Manitoba’s Cell Phone Contract Laws:
Helpful Information
Manitoba has new laws to ensure that cell phone contracts are fair and clear. These new consumer protection laws come into effect on September 15, 2012.
Under the new legislation cell phone companies:
- must provide a copy of the contract to consumers before the contract begins;
- must fully disclose and explain all charges, fees and terms;
- can’t make unilateral changes to contract terms;
- must allow consumers to cancel contracts at any time for a reasonable cancellation fee;
- must include the minimum monthly cost in cell phone advertisements; and
- can’t automatically renew cell phone contracts
The new rules deal with contracts for cell phone services. The Province of Manitoba does not regulate the following:
- Prices for cell phones or cell phone service plans
- Phones and other equipment provided
- Quality or availability of services
- Coverage or capacity of the telecommunication networks
Given that Manitoba’s focus is on fair and clear contracts, there are some things that consumers may have issues with that are not addressed in the new legislation. The new laws do not require companies to:
- Unlock the phone at the end of the contract (unless the company stated in the contract that the phone will be unlocked)
- Provide a refund for the phone or other equipment
- Replace or repair a phone that is lost or damaged by the customer
- Send a warning when the customer is about to incur additional charges
- Provide an upgraded phone under the same contract
Cell phone companies can:
- Sell additional warranty protection, as long as the customer is told about any warranty that comes with the cell phone first
- Charge a fee for paper bills
- Charge a fee to unlock a phone
- Collect fees on behalf of third parties if the customer has subscribed to their services (e.g. text messages from a third party that a consumer signs up for, for example, daily horoscope text messages for a fee)
- Have contracts that are for three years or longer
- Automatically extend a contract for up to one month until the customer gives notice that they no longer want service
- Set expiry dates for prepaid phone services
- Take appropriate actions to collect any unpaid bills
It is a good idea to ask for more information on the company’s policies on refunds, repairs, warranties, and equipment before signing a contract. You should also ask for confirmation on where cell phone service coverage is available before signing a contract.
Questions or problems with your cell phone contract?
If you have questions about the new rules, or you have a problem with your cell phone contract, you can contact:
The Consumer Protection Office
