How are the general rules enforced?

70 Enforcement of the law on unfair contract terms

(1) Schedule 3 confers functions on the Competition and Markets Authority and
other regulators in relation to the enforcement of this Part.

(2) 5For provision about the investigatory powers that are available to those
regulators for the purposes of that Schedule, see Schedule 5.

Supplementary provisions

71 Duty of court to consider fairness of term

(1) Subsection (2) applies to proceedings before a court which relate to a term of a
10consumer contract.

(2) The court must consider whether the term is fair even if none of the parties to
the proceedings has raised that issue or indicated that it intends to raise it.

(3) But subsection (2) does not apply unless the court considers that it has before
it sufficient legal and factual material to enable it to consider the fairness of the
15term.

72 Application of rules to secondary contracts

(1) This section applies if a term of a contract (“the secondary contract”) reduces
the rights or remedies or increases the obligations of a person under another
contract (“the main contract”).

(2) 20The term is subject to the provisions of this Part that would apply to the term
if it were in the main contract.

(3) It does not matter for the purposes of this section—

(a) whether the parties to the secondary contract are the same as the parties
to the main contract, or

(b) 25whether the secondary contract is a consumer contract.

(4) This section does not apply if the secondary contract is a settlement of a claim
arising under the main contract.

73 Disapplication of rules to mandatory terms and notices

(1) This Part does not apply to a term of a contract, or to a notice, to the extent that
30it reflects—

(a) mandatory statutory or regulatory provisions, or

(b) the provisions or principles of an international convention to which the
United Kingdom or the EU is a party.

(2) In subsection (1) “mandatory statutory or regulatory provisions” includes rules
35which, according to law, apply between the parties on the basis that no other
arrangements have been established.

74 Contracts applying law of non-EEA State

(1) If—

(a) the law of a country or territory other than an EEA State is chosen by
the parties to be applicable to a consumer contract, but

(b) 5the consumer contract has a close connection with the United Kingdom,

this Part applies despite that choice.

(2) For cases where the law applicable has not been chosen or the law of an EEA
State is chosen, see Regulation (EC) No. 593/2008 of the European Parliament
and of the Council of 17 June 2008 on the law applicable to contractual
10obligations.

75 Changes to other legislation

Schedule 4 (amendments consequential on this Part) has effect.

76 Interpretation of Part 2

(1) In this Part—

• 15“consumer contract” has the meaning given by section 61(3);

• “consumer notice” has the meaning given by section 61(7);

• “transparent” is to be construed in accordance with sections 64(3) and
  68(2).

(2) The following have the same meanings in this Part as they have in Part 1—

• 20“trader” (see section 2(2));

• “consumer” (see section 2(3));

• “goods” (see section 2(8));

• “digital content” (see section 2(9)).

(3) Section 2(4) (trader who claims an individual is not a consumer must prove it)
25applies in relation to this Part as it applies in relation to Part 1.

Part 3 Miscellaneous and General

CHAPTER 1 Enforcement etc.

77 Investigatory powers etc

(1) 30Schedule 5 (investigatory powers etc) has effect.

(2) Schedule 6 (investigatory powers: consequential amendments) has effect.

78 Amendment of weights and measures legislation regarding unwrapped bread

(1) In the Weights and Measures (Packaged Goods) Regulations 2006 (S.I. 2006/
659), Schedule 5 (application to bread) is amended in accordance with
35subsections (2) and (3).

(2) For paragraph 9 substitute—

“9 Regulation 9(1)(b)(ii) (duty to keep records) does not apply to bread
which is sold unwrapped or in open packs.”

(3) After paragraph 13 insert—

5“Transitional provision

14 (1) Regulation 9(1)(b)(ii) (duty to keep records) does not apply to a
packer who holds a notice of exemption which is in force.

(2) A “notice of exemption” means a notice issued under paragraph 9 as
it stood before section 78 of the Consumer Rights Act 2014 came into
10force.”

(4) The use of this Act to make amendments to the Weights and Measures
(Packaged Goods) Regulations 2006 has no effect on the availability of any
power in the Weights and Measures Act 1985 to amend or revoke those
Regulations, including the provision substituted by subsection (2) and that
15inserted by subsection (3).

(5) In the Weights and Measures (Packaged Goods) Regulations (Northern
Ireland) 2011 (SR 2011/331SR 2011/331), Schedule 5 (application to bread) is amended in
accordance with subsections (6) and (7).

(6) For paragraph 9 substitute—

“9 20Regulation 9(1)(b)(ii) (duty to keep records) does not apply to bread
which is sold unwrapped or in open packets.”

(7) After paragraph 13 insert—

“Transitional provision

14 (1) Regulation 9(1)(b)(ii) (duty to keep records) does not apply to a
25packer who holds a notice of exemption which is in force.

(2) A “notice of exemption” means a notice issued under paragraph 9 as
it stood before section 78 of the Consumer Rights Act 2014 came into
force.”

(8) The use of this Act to make amendments to the Weights and Measures
30(Packaged Goods) Regulations (Northern Ireland) 2011 has no effect on the
availability of any power in the Weights and Measures (Northern Ireland)
Order 1981 (SI 1981/231 (NI 10)SI 1981/231 (NI 10)) to amend or revoke those Regulations,
including the provision substituted by subsection (6) and that inserted by
subsection (7).

79 35Enterprise Act 2002: enhanced consumer measures and other enforcement

(1) Schedule 7 contains amendments of Part 8 of the Enterprise Act 2002
(enforcement of certain consumer legislation).

(2) The amendments have effect only in relation to conduct which occurs, or which
is likely to occur, after the commencement of this section.

CHAPTER 2 Competition

80 Private actions in competition law

Schedule 8 (private actions in competition law) has effect.

CHAPTER 3 Duty of letting agents to publicise fees

81 5Duty of letting agents to publicise fees

(1) A letting agent must, in accordance with this section, publicise details of the
agent’s relevant fees.

(2) The agent must display a list of the fees—

(a) at each of the agent’s premises at which the agent deals face-to-face
10with persons using or proposing to use services to which the fees relate,
and

(b) at a place in each of those premises at which the list is likely to be seen
by such persons.

(3) The agent must publish a list of the fees on the agent’s website (if it has a
15website).

(4) A list of fees displayed or published in accordance with subsection (2) or (3)
must include—

(a) a description of each fee that is sufficient to enable a person who is
liable to pay it to understand the service or cost that is covered by the
20fee or the purpose for which it is imposed (as the case may be),

(b) in the case of a fee which tenants are liable to pay, an indication of
whether the fee relates to each dwelling-house or each tenant under a
tenancy of the dwelling-house, and

(c) the amount of each fee inclusive of any applicable tax or, where the
25amount of a fee cannot reasonably be determined in advance, a
description of how that fee is calculated.

(5) The Secretary of State may by regulations specify—

(a) other ways in which a letting agent must publicise details of the
relevant fees charged by the agent;

(b) 30the details that must be given of fees publicised in that way.

82 Letting agents to which the duty applies

(1) In this Chapter “letting agent” means a person who engages in letting agency
work (whether or not that person engages in other work).

(2) A person is not a letting agent for the purposes of this Chapter if the person
35engages in letting agency work in the course of that person’s employment
under a contract of employment.

(3) A person is not a letting agent for the purposes of this Chapter if—

(a) the person is of a description specified in regulations made by the
Secretary of State;

(b) the person engages in work of a description specified in regulations
made by the Secretary of State.

83 5Fees to which the duty applies

(1) In this Chapter “relevant fees”, in relation to a letting agent, means the fees,
charges or penalties (however expressed) payable to the agent by a landlord or
tenant—

(a) in respect of letting agency work carried on by the agent,

(b) 10in respect of property management work carried on by the agent, or

(c) otherwise in connection with—

(i) an assured tenancy of a dwelling-house in England, or

(ii) a dwelling-house in England that is, has been or is proposed to
be let under an assured tenancy.

(2) 15Subsection (1) does not apply to—

(a) the rent payable to a landlord under a tenancy,

(b) any fees, charges or penalties which the letting agent receives from a
landlord under a tenancy on behalf of another person,

(c) a tenancy deposit within the meaning of section 212(8) of the Housing
20Act 2004, or

(d) any fees, charges or penalties of a description specified in regulations
made by the Secretary of State.

84 Letting agency work and property management work

(1) In this Chapter “letting agency work” means things done by a person in the
25course of a business in response to instructions received from—

(a) a person (“a prospective landlord”) seeking to find another person
wishing to rent a dwelling-house in England under an assured tenancy
and, having found such a person, to grant such a tenancy, or

(b) a person (“a prospective tenant”) seeking to find a dwelling-house in
30England to rent under an assured tenancy and, having found such a
dwelling-house, to obtain such a tenancy of it.

(2) But “letting agency work” does not include any of the following things when
done by a person who does nothing else within subsection (1)—

(a) publishing advertisements or disseminating information;

(b) 35providing a means by which a prospective landlord or a prospective
tenant can, in response to an advertisement or dissemination of
information, make direct contact with a prospective tenant or a
prospective landlord;

(c) providing a means by which a prospective landlord and a prospective
40tenant can communicate directly with each other.

(3) “Letting agency work” also does not include things done by a local authority.

(4) In this Chapter “property management work”, in relation to a letting agent,
means things done by the agent in the course of a business in response to
instructions received from another person where—

(a) that person wishes the agent to arrange services, repairs, maintenance,
improvements or insurance in respect of, or to deal with any other
aspect of the management of, premises in England on the person’s
behalf, and

(b) 5the premises consist of a dwelling-house let under an assured tenancy.

85 Enforcement of the duty

(1) The Secretary of State may by regulations—

(a) impose functions on a local authority in connection with the
enforcement of the duty in section 81;

(b) 10make provision for civil penalties to be imposed in respect of a breach
of that duty.

(2) Regulations under subsection (1)(b) may provide for the amount of a civil
penalty to be determined by the person imposing it, subject to subsection (3).

(3) The amount of a civil penalty that a person may impose by virtue of regulations
15under subsection (1)(b) may not exceed £5,000 for each breach of the duty in
section 81.

(4) The Secretary of State may by regulations amend the figure for the time being
specified in subsection (3).

(5) Regulations under subsection (1)(b) must make provision about the procedure
20for imposing a civil penalty and, in particular, must require a person imposing
a penalty to give the person on whom it is imposed a written notice stating—

(a) the amount of the penalty,

(b) the reasons for imposing it, and

(c) the date by which and manner in which it is to be paid.

(6) 25Regulations under subsection (1)(b)—

(a) may give a person on whom a civil penalty is imposed a right to request
a review of the decision to impose the penalty, and

(b) must give such a person a right to appeal against the decision to the
First-tier Tribunal.

(7) 30Regulations under subsection (1)(b) must, in particular, specify the grounds on
which a person may appeal against a decision to impose a civil penalty, which
must include the grounds—

(a) that the decision was based on an error of fact,

(b) that the decision was wrong in law, and

(c) 35that the decision was unreasonable (including that the amount of the
penalty is unreasonable).

(8) Regulations under subsection (1)(b) may, in particular—

(a) specify the time within which a person must request a review of, or
appeal against, a decision to impose a civil penalty;

(b) 40require a person to request a review before appealing;

(c) specify the grounds on which a person may request a review;

(d) make provision about the procedure for a review;

(e) make further provision about reviews and appeals (including
provision as to the powers available on a review or appeal).

(9) Regulations under subsection (1)(b) may make provision about the recovery of
a civil penalty, including—

(a) provision for the person by whom it is imposed to recover the penalty
as a civil debt;

(b) 5provision for the penalty to be recoverable, on the order of a court, as if
payable under a court order.

(10) Sums received by a local authority under regulations under this section may be
used by the authority for the purposes of any of its functions.

(11) A local authority on whom functions are conferred by regulations under this
10section must have regard to any guidance issued by the Secretary of State
about—

(a) compliance by letting agents with the duty in section 81;

(b) the exercise of those functions.

86 Supplementary provisions

(1) 15In this Chapter—

• “assured tenancy” means a tenancy which is an assured tenancy for the
  purposes of the Housing Act 1988 except where—

  (a)

  the landlord is a private registered provider of social housing,
  or

  (b)

  20the tenancy is a long lease;

• “dwelling-house” may be a house or part of a house;

• “landlord” includes a person who proposes to be a landlord under a
  tenancy and a person who has ceased to be a landlord under a tenancy
  because the tenancy has come to an end;

• 25“long lease” means a lease which—

  (a)

  is a long lease for the purposes of Chapter 1 of Part 1 of the
  Leasehold Reform, Housing and Urban Development Act 1993,
  or

  (b)

  in the case of a shared ownership lease (within the meaning
  30given by section 7(7) of that Act), would be a lease within
  paragraph (a) of this definition if the tenant’s total share (within
  the meaning given by that section) were 100%;

• “tenant” includes a person who proposes to be a tenant under a tenancy
  and a person who has ceased to be a tenant under a tenancy because the
  35tenancy has come to an end.

(2) In this Chapter “local authority” means—

(a) a county council in England,

(b) a district council,

(c) a London borough council,

(d) 40the Common Council of the City of London in its capacity as local
authority, or

(e) the Council of the Isles of Scilly.

(3) References in this Chapter to a tenancy include a proposed tenancy and a
tenancy that has come to an end.

(4) 45References in this Chapter to anything which is payable, or which a person is
liable to pay, to a letting agent include anything that the letting agent claims a

person is liable to pay, regardless of whether the person is in fact liable to pay
it.

(5) Regulations under this Chapter are to be made by statutory instrument.

(6) A statutory instrument containing (whether alone or with other provision)—

(a) 5the first regulations to be made under section 85(1)(b), or

(b) regulations under section 85(4),

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.

(7) A statutory instrument containing regulations under this Chapter other than
10one to which subsection (6) applies is subject to annulment in pursuance of a
resolution of either House of Parliament.

(8) Regulations under this Chapter—

(a) may make different provision for different purposes;

(b) may make provision generally or in relation to specific cases.

(9) 15Regulations under this Chapter may include incidental, supplementary,
consequential, transitional, transitory or saving provision.

CHAPTER 4 General

87 Power to make consequential provision

(1) The Secretary of State may by order made by statutory instrument make
20provision in consequence of this Act.

(2) The power conferred by subsection (1) includes power—

(a) to amend, repeal, revoke or otherwise modify any provision made by
an enactment or an instrument made under an enactment (including an
enactment passed or instrument made in the same Session as this Act);

(b) 25to make transitional, transitory or saving provision.

(3) A statutory instrument containing (whether alone or with other provision) an
order under this section which amends, repeals or revokes any provision of
primary legislation 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.

(4) 30A statutory instrument containing an order under this section which does not
amend, repeal or revoke any provision of primary legislation is subject to
annulment in pursuance of a resolution of either House of Parliament.

(5) In this section—

• “enactment” includes an Act of the Scottish Parliament, a Measure or Act
  35of the National Assembly for Wales and Northern Ireland legislation;

• “primary legislation” means—

  (a)

  an Act of Parliament,

  (b)

  an Act of the Scottish Parliament,

  (c)

  a Measure or Act of the National Assembly for Wales, and

  (d)

  40Northern Ireland legislation.

88 Power to make transitional, transitory and saving provision

The Secretary of State may by order made by statutory instrument make
transitional, transitory or saving provision in connection with the coming into
force of any provision of this Act.

89 5Financial provision

There is to be paid out of money provided by Parliament—

(a) any expenses incurred by a Minister of the Crown or a government
department under this Act, and

(b) any increase attributable to this Act in the sums payable under any
10other Act out of money so provided.

90 Extent

(1) The amendment, repeal or revocation of any provision by this Act has the same
extent as the provision concerned.

(2) Section 27 extends only to Scotland.

(3) 15Subject to that this Act extends to England and Wales, Scotland and Northern
Ireland.

91 Commencement

(1) This Chapter comes into force on the day on which this Act is passed.

(2) The other provisions of this Act come into force on such day as the Secretary of
20State may appoint by order made by statutory instrument.

(3) An order under this section may appoint different days for different purposes.

92 Short title

This Act may be cited as the Consumer Rights Act 2014.

SCHEDULES

Section 60

SCHEDULE 1 Amendments consequential on Part 1

Supply of Goods (Implied Terms) Act 1973 (c. 13)Supply of Goods (Implied Terms) Act 1973 (c. 13)

1 5The Supply of Goods (Implied Terms) Act 1973 is amended as follows.

2 For “hire-purchase agreement” (or “hire purchase agreement”) in each place,
except in section 15(1), substitute “relevant hire-purchase agreement”.

3 (1) Section 10 (implied undertakings as to quality or fitness) is amended as
follows.

(2) 10Omit subsections (2D) to (2F).

(3) Omit subsection (8).

4 (1) Section 11A (modification of remedies for breach of statutory condition in
non-consumer cases) is amended as follows.

(2) In subsection (1) omit “then, if the person to whom the goods are bailed does
15not deal as consumer,”.

(3) In subsection (3), for paragraph (b) substitute—

“(b) that the agreement was a relevant hire-purchase agreement.”

(4) Omit subsection (4).

5 In section 12A (remedies for breach of hire-purchase agreement as respects
20Scotland) omit subsections (2) and (3).

6 Omit section 14 (special provision as to conditional sale agreements).

7 (1) Section 15 (supplementary) is amended as follows.

(2) In subsection (1)—

(a) in the definition of “hire-purchase agreement” at the end insert—

• 25“and a hire-purchase agreement is relevant if it is not
  a contract to which Chapter 2 of Part 1 of the
  Consumer Rights Act 2014 applies;”, and

(b) omit the definition of “producer”.

(3) Omit subsection (3).

30Sale of Goods Act 1979 (c. 54)Sale of Goods Act 1979 (c. 54)

8 The Sale of Goods Act 1979 is amended as follows.