Switching to Kobo from Sony

Howdy!

My dear Sony PRS-T1 is growing more cranky as the days pass. I've been satisfied with it's capabilities. It lets me read ebooks and I can borrow library books into it with ease. I use Calibre to deDRM the books I buy and sideload them and I have a lot of pd stuff from PG and the MR library. I'm looking for a new reader. Because I live in Canada, Kobos are easy to find and not stupid expensive. I've seen some other machines that look nice but they're priced in US dollars, so after conversion, they're pricey. So I'm pretty sure I'm going Kobo. So, a few questions:

I love the multiple dictionaries of the Sony and how easy it is to look up foreign words I might come across in a book. Does Kobo come with any foreign language dictionaries loaded or do I have to buy and load them separately? Or are there freeware versions? I've seen some discussion on MR about it.

Does Kobo play nice with ePubs that aren't purchased from Kobo?

How easy is it to borrow books from the public library? Can I do it directly from the reader? If anyone knows about the Toronto Public Library in particular, that would be great.

I'm leaning toward Kobo Libra H20. I want physical page turn buttons and 7 inches seems a good size. My Sony is 6 inches and that is nice. Is there really anything about the Kobo Forma that would justify the substantial price premium over the Libra H20. An extra inch of screen doesn't seem worth an extra $100 (or more).

Thank you for your advice.