Trading Standards In West Sussex
Information for Traders
Distance Selling and E Commerce Regulations
The Consumer Protection (Distance Selling) Regulations 2000
These regulations relate to the protection of consumers in respect of distance contracts. They cover both goods and services, where the contract is made without any face to face contact between the supplier and consumer, i.e. sales by telephone, mail order, fax, digital TV or on the Internet.
The Electronic Commerce Directive (E.C.Directive) Regulations 2002
These regulations require some additional information relating to sales made via the Internet.
Many businesses already have terms and conditions, and web-sites or catalogues that meet these regulations, but all now need to check they comply.
The purpose of these regulations is to increase consumer confidence by providing an agreed level of consumer protection. The aim of the cooling off period is to give consumers an opportunity to examine the goods or services as they would when buying in a shop. The right to cancel is fundamental, however consumers do have a responsibility to take care of goods before returning them.
The provisions of the regulations cannot be varied in your dealings with consumers.
You are now required to:
1. Give consumers clear information about the goods or services offered
2. Send confirmation to the consumer of their purchase.
3. Give consumers a seven working day cooling off period (subject to certain exemptions)
1a) Clear information (all distance contracts)
Before consumers decide to purchase goods they must be given the following information:
the seller's name and, if they have to pay in advance, the sellers postal address
a description of the goods or services
the price including all taxes
delivery costs where they apply
arrangements for payment (e.g. cheque, credit card)
arrangements for delivery (normally within 30 days unless the contract says otherwise)
the right to cancel the order and whether you will be responsible for the cost of returning goods and
the cost of using the means of distance communication if at other than standard rate (e.g. premium rate calls)
for services, the minimum duration of the contract if the service will be provided over a period of time (for example, mobile phone contracts often specify a one-year minimum agreement)
How long the offer or the price remains valid.
1b) If selling over the Internet, in addition to the above, you are also required to give this
information on your web-site:
Your geographical address.
E mail address & VAT number
Different technical steps to follow to conclude the contract
Method of identifying and correcting input errors prior to placing of the order.
Languages offered for the conclusion of the contract
Supervisory authority (authorisation scheme) e.g. Financial Services Authority
Membership of any professional bodies (including references or link of that body) e.g. Chartered Institutes
Trade registration details (e.g. CORGI)
Any code of practice subscribed to (and how it can be accessed by electronic means)
If you provide terms and conditions of contract they must be able to be stored and reproduced by the consumer.
Telephone selling
If you use cold calling on the telephone to sell you goods or services, you must clearly identify at the beginning of the conversation the name of your company and the fact that you are selling something.
2) After you sell (all distance selling)
You must send written confirmation (by letter, e-mail, fax, etc.) of the order and include the information listed at 1a) above, unless this has already been provided in written form - such as in a catalogue or an advertisement. Only the last 3 items in the list 1a) above does not have to be confirmed in writing.
You must also provide written information on when and how consumers can cancel, a postal address where you can be contacted and details of any after-sales services and guarantees.
If a service agreement has no specified finish date or lasts more than one year, for example a telephone, gas or electricity supply contract, you must also send details about when and how the consumer can end the contract.
This information must be provided at the latest by the time that the goods are delivered or, in the case of services, before or soon after the start of the contract.
3) Cooling off period
If consumers change their mind
Consumers can change their minds at anytime up to the time they receive the goods.
The law then gives consumers seven working days to change their mind and cancel an order (and any related credit agreement). There are some exceptions.
If consumers decide to cancel they must inform you before the expiry of the time limits shown below. This should be in writing. The time limits are:
goods - seven working days after the day on which the consumer receives them
services - seven working days after the day on which you agreed to go ahead with the contract
If they have not been provided with the information relating to their right to a cooling-off period, the cancellation period will be longer.
Consumers are required to take care of the goods and either return them to the seller (or his/her representative) or make them available to be collected.
If consumers have paid in advance you are required to return their money within 30 days. You are not required to pay for the cost of consumers returning goods, as long as this was clear on the cancellation notice.
PLEASE NOTE THAT THESE RIGHTS ARE IN ADDITION TO THOSE RELATING TO THE SUPPLY OF FAULTY OR MISDESCRIBED GOODS.
In some cases you do not have to give consumers a cooling-off period.
Some special cases for which you are not required to give cancellation rights to consumers
Services provided within seven working days: if consumers agree that they want a service to begin before the end of the cooling-off period they will not be entitled to cancel once that service has started. But you must inform them in writing (e mail, letter, fax etc) before you make the contract that their right to cancel may be affected by agreeing to the commencement of the service within the cancellation period.
Goods made to consumers personal specifications
Goods which by reason of their nature cannot be returned or are liable to deteriorate rapidly (e.g. flowers or fresh foods)
Sealed audio or video recordings or computer software which have been opened
Newspapers, periodicals or magazines
Betting, gaming or lottery services
Failure to comply with these provisions may lead to action by Trading Standards or the Director General of Fair Trading.
The full regulations are available on HMSO web-site at:
http://www.hmso.gov.uk/si/si2000/20002334.htm
&
http://www.hmso.gov.uk/si/si2002/20022013.htm
Please Note
