Extended cancellation rights for consumer contracts - 26/08/2008

Following consultation by the Department for Business, Enterprise and Regulatory Reform (BERR), new regulations will extend the existing law on cooling-off periods and cancellation rights for consumers, and they will cover contracts made during both solicited visits and unsolicited visits, subject to certain limited exceptions.

From October, businesses will be required to provide the consumer with all of the following terms and conditions:

• a minimum cooling-off period of seven calendar days, starting with the date of receipt by the consumer of a notice of the right to cancel;
• the right within the cooling-off period to cancel a contract with a total payment value of more than £35; and
• cancellation rights clearly and prominently displayed in any written contract, or displayed in writing if there is no written contract.

Businesses should check now whether they will be affected by the new regulations, and ensure that their staff understand the new requirements, as changes may need to be made to sales contracts.

More information

• Read guidance on the BERR website

Related Resources

in the Muckle LLP Resource Centre

• Private company secretaries optional from April
• Increased penalties for late filing of company accounts
• Updated HSE guidance on provision and use of work equipment
• New provisions relating to directors' conflict of interest duties