Lease Guarantee - Terms & Conditions
These terms and conditions do not limit or reduce, or otherwise alter, the terms of any specific Guarantee, or any other agreement or documentation which you sign (including by electronic signature) or agree to in relation to the use of any of the Services; the terms of any such Guarantee or other agreement or document will take precedence over these terms and conditions to the extent of any inconsistency between them.
Locnest only provides Guarantees in respect of leases (a “Lease”) of residential dwellings situated in Quebec, Ontario or Alberta by individuals (“Tenants”) who have reached the age of majority in that province (and in their jurisdiction of residence at the time the application is made, if different) and have the capacity to conclude a valid and enforceable contract with us and to not be prohibited from doing so pursuant to any applicable law.
2. LOCNEST SERVICES AND PROCESS
Locnest provides our Guarantee upon request by a Tenant or Landlord, as described below, subject to receiving all information requested by Locnest, Tenant’s consent to use any personal information, and having conducted a Background and Identity Check and confirmed that Tenant is eligible and credit-worthy (see Section 6 below “Decision Regarding Lease Guarantee Application”)
Lease Guarantee eligibility includes a Background and Identity Check Report
Locnest offers a comprehensive Background and Identity Check report (herein also called simply a “Background Check” or a “Report”) that allows us to determine a Tenant’s credit-worthiness for our Guarantee. In addition, this Report may be used to screen prospective Tenants for suitability. Locnest does not undertake any of the searches in connection with the Background Check; such searches are conducted, and all Report are provided, by a third-party service provider Certn (Canada) Inc. and its affiliates and its service providers. More information about Certn and its terms, conditions, and limitations relating to the Background Check and Report can be found at www.certn.co.
Note: The Guarantee, through the Background Check Report, requires validation of a prospective Tenant’s identification (‘ID’). This validation is completed through locnest.com as part of the application; at times this process may require additional information to complete. In the event that we are unable to authenticate an applicant’s identification, a full refund will be provided for any fees paid.
There are two ways of requesting a Guarantee. The terms surrounding each are outlined below:
Landlord’s Request on behalf of a Tenant
Landlords may initiate the application for a Guarantee with an initial request for a Background Check on a potential Tenant by inputting basic personal information of the Tenant including: first name, last name, date of birth, SIN number (optional), driver’s license number, residential address, email address and phone number of the Tenant, provided the Landlord has received express written consent to do so in accordance with applicable privacy laws. Following receipt of this request, Locnest will communicate electronically with the Tenant at the email address provided in order for the Tenant to complete the application and confirm his or her consent.
Where the Landlord is not in possession of an individual’s personal information, or has not received authorization to initiate the Background Check on behalf of a Tenant, the Landlord must select the “no” box on the Website, and a request for the Tenant’s information and consent is sent to the Tenant directly by Locnest.
Request by Tenant
Tenants may initiate the application for a Guarantee with an initial request for a Background Check by inputting their basic personal information including: first name, last name, date of birth, SIN number (optional), driver’s license number, residential address, email address and phone number.
3. REGISTRATION, ACCOUNT INFORMATION & CONTINUED ACCESS
All Users are required to create an online account (“Account”) using the Website in order to access any Services, which includes a name, address and certain information depending on whether the User is a Tenant, Landlord or other User.
Users agree to provide current, accurate and complete information when creating an Account, and to keep their Account information up to date and accurate.
Users are responsible for creating a strong password for their Account, and otherwise keeping passwords secure. You agree not to share your login name and password with any other person. You agree that you shall keep your login name and password confidential and that you shall not disclose your login name and password to any person or allow any person to use it, other than an employee or other authorized representative who requires access to determine whether the Landlord enters into or renews Leases to whom the Landlord has granted permission to use the Locnest Services on behalf of the Landlord (an “Authorized Representative”). You must immediately notify us upon becoming aware that there has been any unauthorized use of your login name and password, if it has become known to another person, or if it has been lost or stolen or otherwise compromised. You agree that you are solely responsible and liable for any use or misuse of your login name and password and for all transactions or other activities that occur under your login name and password. The security and privacy provided by using login names and passwords is not absolute and can be compromised. Your use of the login name and password is at your own risk. Locnest is not responsible for the disclosure of any personal information or any other information associated with a User’s Account caused by a User’s failure to take such steps to maintain the security of their Accounts.
While using any Locnest Services, you agree not to:
upload, transmit or use the Services in a way that may be viewed as threatening, embarrassing, hateful, racially or ethnically inappropriate, insulting, libelous or otherwise defamatory;
use the Services in any manner that infringes, violates or misappropriate any third party’s intellectual property or other proprietary rights;
use the Services in any manner that may be construed as misleading, deceptive, fraudulent, illegal or as promoting illegal activities. This includes but is not limited to engaging in phishing, obtaining financial or other personal information in a misleading manner for fraudulent or misleading purposes;
use the Services in any manner that in our sole discretion could damage, disable, overburden, or impair it;
attempt to gain unauthorized access to Services, other accounts, computer systems or networks connected to the Services, or any part of it, through hacking, password mining, interfere or attempt to interfere with the proper working of the Services or any activities conducted by Locnest;
modify the Locnest Services in any manner including but not limited to, for the purpose of obtaining unauthorized access to any Services;
use any robot, spider, scraper, or other automated means of accessing the Services for any purpose without our express written permission, or to bypass any measures we may use to prevent or restrict access to the Services;
impersonate another user or access another user’s Account without their express permission;
modify, adapt, translate or create derivative works based upon the Services;
reverse engineer, decompile, disassemble or otherwise attempt to discover the source code of the Services, except and only to the extent that such activity is expressly permitted by applicable law;
remove, circumvent, disable, damage or otherwise interfere with security-related features of the Services, any features that prevent any restrict the copying of any content accessible through our services, or features that enforce limitations on use of our services;
uploading invalid data, viruses, worms, or other software agents through the Services or Website;
access the Services if you are a competitor of Locnest, except where prior written or express consent is granted;
access the Services for the purpose of building a competitive product or service using similar ideas, features, functions or graphics from the Services to compete with any of Locnest’s Services, or for any other competitive purpose;
publicly disseminate information regarding the performance of the Services;
encourage or assist any third party to do any of the foregoing; or
use the Services in violation of any foreign, federal, state or local law, regulation or rule.
Suspension and Termination of Account
Locnest maintains the right to suspend, restrict or terminate a User’s Account and use of the Website, effective at any time, without notice, for any reason, including but not limited to:
the operation or efficiency of the Website or Locnest’s Services are impaired by the Landlord’s use of the Services;
an amount of payment is owed to Locnest by the Landlord and is overdue;
Locnest has received a third-party complaint which relates to a User’s use or misuse of the Website;
the User has been or are in breach of these terms and conditions or any terms and conditions incorporated by reference; or
the suspension of your Services in whole, in part, is necessary to comply with relevant laws.
It is not the responsibility of Locnest to notify any third party, including any third-party providers of services, merchandise or information, of any suspension, restriction or termination of your access to the Website.
This section 4 applies specifically to Landlords.
Landlords represent and warrant that they will only use Reports for the purposes of determining suitability of the applicable prospective Tenant to enter into or renew a lease with that Tenant.
Any information you receive as part of the Locnest Services must not be distributed in any form, except as to Authorized Representatives, is strictly required by law or if express permission is granted. It is User’s responsibility to keep all personal information regarding Tenants and any Reports received by it secure and confidential.
In particular, Landlords acknowledge that they will receive personal information regarding Tenants of a confidential and/or proprietary nature during the performance of these terms and conditions, including but not limited to tenant data. You agree that such confidential and proprietary information will be held in strict confidence and (i) distributed internally only on a need-to-know basis to Authorized Representatives who are under the same restrictions contained in these terms and conditions; (ii) disclosed only upon demand to governmental regulatory agencies; (iii) disclosed as required by law; or (iv) as directed by the individual User whose data is the subject of the Report. Users are required to protect any such confidential or proprietary information with the highest degree of reasonable care as required by law.
The Landlord agrees to take reasonable precautions to protect personal information and private data gathered from Locnest Services, from any unauthorized or unwanted access. The Landlord acknowledges that they are only permitted to use the Services in order to maintain an account profile for a Landlord-Tenant relationship in connection with a property. The Landlord is responsible to ensure that only authorized persons (an employee or other authorized representative whom the Landlord has granted permission to use the Services on behalf of the Landlord, an “Authorized Representative”) can access the Services. Authorized Representatives are subject to the same obligations as the Landlord under these terms and conditions and by their use agree to the obligations outlined in these terms and conditions.
Additionally, a Landlord is responsible for remaining up to date and monitoring compliance with these terms and conditions as well as any applicable policies. The Landlord must immediately notify Locnest if they suspect or know of any unauthorized access or attempts to access any aspect of the Locnest Service through their Account.
This section 5 applies specifically to Tenants.
It is the sole responsibility of the Tenant to ensure, before engaging with Locnest in respect of, or granting consent to the use of any personal information by, a Landlord in connection with the Services, that the Landlord owns, manages or otherwise has the right to enter into a Lease in respect of the residential premises the Tenant wishes to rent, and that any person given access to a Report or receiving information or providing instructions in connection with a Guarantee is an Authorized Representative of that Landlord.
The Tenant verifies that all information provided in their submitted Lease Guarantee application is accurate and complete. For the purposes of the Guarantee, you also hereby grant Locnest and their Landlord, real estate agent, Landlord’s Authorized Representatives permission to view your Report and perform any other due diligence necessary as they see fit, including but not limited to contacting references.
The Tenant hereby confirms that they have read and fully understand the above and below statements, and consent to the use, collection and disclosure of their personal details to determine their rental, employment, banking and financial history. This information is compiled for the purpose of determining their ability to pay monthly payments on time. Misrepresentations constitute valid legal grounds for rejection of a Tenants application by either a Landlord or Locnest.
6. DECISION REGARDING LEASE GUARANTEE APPLICATION
Locnest may utilize an automated decisioning model to determine Tenant’s eligibility for a Guarantee. This decisioning model is used to screen Tenant details, using information provided in the application and Background Check, to assess eligibility based on Locnest’s credit risk criteria and underwriting guidelines. Tenants that do not meet eligibility criteria may be declined by the decisioning model or alternatively, referred to our underwriting team for further assessment. Through this assessment, additional documentation may be required to support application details.
In the event an application is declined as a result of the decisioning model, Tenants have the ability to request a second review with additional reasons provided to support their request. Based on this information, Locnest will determine final eligibility and is not obligated to offer a Lease Guarantee.
If Locnest declines to provide a Guarantee to any Tenant, neither the Tenant nor Landlord will be charged the Guarantee Fee, but Locnest will not refund any fees paid for a Background Check.
Locnest requests personal payment details from both Tenants and Landlords as part of Locnest Services. When you supply payment details on our Website, a valid credit card or other acceptable online payment method is required. We do not process any payments or store any payment details for transactions. Payment information provided to Locnest is stored by third party payment processors Stripe and VersaPay. Stripe services are utilized by Locnest to securely store Users’ personal information while VersaPay is utilized to process the payments. Locnest only keeps a record of a Users’ account number to update or amend payment where requested. Therefore, all payment and personal information provided through Locnest is subject to the privacy policies and terms of service of Stripe and VersaPay. Please visit https://stripe.com/en-ca/privacy and https://www.versapay.com/terms to learn more about how your personal information is used and stored.
Locnest may offer flexible payment solutions that include annual, monthly or variable (a combination of an initial lump sum and monthly pro-rated amount for the remainder). Eligible Tenants will be provided with specific payment options through their Lease Guarantee application and acceptance.
LIMITATIONS OF LIABILITY
Specific Limits Applicable to Services
Locnest’s liability in connection with the Services is limited as follows:
Each Guarantee is limited to the amount set out therein, and it subject to various other limitations and conditions set for in the applicable Guarantee. Our current standard form of Guarantee is available at locnest.com/en/rdg_terms_and_conditions; however, Landlords and Tenants should refer to the actual Guarantee issued to them by Locnest, as Locnest may amend the terms and conditions of its standard form of Guarantees at any time (which will not affect Guarantees already issued) and terms and conditions applicable to individual Guarantees may differ.
Locnest’s Background Check is not a guarantee of a Tenant’s ability to pay rent and other amounts owing under a Lease. For further information about the limitations applicable to Background Check Reports, see the terms and conditions applicable to them at locnest.com/en/bic_terms_and_conditions.
In addition, Locnest’s liability for all Services is limited as follows:
IN NO EVENT WILL LOCNEST BE LIABLE FOR ANY CONSEQUENTIAL, INCIDENTAL, INDIRECT, SPECIAL, EXEMPLARY, OR PUNITIVE DAMAGES THAT A USER MAY HAVE INCURRED RESULTING FROM OR ARISING OUT OF THE SERVICES, INCLUDING BUT NOT LIMITED TO LOSS OF DATA, LOSS OF PROFITS, LOSS OF REVENUE, AND LOSS OF INFORMATION, REGARDLESS OF WHETHER OR NOT A CLAIM FOR LOSSES OR DAMAGES MAY BE BROUGHT IN CONTRACT, TORT, NEGLIGENCE, STRICT LIABILITY OR OTHERWISE, EVEN IF LOCNEST HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. FURTHERMORE, IN NO EVENT SHALL LOCNEST’S AGGREGATE LIABILITY TO ANY USER EXCEED: (A) IN RESPECT OF A BACKGROUND CHECK, THE FEE PAID BY THE USER FOR THE BACKGROUND CHECK, AND (B) IN RESPECT OF ANY GUARANTEE, THE MAXIMUM AMOUNT OF LOCNEST’S LIABILITY SET OUT IN THE PARTICULAR GUARANTEE.
Users agree to indemnify and save harmless Locnest and their respective officers, directors, and employees from and against all claims, demands, actions, suits, or other proceedings by whomsoever brought, and from all losses, costs, fines, levies, damages, expenses (including any legal fees and disbursements on a solicitor and client basis and any costs incurred in connection with the enforcement of this indemnity), taxes, penalties, and other liabilities whatsoever, directly or indirectly arising from or in connection with the Services, other than those specifically provided in a Guarantee that has been signed by Locnest. This indemnity shall survive the termination of User’s relationship with Locnest, or termination of Users Account access.
Locnest does not guarantee the value or scores, or any other information, set out in Reports. Locnest is not responsible for any loss or damage caused by or resulting from the failure of a score used to accurately predict the potential worthiness of an individual.
In particular, the Services are subject to the following disclaimers;
Users recognize that Locnest receives information included in Background Check Reports from third parties, which are independent parties and therefore outside of the control of Locnest. Locnest is not responsible for the contents incorporated within the Report whether correct or incorrect. Should a Report contain errors, Users have the right to raise a dispute through the third-party credit reporting agency themselves. Users agree to give up the right to raise such a dispute with Locnest and agree to hold Locnest harmless and not liable for such incorrect information.
Locnest’s Background Check Report should not be the sole basis for any decision. Landlords and other Users are advised to consider other factors that a reasonable decision-maker in a similar situation would take into account. It is recommended that Users not assume a result or finding based solely on a Locnest Background Check Report. Locnest does not represent that the Locnest Background Check Report is identical or similar to any other credit score, rating model or evaluation tool. The credit information contained in the credit report aspect of the Locnest Background Check Report is a reflection of the latest data available to third party credit reporting agency. Therefore, certain transactions or recent charges made that may affect the relevant credit score may not be made immediately available as a credit score is subject to change when new information is inputted as well as with the passage of time.
Locnest does not warrant that their services will be carried out without interruption or errors. If a Report contains incorrect scores, Locnest’s sole duty to the Landlord in such cases will be to obtain a new Report or, should the error be unresolvable, issue a partial or full refund to for the Report (at the discretion of Locnest).
Locnest is not responsible under any circumstances for carrying out any vetting process or other form of check on a Landlord.
Locnest is not responsible for any transaction between Tenant and Landlord or any unfavourable outcome that may arise.
Locnest does not make any representations, warranties or guarantees other than those expressly set out in these terms and conditions.
Locnest shall not be responsible for any non-performance, delay in performance or inadequate performance caused by conditions beyond its commercially reasonable control, including without limitation, any acts of a civil or military authority, state of war, acts of terrorism, riots, national emergency, strikes or other labour unrest, outbreaks of infectious diseases (including epidemics and pandemics), failure or interruption of utilities, failure of communication carriers, embargoes, fire, floods, any failure or interruption of services provided by third-party suppliers, or enactment of laws, regulations or other order of public authorities,
Binding on Assignment
Users may not assign any rights or obligations under these terms and conditions without the written consent of Locnest. Any attempted assignment, transfer, conveyance or other disposition without Locnest’s consent will be null and void. Locnest may assign its rights and obligations hereunder to any successor. These terms and conditions shall be binding upon Users and their heirs, beneficiaries, executors or estate trustees, or other personal representatives having authority to manage the property or affairs of a User, and all successors of any Landlord that is a corporation or other legal entity. For this purpose, “successor” includes, in respect of any User that is a corporation or other legal entity, any other corporation or other legal entity with which at any time, whether by purchase, merger, amalgamation or otherwise, directly or indirectly acquires all or substantially all of the assets or business of the User.
License for Use
Locnest grant Users a non-exclusive, non-transferable, revocable license to access Locnest Services. Users agree that they do not acquire or claim any title, or other right or license of ownership to any of Locnest’s copyrights, patent rights, trademarks and other intellectual property rights (collectively, “intellectual property rights”) by virtue of the rights granted under these terms and conditions or any other agreement that you may be party to involving us, or use of the Services. All Locnest intellectual property rights in the Services shall remain vested in Locnest. Users acknowledge and agree that they will not, at any time, act or not act in a way that adversely affects Locnest’s intellectual property rights (or any intellectual property rights of third parties licensing to Locnest).
Third Party Sites.
Locnest welcomes your questions or comments regarding these terms and conditions. If you believe that Locnest has not adhered to this Statement, please contact us at:
Telephone: 1-833-LOCNEST (562-6378)
9AM-5PM Monday-Friday (EST)