A class action is a special type of lawsuit that is brought by one or more persons on behalf of a larger group of people whose claims share common legal issues.

Class actions provide a cost-effective way for groups of people with common legal interests to pursue a lawsuit. A class action allows groups of people to benefit from a legal case without them having to spend their own money on legal and other expenses and without having to manage all of the steps and obligations related to their own legal case.

On July 25, 2016, a class action was commenced against Ontario Energy Group (“OEG”) and Home Trust. The class action alleged, among other things, that OEG’s Lease Agreements failed to comply with legal requirements under Ontario’s Consumer Protection Act, 2002 and other applicable laws. Home Trust’s involvement in the action is limited to its involvement with OEG’s Lease Agreements. The class action sought damages and other remedies.

A Settlement Agreement was reached on behalf of settlement Class Members to resolve the class action lawsuit against OEG and Home Trust.

The Settlement Agreement was approved by the Ontario Superior Court of Justice on October 21, 2021.

The settlement provides for payment by the defendants of CAD $14,950,000 for the benefit of settlement Class Members, and other important benefits, including reduced-cost exit options, and up to 225 cancelled agreements in exceptional circumstances.

The settlement is not an admission by the defendants of liability, fault, or wrongdoing, but is a compromise of disputed claims.

The settlement includes all persons in Ontario who are or were at any time party to a Lease Agreement for Equipment with OEG, entered into between May 1, 2012, and December 31, 2016, except Excluded Persons.

If you previously opted out of the class action, you are excluded from the settlement.

If you did not submit a claim on or before September 24, 2023, you cannot receive money from the settlement, but you remain eligible for other settlement benefits such as the reduced-cost exit options and improvements to your Lease Agreement going forward.

During the claims period, all Class Members were eligible to apply for settlement benefits in accordance with the Court-approved Distribution Protocol. This included Class Members who were in an active Lease Agreement (and still rent Equipment from OEG), and Class Members that previously bought out or terminated their Lease Agreement (and no longer rent Equipment from OEG). The claims deadline was August 25, 2022. The final date to submit a late claim was September 24, 2023. Decision letters have been issued. It is no longer possible to submit a late claim.

The settlement benefits are summarized as follows:

Class Member	Benefits
You continue to rent Equipment from OEG under one or more active Lease Agreement(s) and submitted a claim on or before September 24, 2023.	Eligibility for a single cash payment representing a refund of a portion of monthly rental payments paid; Potential eligibility for an increase to the single cash payment, where certain demonstrated individual circumstances apply; Improvements to the Lease Agreement on a “go-forward” basis, including: A reduction of the allowable increase of the monthly rental payment each year; Access to a new lower cost buyout program, with fixed and transparent prices that decrease every year; Other clarifications, enhancements, and improvements to your rights under the Lease Agreement, all of which is outlined in more detail in the Settlement Agreement; A commitment from the defendants to a reasonable management of debts and arrears; and, Potential eligibility to have your Lease Agreement cancelled, Equipment gifted, and arrears forgiven in exceptional circumstances. Such benefits will, except in limited cases as set out in the protocol, be provided in lieu of the single cash payment described above.
You have exited a Lease Agreement(i.e. you bought out or terminated your Lease Agreement and no longer rent Equipment from OEG) and submitted a claim on or before September 24, 2023.	Eligibility for a single cash payment representing a portion of the amount you paid for: monthly rental payments before the date of your termination or buyout; and your termination, buyout, and/or associated arrears, interest, and NSF fees; and, Potential eligibility for an increase to the single cash payment, where certain demonstrated individual circumstances apply.

Improvements made to ongoing Lease Agreements will be made on a “go-forward” basis, and apply to all Class Members, even if they did not submit a claim.

Improvements to ongoing Lease Agreements include:

1. A reduction of the allowable increase of the monthly rental payment each year (capped at 2.5%, versus 3.8% previously);
2. Access to a new lower cost Buyout Schedule, with fixed and transparent prices that decrease every year (a copy of the reduced Buyout Schedule is available here); and
3. Other clarifications, enhancements, and improvements to your rights under the Lease Agreement, all of which is outlined in more detail at sections 2.2(3)-(10) of the Settlement Agreement.

A copy of the Settlement Agreement and other related documentation is available by clicking here.

Class Members in active Lease Agreements with OEG have the following options:

1. You can arrange for a reduced cost buyout or termination with OEG. OEG is required to honour the reduced-cost buyout table contained in the Settlement Agreement, which is available here.

   To complete a reduced-cost buyout or termination, you need to contact OEG. While we are not OEG, we recommend calling 1-800-510-4047, or e-mailing info@ontarioenergygroup.com to reach them. More information on terminations and buyouts can be found at FAQ#18 and FAQ#19.

2. You can stay in the Lease Agreement(s), with improvements explained below and at FAQ#6. Your Lease Agreement otherwise ends on the failure of the leased equipment or when the equipment otherwise reaches the end of its useful life. If your equipment fails your Lease Agreement is over, and you can ask OEG to remove it or have a technician return it to them. OEG cannot replace failed equipment in order to extend or renew your Lease Agreement, unless you agree to do so with a full understanding of costs and other obligations that are required of you.

   The settlement does not otherwise cancel Class Members’ ongoing payment obligations to OEG.

The settlement does not cancel all arrears or money owed to OEG, unless your Lease Agreement was one of the Lease Agreements selected for cancellation.

Since the claims deadline has passed and decision letters have been issued it is no longer possible to submit a claim.

If you did not submit a claim and remain in an active Lease Agreement, please see FAQ #7 for more information about your options.

It is no longer possible to submit a late claim.

The Settlement Agreement and Distribution Protocol approved by the Court provided that up to 225 active Lease Agreements would receive a no-cost cancellation (meaning the Equipment would be gifted, arrears forgiven, and the “lien(s)” would be removed). All no-cost cancellation recipients have been selected and notified and no further no-cost cancellations will be awarded.

In addition to the cancellation of the up to 225 agreements, the settlement also creates a less expensive buyout program that you can use alongside your claim for cash in order to reduce the cost to buyout the Equipment and to exit your agreement. If you wish to seek a buyout, you must make that request to OEG and not the Claims Administrator.

The settlement also clarifies the option to terminate your agreement (pay a fee to remove the Equipment from your home, end the contract, and remove any lien on your title) which can also be used alongside your claim for cash under the settlement. If you wish to seek a termination, you must make that request to OEG and not the Claims Administrator.

For more information on your options for ending your agreement, see FAQ#7.

Decision letters were issued to all claimants on June 24, 2024. Each approved claim was calculated to receive a number of Claimant Input Values (“CIVs”) to determine their proportionate share of the net settlement funds. Please review the Court-approved Distribution Protocol for a detailed description of how CIV amounts were calculated.

A CIV does not equal a dollar in cash. Using current data which remains subject to change as the claims results are finalized, the approximate value of each CIV is estimated to be $0.15 (fifteen cents).

If you received a decision letter rejecting your claim, it is because you made a claim that did not meet the requirements set out in the Distribution Protocol and/or that was not supported by the necessary documentation.

Claims were rejected if:

• If the equipment claimed is leased from a company other than Ontario Energy Group or your agreement with OEG is not a Lease Agreement as defined in the Settlement Agreement; or
• You previously signed a document known as a “release” with Ontario Energy Group which makes you ineligible to participate in this settlement;

Claimants wishing to dispute their decision letter had an opportunity to request a review of the determination by sending a statement to the Claims Administrator in writing asking for a “Claims Review” and explaining the reason(s) why they believed the result was incorrect.

The deadline to seek a Claims Review was July 24, 2024 and no further Claims Reviews are being accepted.

The Claims Administrator is currently evaluating the Claims Reviews received. Upon completion of their evaluation, the Claims Administrator will send a final determination letter to all claimants who sought a Claims Review.

Settlement cheques will be issued to all approved claimants once the “Claims Review” timeframe, see FAQ #13, has passed.

Settlement cheques will be sent by regular mail to the address listed on the decision letter. If your mailing address has changed, please notify the Claims Administrator immediately.

If you provided an e-mail address in your claim form, you will be notified by e-mail when the settlement cheque has been issued.

There are lawyers representing the representative plaintiff and the class. These lawyers are called “Class Counsel”. Class Counsel in this case is:

Foreman & Company
Phone: 1-855-814-4575 ext. 109
E-mail: oeg@foremancompany.com
Website: www.foremancompany.com/ontario-energy-group

The lawyers can provide general guidance and answer questions about the settlement. For questions regarding decision letters and settlement cheques, please contact the Claims Administrator at the information provided at FAQ #13.

The Court has approved lawyers fees representing 25% of the settlement amount, together with repayment of other expenses they paid for in connection with the lawsuit.

Legal fees and expenses have been paid out of settlement money from the defendants. Class Members do not need to pay the lawyers “out of pocket”.

The period for opting out or “excluding” yourself from the class action has passed. There is no further opportunity to opt-out. If you did not opt-out of the class action, you are bound by the Court-approved settlement even if you did not submit a claim form.

A termination is a right you have under the Lease Agreement to end your Lease Agreement, have the lien removed, and have OEG remove the Equipment from your home.

The settlement requires OEG to charge no more for a termination than the amounts explicitly stated in your Lease Agreement.

Terminations are usually cheaper than buyouts, but involve the Equipment being removed from your home. You need to contact OEG directly if you wish to complete a termination.

• While we are not OEG, we recommended calling 1-800-510-4047, or e-mailing info@ontarioenergygroup.com to reach them.

A buyout is where you pay OEG to buy the Equipment from them, to end your Lease Agreement, and have the lien removed.

The settlement requires that OEG charge no more for buyouts than what is specified in a new lower cost Buyout Schedule (a copy of the reduced Buyout Schedule is available here).

The reduced buyout prices are in effect now, and all Class Members are able to complete a reduced-cost buyout, even if you did not submit a claim. You need to contact OEG directly if you wish to complete a buyout.

• While we are not OEG, we recommended calling 1-800-510-4047, or e-mailing info@ontarioenergygroup.com to reach them.

The Settlement does not automatically cancel all security registrations. However, on the renewal date of a security registration, the notice of security interest will be limited to an ownership right in the leased equipment only.

The lien/security registration is OEG’s way of giving notice that the Equipment in your home is owned by them.

The lien will be fully removed only if you are no longer renting the Equipment that OEG owns in your home. Your options for ending your agreement and having the registration removed are described in FAQ#7, FAQ#18 and FAQ#19

Under the settlement, any security interest shall be postponed, without demand for payment for any amount (other than reasonable outstanding arrears, NSF fees and interest as may be agreed between OEG and the class member), at the request of the Class Member for any commercially reasonable circumstance on 5 day’s notice by the Class Member. Such reasonable circumstances may include the need to finance or refinance your home. Please see Section 2.2(5)(c) of the settlement agreement for more details.

Questions for the Claims Administrator should be directed to:

Epiq Class Action Services Canada Inc.
Attention: OEG Class Action Settlement
P.O. Box 507 STN B
Ottawa ON K1P 5P6
Telephone: 1-833-358-9423
Fax: 1-866-262-0816
E-mail: info@OEGclassaction.ca

Questions for Class Counsel should be directed to:

Foreman & Company
Attention: OEG Class Action Settlement
4 Covent Market Place
London ON N6A 1E2
Telephone: 1-855-814-4575 ext. 109
Fax: 1-226-884-5340
E-mail: oeg@foremancompany.com
Website: www.foremancompany.com/ontario-energy-group