Southampton City Council fact sheet
Consumer Protection (Cancellation of Contracts concluded away from Business Premises) Regulations 1987 as amended
These regulations apply to any contract where a trader supplies goods or services costing over £35 to a consumer following a visit to their home. They require that the consumer must be given a seven day 'cooling off' period during which they can cancel the contract. Failure to supply a consumer with a cancellation notice would make the contract unenforceable and the trader would not then be legally entitled to any payment for the goods or services provided. It is a criminal offence not to supply a cancellation notice when required by these regulations
How are the cancellation rights given?
The notice informing the customer of their cancellation rights must be given in writing. It must include:
The trader's name
Relevant details that enable the contract to be identified. (eg proposed work with price, reference number)
The name and address of a person to whom the cancellation notice can be given or sent
A statement that the consumer has the right to cancel the contract if they wish by sending the cancellation notice to the person named on it
An example of a cancellation notice is included with these guidance notes.
What happens if a consumer cancels a contract?
If a trader has supplied the correct cancellation notice and the consumer then wishes to cancel, any money paid by the consumer must be returned. The consumer must restore any goods supplied to them by the trader unless they fall within the following categories:
perishable goods
goods which by their nature are consumed by use and which, before the cancellation, were so consumed
goods supplied to meet an emergency
goods which, before the cancellation, had become incorporated in any land or thing not comprised in the cancelled contract.
In these cases the customer cannot return the goods and so must pay a 'reasonable' amount for them.
What contracts are exempt from these regulations?
Agreements for goods or services costing £35 or less
Agreements relating to land, but not for repairs or improvements to existing property
Agreements for the supply of food, drink or other goods intended for current consumption in the household and supplied by regular roundsmen (eg daily milk and newspaper deliveries)
Some catalogue order agreements
Insurance agreements
Investment agreements
Contracts where the trader purchases goods from a consumer eg antique purchases
The leaflet has been prepared for the guidance of local traders. For the sake of brevity the information is not complete and may be subject to amendment from time to time. If you would like more advice or information, please contact the Trading standards service.
NOTICE OF CANCELLATION RIGHTS (EXAMPLE)
(The trader should complete the top half of this form. If the customer wishes to exercise his/her right to cancel the contract, the lower portion should be completed, detached and returned to the trader)
Name and address of trader:
Name and address of person to whom cancellation notice may be given (if different):
Customer/contract reference number (if applicable):
Description of work to be undertaken, with price
Customer cancellation rights
The customer has a right to cancel this contract if he/she wishes within 7 days following the day the contract was made. This should be done in writing or by completing the bottom half of this form and returning it to the above trader at the address shown. This can be done in person or by post.
If it is done by post, you are advised to obtain a certificate of posting from the post office or send the cancellation notice by recorded delivery. You should keep a photocopy of the cancellation notice before returning it to the trader.
......................................................................................................................................................................................
CUSTOMER CONTRACT CANCELLATION NOTICE
(complete, detach and return this portion of the form ONLY IF YOU WISH TO CANCEL THE CONTRACT)
Name and address of trader (or other person to whom cancellation notice can be sent, as shown in the top portion of this form)
Customer/contract number (if applicable):
I/we hereby give notice that I/we* wish to cancel my/our* contract
*delete as appropriate
Name and address of customer:
Customer signature: Date:
Contact Name
Last updated: 9 September 2009