P-40.1 - Consumer Protection Act

Full text
214.26. In the case of a debt settlement service contract providing for services described in paragraph a or b of section 214.12, the merchant may not receive any sum from the consumer until
(a)  an agreement in principle has been evidenced in writing and the consumer has received a copy within the time prescribed in section 214.23;
(b)  the agreement in principle referred to in subparagraph a has been accepted by the consumer; and
(c)  the summary document described in section 214.25 has been provided to the consumer.
If the sum mentioned in the first paragraph represents charges or fees, the merchant may not collect them unless the conditions set out in the first paragraph have been met and a payment has been made for the benefit of the creditor in accordance with the agreement.
All the sums the merchant may collect from the consumer under another contract referred to in section 214.15 constitute charges and fees for the purposes of this division.
In the case of a debt settlement service contract providing for services described in paragraph c of section 214.12 but not for services described in paragraph a or b of that section, the merchant may not collect a payment from the consumer before having improved the credit reports prepared about the consumer by a personal information agent within the meaning of the Act respecting the protection of personal information in the private sector (chapter P-39.1).
A regulation may be made to set conditions and limits for the charges and fees the merchant may claim from the consumer.
2017, c. 242017, c. 24, s. 48.