Consumer Service Contract
Purpose of the 2022 Act
The purpose of this Consumer Rights Act 2022 is to consolidate and update the legislative provisions that regulate the main types of consumer contract. It also gives effect to Directive (EU) 2019/770 on certain aspects concerning contracts for the supply of digital content and digital services, Directive (EU) 2019/771 on certain aspects concerning contracts for the sale of goods, and to the main provisions of Directive (EU) 2019/2161 on the better enforcement and modernisation of Union consumer protection rules.
The Consumer Rights Act 2022 gives effect to Directives 2019/770 and 2019/771 and the main provisions of Directive 2019/2161. It includes provisions in consumer contracts for the rights and remedies for (i) the sale of goods, (ii) the supply of digital content and digital services, and (iii) the supply of non-digital services. There are provisions for consumer information and related rights and consumer rights on the cancellation of distance and off-premises contracts and enhanced unfair terms in consumer contracts are included.
Power of Minister to restrict or extend application
The Minister may make regulations providing that The consumer service contract provisions will not apply to a service specified or will only apply to a class or description of service in specific circumstances. The Minister may provide in regulations that this Part will apply to contracts as specified, for the supply of a service to a consumer where the consumer provides personal data instead of paying a price to the trader, other than where the personal data is processed under this Part or complying with other legal requirements to which the trader is subject.
The Minister will only make such regulations, following consultations as appropriate, where the contracts are concluded on a significant scale and regulation of such contracts would be in the interests of consumer protection and fair competition. The regulations may provide for the application of this Part to be subject to such modifications as may be specified.
The legislation on Services doesnot affect any enactment or rule of law that imposes greater obligations on a trader for the supply of a service. This Part is subject to any other enactments and any international conventions to which the State or EU is party that defines or limits the rights, obligations, or liabilities in relation to a service.
Scope
A “service” means any service or facility (other than digital content, a digital service and a service provided under a contract of employment or apprenticeship). It includes in particular a service or facility for—
- financial or other professional services,
- amusement, cultural activities, entertainment, instruction, recreation or refreshment,
- accommodation,
- communication, including electronic communication,
- transport, travel, parking or storage,
- the care and maintenance of persons, animals or things, or
- the construction, maintenance or repair of buildings,
It includes the supply of water, gas or electricity where it is not supplied in a limited volume or set quantity, or district heating, and any rights, benefits, privileges, obligations or facilities that are, or are to be, provided, granted or conferred in the course of a service;
A “service contract” means a contract under which a trader supplies or undertakes to supply a service to a consumer, and the consumer pays or undertakes to pay the price of the service; A trader is a natural person, or a corporate (legal person), whether—
- privately owned,
- publicly owned, or
- partly privately owned and partly publicly owned,
who is acting for purposes relating to the person’s trade, business, craft or profession, and includes any person acting in the name, or on behalf, of the trader.
Supply of service
The trader must supply the service to the consumer in accordance with the contract. The trader will supply the service, where the service contract is a distance contract or an off-premises contract at such time as specified to the consumer and where no time is specified, at such time as agreed between the trader and the consumer.
Where it is neither of these contracts, at such time as agreed between both parties. Where no time is specified or agreed, the trader will supply the service within a reasonable time of conclusion of the contract and this will be a question of fact.
If the service is supplied on a continuous basis, the trader must supply it for a period specified in the contract and if it is supplied on more than one occasion during the period of the contract, the service will be supplied on each of those occasions. Where the trader fails to supply the service in accordance with this section, the consumer will have a right to remedies under section 84. Short term interruption of the service which is non-negligible or that recurs will attract remedies set out in the legislation (see separate article).
Service to be in conformity with service contract
The trader must supply a service to the consumer in conformity with the contract, as specified in more detail below Otherwise the consumer will have the right to the remedies specified in
The service, or any goods or digital content produced by or resulting from the service, must
- comply with the terms of the service contract;
- comply with any oral or written statement on which the consumer relied before or after the contract; be reasonably fit for purpose;
- be of an expected nature or quality;
- for distance and off-premises contracts to comply with any additional terms on information requirements.
The meaning/effect of any oral or written statement is subject to any other statement made at the time which would have qualified the statement and any agreed change to the statement. Where a service contract provides for continuous supply for a period specified in the contract, the trader must supply a service to the consumer during that period.
Where a service contract provides for the supply of a service on more than one occasion during the contract, the trader shall do so on each of those occasions. The burden of proof is on the trader in case of dispute.
Objective requirements for conformity with service contract
In addition to complying with the subjective requirements for conformity, the trader must
- have the necessary skill to supply the service,
- supply it with reasonable care and skill, in accordance with any applicable laws,
- materials used in the supply must be fit for purpose and comply with any public statement about the service unless good cause can be shown by him.
Where a trader purports to supply a service to a higher standard of care and skill, he must comply with that standard.
A trader who is a member of a professional body of service must comply with the standards of care and skill of that body. A trader who is bound by a code of practice for the supply of a service must abide by that code in providing the service.
Where a service contract provides for continuous supply during a period specified in the contract, the trader must supply a service to the consumer during that period. Where a service contract provides for the supply of a service on more than one occasion during the contract, the trader shall do so on each of those occasions. “Code of practice” is defined.
The above provisions are implied into every service contract and have effect as if they were terms of such a contract.
Reasonable price to be paid for service
A a reasonable price and no more will be paid for a service, where a price or consideration has not been paid, the price is not fixed in the contract or by an oral or written statement or by information provided by the trader for a distance or off-premises contract. A reasonable price for a service is a question of fact.