This article considers changes to the rights and remedies for consumers in respect of a sales contract for goods, as implemented by the Consumer Rights Act 2015 (CRA).
The CRA defines a consumer as “an individual acting for purposes that are wholly or mainly outside that individual’s trade, business, craft or profession” (section 2(3), CRA).
The CRA defines goods as “any tangible moveable items, but that includes water, gas and electricity if and only if they are put up for supply in a limited volume or set quantity” (section 2(8), CRA).
The key changes include the following:
1. Rules relating to Goods apply to goods transferred under a mixed supply of goods and services contract. The CRA expressly states that where there is a mixed supply of goods, services and/ or digital content, the goods provisions apply to the relevant goods, the services provisions to the relevant services and the digital content provisions to the relevant digital content.
2. Rules on treatment of created goods. The CRA expressly states that created goods (eg specially designed clothes) are to be treated as goods as oppose to the end product of services.
3. Rules that Goods must match a model seen and/or examined. The CRA includes new rules which apply where a contract is for the supply of goods by reference to a model that has been seen and/or examined by the consumer before entering a contract. The goods must match the model, except to the extent that any differences are brought to the consumer’s attention before he enters into the contract.
4. Rules relating to Goods including digital content. The CRA contains new rules which provide that if the goods include digital content, and the digital content does not conform to the contract and/or the statutory requirements as to satisfactory quality, fitness for purpose and matching description, then the goods do not conform to the contract and therefore the statutory remedies for defective goods apply.
5. Rules regarding short-term right to reject. The CRA introduces a new right to reject, which sets a deadline of 30 days for its exercise. The short terms right to reject may apply in circumstances where the following are breached:
a. Goods to be of satisfactory quality (section 9 CRA),
b. Goods are fit for purpose (section 10 CRA).
c. Goods to match a sample (section 13 CRA) and to match a model seen or examined (section 14 CRA).
d. Digital content included in goods to meet the statutory requirements for digital content (section 16 CRA).
Key changes have been made to consumer rights in the UK. If you sell goods to consumers in the UK then you need to be aware of and comply with the Consumer Rights Act 2015.