Who's at your door?: Homeowners allegedly exploited by Ontario company
I never thought I’d be using my own Toronto semi-detached house in a W5 investigation. Talk about close to home.
But it turned out to be one of the most direct ways to investigate a tool that’s allegedly being misused on a large scale to take advantage of tens of thousands of Ontario households.
Here’s how it works, according to a proposed class action lawsuit that’s taking a web of companies to task on its use of what are called “Notices of Security Interest,” or “NOSIs.”
A salesperson knocks on your door, offering to lease you heating or cooling equipment for your home for a monthly rate. Over the life of the contract, that rate adds up to thousands more than the equipment is worth.
That in itself might just be a bad deal for you. However, several customers we talked to for this story found they had no idea that there would be even higher costs to come.
The company takes out an NOSI, which is a dollar amount, with no limit, registered by the company on your home as collateral for the equipment rented. And they don’t have to tell you.
Some NOSIs reviewed by W5 appear to be worth many thousands of dollars more than the equipment itself.
Some customers we talked to say the NOSI threw a wrench into their plans to sell their homes when they needed to while they were trying to move elderly parents or dispose of the assets of a deceased loved one.
And they said if they wanted to get out of it and sell, many were pressured to pay up. Some already have.
Mohsen Seddigh, the lawyer who is representing customers in this proposed class action, says across all the proposed members of the class, the value of the NOSIs could add up to tens of millions of dollars.
Mohsen Seddigh is the lawyer representing customers in the proposed class action (CTV W5)
We wanted to know: how easy is it to set up? And are there any rules?
We needed some equipment to put in my house, so W5 producer Joseph Loiero purchased a thermostat for $130.
He installed it on the wall with double-sided tape – there’s actually no requirement to hook anything up to be able to register a NOSI, which is like a lien.
W5 producer Joseph Loiero purchased a thermostat for $130 and installed it on the wall with double-sided tape (CTV W5)
Then it was a short trip to Seddigh’s office, who walked us through the steps to register the NOSI on my property, as collateral for the thermostat. It was shockingly fast and easy.
I suggested 10 times what the thermostat was worth. There was nothing stopping us. Seddigh said we could have asked for much more.
And for a nominal fee, we could have gone through with the registration -- meaning I’d have to pay my producer, Joe, an arbitrarily high amount if I ever wanted to sell my home. (We un-registered the NOSI as well – sorry, Joe.)
Registering an NOSI for a thermostat, at an amount 10 times what the thermostat was worth, was 'shockingly easy.' (CTV W5)
The rules that govern this process are set by the Government of Ontario, which says it is looking at changing the system.
And the company involved has denied it’s exploiting anyone.
Unfortunately, many of the people we interviewed in our investigation didn’t have the option to cancel the NOSI like we did – and they are stuck negotiating a pricey hold on their property, often worth far more than the rented equipment was worth.
CTVNews.ca Top Stories
'My family doctor just fired me': Ontario patients frustrated with de-rostering
Dozens of Ontarians are expressing frustration in the province’s health-care system after their family doctors either dropped them as patients or threatened to after they sought urgent care elsewhere.
Man ticketed after allegedly trespassing again at Drake's Bridle Path mansion to get his bike
A man who tried to access Drake’s Bridle Path mansion earlier this week returned to the property Saturday and was apprehended again for allegedly trespassing, Toronto police say.
'I am angry': Alberta farmers will continue fight over world class motorsport resort
The rolling hills leading to the hamlet of Rosebud are dotted with sprawling farms and cattle pastures -- and a sign sporting a simple message: No Race Track.
Potentially toxic chemicals hide in our drinking water and countless household objects, and they're not going anywhere
For decades, North Bay, Ontario's water supply has harboured chemicals associated with liver and developmental issues, cancer and complications with pregnancy. It's far from the only city with that problem.
Crews prepare for controlled demolition as cleanup continues at Baltimore bridge collapse site
After weeks of preparation, crews are scheduled to conduct a controlled demolition Sunday evening to break down the largest remaining span of the collapsed Francis Scott Key Bridge in Maryland, which came crashing down under the impact of a massive container ship on March 26.
'It was violent': Police tear down U of A pro-Palestinian encampment Saturday morning
Multiple people at the protest camp torn down at the University of Alberta campus Saturday say police's actions against protesters were "violent" and "disproportionate."
Election deniers: West Virginia voters must pick from GOP candidates who still dispute 2020 election
When West Virginia Republicans vote in Tuesday's primary, they will have a hard time finding a major candidate on the ballot in any statewide race who openly acknowledges that U.S. President Joe Biden won the 2020 election.
Cyclist issued fine for striking four-year-old girl crossing the street
A cyclist turned herself in and received a fine after striking a four-year-old girl who was crossing the street to catch a school bus.
Thousands of civilians flee northeast Ukraine as Russia presses a renewed border assault
Thousands more civilians have fled Russia's renewed ground offensive in Ukraine's northeast that has targeted towns and villages with a barrage of artillery and mortar fire, officials said Sunday.
Local Spotlight
From outer space? Sask. farmers baffled after discovering strange wreckage in field
A family of fifth generation farmers from Ituna, Sask. are trying to find answers after discovering several strange objects lying on their land.
Wilfrid Laurier football player drafted despite only playing 27 games in his entire life
A Listowel, Ont. man, drafted by the Hamilton Tigercats last week, is also getting looks from the NFL, despite only playing 27 games of football in his life.
Federal government bans watercraft from Manitoba lake popular with tourists
The threat of zebra mussels has prompted the federal government to temporarily ban watercraft from a Manitoba lake popular with tourists.
Toronto-area dessert shop featured by Keith Lee forced to move after zoning complaint
A small Ajax dessert shop that recently received a glowing review from celebrity food critic Keith Lee is being forced to move after a zoning complaint was made following the social media influencer’s visit last month.
'Oh Crap!' New exhibit at Canada Science and Technology Museum explores human waste
The Canada Science and Technology Museum is inviting visitors to explore their poop. A new exhibition opens at the Ottawa museum on Friday called, 'Oh Crap! Rethinking human waste.'
Regina police hope new biometric monitoring system will save lives in detention facility
The Regina Police Service says it is the first in Saskatchewan and possibly Canada to implement new technology in its detention facility that will offer real-time monitoring of detainees’ vital health metrics.
Her SUV was stolen in Montreal. A Good Samaritan on Facebook helped her get it back
Just as she had feared, a restaurant owner from eastern Quebec who visited Montreal had her SUV stolen, but says it was all thanks to the kindness of strangers on the internet — not the police — that she got it back.
Vancouver and Edmonton's mayors bet on who will win Round 2 of the playoffs. Here's what's at stake
The stakes have been set for a bet between Vancouver and Edmonton's mayors on who will win Round 2 of the Stanley Cup playoffs.
'No other life taken': Mother leads ATV helmet drive to honour daughter's legacy
A grieving mother is hosting a helmet drive in the hopes of protecting children on Manitoba First Nations from a similar tragedy that killed her daughter.