Consumer Rights Bill

Page 3, line 12, leave out “contract for which there is no consideration” and insert
“gratuitous contract”

Page 10, line 42, leave out “Chapter” and insert “Part”

Page 11, line 11, at end insert “, subject to subsections (19) and (20)”

Page 12, line 11, at end insert—

“(19)    Subsection (20) qualifies the rights mentioned in subsections (1) to (3)
where—

(a)   the contract is a severable contract,

(b)   in relation to the final right to reject, the contract is a contract for the
hire of goods, a hire-purchase agreement or a contract for transfer
of goods, and

(c)   section 26(3) does not apply.

(20)     The consumer is entitled, depending on the terms of the contract and the
circumstances of the case—

(a)   to reject the goods to which a severable obligation relates and treat
that obligation as at an end (so that the entitlement to a refund
relates only to what the consumer paid or transferred in relation to
that obligation), or

(b)   to exercise any of the rights mentioned in subsections (1) to (3) in
respect of the whole contract.”

Page 13, line 8, at end insert—

“(12)    Where section 20(20)(a) applies the reference in subsection (1) to the
consumer treating the contract as at an end is to be read as a reference to
the consumer treating the severable obligation as at an end.”

Page 26, line 31, at end insert—

“(7A)    It is not open to the consumer to treat the contract as at an end for breach
of a term to which any of subsections (2), (4) or (5) applies.”

Page 30, line 8, leave out “contract for which there is no consideration” and insert
“gratuitous contract”

Page 30, line 14, at end insert—

“(5A)    The power in subsection (5) includes power to provide that a provision of
this Chapter does not apply in relation to a service of a description
specified in the order in the circumstances so specified.”

Page 35, line 38, at end insert—

“(2)     References in this Part to treating a contract as at an end are to be read in
accordance with section 19(13).”

Page 61, line 9, leave out sub-paragraph (7) and insert—

“(7)     No order may be made under sub-paragraph (2) unless a draft of the
statutory instrument containing it has been laid before, and approved by
a resolution of, each House of Parliament.”

Page 72, line 8, at end insert—

“section (Enforcement of the duty)(1) of this Act.”

Page 73, leave out lines 8 to 11

Page 113, line 35, at end insert “so as to substitute a different charity for the one for
the time being specified in that subsection.”

Page 113, line 38, at end insert—

Page 124, line 15, leave out “47C(6)” and insert “47C(7)”

Page 128, line 40, at end insert—

“(ba)   after sub-paragraph (2) insert—

Page 129, line 30, leave out “47C(7)” and insert “47C(8)”

Insert the following new Schedule—

“SCHEDULE

DUTY OF LETTING AGENTS TO PUBLICISE FEES: FINANCIAL PENALTIES

Notice of intent

1   (1)     Before imposing a financial penalty on a letting agent for a breach of a
duty imposed by or under section 81, a local weights and measures
authority must serve a notice on the agent of its proposal to do so (a
“notice of intent”).

(2)     The notice of intent must be served before the end of the period of 6
months beginning with the first day on which the authority has
sufficient evidence of the agent’s breach, subject to sub-paragraph (3).

(3)     If the agent is in breach of the duty on that day, and the breach continues
beyond the end of that day, the notice of intent may be served—

(a)   at any time when the breach is continuing, or

(b)   within the period of 6 months beginning with the last day on
which the breach occurs.

(4)     The notice of intent must set out—

(a)   the amount of the proposed financial penalty,

(b)   the reasons for proposing to impose the penalty, and

(c)   information about the right to make representations under
paragraph 2.

Right to make representations

2      The letting agent may, within the period of 28 days beginning with the
day after that on which the notice of intent was sent, make written
representations to the local weights and measures authority about the
proposal to impose a financial penalty on the agent.

Final notice

3   (1)     After the end of the period mentioned in paragraph 2 the local weights
and measures authority must—

(a)   decide whether to impose a financial penalty on the letting agent,
and

(b)   if it decides to do so, decide the amount of the penalty.

(2)     If the authority decides to impose a financial penalty on the agent, it
must serve a notice on the agent (a “final notice”) imposing that penalty.

(3)     The final notice must require the penalty to be paid within the period of
28 days beginning with the day after that on which the notice was sent.

(4)     The final notice must set out—

(a)   the amount of the financial penalty,

(b)   the reasons for imposing the penalty,

(c)   information about how to pay the penalty,

(d)   the period for payment of the penalty,

(e)   information about rights of appeal, and

(f)   the consequences of failure to comply with the notice.

Withdrawal or amendment of notice

4   (1)     A local weights and measures authority may at any time—

(a)   withdraw a notice of intent or final notice, or

(b)   reduce the amount specified in a notice of intent or final notice.

(2)     The power in sub-paragraph (1) is to be exercised by giving notice in
writing to the letting agent on whom the notice was served.

Appeals

5   (1)     A letting agent on whom a final notice is served may appeal against that
notice to—

(a)   the First-tier Tribunal, in the case of a notice served by a local
weights and measures authority in England, or

(b)   the residential property tribunal, in the case of a notice served by
a local weights and measures authority in Wales.

(2)     The grounds for an appeal under this paragraph are that—

(a)   the decision to impose a financial penalty was based on an error
of fact,

(b)   the decision was wrong in law,

(c)   the amount of the financial penalty is unreasonable, or

(d)   the decision was unreasonable for any other reason.

(3)     An appeal under this paragraph to the residential property tribunal
must be brought within the period of 28 days beginning with the day
after that on which the final notice was sent.

(4)     If a letting agent appeals under this paragraph, the final notice is
suspended until the appeal is finally determined or withdrawn.

(5)     On an appeal under this paragraph the First-tier Tribunal or (as the case
may be) the residential property tribunal may quash, confirm or vary the
final notice.

(6)     The final notice may not be varied under sub-paragraph (5) so as to make
it impose a financial penalty of more than £5,000.

Recovery of financial penalty

6   (1)     This paragraph applies if a letting agent does not pay the whole or any
part of a financial penalty which, in accordance with this Schedule, the
agent is liable to pay.

(2)     The local weights and measures authority which imposed the financial
penalty may recover the penalty or part on the order of the county court
as if it were payable under an order of that court.

(3)     In proceedings before the county court for the recovery of a financial
penalty or part of a financial penalty, a certificate which is—

(a)   signed by the chief finance officer of the local weights and
measures authority which imposed the penalty, and

(b)   states that the amount due has not been received by a date
specified in the certificate,

is conclusive evidence of that fact.

(4)     A certificate to that effect and purporting to be so signed is to be treated
as being so signed unless the contrary is proved.

(5)     A local weights and measures authority may use the proceeds of a
financial penalty for the purposes of any of its functions (whether or not
the function is expressed to be a function of a local weights and measures
authority).

(6)     In this paragraph “chief finance officer” has the same meaning as in
section 5 of the Local Government and Housing Act 1989.”

Page 43, line 29, leave out “Secretary of State” and insert “appropriate national
authority”

Page 44, line 2, leave out “Secretary of State” and insert “appropriate national
authority”

Page 44, line 4, leave out “Secretary of State” and insert “appropriate national
authority”

Page 44, line 12, leave out “in England”

Page 44, line 13, leave out “in England”

Page 44, line 22, leave out “Secretary of State” and insert “appropriate national
authority”

Page 44, line 27, leave out “in England”

Page 44, line 29, leave out “in England”

Page 45, line 3, leave out “in England”

Insert the following new Clause—

“Enforcement of the duty

(1)     It is the duty of every local weights and measures authority in England and
Wales to enforce the provisions of this Chapter in its area.

(2)     If a letting agent breaches the duty in section 81(3) (duty to publish list of
fees on agent’s website), that breach is taken to have occurred in each area
of a local weights and measures authority in England and Wales in which
a dwelling-house to which the fees relate is located.

(3)     Where a local weights and measures authority in England and Wales is
satisfied on the balance of probabilities that a letting agent has breached a
duty imposed by or under section 81, the authority may impose a financial
penalty on the agent in respect of that breach.

(4)     A local weights and measures authority in England and Wales may impose
a penalty under this section in respect of a breach which occurs in England
and Wales but outside that authority’s area (as well as in respect of a breach
which occurs within that area).

(5)     But a local weight and measures authority in England and Wales may
impose a penalty in respect of a breach which occurs outside its area and in
the area of a local weights and measures authority in Wales only if it has
obtained the consent of that authority.

(6)     Only one penalty under this section may be imposed on the same letting
agent in respect of the same breach.

(7)     The amount of a financial penalty imposed under this section—

(a)   may be such as the authority imposing it determines, but

(b)   must not exceed £5,000.

(8)     Schedule (Duty of letting agents to publicise fees: financial penalties) (procedure
for and appeals against financial penalties) has effect.

(9)     A local weights and measures authority in England must have regard to
any guidance issued by the Secretary of State about—

(a)   compliance by letting agents with duties imposed by or under
section 81;

(b)   the exercise of its functions under this section or Schedule (Duty of
letting agents to publicise fees: financial penalties).

(10)     A local weights and measures authority in Wales must have regard to any
guidance issued by the Welsh Ministers about—

(a)   compliance by letting agents with duties imposed by or under
section 81;

(b)   the exercise of its functions under this section or Schedule (Duty of
letting agents to publicise fees: financial penalties).

(11)     The Secretary of State may by regulations made by statutory instrument—

(a)   amend any of the provisions of this section or Schedule (Duty of
letting agents to publicise fees: financial penalties) in their application in
relation to local weights and measures authorities in England;

(b)   make consequential amendments to Schedule 5 in its application in
relation to such authorities.

(12)     The Welsh Ministers may by regulations made by statutory instrument—

(a)   amend any of the provisions of this section or Schedule (Duty of
letting agents to publicise fees: financial penalties) in their application in
relation to local weights and measures authorities in Wales;

(b)   make consequential amendments to Schedule 5 in its application in
relation to such authorities.”

Baroness Neville-Rolfe gives notice of her intention to oppose the Question that Clause 85
stand part of the Bill.

Page 46, line 15, at end insert—

““the appropriate national authority” means—

(a)   in relation to England, the Secretary of State, and

(b)   in relation to Wales, the Welsh Ministers;”

Page 46, line 18, after “is” insert “—

(i)   ”

Page 46, line 18, at end insert—

“(ii)   a registered social landlord, or

(iii)   a fully mutual housing association,”

Page 46, line 21, at end insert—

““fully mutual housing association” has the same meaning as in Part
1 of the Housing Associations Act 1985 (see section 1(1) and (2) of
that Act);”

Page 46, line 32, at end insert—

““registered social landlord” means a body registered as a social
landlord under Chapter 1 of Part 1 of the Housing Act 1996;”

Page 46, line 37, leave out “in England”

Page 46, line 37, at end insert—

“(aa)   a county borough council,”

Page 47, line 4, leave out subsection (6) and insert—

“(6)     A statutory instrument containing (whether alone or with other provision)
regulations made by the Secretary of State under section (Enforcement of the
duty)(11) is not to be made unless a draft of the instrument has been laid
before, and approved by a resolution of, each House of Parliament.

(6A)    A statutory instrument containing (whether alone or with other provision)
regulations made by the Welsh Ministers under section (Enforcement of the
duty)(12) is not to be made unless a draft of the instrument has been laid
before, and approved by a resolution of, the National Assembly for Wales.”

Page 47, line 9, after “regulations” insert “made by the Secretary of State”

Page 47, line 11, at end insert—

“(7A)    A statutory instrument containing regulations made by the Welsh
Ministers under this Chapter other than one to which subsection (6A)
applies is subject to annulment in pursuance of a resolution of the National
Assembly for Wales.”

Page 47, line 28, leave out “or revokes” and insert “, revokes or otherwise modifies”

Page 47, line 32, leave out “or revoke” and insert “, revoke or otherwise modify”

Page 48, line 4, at end insert “other than the coming into force of Chapter 3 of this
Part in relation to Wales.

(2)     The Welsh Ministers may by order made by statutory instrument make
transitional, transitory or saving provision in connection with the coming
into force of Chapter 3 of this Part in relation to Wales.”

Page 48, line 14, at end insert—

“(2A)    Chapter 3 of this Part extends only to England and Wales.”

Page 48, line 18, leave out “This Chapter comes” and insert “The provisions of this
Act listed in subsection (1A) come”

Page 48, line 18, at end insert—

“(1A)    Those provisions are—

(a)   section 48(5) to (7),

(b)   Chapter 3 of this Part in so far as it confer powers to make
regulations,

(c)   section 86(5) to (9),

(d)   this Chapter, and

(e)   paragraph 12 of Schedule 5.

(1B)    Chapter 3 of this Part comes into force—

(a)   in relation to England, on such day as the Secretary of State may
appoint by order made by statutory instrument;

(b)   in relation to Wales, on such day as the Welsh Ministers may
appoint by order made by statutory instrument.”