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The Consumer Rights Act 2015 – Guidance on Changes to Unfair Contract Terms Legislation

The Competition and Markets Authority (CMA) has published new guidance (144 pages) designed to give businesses a comprehensive guide to complying with their obligations as regards the unfair contract terms provisions under Part Two of the Consumer Rights Act 2015. The guidance covers what makes terms and notices unfair and the likely consequences of using unfair wording in contracts, and gives tips on how to ensure terms and notices are fair and easy to understand.

In addition, the CMA has produced other levels of guidance, including a flow chart providing an overview of the unfair contract terms provisions, aimed at helping traders decide whether or not a particular contract term is fair, a two-page summary of what businesses need to know about unfair contract terms, and a 28-page guide entitled ‘Unfair contract terms explained’.

The Act becomes law on 1 October 2015.

We can advise you on complying with your legal obligations to your customers, including reviewing contractual terms and conditions and other sales documents.

The various guidance documents can all be accessed here.