The provincial government of Ontario is pushing for new legislation that would protect consumers from otherwise strict penalties when canceling cellular service early—before the end of a contract.

The Wireless Services Agreement Act, which is being tabled by Ontario's Liberal government, would require contracts to be easier to understand, require expressed consent for renewals or changes, and provide a reduction in cancellation fees for those planning to leave a contract early.

A member of the provincial parliament, David Orazietti, said the bill "contains measures that will reduce costs, cap cancellation fees, prevent automatic renewal and make cellphone contracts considerably more fair and transparent," according to a report by The Globe and Mail. How the government would enforce and implement these measures is thus far unclear.

In Canada, other provinces—including Manitoba and Newfoundland and Labrador—are close to introducing similar legislation.

Unlike the United States, where a typical cellular contact lasts for two years, Canadians are expected to commit to three years in order to purchase a comparably subsidized phone. If a user wishes to leave their contract early, carriers such as Rogers and Telus will divide the device discount—the subsidized amount—by the total number of months in a contract, and require this amount to be paid for every month remaining in the contract. This is in addition to a contract termination or service deactivation fee that varies between carriers.

But American users are no strangers to potentially exorbitant early termination fees (ETF) either. As reported by Ars two years ago, AT&T users currently face an ETF of $325, less $10 for each remaining month. Verizon's ETF, a $350 fee, works in a similar manner.