Case name:
Class action against Qualinet’s predatory pricing and illegal contracts
Quebec Superior Court file #:
500-06-001337-241
What this case is about:
The purpose of this class action is to put an end to the manner in which the Groupe Qualinet Inc. (hereinafter “Qualinet”) takes advantage of people in vulnerable and desperate situations, and to obtain financial compensation for the victims of Qualinet’s unlawful pricing practices.
The lead Plaintiff alleges that Qualinet is an itinerant merchant that performed work at his duplex in violation of the rules governing contracts entered into by itinerant merchants. In particular, section 58(g) of the Consumer Protection Act (“CPA“) stipulates that the merchant must provide the total amount the consumer must pay under the contract, in writing and in advance, which Qualinet systemically does not do. Additionally, the Plaintiff alleges that Qualinet charged illegal “administration” fees (10%) and “profit” fees (ranging from from 5% to 8% on top) in violation of the CPA and the Competition Act, because these were mandatory fees that could not be displayed in a fragmented manner according to the law. The Plaintiff also alleges that Qualinet charged him for items that were never listed in the “tarification” document it made him sign, contrary to section 12 CPA. Finally, Plaintiff alleges that the interest rate imposed by Qualinet of 2% monthly is illegal because it does not respect the Interest Act.
Proposed Class:
All natural and legal persons who contracted with Qualinet and received an invoice from Qualinet dated October 7, 2021 or later.
Remedies sought:
The main purpose of this class action is to obtain a Court order declaring all of Qualinet’s contracts entered into during the Class Period null and void, and to then obtain the reimbursement of all amounts collected by Qualinet in violation of the law. This class action also notably seeks:
a) reimbursements of the amounts for items for which the costs were not indicated in the Qualinet contract;
b) the mandatory costs that Qualinet displayed in a fragmented manner in the contract (i.e. the 10% administration fee and the 5% to 8% profit fee on top) that were imposed on all amounts charged to every contract; and
c) punitive damages, in the amount of $1000.00 per Class Member.
Status:
Class action Authorization Application filed in the Superior Court of Quebec, district of Montreal, on October 7 ,2024. Pending authorization hearing.
