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Buyout vs. cancellation

Two different paths out of an Ontario HVAC rental contract. A buyout pays the company to end the agreement and take ownership; a cancellation sets the agreement aside under the 2018 CPA amendments.

A buyout is a contract performance — the homeowner pays the depreciated price to acquire the equipment outright. A cancellation under the 2018 amendments treats the contract as unenforceable from the start.

Where CPA grounds apply, cancellation is usually the better outcome: equipment retained at no cost, registration discharged, possible damages and costs recovery.

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