services contract, without any reason, up to 7 days after the purchaser receives the contract or up to when all the services agreed to are available, whichever is later. A personal development services contract can also be cancelled if there are significant changes to the purchaser’s personal circumstances or to the services provided. If the purchaser has a physical, medical or mental disability that makes it unreasonable or unsafe for the purchaser to continue with the program the contract can be cancelled. If the purchaser relocates after the contract was signed and is now 30 kilometers further away from where the services are the contract can also be cancelled. The contract can also be cancelled if the services are no longer available or if the services are no longer substantially available because the seller has gone out of business or changed its business.
Similarly, a purchaser can cancel a travel club contract, without any reason, up to 10 days after receiving a written copy of the contract. A purchaser can also cancel a contract of this type if the services, discounts or other benefits become unavailable or substantially unavailable because the club goes out of business or changes its business.
To cancel a contract the purchaser must give the seller notice of cancellation. This can be sent by personal service, registered mail or in any way provided for in the contract. Once a contract is cancelled it is as if it never existed as far as the law is concerned. Cancelling a contract also cancels things like any guarantee the purchaser may have given, credit extended as part of the contract or the right to take pre-authorized payments. On application, if a court finds that it would be unfair to cancel a contract that court can make any order concerning the contract that the court considers appropriate in the circumstances.
If a travel or personal development services contract is cancelled the purchaser is entitled to a full or a partial refund, depending on whether some services or benefits have been provided.
For more information about these and other consumer matters, visit the Consumer Protection Branch website at www.justice.gov.sk.ca/cpb or contact PLEA.ISBN/ISSN number: 1918-1728