Quebec’s appliance giants at war against a minor reform

In Quebec, the “Act to protect consumers against planned obsolescence” will require appliance manufacturers to offer a performance warranty for their products. For many companies, this is unacceptable. Furniture giant Tanguay has filed a lawsuit against the government, while other businesses are instead waging a fear campaign against this modest protection.

In 2023, the Quebec government introduced a law that sets out the rights and obligations of consumers, retailers, and manufacturers when products need to be repaired in the first few years after purchase. The law includes measures to ensure the availability of replacement parts, as well as a “statutory performance warranty” that automatically applies to certain electronic devices and home appliances.

According to appliance repair technicians consulted by The North Star, this legal reform will primarily protect consumers in cases where expensive parts break—for example, the drum of a washing machine. In such cases, retailers often refuse to honour the “manufacturer’s warranty,” which is already a legal obligation.

The government had given companies three years to prepare for the implementation of this statutory warranty. It will take effect on October 5, which explains the current backlash from those who profit from home appliances. Several major retailers claim that, even with three years’ notice, they would not have been able to prepare for the increase in repairs they will have to perform. Among them, Tanguay recently announced that it would take the government to court over this issue.

Beyond legal action, major appliance retailers have launched a fear campaign in recent months. In the province’s mainstream media—especially in Quebecor outlets, which is a business partner of Tanguay—readers were met with alarmist headlines predicting 30% price hikes for appliances.

The CEO of the group that owns Corbeil even claimed that the cost of one of its products could rise by 43% because these products will need to be repaired more than once in the years following their purchase. “If manufacturers have to factor in repairs costing $150 each over a six-year period, an $800 product could end up costing $1,000 or even $1,150,” he told the Journal de Montréal.

A rather weak reform

The reform introduced by Bill 29 does not, in fact, bring about any radical change, but rather standardizes a practice that was already possible. Until now, it was indeed possible to sue a retailer in small claims court if an appliance stopped working abnormally early. The Act simplifies this procedure and establishes fixed lifespans for certain products. This makes it harder for retailers to sell extended warranties, but does not guarantee efficient repair service from companies.

Another example of the law’s relative weakness: it also requires manufacturers and retailers to facilitate product repairs by making replacement parts available for products sold, but it contains a clause that strips it of any teeth.

In fact, the seller can simply announce in advance that it will not supply the parts, and it is thereby relieved of its obligation. The manufacturer Midea, for example, states on its website that it “chooses, in accordance with section 39(3) of the Quebec Consumer Protection Act, not to guarantee the availability” of replacement parts. The same is true for Staples, Tanguay, Whirlpool, Best Buy, and many other major retailers and manufacturers.

Will the same scenario play out across the rest of Canada?

The federal government recently passed Bill C-267, which—though even more modest—is inspired by Bill 29. For now, the only opposition that appears to have spoken out publicly comes from Conservative Party members of Parliament, who instead want to deregulate the market. 

As for lobbying efforts by major retailers and manufacturers toward government officials, the only officially registered lobbying activity comes from Lenovo, but the details of the discussions are not public.