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Internet Sales Contract Rules in Ontario: What Online Sellers Must Disclose

What Ontario’s Consumer Protection Act requires online sellers to disclose before and after a sale, and what happens if a seller skips a step.

Corporate5 min readTSLBy the Treadstone Law team · OntarioUpdated 2026-07
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Key takeaways
  • The internet sales contract rules apply to agreements between a business and an individual consumer — someone buying primarily for personal, family, or household use.
  • Before a consumer agrees to buy, an online seller is generally expected to clearly disclose: The theme running through the list is simple: nothing important should be a surprise after…
  • Once the consumer agrees to buy, the seller is generally expected to provide a copy of the agreement recording what was actually disclosed and agreed, not just a receipt showing the…

Running an online store in Ontario means more than posting a price and a "buy now" button. Ontario’s Consumer Protection Act, 2002 treats a sale made over the internet to a consumer as an "internet agreement," and it comes with its own disclosure and confirmation rules that many small online sellers have never actually read.

These rules exist because a consumer buying online cannot pick up the product, ask a clerk a question, or see the fine print the way they might in a store. The law responds by requiring the seller to spell out the key terms clearly before the consumer commits, and to follow up with a proper record of what was agreed.

This article walks through what the internet sales contract rules Ontario businesses face generally require, and where sellers most often slip up.

When Does This Apply to Your Store?

The internet sales contract rules apply to agreements between a business and an individual consumer — someone buying primarily for personal, family, or household use. A sale to another business for its own commercial purposes is generally a separate matter, governed by ordinary contract law rather than these consumer-specific disclosure rules.

If your store sells to the general public online, assume the consumer rules apply to that side of your business, even if you also do business-to-business sales.

What You Generally Must Disclose Before the Sale

Before a consumer agrees to buy, an online seller is generally expected to clearly disclose:

CategoryWhat to disclose
Seller identityYour business’s correct legal name and contact information
DescriptionA fair and accurate description of the goods or services
PriceAn itemized total price, including any additional charges the consumer will pay
DeliveryHow and roughly when the goods or services will be delivered
CancellationYour cancellation, return, exchange, and refund policy
TermsAny other material terms and conditions of the agreement, including warranty terms

The theme running through the list is simple: nothing important should be a surprise after the consumer has already paid.

What You Must Do After the Sale

Once the consumer agrees to buy, the seller is generally expected to provide a copy of the agreement recording what was actually disclosed and agreed, not just a receipt showing the price paid. This copy should reach the consumer promptly after the transaction, and it becomes the reference point if a dispute ever arises about what was promised.

When a Consumer Can Cancel

If a seller fails to make the required disclosures, or fails to deliver the confirming copy of the agreement, the consumer may gain a right to cancel the agreement that would not otherwise exist. The exact windows and conditions for this kind of cancellation right can be technical and depend on precisely what went wrong. This is an area where an online seller should get specific legal advice rather than relying on assumptions, since the underlying rules and any applicable timelines can change.

A Compliance Checklist for Online Sellers

Frequently asked questions

Does this apply if I only sell through a third-party marketplace platform?

The platform may have its own seller policies, but your obligations as the seller under Ontario consumer protection law generally still apply to your own disclosures and dealings with the consumer, regardless of which platform hosts the transaction.

Do these rules apply to services, or just physical goods?

They generally apply to both. A consumer buying an online service — a subscription, a digital product, a booked service — is still typically covered as an internet agreement if the other conditions are met.

What if my total price depends on options the customer chooses at checkout?

The itemized total is generally expected to reflect what the consumer will actually pay based on their selections, updated dynamically as they make choices, not just a starting "from" price.

Is a simple terms-of-service page enough to satisfy these disclosure rules?

Not necessarily. A terms-of-service page can be part of meeting your disclosure obligations, but the substance — clear, accurate, easy-to-find information at the right point in the buying process — matters more than the label on the page.

This article is general information, not legal advice. Reading it does not create a lawyer-client relationship. Ontario laws, tax rates, and government programs change, and how the law applies depends on your specific facts. For advice about your situation, speak with a licensed Ontario lawyer. Treadstone Law is licensed by the Law Society of Ontario — reach us at 1-844-900-1070 or start a file online.

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