Consumer Rights Bill (HL Bill 64)
PART 1 continued CHAPTER 2 continued
Consumer Rights BillPage 10
with the day on which the goods were delivered to the consumer must be taken
not to have conformed to it on that day.
(15) Subsection (14) does not apply if—
(a)
it is established that the goods did conform to the contract on that day,
5or
(b)
its application is incompatible with the nature of the goods or with how
they fail to conform to the contract.
20 Right to reject
(1) The short-term right to reject is subject to section 22.
(2) 10The final right to reject is subject to section 24.
(3) The right to reject under section 19(6) is not limited by those sections.
(4)
Each of these rights entitles the consumer to reject the goods and treat the
contract as at an end, subject to subsections (20) and (21).
(5)
The right is exercised if the consumer indicates to the trader that the consumer
15is rejecting the goods and treating the contract as at an end.
(6)
The indication may be something the consumer says or does, but it must be
clear enough to be understood by the trader.
(7) From the time when the right is exercised—
(a)
the trader has a duty to give the consumer a refund, subject to
20subsection (18), and
(b)
the consumer has a duty to make the goods available for collection by
the trader or (if there is an agreement for the consumer to return
rejected goods) to return them as agreed.
(8)
Whether or not the consumer has a duty to return the rejected goods, the trader
25must 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.
(9) The consumer’s entitlement to receive a refund works as follows.
(10)
To the extent that the consumer paid money under the contract, the consumer
30is entitled to receive back the same amount of money.
(11)
To the extent that the consumer transferred anything else under the contract,
the consumer is entitled to receive back the same amount of what the consumer
transferred, unless subsection (12) applies.
(12)
To the extent that the consumer transferred under the contract something for
35which the same amount of the same thing cannot be substituted, the consumer
is entitled to receive back in its original state whatever the consumer
transferred.
(13)
If the contract is for the hire of goods, the entitlement to a refund extends only
to anything paid or otherwise transferred for a period of hire that the consumer
40does not get because the contract is treated as at an end.
(14)
If the contract is a hire-purchase agreement or a conditional sales contract and
the contract is treated as at an end before the whole of the price has been paid,
the entitlement to a refund extends only to the part of the price paid.
Consumer Rights BillPage 11
(15)
A refund under this section must be given without undue delay, and in any
event within 14 days beginning with the day on which the trader agrees that
the consumer is entitled to a refund.
(16)
If the consumer paid money under the contract, the trader must give the refund
5using the same means of payment as the consumer used, unless the consumer
expressly agrees otherwise.
(17) The trader must not impose any fee on the consumer in respect of the refund.
(18) There is no entitlement to receive a refund—
(a) if none of subsections (10) to (12) applies,
(b)
10to the extent that anything to which subsection (12) applies cannot be
given back in its original state, or
(c)
where subsection (13) applies, to the extent that anything the consumer
transferred under the contract cannot be divided so as to give back only
the amount, or part of the amount, to which the consumer is entitled.
(19)
15It may be open to a consumer to claim damages where there is no entitlement
to receive a refund, or because of the limits of the entitlement, or instead of a
refund.
(20)
Subsection (21) qualifies the application in relation to England and Wales and
Northern Ireland of the rights mentioned in subsections (1) to (3) where—
(a) 20the 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.
(21)
25The 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),
30or
(b)
to exercise any of the rights mentioned in subsections (1) to (3) in
respect of the whole contract.
21 Partial rejection of goods
(1)
If the consumer has any of the rights mentioned in section 20(1) to (3), but does
35not reject all of the goods and treat the contract as at an end, the consumer—
(a)
may reject some or all of the goods that do not conform to the contract,
but
(b) may not reject any goods that do conform to the contract.
(2)
If the consumer is entitled to reject the goods in an instalment, but does not
40reject all of those goods, the consumer—
(a)
may reject some or all of the goods in the instalment that do not
conform to the contract, but
(b)
may not reject any goods in the instalment that do conform to the
contract.
(3)
45If any of the goods form a commercial unit, the consumer cannot reject some of
those goods without also rejecting the rest of them.
Consumer Rights BillPage 12
(4)
A unit is a “commercial unit” if division of the unit would materially impair the
value of the goods or the character of the unit.
(5)
The consumer rejects goods under this section by indicating to the trader that
the consumer is rejecting the goods.
(6)
5The indication may be something the consumer says or does, but it must be
clear enough to be understood by the trader.
(7) From the time when a consumer rejects goods under this section—
(a)
the trader has a duty to give the consumer a refund in respect of those
goods (subject to subsection (10)), and
(b)
10the consumer has a duty to make those goods available for collection by
the trader or (if there is an agreement for the consumer to return
rejected goods) to return them as agreed.
(8)
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
15incurred by the consumer in returning those goods in person to the place
where the consumer took physical possession of them.
(9)
Section 20(10) to (14) apply to a consumer’s right to receive a refund under this
section (and in section 20(13) and (14) references to the contract being treated
as at an end are to be read as references to goods being rejected).
(10) 20That right does not apply—
(a) if none of section 20(10) to (12) applies,
(b)
to the extent that anything to which section 20(12) applies cannot be
given back in its original state, or
(c)
to the extent that anything the consumer transferred under the contract
25cannot be divided so as to give back only the amount, or part of the
amount, to which the consumer is entitled.
(11)
It may be open to a consumer to claim damages where there is no right to
receive a refund, or because of the limits of the right, or instead of a refund.
(12)
References in this section to goods conforming to a contract are to be read in
30accordance with section 19(1) and (2), but they also include the goods
conforming to the terms described in section 17.
(13)
Where section 20(21)(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.
22 35Time limit for short-term right to reject
(1)
A consumer who has the short-term right to reject loses it if the time limit for
exercising it passes without the consumer exercising it, unless the trader and
the consumer agree that it may be exercised later.
(2)
An agreement under which the short-term right to reject would be lost before
40the time limit passes is not binding on the consumer.
(3)
The time limit for exercising the short-term right to reject (unless subsection (4)
applies) is the end of 30 days beginning with the first day after these have all
happened—
Consumer Rights BillPage 13
(a)
ownership or (in the case of a contract for the hire of goods, a hire-
purchase agreement or a conditional sales contract) possession of the
goods has been transferred to the consumer,
(b) the goods have been delivered, and
(c)
5where the contract requires the trader to install the goods or take other
action to enable the consumer to use them, the trader has notified the
consumer that the action has been taken.
(4)
If any of the goods are of a kind that can reasonably be expected to perish after
a shorter period, the time limit for exercising the short-term right to reject in
10relation to those goods is the end of that shorter period (but without affecting
the time limit in relation to goods that are not of that kind).
(5)
Subsections (3) and (4) do not prevent the consumer exercising the short-term
right to reject before something mentioned in subsection (3)(a), (b) or (c) has
happened.
(6)
15If the consumer requests or agrees to the repair or replacement of goods, the
period mentioned in subsection (3) or (4) stops running for the length of the
waiting period.
(7)
If goods supplied by the trader in response to that request or agreement do not
conform to the contract, the time limit for exercising the short-term right to
20reject is then either—
(a) 7 days after the waiting period ends, or
(b)
if later, the original time limit for exercising that right, extended by the
waiting period.
(8) The waiting period—
(a)
25begins with the day the consumer requests or agrees to the repair or
replacement of the goods, and
(b)
ends with the day on which the consumer receives goods supplied by
the trader in response to the request or agreement.
23 Right to repair or replacement
(1)
30This section applies if the consumer has the right to repair or replacement (see
section 19(3) and (4)).
(2)
If the consumer requires the trader to repair or replace the goods, the trader
must—
(a)
do so within a reasonable time and without significant inconvenience
35to the consumer, and
(b)
bear any necessary costs incurred in doing so (including in particular
the cost of any labour, materials or postage).
(3)
The consumer cannot require the trader to repair or replace the goods if that
remedy (the repair or the replacement)—
(a) 40is impossible, or
(b) is disproportionate compared to the other of those remedies.
(4)
Either of those remedies is disproportionate compared to the other if it imposes
costs on the trader which, compared to those imposed by the other, are
unreasonable, taking into account—
(a)
45the value which the goods would have if they conformed to the
contract,
Consumer Rights BillPage 14
(b) the significance of the lack of conformity, and
(c)
whether the other remedy could be effected without significant
inconvenience to the consumer.
(5)
Any question as to what is a reasonable time or significant inconvenience is to
5be determined taking account of—
(a) the nature of the goods, and
(b) the purpose for which the goods were acquired.
(6)
A consumer who requires or agrees to the repair of goods cannot require the
trader to replace them, or exercise the short-term right to reject, without giving
10the trader a reasonable time to repair them (unless giving the trader that time
would cause significant inconvenience to the consumer).
(7)
A consumer who requires or agrees to the replacement of goods cannot require
the trader to repair them, or exercise the short-term right to reject, without
giving the trader a reasonable time to replace them (unless giving the trader
15that time would cause significant inconvenience to the consumer).
(8)
In this Chapter, “repair” in relation to goods that do not conform to a contract,
means making them conform.
24 Right to price reduction or final right to reject
(1) The right to a price reduction is the right—
(a)
20to require the trader to reduce by an appropriate amount the price the
consumer is required to pay under the contract, or anything else the
consumer is required to transfer under the contract, and
(b)
to receive a refund from the trader for anything already paid or
otherwise transferred by the consumer above the reduced amount.
(2)
25The amount of the reduction may, where appropriate, be the full amount of the
price or whatever the consumer is required to transfer.
(3)
Section 20(10) to (17) apply to a consumer’s right to receive a refund under
subsection (1)(b).
(4) The right to a price reduction does not apply—
(a)
30if what the consumer is (before the reduction) required to transfer
under the contract, whether or not already transferred, cannot be
divided up so as to enable the trader to receive or retain only the
reduced amount, or
(b)
if anything to which section 20(12) applies cannot be given back in its
35original state.
(5)
A consumer who has the right to a price reduction and the final right to reject
may only exercise one (not both), and may only do so in one of these
situations—
(a)
after one repair or one replacement, the goods do not conform to the
40contract;
(b)
because of section 23(3) the consumer can require neither repair nor
replacement of the goods; or
(c)
the consumer has required the trader to repair or replace the goods, but
the trader is in breach of the requirement of section 23(2)(a) to do so
45within a reasonable time and without significant inconvenience to the
consumer.
Consumer Rights BillPage 15
(6) There has been a repair or replacement for the purposes of subsection (5)(a) if—
(a)
the consumer has requested or agreed to repair or replacement of the
goods (whether in relation to one fault or more than one), and
(b)
the trader has delivered goods to the consumer, or made goods
5available to the consumer, in response to the request or agreement.
(7)
For the purposes of subsection (6) goods that the trader arranges to repair at
the consumer’s premises are made available when the trader indicates that the
repairs are finished.
(8)
If the consumer exercises the final right to reject, any refund to the consumer
10may be reduced by a deduction for use, to take account of the use the consumer
has had of the goods in the period since they were delivered, but this is subject
to subsections (9) and (10).
(9)
No deduction may be made to take account of use in any period when the
consumer had the goods only because the trader failed to collect them at an
15agreed time.
(10)
No deduction may be made if the final right to reject is exercised in the first 6
months (see subsection (11)), unless—
(a) the goods consist of a motor vehicle, or
(b)
the goods are of a description specified by order made by the Secretary
20of State by statutory instrument.
(11)
In subsection (10) the first 6 months means 6 months beginning with the first
day after these have all happened—
(a)
ownership or (in the case of a contract for the hire of goods, a hire-
purchase agreement or a conditional sales contract) possession of the
25goods has been transferred to the consumer,
(b) the goods have been delivered, and
(c)
where the contract requires the trader to install the goods or take other
action to enable the consumer to use them, the trader has notified the
consumer that the action has been taken.
(12) 30In 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)SI 1995/2994 (NI 18)) (see Parts
35I and V of that Order).
(13)
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) 40so that it may only be used by one such person at any one time.
(14) 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
45the description specified by the order;
(b) may contain transitional or transitory provision or savings.
Consumer Rights BillPage 16
(15)
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.
Other rules about remedies under goods contracts
25 5Delivery of wrong quantity
(1)
Where the trader delivers to the consumer a quantity of goods less than the
trader contracted to supply, the consumer may reject them, but if the consumer
accepts them the consumer must pay for them at the contract rate.
(2)
Where the trader delivers to the consumer a quantity of goods larger than the
10trader contracted to supply, the consumer may accept the goods included in
the contract and reject the rest, or may reject all of the goods.
(3)
Where the trader delivers to the consumer a quantity of goods larger than the
trader contracted to supply and the consumer accepts all of the goods
delivered, the consumer must pay for them at the contract rate.
(4)
15Where the consumer is entitled to reject goods under this section, any
entitlement for the consumer to treat the contract as at an end depends on the
terms of the contract and the circumstances of the case.
(5)
The consumer rejects goods under this section by indicating to the trader that
the consumer is rejecting the goods.
(6)
20The indication may be something the consumer says or does, but it must be
clear enough to be understood by the trader.
(7)
Subsections (1) to (3) do not prevent the consumer claiming damages, where it
is open to the consumer to do so.
(8)
This section is subject to any usage of trade, special agreement, or course of
25dealing between the parties.
26 Instalment deliveries
(1)
Under a contract to supply goods, the consumer is not bound to accept delivery
of the goods by instalments, unless that has been agreed between the consumer
and the trader.
(2)
30The following provisions apply if the contract provides for the goods to be
delivered by stated instalments, which are to be separately paid for.
(3)
If the trader makes defective deliveries in respect of one or more instalments,
the consumer, apart from any entitlement to claim damages, may be (but is not
necessarily) entitled—
(a)
35to exercise the short-term right to reject or the right to reject under
section 19(6) (as applicable) in respect of the whole contract, or
(b) to reject the goods in an instalment.
(4)
Whether paragraph (a) or (b) of subsection (3) (or neither) applies to a
consumer depends on the terms of the contract and the circumstances of the
40case.
(5)
In subsection (3), making defective deliveries does not include failing to make
a delivery in accordance with section 28.
Consumer Rights BillPage 17
(6)
If the consumer neglects or refuses to take delivery of or pay for one or more
instalments, the trader may—
(a) be entitled to treat the whole contract as at an end, or
(b)
if it is a severable breach, have a claim for damages but not a right to
5treat the whole contract as at an end.
(7)
Whether paragraph (a) or (b) of subsection (6) (or neither) applies to a trader
depends on the terms of the contract and the circumstances of the case.
27 Consignation, or payment into court, in Scotland
(1) Subsection (2) applies where—
(a)
10a consumer has not rejected goods which the consumer could have
rejected for breach of a term mentioned in section 19(3) or (6),
(b)
the consumer has chosen to treat the breach as giving rise only to a
claim for damages or to a right to rely on the breach against a claim by
the trader for the price of the goods, and
(c)
15the trader has begun proceedings in court to recover the price or has
brought a counter-claim for the price.
(2) The court may require the consumer—
(a)
to consign, or pay into court, the price of the goods, or part of the price,
or
(b) 20to provide some other reasonable security for payment of the price.
Other rules about goods contracts
28 Delivery of goods
(1) This section applies to any sales contract.
(2)
Unless the trader and the consumer have agreed otherwise, the contract is to
25be treated as including a term that the trader must deliver the goods to the
consumer.
(3)
Unless there is an agreed time or period, the contract is to be treated as
including a term that the trader must deliver the goods—
(a) without undue delay, and
(b)
30in any event, not more than 30 days after the day on which the contract
is entered into.
(4) In this section—
(a)
an “agreed” time or period means a time or period agreed by the trader
and the consumer for delivery of the goods;
(b)
35if there is an obligation to deliver the goods at the time the contract is
entered into, that time counts as the “agreed” time.
(5)
Subsections (6) and (7) apply if the trader does not deliver the goods in
accordance with subsection (3) or at the agreed time or within the agreed
period.
(6) 40If the circumstances are that—
(a) the trader has refused to deliver the goods,
Consumer Rights BillPage 18
(b)
delivery of the goods at the agreed time or within the agreed period is
essential taking into account all the relevant circumstances at the time
the contract was entered into, or
(c)
the consumer told the trader before the contract was entered into that
5delivery in accordance with subsection (3), or at the agreed time or
within the agreed period, was essential,
then the consumer may treat the contract as at an end.
(7)
In any other circumstances, the consumer may specify a period that is
appropriate in the circumstances and require the trader to deliver the goods
10before the end of that period.
(8)
If the consumer specifies a period under subsection (7) but the goods are not
delivered within that period, then the consumer may treat the contract as at an
end.
(9)
If the consumer treats the contract as at an end under subsection (6) or (8), the
15trader must without undue delay reimburse all payments made under the
contract.
(10)
If subsection (6) or (8) applies but the consumer does not treat the contract as
at an end—
(a)
that does not prevent the consumer from cancelling the order for any of
20the goods or rejecting goods that have been delivered, and
(b)
the trader must without undue delay reimburse all payments made
under the contract in respect of any goods for which the consumer
cancels the order or which the consumer rejects.
(11)
If any of the goods form a commercial unit, the consumer cannot reject or
25cancel the order for some of those goods without also rejecting or cancelling the
order for the rest of them.
(12)
A unit is a “commercial unit” if division of the unit would materially impair the
value of the goods or the character of the unit.
(13)
This section does not prevent the consumer seeking other remedies where it is
30open to the consumer to do so.
(14)
See section 2(5) and (6) for the application of this section where goods are sold
at public auction.
29 Passing of risk
(1) A sales contract is to be treated as including the following provisions as terms.
(2)
35The goods remain at the trader’s risk until they come into the physical
possession of—
(a) the consumer, or
(b) a person identified by the consumer to take possession of the goods.
(3) Subsection (2) does not apply if the goods are delivered to a carrier who—
(a) 40is commissioned by the consumer to deliver the goods, and
(b) is not a carrier the trader named as an option for the consumer.
(4)
In that case the goods are at the consumer’s risk on and after delivery to the
carrier.
Consumer Rights BillPage 19
(5)
Subsection (4) does not affect any liability of the carrier to the consumer in
respect of the goods.
(6)
See section 2(5) and (6) for the application of this section where goods are sold
at public auction.
30 5Goods under guarantee
(1) This section applies where—
(a) there is a contract to supply goods, and
(b) there is a guarantee in relation to the goods.
(2)
“Guarantee” here means an undertaking to the consumer given without extra
10charge by a person acting in the course of the person’s business (the
“guarantor”) that, if the goods do not meet the specifications set out in the
guarantee statement or in any associated advertising—
(a) the consumer will be reimbursed for the price paid for the goods, or
(b) the goods will be repaired, replaced or handled in any way.
(3)
15The guarantee takes effect, at the time the goods are delivered, as a contractual
obligation owed by the guarantor under the conditions set out in the guarantee
statement and in any associated advertising.
(4) The guarantor must ensure that—
(a)
the guarantee sets out in plain and intelligible language the contents of
20the guarantee and the essential particulars for making claims under the
guarantee,
(b)
the guarantee states that the consumer has statutory rights in relation
to the goods and that those rights are not affected by the guarantee, and
(c)
where the goods are offered within the territory of the United
25Kingdom, the guarantee is written in English.
(5) The contents of the guarantee to be set out in it include, in particular—
(a) the name and address of the guarantor, and
(b) the duration and territorial scope of the guarantee.
(6)
The guarantor and any other person who offers to supply to consumers the
30goods which are the subject of the guarantee must, on request by the consumer,
make the guarantee available to the consumer within a reasonable time, in
writing and in a form accessible to the consumer.
(7) What is a reasonable time is a question of fact.
(8)
If a person fails to comply with a requirement of this section, the enforcement
35authority may apply to the court for an injunction or (in Scotland) an order of
specific implement against that person requiring that person to comply.
(9)
On an application the court may grant an injunction or (in Scotland) an order
of specific implement on such terms as it thinks appropriate.
(10) In this section—
-
40“court” means—
(a)in relation to England and Wales, the High Court or the county
court,(b)in relation to Northern Ireland, the High Court or a county
court, andConsumer Rights BillPage 20
(c)in relation to Scotland, the Court of Session or the sheriff;
-
“enforcement authority” means—
(a)the Competition and Markets Authority,
(b)a local weights and measures authority in Great Britain, and
(c)5the Department of Enterprise, Trade and Investment in
Northern Ireland.
Can a trader contract out of statutory rights and remedies under a goods contract?
31 Liability that cannot be excluded or restricted
(1)
A term of a contract to supply goods is not binding on the consumer to the
10extent that it would exclude or restrict the trader’s liability arising under any
of these provisions—
(a) section 9 (goods to be of satisfactory quality);
(b) section 10 (goods to be fit for particular purpose);
(c) section 11 (goods to be as described);
(d) 15section 12 (other pre-contract information included in contract);
(e) section 13 (goods to match a sample);
(f) section 14 (goods to match a model seen or examined);
(g) section 15 (installation as part of conformity of goods with contract);
(h)
section 16 (goods not conforming to contract if digital content does not
20conform);
(i) section 17 (trader to have right to supply the goods etc);
(j) section 28 (delivery of goods);
(k) section 29 (passing of risk).
(2)
That also means that a term of a contract to supply goods is not binding on the
25consumer to the extent that it would—
(a)
exclude or restrict a right or remedy in respect of a liability under a
provision listed in subsection (1),
(b)
make such a right or remedy or its enforcement subject to a restrictive
or onerous condition,
(c)
30allow a trader to put a person at a disadvantage as a result of pursuing
such a right or remedy, or
(d) exclude or restrict rules of evidence or procedure.
(3)
The reference in subsection (1) to excluding or restricting a liability also
includes preventing an obligation or duty arising or limiting its extent.
(4)
35An agreement in writing to submit present or future differences to arbitration
is not to be regarded as excluding or restricting any liability for the purposes
of this section.
(5)
Subsection (1)(i), and subsection (2) so far as it relates to liability under section
17, do not apply to a term of a contract for the hire of goods.
(6)
40But an express term of a contract for the hire of goods is not binding on the
consumer to the extent that it would exclude or restrict a term that section 17
requires to be treated as included in the contract, unless it is inconsistent with
that term (and see also section 63 (requirement for terms to be fair)).
(7) See Schedule 3 for provision about the enforcement of this section.
Consumer Rights BillPage 21
32 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 sales contract, but
(b) 5the sales contract has a close connection with the United Kingdom,
this Chapter, except the provisions in subsection (2), applies despite that
choice.
(2) The exceptions are—
(a) sections 11(4) and (5) and 12;
(b) 10sections 28 and 29;
(c) section 31(1)(d), (j) and (k).
(3)
For cases where those provisions apply, or 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
15applicable to contractual obligations.
Secondary ticketing platforms
33 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
20so 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
25registration, 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)
30prominently 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
35undertaking 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
40parent 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—
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(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
5sale 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) 10the 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)
15Where 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)
20prominently 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
25Northern 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; -
30“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
35entry 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
40expressions); -
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)
45This section will come into force no later than six months after this Act is
passed.
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CHAPTER 3 Digital content
What digital content contracts are covered?
34 Contracts covered by this Chapter
(1)
This Chapter applies to a contract for a trader to supply digital content to a
5consumer, if it is supplied or to be supplied for a price paid by the consumer.
(2)
This Chapter also applies to a contract for a trader to supply digital content to
a consumer, if—
(a)
it is supplied free with goods or services or other digital content for
which the consumer pays a price, and
(b)
10it is not generally available to consumers unless they have paid a price
for it or for goods or services or other digital content.
(3)
The references in subsections (1) and (2) to the consumer paying a price include
references to the consumer using, by way of payment, any facility for which
money has been paid.
(4)
15A trader does not supply digital content to a consumer for the purposes of this
Part merely because the trader supplies a service by which digital content
reaches the consumer.
(5)
The Secretary of State may by order provide for this Chapter to apply to other
contracts for a trader to supply digital content to a consumer, if the Secretary
20of State is satisfied that it is appropriate to do so because of significant
detriment caused to consumers under contracts of the kind to which the order
relates.
(6) An order under subsection (5)—
(a) may, in particular, amend this Act;
(b) 25may contain transitional or transitory provision or savings.
(7)
A contract to which this Chapter applies is referred to in this Part as a “contract
to supply digital content”.
(8)
This section, other than subsection (4), does not limit the application of section
47.
(9)
30The power to make an order under subsection (5) is exercisable by statutory
instrument.
(10)
No order may be made under subsection (5) unless a draft of the statutory
instrument containing it has been laid before, and approved by a resolution of,
each House of Parliament.
35What statutory rights are there under a digital content contract?
35 Digital content to be of satisfactory quality
(1)
Every contract to supply digital content is to be treated as including a term that
the quality of the digital content is satisfactory.
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(2)
The quality of digital content is satisfactory if it meets the standard that a
reasonable person would consider satisfactory, taking account of—
(a) any description of the digital content,
(b) the price mentioned in section 34(1) or (2)(b) (if relevant), and
(c) 5all the other relevant circumstances (see subsection (5)).
(3)
The quality of digital content includes its state and condition; and the
following aspects (among others) are in appropriate cases aspects of the quality
of digital content—
(a)
fitness for all the purposes for which digital content of that kind is
10usually supplied;
(b) freedom from minor defects;
(c) safety;
(d) durability.
(4)
The term mentioned in subsection (1) does not cover anything which makes the
15quality of the digital content unsatisfactory—
(a)
which is specifically drawn to the consumer’s attention before the
contract is made,
(b)
where the consumer examines the digital content before the contract is
made, which that examination ought to reveal, or
(c)
20where the consumer examines a trial version before the contract is
made, which would have been apparent on a reasonable examination
of the trial version.
(5)
The relevant circumstances mentioned in subsection (2)(c) include any public
statement about the specific characteristics of the digital content made by the
25trader, the producer or any representative of the trader or the producer.
(6)
That includes, in particular, any public statement made in advertising or
labelling.
(7)
But a public statement is not a relevant circumstance for the purposes of
subsection (2)(c) if the trader shows that—
(a)
30when the contract was made, the trader was not, and could not
reasonably have been, aware of the statement,
(b)
before the contract was made, the statement had been publicly
withdrawn or, to the extent that it contained anything which was
incorrect or misleading, it had been publicly corrected, or
(c)
35the consumer’s decision to contract for the digital content could not
have been influenced by the statement.
(8)
In a contract to supply digital content a term about the quality of the digital
content may be treated as included as a matter of custom.
(9)
See section 43 for a consumer’s rights if the trader is in breach of a term that
40this section requires to be treated as included in a contract.
36 Digital content to be fit for particular purpose
(1)
Subsection (3) applies to a contract to supply digital content if before the
contract is made the consumer makes known to the trader (expressly or by
implication) any particular purpose for which the consumer is contracting for
45the digital content.
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(2) Subsection (3) also applies to a contract to supply digital content if—
(a) the digital content was previously sold by a credit-broker to the trader,