Canadians are running out of time to cash in on $17M HVAC settlement
If you’re a homeowner in Canada who has leased an HVAC system, you may be able to cash in on a multimillion-dollar settlement.
The Ontario Superior Court of Justice approved a $17-million settlement in a class-action lawsuit against HVAC suppliers Crown Crest, Sandpiper Energy Solutions, Simply Green Home Services, and HCSI Home Comfort.
The class action alleges that these companies breached consumer protection laws by purchasing an interest in lease agreements, collecting money from individuals under these agreements, and registering Notices of Security Interest (NOSIs), encumbrances, or “liens” against individuals’ homes.
“The settlement does not constitute a concession or admission of liability, wrongdoing, fault, or omission by the Settling Defendants, and the settlement has been made on the basis that none of the allegations have been proven,” reads the class action site.
Who’s eligible for the HVAC settlement, and how much could you receive?
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According to law firm Sotos LLP, which represents the class members, the class action applies to anyone in Canada (except Quebec residents) who is or was at any time, directly or indirectly, a party to a consumer agreement to lease HVAC or HVAC-related equipment involving the companies listed above between July 17, 2013, and Jan. 15, 2015. The vendor that originated the consumer agreement doesn’t matter.
Based on certain criteria, court documents state some class members will get “cancellation and arrears forgiveness of $13.5 million worth of ongoing leases and the gifting of the leased equipment to the class member without further payment or obligation.”
The settlement will also provide a permanent cap on the annual increase of payments under lease agreements with the defendants at 3.5 per cent, and it will reduce lease buyout prices for certain HVAC equipment with leases held by the defendants by 25 per cent.
If you have already paid to withdraw from your lease, you’ll be eligible to receive some or all of your money back in the settlement.
Those who had to pay to remove NOSIs are eligible for cash compensation. According to the class action, the payment amount will vary depending on the number of claims received. It gives an example on its FAQ page.
How do you claim part of the settlement?
Eligible Canadians have until Thursday, Oct. 2, to submit a claim on the class action site.
If you paid the defendants a buyout or termination fee to remove NOSIs, you can submit a claim for cash compensation.
Canadians who still have an active lease with the companies can submit a claim for lease cancellation.
Class members have the option to be paid via Interac E-Transfer or by cheque. There’s an additional $2 fee if you choose the cheque payment option.