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Consumer right act 2015

Are you one or the other, or both?

| Published on August 20, 2015

The Consumer Rights Act 2015

You are a consumer.  Your family members, colleagues and neighbours are all consumers.  Does your businesses trade with consumers?

Your business, along with everyone is likely to be affected by ‘the biggest shake up of consumer law for a generation’. It is effective from 1 October 2015.

The Consumer Rights Act 2015 will fundamentally change the relationship of provider and consumer in all areas of trade, services and supply.

Consumers and businesses will have clearer rights and responsibilities. These include:

  • consumers can challenge terms and conditions which are not fair or are in the small print;
  • 30 days to return faulty goods and get a full refund;
  • consumers can get money back after one failed repair or one faulty replacement even if more than 30 days have passed;
  • faulty digital content is now protected; and
  • substandard services must be redone or a price reduction made.
  • traders must provide information about Alternative Dispute Resolution (ADR).

Firms need to be considering the changes necessary to their terms and conditions now. These must  be amended before 1 October 2015.

ADR enables disputes to be settled outside of the court process.  ADR is intended to avoid lengthy and costly Court proceedings.

If your firm is obliged by law, or trade association, to use ADR (eg financial services firms have FoS) you must provide with the name and website address of that ADR provider.  This should appear on your website and in your terms and conditions.  All other firms must inform the consumer of an ADR provider if you are unable to settle a complaint.  ADR is not necessarily binding, unless you include this outcome in your terms and conditions.

Businesses that fail to comply may face action being taken by Trading Standards.  The Court can order you to comply with these Regulations, and impose an unlimited fine and/or up to two years imprisonment.

Seek legal advice on what we can do for your business in readiness for the change.

Please contact Martin Varley or Eni Dadaj at our Dorchester solicitors office on 01305 251007 or eni.dadaj@hklaw.eu. Alternatively, call or email your principal contact at Humphries Kirk.

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