[maxhifi]

I think there is some confusion here. "two wire system" is being interpreted two ways, both of which are correct.

1. A "three wire service", is a 120/240V service. If you have a circuit breaker panel this is probably what you have. If you have an electric stove or dryer, this is definitely what you have. The "two wire service" which was 120V only, was a very simple service basically for lighting loads only, and it is very unlikely such a service would still be in existence. I haven't seen one since the 1980s and that was at a house which had been continuously occupied since the late 1930s... finding a two wire 120V service on a house these days is looking for a real antique.

2. "two wire receptacles" means receptacles without a third (grounding) prong. As previously mentioned, if someone at some time replaced the original two prong receptacles with three prong receptacles (as these are more commonly available), the third prong is connected to nothing and thus "floating".

I would imagine your friend is talking about scenario 2, so what to do about it?

1. With any "two prong" electronics this is an absolute non-issue

2. If you must, you can use a GFCI to connect three prong loads, it will detect any current to ground and perform the same job as a ground connection. The Canadian Electrical Code permits a GFCI to be used as a substitute for a ground connection in existing two wire installations - I am not sure if the NEC does or not, but it's a method to improve safety.

3. Add a ground connection to specific existing outlet. Get an appropriate length of #14 XLPE wire, and connect it from the third prong of the specific outlet being grounded back to a solid ground, such as the electrical panel enclosure, or a copper water pipe.

About wire nuts - my house was built in 1962 and all the "wire nuts" are just fine... wire nuts are fine anywhere except where there's vibration, if installed correctly. Push in terminals on receptacles though are just crap, I can't believe they ever got a UL/CSA approval