Facts:

• In October 2021, Éric Brière leased an all-terrain vehicle from Groupe Motoplex, with financing provided by Rentugo Finance Inc.
• The lease agreement included a total financed amount of $25,144.44 at a 16.99% annual interest rate, requiring 468 weekly payments of $132 over nine years.
• In October 2022, due to financial hardship, Brière voluntarily returned the vehicle to Rentugo.
• Rentugo resold the vehicle for $9,200 and sued Brière for $17,248.34 in damages.
• Brière contested the claim, arguing Rentugo failed to mitigate damages and that the lease terms were abusive.

Legal Issues:

1. Is Rentugo entitled to claim damages from Brière?
2. Are Brière’s obligations under the lease excessive, abusive, or exorbitant?

Court’s Analysis & Decision:

• Rentugo’s Claim for Damages:

  • The court found Rentugo entitled to claim only the remaining capital balance ($23,859.25) but rejected other charges like towing fees, unpaid interest, and security plan fees, citing the Loi sur la protection du consommateur (L.p.c.).
  • Adjusting for the vehicle resale price, Brière owed $14,659.25 in damages.
  • The court also rejected Rentugo’s claim for a 16.99% contractual interest rate, applying only the legal interest rate.

• Abusive Contract Terms:

  • The court ruled that the lease agreement was excessive and abusive under Article 8 of the L.p.c., as Brière was pressured into signing without full disclosure of the costs.
  • Rentugo was held responsible for Motoplex’s actions under Article 103 of the L.p.c.
  • The court reduced Brière’s obligations by $6,990.89, removing charges for an unwanted warranty and overpriced life insurance.

Final Judgment:

• Brière was ordered to pay $7,668.36, plus legal interest.
• Rentugo’s claim was partially granted, but the court significantly reduced the amount owed due to unfair contract terms?.