Cancellation periods & enforceability. Nathan Webb discusses potential pitfalls for traders
- Traders and their advisers should ensure that contracts entered into with consumers incorporate the right to cancel.
- If the right to cancel is not notified, the customer will have a claim for breach of contract and it is possible that the trader may not be able to enforce the contract or claim in restitution for any work done or monies advanced under it.
A key innovation in consumer law in recent years has been the introduction of mandatory cancellation periods in consumer contracts. The current statutory provisions requiring notification of cancellation periods to consumers are detailed in the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 (SI 2013/3134) (the 2013 Regs), which implement the Consumer Rights Directive 2011. Unlike preceding regulations made in 1987 and 2008, the 2013 Regs are silent on the issue of enforceability of a consumer contract where information on cancellation periods is not provided.
This article will explore unenforceability in English law and specifically how it has been employed in consumer law and could potentially be applied
