Price Accuracy Policy: The Law, Your Rights and Exceptions

When you see an advertised price, you logically expect that it will be the amount, after adding up the taxes, that you will pay. But sometimes, at the time of paying, the price does not match what you had seen.

What can you do? Me Lambert explains the protections to which you are entitled depending on the circumstances and the product.

Rules for labelling and displaying prices

According to the Consumer Protection Act (CPA) and its Regulations, merchants must comply with certain rules relating to the indication of the price of their products. These concern how to label and display the price, as well as how to respect the accuracy of the price.

There are two ways to respect the labeling and displaying the price that meet the CPA: the price on individual products and the price on the shelves.

The general rule is that of individual labelling of products, according to which each item must have its price indicated on itself or on its packaging. However, there are two ways in which the merchant can be exempted from this general rule:

• by exceptions according to the category of the product;
• by its choice to display the price on tablets, subject to certain conditions.

If, because of its category, the product falls within the exceptions provided, the merchant must display the price clearly and in close proximity to the items concerned. In case of a difference between the label on the product and the price at checkout, you will pay the lowest amount. In addition, if the item has more than one label affixed, you will pay the lowest price, unless it has been the subject of a balance that has ended and the expiry date of the balance is indicated on the label.

The merchant may also choose to display the price on a label on the tablet, bring an optical reader (commonly known as a “scanner”) and comply with the Price Accuracy Policy. The following conditions apply:

• Products must have a barcode affixed to them;
• Depending on the size of the store, a scanner must be made available to customers so that they can check the price of the items;
• Display the Price Accuracy Policy near cash registers and scanners;
• Submit a detailed invoice with, among other things, his name and telephone number, the date of purchase, as well as the description and price of the item;
• In the case of food, the cost of the product per unit measure must be included on the label.

The accuracy of prices on the Internet

For purchases on the Internet, the price charged to you cannot be more expensive than the advertised price, although some amounts, such as taxes (GST and QST), can be added at the time of payment.

In principle, the rules on Internet purchases are applicable to purchases made in Québec, even if the merchant is located outside. For more information, see our article on illegal pricing practice.

Application of the Price Accuracy Policy

There are two remedies provided for in the Price Accuracy Policy if the amount at the time of payment is higher than indicated:

• If the item is worth less than $10, it will be given to you free of charge;
• If it costs more than $10, you will be entitled to a $10 discount on the corrected price.

Exceptions and Limitations to the Price Accuracy Policy

Although the merchant exempts himself from the individual product labelling rule and is subject to the Price Accuracy Policy, in some cases this policy does not apply due to the category of the product, the law or other circumstances.

First, clothing and products without barcodes must be individually labelled and the Pricing Accuracy Policy does not apply to them.

Similarly, if the product has its price determined by law (such as alcohol, tobacco or milk), the Policy cannot apply if it constitutes a violation of the law.

The policy will also not apply if the item was placed in the wrong place, near a label that did not match it. Let’s take the example of a case where you see a box of chocolates close to a bar where the label marks $3. At the checkout, you are told that the price is $6, and that the $3 label referred to another product, for example, a box of cereal. In this case, you have to pay $6 if you want to buy the chocolates.

In the event that the product has been misidentified, that is, when it is scanned (by you or at the checkout) and the name of another product appears, you must pay the price of the product you are buying. So, if you buy a bag of flour and the cash register registers it as a bag of rice, you have to pay the price of the flour.

Moreover, if you buy several identical items and there is a pricing error, the merchant must correct the price of all items. However, the $10 rule will only apply to one of them.

Finally, if the error is in your favor, you will pay the lowest price, but the Policy will not apply. For example, if the price shown is $5 and the price at checkout is $4, the item will not be given to you for free and you will have to pay $4.

Remedies for refusal to apply the Price Accuracy Policy

If you are refused compensation according to the Price Accuracy Policy, you can talk to the manager of the store in question, file a complaint with the Office de la protection des consommateurs, or even send a formal notice to the merchant to demand your rights.

Please note that each case is a case in point and each rule has its exceptions. Do not hesitate to consult the website of the Office de la protection des consommateurs for more information.

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