Buying goods and services from genuine doorstep traders is useful for many consumers, but some have fallen prey to persuasion, false promises and poor business practices.
On October 1 2008, the Cancellation of Contracts Made in a Consumer’s Home or Place of Work etc Regulations 2008 came into force. These Regulations are aimed at those traders who enter into a contract with a consumer at their home, workplace or on an excursion arranged by the trader away from his normal business premise.
Key Facts:
- These Regulations replace the Cancellation of Contracts Concluded Away from Business Premises Regulations 1987;
- They cover contracts that are made during both solicited and unsolicited visits from traders where total payment due is more than £35;
- Consumers have a seven calendar day cooling off period and cancellation rights;
- The cooling off period starts on the day of receipt of a notice of the right to cancel from the trader;
- Cancellation rights should be provided at the time the contract was agreed and should be in writing (even if the contract is not);
- If you do not receive your cancellation rights in writing, the trader cannot hold you to the contract;
- Failure to provide a notice of cancellation rights is a criminal offence;
- If you agree to work starting or receiving goods before the cooling off period has expired, this will need to be recorded in writing. The trader must then include in the notice of the right to cancel that payment may be required if the consumer then cancels after work has begun or goods received;
- If you cancel the contract during the cooling off period and serve the trader with a cancellation notice, any related credit agreement is automatically cancelled.
For further advice or guidance on these Regulations, please see our advice leaflet (which can be found in the Advice and Guidance section of Trading Standards – for Consumers pages) or contact Consumer Direct on 08454 04 05 06.
There is a guide for businesses on this matter on the Department for Business Enterprise and Regulatory Reform (BERR)’s website – please follow the link on the right hand side of this page.