Home & Garden

Reliance Home Comfort -- What is TERMS for Cancellation?

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  • Jan 12th, 2021 12:52 pm
[OP]
Sr. Member
Apr 29, 2010
939 posts
71 upvotes
London

Reliance Home Comfort -- What is TERMS for Cancellation?

We are renting from Reliance Home Comfort here in Ontario -- water heater, furnace, and A/C. The water heater = $14/mon + "Rental Home Comfort Service" (i suppose this is referring to the furnace and A/C) = $120/mon. TOTAL = $152/mon to rent all the units.

I'm looking to cancel the rentals; i intend on disconnecting all of the units and will drop them off at Reliance. I've been roaming around the Reliance website to get concrete data on their terms for cancellation. The only thing i could find are 2 different documents for the Water Heater. Nothing else. When i called Reliance i get some Yahoo telling me it is IMPOSSIBLE to cancel or else i must pay $10,000+ to buy out. No exceptions. Lovely folks they have working for them!

Can someone tell me in clear terms what is Reliance cancellation policy for Water Heater, Furnace, and A/C? There is mention in one document about 7 years for the WH but no mention of this same info in their other document. Is there some minimum years one must rent these units or else PAY A PENALTY? What are the years? At best one of the documents stated for WH = $200 for 1 year or less, $40 for 1 year to 9 years, $0 for 10yrs+. No mention of AC or Furnace.

Also out of curiosity what does their policy say when buying a home with these rented items -- does the new owner have the term date reset and so he is now stuck with the items for XX years?

Thanks
17 replies
Deal Addict
Dec 19, 2009
3979 posts
1937 upvotes
Terms for Reliance contracts vary by region and year. The terms you will have to follow will be stated in the contract you signed or assumed. Your best bet if you don't have the contract is to call Reliance and ask.
Deal Expert
User avatar
Feb 11, 2007
16004 posts
17253 upvotes
Oakville
OMG, our worst fears have come true and now the water rental mafia have moved on to other appliances. Soon they'll be forcing rentals for stoves, fridges, TVs, etc.

There's only no penalty if you are out of contract, but it sounds like you are in a new home. Is that correct? If so, then they are correct, you have to pay a stupid amount to get out of the contracts.

Your best bet is to ask them for a copy of your contract, then go from there. Be sure to take a look a the huge thread about water heater rentals on RFD.
If you run out of options/hope, you can speak to a lawyer or contact the local news to try and get something done. Speak to your MP about banning these forced contracts.
Deal Addict
Aug 19, 2011
4214 posts
3142 upvotes
Markham
Need more information:

New construction or resale?

This makes a big difference as with a new construction there is some wiggle room possible depending on how your builder packaged the contract although considering this is a full package you can bet your behind Reliance won't budge easily if at all since they would be taking a huge loss.
Deal Fanatic
User avatar
Jul 14, 2008
8305 posts
1877 upvotes
Ontario
Speaking as someone who is in Ontario, I saw 2 conditions on my previous statements that permitted exit of the contract.

1. End of term (which automatically rolls into a new one if you don't act within a short time frame)

2. Unilateral price increase for rental (IIRC, some have mentioned to me that some people have clauses which allow an increase, but mine did not, and I would fight a unilateral price increase in a contract until my face was blue)

I was able to exit my contract for reason #2, without penalty, just some admin fee (perhaps $50, I'm not sure).

My home was a new build and there was simply no way to exit the contract, save a stupid buyout fee. As soon as that opportunity arose above, I jumped immediately.
Deal Fanatic
Jan 25, 2007
9957 posts
5244 upvotes
Paris
Reliance could never provide me my terms and conditions when pressed (as the second homeowner). The water heater was already toast at that point, so I was free of them save for their $60 pick up fee. I dropped it off at one of their Depots.
[OP]
Sr. Member
Apr 29, 2010
939 posts
71 upvotes
London
I was able to get ahold of the original contract. It was with National Home Services before Reliance bought them up. My understanding the original contract has been grandfathered in.

With respect to terminating the rental, both my AC and Furnace reach their anniversary tomorrow. Meaning i'm at the end of the term and free from any penalties. The contract states:
"At the end of the term and only with National's prior consent I may arrange for the removal of the equipment through another licensed technician & return the equipment to National's closest warehouse".


I havent brought up this clause in the contract yet to Reliance but they stated last week i have no choice but to have their own technicians to come out to disconnect and remove the items == $405 (AC) + $675 (Furnace). I find it interesting the contract statement is identical to the Water Heater but Reliance told me i'm free to have my technician remove / dropoff that.

Any advice on how to approach this? Again i want to have my licensed tech remove the items. Then i'd have Reliance pick them up. I'm hoping the cost for pick up will be similar to the price to pick up the WH = $65 total.
Jr. Member
Jun 24, 2013
166 posts
194 upvotes
How did this work out? What did they charge for removal and pick up?

Did you have them come in and disconnect the equipment?

I'm hoping to take advantage of GreenON rebates. The first person I talked to prior to putting in my deposit for the other job said that they wouldn't take the equipment back early, but that my contractor could disconnect it and leave it in the house, but I would be responsible if anything happened (i.e. a flood). I did say to Reliance that I would pay every penny of the remaining term (13 months) if they took it early, but the first person I spoke to refused that request.

i just found my contract (it was signed by the previous owners and I assumed it - there were multiple offers so we signed it as a cost of doing business) and it says that Reliance must remove the equipment.

Now I'm nervous because I have a contract with a geothermal contractor and thought I could just have them set the equipment aside for me to return next year. I'll have to call them back and see what I can do. I understand that I'm on the hook for the remaining lease payments and I'm willing to pay that amount upfront, before they remove any equipment, but is there a reason why they might reject this?

I'll pay the removal cost (would do so a year from now anyways) and the remaining lease payments. It's worth it with the rebates coming my way (and to get rid of Reliance from my life!) - in the end a geothermal system will only cost a few thousand more than a brand new furnace/AC lease plus the buyout cost!

Am I better off saying I have renovations and need the equipment temporarily moved, then never getting them to reinstall it?

Now I feel like I've made an expensive mistake. Just thought I'd get opinions before calling in.
Jr. Member
Jun 24, 2013
166 posts
194 upvotes
I ended up calling in (the last person I spoke to there was very aggressive and I was concerned that they were going to push their own techs based on what I read.

What I was told (should have recorded the call) is that as long as it is an HVAC tech, I can get the equipment removed and set aside. Huge sigh of relief. I'll just set it aside, pay monthly until next summer and they will pick up for free from what I was told.

I will be so happy to get rid of Reliance. Not sure why anyone in their right mind gets into these ridiculous contracts. Better to finance the equipment and own it after the 7 or 8 years than to pay monthly indefinitely.
Penalty Box
Jun 24, 2015
4719 posts
1393 upvotes
0 downvotes
i am 10 years in on a 15 year term, and they want $700 plus tax to buy it out
Hi
Deal Addict
User avatar
Mar 10, 2018
3721 posts
792 upvotes
centre of universe
GoodFellaz wrote: i am 10 years in on a 15 year term, and they want $700 plus tax to buy it out
Oh Man. After one year? I though it was new one.
I dont care about Ethics, morals, rules or laws. I will apologies only when I get caught.
I try not to apologies but sometimes do it. not because its right thing but it benefits me.
New Mantra for idiots Just ask RFD before searching answers anywhere.
Deal Addict
User avatar
Mar 10, 2018
3721 posts
792 upvotes
centre of universe
I dont care about Ethics, morals, rules or laws. I will apologies only when I get caught.
I try not to apologies but sometimes do it. not because its right thing but it benefits me.
New Mantra for idiots Just ask RFD before searching answers anywhere.
Penalty Box
Jun 24, 2015
4719 posts
1393 upvotes
0 downvotes
That's great and all that you posted a pic of the reliance contracts, I'm with Reliance but my contract is with the previous company they acquired called NHS. So im still bound to the NHS terms which is 15 years not 7
Hi
Newbie
Oct 10, 2019
2 posts
Hi,
I am facing similar issue and need some guidance. I bought a house 3 years ago but previous owner did not told me about rental on water heater. I recently got a letter from my home insurance company saying that they will not insure water heater going forward since it is more than 15 years old. I wanted to buy a new water heater but there is a sticker on the heater saying that it is rental and I should call a number before repairs or anything. I has seen this sticker before but I have not been paying any rental fee so I assumed that previous owner would have bought this heater.
Just to be sure, I called this number which belongs to reliance home comfort and they told me that this heater is still under contract and looks like previous owner did not cancel his auto debit contract so Reliance has been deducting money from their account for all this time. I told reliance that I do not want to continue with them and asked them how much would it cost me to get out of the contract but they are not providing any details. They are saying that first they need to put my name on the contract before they can provide me any details but I do not want to get into any contract without knowing details. They are also not ready to provide me copy of old contract since I am not named on the contract.
Can you guys help me with:
1. Approximately how much will be cost if I decide to buyout this heater considering it is more than 15 years old?
2. Once I buyout this heater, can I just discard it through a junk removal company or will reliance pick it up?

Any guidance is appreciated.
Deal Expert
User avatar
Feb 11, 2007
16004 posts
17253 upvotes
Oakville
vatish wrote: Hi,
I am facing similar issue and need some guidance. I bought a house 3 years ago but previous owner did not told me about rental on water heater. I recently got a letter from my home insurance company saying that they will not insure water heater going forward since it is more than 15 years old. I wanted to buy a new water heater but there is a sticker on the heater saying that it is rental and I should call a number before repairs or anything. I has seen this sticker before but I have not been paying any rental fee so I assumed that previous owner would have bought this heater.
Just to be sure, I called this number which belongs to reliance home comfort and they told me that this heater is still under contract and looks like previous owner did not cancel his auto debit contract so Reliance has been deducting money from their account for all this time. I told reliance that I do not want to continue with them and asked them how much would it cost me to get out of the contract but they are not providing any details. They are saying that first they need to put my name on the contract before they can provide me any details but I do not want to get into any contract without knowing details. They are also not ready to provide me copy of old contract since I am not named on the contract.
Can you guys help me with:
1. Approximately how much will be cost if I decide to buyout this heater considering it is more than 15 years old?
2. Once I buyout this heater, can I just discard it through a junk removal company or will reliance pick it up?

Any guidance is appreciated.
I probably wouldn't give them any details. Are you sure the rental was not in your home purchase agreement? Like "new owner to assume all rentals (water heater, etc)".
Just hire someone to install a new unit for you and forget about the rental company.
Newbie
Oct 10, 2019
2 posts
engineered wrote: I probably wouldn't give them any details. Are you sure the rental was not in your home purchase agreement? Like "new owner to assume all rentals (water heater, etc)".
Just hire someone to install a new unit for you and forget about the rental company.
Under rental items sections it is listed:

"Hot water tank, if rental"
Deal Expert
User avatar
Feb 11, 2007
16004 posts
17253 upvotes
Oakville
vatish wrote: Under rental items sections it is listed:

"Hot water tank, if rental"
Sound like you're stuck with it, and owe the previous owner for what's been deducted from his account. At least it should be cheap to return to reliance.
Newbie
Jan 11, 2021
1 posts
rosario99 wrote: I was able to get ahold of the original contract. It was with National Home Services before Reliance bought them up. My understanding the original contract has been grandfathered in.

With respect to terminating the rental, both my AC and Furnace reach their anniversary tomorrow. Meaning i'm at the end of the term and free from any penalties. The contract states:



I havent brought up this clause in the contract yet to Reliance but they stated last week i have no choice but to have their own technicians to come out to disconnect and remove the items == $405 (AC) + $675 (Furnace). I find it interesting the contract statement is identical to the Water Heater but Reliance told me i'm free to have my technician remove / dropoff that.

Any advice on how to approach this? Again i want to have my licensed tech remove the items. Then i'd have Reliance pick them up. I'm hoping the cost for pick up will be similar to the price to pick up the WH = $65 total.

I would like to understand if there is any cost mentioned in the contract agreement to remove the furnace from the home? They are asking for $2100 to remove the installed furnace.

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