Consumer contracts: right to cancel and costs of return

by Practical Law Commercial

A practice note explaining the rights and obligations of traders and consumers regarding the cancellation of distance and off-premises contracts under the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 (SI 2013/3134) (CCRs). This practice note provides guidance for traders on how to honour a consumer's right to cancel within the "cooling-off" period, while also detailing the legal protections available to traders in a cancellation situation. It addresses crucial aspects such as calculating the cancellation period, the process for cancellation, and the effects of a consumer's withdrawal from a contract. The guidance covers a trader's obligations for reimbursing consumers, the rules for making deductions for excessive handling of goods, and managing the return process, including who is responsible for the costs. Furthermore, this practice note explores the special rules applicable to the supply of services and digital content during the cancellation period and the automatic termination of related ancillary contracts, offering key insights for ensuring compliance.