LCO Ltr to Standing Ctte re Bill 142-- Appendix -- Nov 20 2023

The ALI sets out four requirements allowing unilateral changes to a consumer contract: Notice of the unilateral changes A chance for the consumer to exit the contract A requirement for affirmative consent to the modified services / product; or Minor amendments can be made in “good faith.” This amendment improves consumer protection while allowing suppliers to make minor amendments that wou. [...] LCO Legislative Recommendations: Add new provision to s.19 to read: “19(4) Despite subsection (2) and (3), a supplier may amend or continue or purport to amend or continue a consumer contract if the modification is proposed in good faith and does not have the effect of undermining any term, affirmation or promise made by the supplier in the original consumer contract and is made in accordance with. [...] inability to understand the language of a consumer contract or similar factors.” 5 APPENDIX A Proposed LCO Recommendations to Amend Bill 142 # LCO Recommendation Discussion & Proposed Legislative Language The need to protect vulnerable consumers is acute in online consumer contracts. [...] At the same time, the complex mix of consumer and privacy law suggests the need for study outside the limits of the LCO’s immediate project. [...] Similarly, the EU’s Digital Services Act and Digital Marketplaces Act have a variety of mechanisms for fines, including respectively fines of up to 6% of the global turnover of a large online service provider (under the DSA), and, and fines of not less than 4% and not exceeding 20% of a platforms total worldwide turnover in the preceding financial year (under the DMA).