Cancellation of contracts made at consumer's home

With effect from 1 October 2008 new regulations apply to all contracts made at the consumer's home or workplace, at the home of another individual and contracts made on an excursion organised by a trader away from his business premises.

The 'Cancellation of Contracts Made in a Consumer's Home or Place of Work etc Regulations 2008' apply to contracts which are made during both solicited and unsolicited visits.

This means that even if you are invited to visit the consumer and then you make a contract to which the Regulations apply the consumer will have a right to cancel.

You must

Give the customer a cancellation notice as set out in the Regulations, we have provided an example of this, see link below.

The cancellation notice must be exactly as set out, although if the trader details as described within the square brackets are to be pre-printed then the words within those square brackets can be omitted.

The cancellation notice requires that the identity of the trader is shown. It is our view that this means the legal identity and that trading names are not acceptable. You should therefore put the name(s) of the owner(s) of the business, if this is a limited company then show the limited company name. We have provided an example of this, see link below.

If you and the customer agree that you can start work before the 7 day cancellation period ends then for certain types of work you must get the customer's written agreement. The Regulations specify 10 such contracts, the full list is in the attached FAQs, see link below but the common ones are likely to be:

• Supply of goods to meet an emergency

• Supply of perishable goods

• Supply of goods which before cancellation were incorporated into land or other thing not part of the cancelled contract

• Supply of services of any kind

In practical terms you should include the cancellation notice and the written agreement to start work in your contract with the consumer. If you do not use written contracts then the cancellation notice and agreement to start work can be on a separate document.

In either case the cancellation notice must be given at the time you agree to do the work and before any work is started.

• Doorstep Selling - Frequently Asked Questions (52kb) - Pdf

• Notice of Right to Cancel (14kb) - Pdf

• Notice of Right to Cancel Form 1 (Example) (50kb) - Pdf