Consumer Rights Bill

Insert the following new Clause—

“Consumer credit: bill of sale

(1)     Where a person is a purchaser of goods subject to a bill of sale, made in
connection with a regulated agreement under the Consumer Credit Act
1974, in good faith and without notice of the bill of sale, title to those goods
shall pass to that person.

(2)     A creditor is not entitled to enforce a bill of sale made in connection with a
regulated agreement by recovering possession of the goods except through
an order of the court.

(3)     If goods are recovered by the creditor in contravention of subsection (2)—

(a)   the bill of sale will be treated as invalidly made; and

(b)   the debtor shall be released from any outstanding liability under
the regulated agreement.

(4)     If the creditor has disposed of goods taken in contravention of subsection
(2), the debtor shall be compensated to the value of those goods.”

Page 11, line 13, at end insert “, subject to subsections (19) and (20)”

Page 11, line 23, at end insert—

“(7A)    Whether or not the consumer has a duty to return the rejected goods, the
trader must bear any reasonable costs of returning them, other than any
costs incurred by the consumer in returning the goods in person to the
place where the consumer took physical possession of them.”

Page 12, line 14, at end insert—

“(19)    Subsection (20) qualifies the application in relation to England and Wales
and Northern Ireland of 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 12, line 40, at end insert—

“(7A)    Whether or not the consumer has a duty to return the rejected goods, the
trader must bear any reasonable costs of returning them, other than any
costs incurred by the consumer in returning those goods in person to the
place where the consumer took physical possession of them.”

Page 13, line 11, 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 14, line 36, after “Chapter” insert “—

(a)   ”

Page 14, line 37, at end insert “, and

(b)   “one repair” in relation to goods that do not conform to a contract,
means a process of repair which, depending on the nature and
complexity of the goods and/or the lack of conformity, may require
the consumer to make the goods available to the trader on more
than one occasion.

(9)     Where the process of repair described in subsection (8) requires the
consumer to make the goods available to the trader on more than one
occasion, the trader must complete the process of repair within a time
period starting from the second occasion on which the consumer makes the
goods available to the trader, such time period to be specified by order
made by the Secretary of State by statutory instrument.”

Page 15, line 40, leave out paragraph (a)

Page 15, line 40, leave out paragraphs (a) and (b) and insert—

“(a)   the goods consist of a motor vehicle, or

(b)   the goods are of a description specified by order made by the
Secretary of State by statutory instrument.”

Page 15, line 45, leave out subsection (11)

Page 16, line 12, at end insert—

“(13)    In subsection (10)(a) “motor vehicle”—

(a)   in relation to Great Britain, has the same meaning as in the Road
Traffic Act 1988 (see sections 185 to 194 of that Act);

(b)   in relation to Northern Ireland, has the same meaning as in the
Road Traffic (Northern Ireland) Order 1995 (SI 1995/2994 (NI 18))
(see Parts I and V of that Order).

(14)     But a vehicle is not a motor vehicle for the purposes of subsection (10)(a) if
it is constructed or adapted—

(a)   for the use of a person suffering from some physical defect or
disability, and

(b)   so that it may only be used by one such person at any one time.

(15)     An order under subsection (10)(b)—

(a)   may be made only if the Secretary of State is satisfied that it is
appropriate to do so because of significant detriment caused to
traders as a result of the application of subsection (10) in relation to
goods of the description specified by the order;

(b)   may contain transitional or transitory provision or savings.

(16)     No order may be made under subsection (10)(b) unless a draft of the
statutory instrument containing it has been laid before, and approved by a
resolution of, each House of Parliament.”

Insert the following new Clause—

“Secondary ticketing platforms: seller profiles and ticket information

(1)     Secondary ticketing operators must, on the website on which tickets are
offered for sale or transfer, provide information concerning the sellers of
tickets so that sellers may be easily identified.

(2)     Information provided by virtue of subsection (1) must include, but is not
limited to—

(a)   the name of the seller;

(b)   if the seller is an undertaking, its registered number, jurisdiction of
registration, registered office address, and if registered outside the
United Kingdom, a valid address for service; and

(c)   the VAT registration number of the seller, if applicable.

(3)     Information provided under subsection (1) must be—

(a)   accurate; and

(b)   prominently displayed before a buyer is able to complete the
purchase of the ticket.

(4)     Secondary ticketing operators must disclose clearly and prominently
where the seller of a ticket is—

(a)   the secondary ticketing platform or a subsidiary undertaking or
parent undertaking of the secondary ticketing platform;

(b)   a person or persons employed or engaged by the secondary
ticketing platform;

(c)   other persons connected to employees, directors or shareholders of
the secondary ticketing platform, or any of its subsidiary
undertakings or parent undertakings;

(d)   the event organiser or an agent acting on its behalf;

(e)   any other party connected to the organisation of the event.

(5)     Where a ticket is offered for sale or transfer through a secondary ticketing
platform—

(a)   the seller must provide all relevant information about the ticket;

(b)   the secondary ticketing operator must publish all relevant
information about a ticket in a prominent and clear manner; and

(c)   the secondary ticket operator must immediately remove the ticket
from sale when it is informed by the event organiser that the
information provided is inaccurate or incomplete.

(6)     Information to be provided by the seller and published by the secondary
ticketing operator for the purposes of subsection (1) must include, without
limitation—

(a)   the face value of the ticket;

(b)   any age or other restrictions on the user of the ticket;

(c)   the designated location of the ticket including the stand, the block,
the row and the seat number of the ticket, where applicable; and

(d)   the ticket booking identification or reference number.

(7)     Where tickets are being resold in contravention of the terms and conditions
agreed to by the original purchaser, this must be stated prominently by the
secondary ticketing platform at every stage of the purchasing process.

(8)     Information provided by virtue of this section must be—

(a)   accurate; and

(b)   prominently displayed before a buyer is able to complete the
purchase of that ticket.

(9)     For the purposes of this section—

“secondary ticketing platform” means an internet-based facility for
the resale of tickets to events in the United Kingdom of Great
Britain and Northern Ireland, regardless of the jurisdiction in which
the owner of the service is registered;

“secondary ticketing operator” means, in relation to a secondary
ticketing platform, the person (whether incorporated or not)
operating that secondary ticketing platform;

“ticket” means anything which purports to be a ticket, including any
item, tangible or intangible, which grants the holder the right to
entry to an event;

“event” means any sporting, music or cultural activity taking place at
a specified time and place for which tickets are issued and required
for entry or attendance;

“event organiser” means the person responsible for organising and
holding an event and receiving the revenue from the event;

the term “undertaking” has the meanings given in section 1161 of the
Companies Act 2006 (meaning of “undertaking” and related
expressions);

the terms “subsidiary undertaking” and “parent undertaking” have
the meanings given in section 1162 of the Companies Act 2006
(parent and subsidiary undertakings);

the term “person” refers to a natural person or a body corporate.

(10)     This section will come into force no later than six months after this Act is
passed.”

Insert the following new Clause—

“Goods sold under hire-purchase agreements and conditional sales contracts

(1)     This section applies to a contract under which a consumer purchases goods
from a trader under—

(a)   a hire-purchase agreement (as defined in section 7), or

(b)   a conditional sales contract (as defined in section 5(3)).

(2)     The trader—

(a)   must provide information and adequate explanations to the
consumer before a contract is made, which would allow the
consumer to compare the total sum that he or she would pay under
that contract and a representative retail price for the goods;

(b)   must not require the consumer to purchase an insurance policy
which is sold or brokered by the trader as a condition of entering
into a contract.

(3)     Within 12 months of the passing of this Act, the Secretary of State shall
create regulations by statutory instrument—

(a)   to specify steps that a trader must take before taking action to
enforce rights under a contract or to take possession of the goods;

(b)   to specify steps that a trader must take before a contract is made to
ensure that that contract is affordable and appropriate for the
consumer.”

Insert the following new Clause—

“Product safety and recall

(1)     The General Product Safety Regulations 2005 (SI 2005/1803) are amended
as follows.

(2)     In regulation 9 (obligations of producers and distributors), after paragraph
(3)(d) insert—

(3)     In regulation 32 (reports), after paragraph (5), insert—

(4)     In regulation 33(3) (duty to notify Secretary of State and Commission)—

(a)   after “specifying the reason for taking it” insert “, and shall publish
such measure, and the reasons for taking it, on his department’s
website”,

(b)   after “of any modification or lifting of such a measure” insert “and
shall publish any such modification or lifting immediately on his
department’s website”.

(5)     In regulation 33(5)—

(a)   after “the Secretary of State shall immediately” insert “publish such
measure or action on his department’s website and”,

(b)   after “of any modification or withdrawal of any such measure or
action” insert “and shall publish any such modification or
withdrawal immediately on his department’s website”.

(6)     In regulation 39 (information)—

(a)   in paragraph (1), for “shall in general make available to the public
such information as is available to it on the following matters
relating to the risks to consumer health and safety posed by a
product” substitute “which has received a notification under
regulation 9(1) shall immediately publish on its website in respect
of the product”,

(b)   after paragraph (1)(b), insert—

(c)   in paragraph (1), for “and the measures taken” substitute “and the
measures or action taken, whether on a compulsory or voluntary
basis,”.”

Page 21, line 40, at end insert—

“( )     Digital content as defined under section 2(9) shall carry the same rights as
goods under this Act.”

Page 22, line 29, at end insert—

“( )     For the purposes of subsection (2), a reasonable person shall be taken to be
aware that certain types of digital content commonly include minor defects
which do not have an adverse effect on functionality.”

Page 23, line 35, at end insert—

“( )     The trader shall not be taken to be in breach of subsection (3) merely
because the digital content includes minor defects which do not have an
adverse effect on functionality.”

Page 24, line 4, at end insert—

“( )     The trader shall not be taken to be in breach of subsection (1) merely
because the digital content includes minor defects which do not have an
adverse effect on functionality unless the digital content has been described
by the trader as being free of defects.”

Page 25, line 37, at end insert—

“(1A)    Subsection (1)(c) does not prevent the trader from improving the features
of, or adding new features to, the digital content, as long as—

(a)   the digital content continues to match the description of it given by
the trader to the consumer, and

(b)   the digital content continues to conform to the information
provided by the trader as mentioned in subsection (3) of section 36,
subject to any change to that information that has been agreed in
accordance with subsection (4) of that section.”

Page 25, line 39, leave out “those sections as applied by subsection (1)” and insert
“the sections listed in subsection (1) as applied by that subsection”

Page 29, line 36, at end insert “or”

Page 29, line 37, leave out from “content)” to end of line 38

Page 29, line 42, leave out “that subsection” and insert “subsection (1)”

Page 30, line 11, at end insert—

“(6)     For provision limiting the ability of a trader under a contract within section 46 to exclude or restrict the trader’s liability under that section, see section 62.”

Page 30, line 36, at end insert—

“( )     In every contract to supply a service, traders who are ring-fenced bodies
providing financial services as defined under section 142A of the Financial
Services and Markets Act 2000 (ring-fenced body) shall be subject to—

(a)   a fiduciary duty towards its consumers in the operation of core
services to provide these with reasonable care and skill as well as in
the management of any individual contract to provide services; and

(b)   a duty of care towards consumers across the financial services
sector.”

Page 33, line 4, at end insert—

“(1A)    Where the quality of the service can be reasonably considered to lead to a
risk to the personal safety of the consumer, the consumer has a right to
refuse a repeat performance, and exercise their right to a price reduction
under section 56.

(1B)    Any action taken under subsection (1A) will not prevent the consumer
from seeking other remedies or further compensation for the consequences
of this installation.”

Insert the following new Clause—

“Display of point of sale information about rights

(1)     Suppliers of goods and services to which this Part applies shall be required
to display at the point of sale essential information in plain and intelligible
language and in a reasonable format which explains to customers the
relevant rights and responsibilities of consumers under this Part.

(2)     This information shall be proportionate to the transaction.

(3)     The detail shall be developed by the British Standards Institution.”

Page 58, line 2, at end insert—

“20A   (1)  A term which has the object or effect of permitting a trader engaged in
the provision of fixed broadband internet access or mobile internet
services to block, restrict or otherwise hinder the access of a consumer to
any lawful electronic communications network or electronic
communications service on the basis of an unreasonable or unusual
definition of “internet access”, “data”, “webaccess” or similar word or
phrase.

(2)     Nothing in this prohibition shall affect filters for the purpose of child
protection.

(3)     “Electronic communications network” or “electronic communications
service” shall have the same meaning as provided in section 32 of the
Communications Act 2003.”

Insert the following new Clause—

“Consumer regulators

(1)     This section applies to the regulators which are involved in protecting
consumers (“consumer regulators”).

(2)     It shall be the duty of the consumer regulators to uphold the rights of
consumers under this Act.

(3)     In exercising their functions, consumer regulators shall have regard to the
desirability of—

(a)   upholding accurate, plain and intelligible information for
consumers about goods and services;

(b)   promoting—

(i)   fair and reasonable practices in the selling of goods and
services;

(ii)   fair and reasonable pricing of goods and services;

(iii)   the inclusion of comprehensive information on goods and
services in contract;

(iv)   quick and fair means for consumers to make complaints and
have disputes resolved.

(4)     Consumer regulators shall have a duty to consider whether a proportion of
any fines levied for breaches of rights under this Act shall be used to
compensate consumers.”

Page 81, line 14, leave out sub-paragraphs (3) to (11)

Page 81, line 14, at beginning insert “In the case of a routine inspection,”

Page 81, line 14, leave out “that sub-paragraph” and insert “sub-paragraph (1)”

Page 81, line 24, at end insert—

“(5A)    In this paragraph “routine inspection” means an exercise of the power in
sub-paragraph (1) other than where—”

Page 81, line 25, leave out “of entry is to be” and insert “is”

Page 81, line 26, leave out “and the officer” and insert “who”

Page 81, line 29, leave out “this paragraph” and insert “sub-paragraph (3)”

Page 81, line 31, leave out “this paragraph” and insert “that sub-paragraph”

Page 81, line 38, leave out “a notice is not given, and the officer” and insert “an
officer of an enforcer enters premises under sub-paragraph (1) otherwise in the
course of a routine inspection, and”

Page 81, line 43, leave out from beginning to “finds” and insert “If an officer of an
enforcer enters premises under sub-paragraph (1) and”

Insert the following new Clause—

“Contravention of code regulating premium rate services

(1)     In section 120(3) of the Communications Act 2003 (conditions under section
120 must require compliance with directions given in accordance with an
approved code or with an order under section 122) before paragraph (a)
insert—

(2)     In section 121(5) of that Act (provision about enforcement that may be
made by approved code) after paragraph (a) insert—

(3)     Section 123 of that Act (enforcement by OFCOM of conditions under
section 120) is amended as follows.

(4)     After subsection (1) insert—

(5)     In subsection (2) (maximum amount of penalty) for “the penalty” substitute
“each penalty”.”

Page 120, line 38, at end insert—

Page 120, line 40, at end insert—

Insert the following new Clause—

“Insurance cover for money received or held by lettings agents in the course of
business

(1)     Subject to the provisions of this section, a person may not accept money
from another person (“T”) in the course of lettings agency work unless
there are in force authorised arrangements under which, in the event of his
failing to account for such money to the person entitled to it, his liability
will be made good by another.

(2)     In this section T is any person who seeks residential accommodation which
is to let or who has a tenancy of, or other right or permission to occupy,
residential premises; and a “relevant payment” means any sum of money
which is received from T in the circumstances described in subsection (1).

(3)     In this section “lettings agency work” has the same meaning as in section
83 of the Enterprise and Regulatory Reform Act 2013 (redress schemes:
lettings agency work) and a “lettings agent” is a person who engages in
lettings agency work.

(4)     The Secretary of State may by regulations made by statutory instrument,
which shall be subject to annulment in pursuance of a resolution of either
House of Parliament—

(a)   specify any persons or classes of persons to whom subsection (1)
does not apply;

(b)   specify arrangements which are authorised for the purposes of this
section including arrangements to which an enforcement authority
nominated for the purpose by the Secretary of State or any other
person so nominated is a party;

(c)   specify the terms and conditions upon which any payment is to be
made under such arrangements and any circumstances in which
the right to any such payment may be excluded or modified;

(d)   provide that any limit on any such payment is to be not less than a
specified amount; and

(e)   require a person providing authorised arrangements covering any
person carrying on lettings agency work to issue a certificate in a
form specified in the regulations certifying that arrangements
complying with the regulations have been made with respect to
that person.

(5)     Every guarantee entered into by a person (in this subsection referred to as
“the insurer”) who provides authorised arrangements covering a lettings
agent shall insure for the benefit of every person from whom the lettings
agent has received a relevant payment as if—

(a)   the guarantee were contained in a contract made by the insurer
with every such person;

(b)   except in Scotland, that contract were under seal; and

(c)   where the guarantee is given by two or more insurers, they have
bound themselves jointly and severally.”

Insert the following new Clause—

Qualifying institutions for the purposes of the student complaints scheme

(1)     The Higher Education Act 2004 is amended as follows.

(2)     In section 11 (qualifying institutions for the purposes of the student
complaints scheme) after paragraph (d) insert—

(3)     In section 12 (qualifying complaints for the purposes of the student
complaints scheme)—

(a)   in subsection (1) for “subsection (2)” substitute “subsections (2) and
(3)”, and

(b)   after subsection (2) insert—

Insert the following new Clause—

“Service contracts relating to students: complaints

In cases where there is a contract under Chapter 4 of Part 1 to supply a
service between a student (as the consumer) and an institution (as the
trader), the following are qualifying institutions for the purposes of Part 2
of the Higher Education Act 2004, insofar as any complaint under the
provisions of the 2004 Act relates to that service contract—

(a)   an institution granted specific course designation by the Secretary
of State pursuant to regulation 5 of the Education (Student Support)
Regulations 2011 (SI 2011/1986) and section 22(1) of the Teaching
and Higher Education Act 1998; and

(b)   an institution granted degree awarding powers under section 76 of
the Further and Higher Education Act 1992.”

Insert the following new Clause—

“High-cost short-term consumer credit market regulations

(1)     Within six months of the passing of this Act, the Secretary of State must by
regulations made by statutory instrument direct a designated body to
prohibit public communications, including promotional material and any
promotional activities, which concern a high cost consumer credit service
from targeting people below the age of 18, including by regulating the
content and timing of such communications with a view to protecting
children and other vulnerable persons from harm or exploitation.

(2)     In subsection (1), “designated body” means a body specified by the
Secretary of State in regulations made under that subsection.

(3)     A statutory instrument containing regulations under subsection (1) may
not be made unless a draft of the instrument has been laid before and
approved by a resolution of each House of Parliament.”

Insert the following new Clause—

“High-cost short-term credit: unsolicited marketing

(1)     Within six months of the passing of this Act, the Secretary of State must
make regulations made by statutory instrument to prevent the sale of high-
cost short-term credit through unsolicited marketing calls.

(2)     A statutory instrument containing regulations under subsection (1) may
not be made unless a draft of the instrument has been laid before and
approved by a resolution of each House of Parliament.”

Insert the following new Clause—

“Communications services: change of service provider

In section 3 of the Communications Act 2003 (general duties of OFCOM),
after subsection (2)(f) insert—

Insert the following new Clause—

“Obligations on suppliers of utilities

(1)     This section applies to suppliers of electricity, gas, water, sewage systems,
telephony (including mobile telephony), internet connections and
analogous utilities (“utilities suppliers”) and consumers of those utilities.

(2)     At the consumer’s request, which can be done by any means at any time,
including at the time of signature of the contract, forthcoming bills shall be
sent to that consumer in paper format free of charge instead of the digital
version proposed by the utilities suppliers.

(3)     If the request is introduced when the contract has already started, it will be
taken into account within 10 working days after the date of request.

(4)     This section applies equally to those who wish to pay by cheque.

(5)     In this section, “cheque” has the meaning given in the Bills of Exchange Act
1882.”

Page 48, line 12, at end insert “or 3A”

Page 48, line 16, after “3” insert “or 3A”

Page 48, line 39, leave out “Chapter 3 of this Part comes” and insert “Chapters 3 and
3A of this Part come”