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Cullaton (Estate) v. MDG Newmarket Inc. (Ontario Energy Group) — Class action certification

2019 ONSC 6432

Court

Ontario Superior Court of Justice

Year

2019

Citation

2019 ONSC 6432

Topic

Class action certification — door-to-door HVAC contracts and assignee liability

The facts

A class action was certified on behalf of Ontario consumers who entered HVAC equipment lease agreements with Ontario Energy Group (OEG) between 1 May 2012 and 31 December 2016. The allegations included door-to-door sales, undisclosed high monthly rental fees, contracts that did not comply with the CPA, and Home Trust Company registering liens on consumers' titles after assignment.

The holding

The action was certified as a class proceeding. The certification record accepted the CPA-breach theory as viable on a class-wide basis.

Why this matters for Ontario homeowners

CPA breach claims arising from door-to-door HVAC rentals can proceed as class actions. Finance companies that take assignment and register NOSIs on title are properly named alongside the original installer. Settlement of $14.95M plus cancellation of approximately 225 lease agreements was approved in 2021 ONSC 6996.

Read the full reasons on CanLII: https://www.canlii.org/en/on/onsc/doc/2019/2019onsc6432/2019onsc6432.html

This case summary is for general information only. It is not legal advice. Outcomes in your situation depend on the specific facts of your case.

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