Moving company contracts in Canada are governed by provincial consumer protection legislation — but they are often written entirely in the mover's favour. The liability limits in most standard moving contracts are shockingly low: the industry default of 60 cents per pound means a $2,000 laptop weighing 2 kg would be compensated at approximately $2.65 if damaged or lost. Understanding the difference between released value protection and full value protection, and how binding versus non-binding estimates work, can save you thousands. For interprovincial moves, the Canadian Transportation Agency (CTA) regulates the contract terms that licensed carriers must use — providing stronger protections than many provincial contracts for within-province moves.
What is a Liability and Estimates?
A moving company contract (also called a bill of lading or moving services agreement) is a contract for the transportation and handling of household goods between a licensed mover and a client, covering the scope of the move, the estimate (binding or non-binding), the liability protection level, payment terms, delivery window, and claims procedures. For moves within a province, provincial consumer protection legislation applies. For moves between provinces, the Canadian Transportation Agency's Cargo Transportation Tariff requirements govern the relationship for federally licensed carriers.
Red flags to watch for
Released value (60 cents per pound in most provincial contracts) is the industry minimum. It is rarely sufficient to cover actual value for electronics, art, antiques, or furniture. Movers must offer full value protection as an option — if the contract doesn't clearly present both options with costs, the mover may not be complying with their disclosure obligation.
A non-binding estimate means the final price can exceed the quote. Federal regulations (for interprovincial moves) cap the amount a carrier can charge above a non-binding estimate. Within-province moves may have no such cap — verify whether the estimate is binding or non-binding and whether any overrun limit applies.
Some moving contracts give the mover a lien on your goods if the final bill exceeds the estimate — allowing them to hold your possessions until you pay. This is a powerful and often abused clause. Understand under what circumstances the mover can exercise this right before your furniture disappears into a warehouse.
A very short claims window may cause you to miss the deadline if damage isn't discovered until unpacking is complete — often days or weeks after delivery. A reasonable claims window is at least 60–90 days for damage discovered after delivery.
Long-distance and interprovincial moves that have no specified delivery date or delivery window give the mover complete flexibility. Goods sitting in a warehouse for weeks is a foreseeable outcome if no delivery commitment exists.
Your legal rights
Interprovincial moving companies licensed by the Canadian Transportation Agency (CTA) must provide a written estimate, offer both released and full value protection, and comply with the Agency's Cargo Transportation Tariff requirements (Transportation Act, S.C. 1996, c. 10). For provincial moves, consumer protection legislation applies: the Consumer Protection Act 2002 (Ontario), Business Practices and Consumer Protection Act (BC), Consumer Protection Act (Quebec, chapter P-40.1), and Fair Trading Act (Alberta). The Better Business Bureau and Canadian Association of Movers (CAM) maintain directories of reputable movers. Disputes with federally licensed carriers can be referred to the CTA's dispute resolution process. Provincial disputes can be taken to small claims courts or consumer tribunals.
Questions to ask before you sign
- 1Is this estimate binding or non-binding — and if non-binding, what is the maximum amount the final bill can exceed the estimate?
- 2What liability protection is included as default, and what does full value protection cost?
- 3Under what circumstances can you hold my goods pending additional payment?
- 4What is the claims filing deadline for damaged or missing goods?
- 5For long-distance moves: what is the guaranteed delivery window?
- 6Are you licensed by the Canadian Transportation Agency (for interprovincial moves) or by the relevant provincial authority?
Disclaimer: This guide is for educational purposes only and does not constitute legal advice. Contract law varies by jurisdiction and individual circumstances. Always consult a qualified legal professional before making decisions based on this information.