A guide to contracts concluded in
consumers’ homes or workplaces
There is legislation covering most contracts where goods or services
(costing more than £35) are supplied to a consumer where the contract is
signed by the consumer at their home, place of work, another person's
home, or on an excursion organised by the trader away from their
business premises. Regulations allow consumers to cancel some of these
contracts and set the cancellation period to a minimum of seven calendar
days. Failure to provide a clearly displayed notice of the right to cancel to
your customers is a criminal offence.
There are some specified goods and services where, if the consumer has
agreed in writing to have work started within the seven day cancellation
period, and then decides to cancel, he or she will have to pay for the work
done so far. For most goods and services, if the consumer has agreed to
have work carried out within the seven days and then cancels, the trader
can only charge for work done so far if this was written into the
cancellation notice.
There are a number of types of contract the Regulations do not apply to at
all.
Traders carrying out unsolicited visits seeking work to carry out property
maintenance and repairs - commonly known as 'cold calling' - need to
take particular notice of the comments made in this document regarding
aggressive selling.
In the guide
The legislation
'Notice of the right to cancel' to be provided to consumers
Cancellation notices - frequently asked questions
Other laws and regulations that can directly apply to sales made at the
doorstep
Ft26 09/13
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The legislation
The Cancellation of Contracts made in a Consumer's Home or Place of
Work etc. Regulations 2008 apply to most contracts made between a
consumer and a trader for the supply of goods or services during a visit by
the trader to the consumer. As stated above, this visit can be to the
consumer's home or place of work, the home of another individual, during
an excursion organised by the trader away from his business premises, or
after an offer made by the consumer during such a visit or excursion. The
value of the goods or services must be more than £35.
The Regulations cover contracts that are made during both solicited
(trader visits by express request from consumer) and unsolicited
(unrequested) visits by traders. They apply to all contracts with a total
payment of more than £35, and they set the cancellation period to a
minimum of seven calendar days. The Regulations also require
cancellation rights to be clearly and prominently displayed in any written
contract or provided in writing if there is no written contract.
The Regulations do not apply to:
 catalogue orders where there is a notice showing the right to return
goods or cancel the contract
 contracts relating to shares and investments
 contracts for food and drink or other goods intended for current
consumption in the household and supplied by regular rounds-men
 insurance contracts
 contracts for mortgages, home purchase plans or home reversion
plans made during a solicited visit
 agreements that are cancellable under the Consumer Credit Act
1974
 solicited contracts for regulated consumer credit agreements under
the Act
 contracts for the construction, sale or rental of property (but they do
apply to extensions, patios, conservatories or driveways and to
repairs, refurbishment and improvement of property)
 contracts under £35
'Notice of the right to cancel' to be provided to consumers
Below is an example of a cancellation notice you must provide to your
consumers in situations where the Regulations apply. It contains the
information that must be provided as a detachable slip by the trader.
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Please note the capitalisation should remain. The Regulations require the
information to be legible.
If the right to cancel is incorporated into another document or in the
contract it must be set out in a separate box with the heading 'Notice of
right to cancel'.
In addition to the above you must also supply the consumer with:
 the identity of the trader, including trading name if any
 the trader's reference number, code or other details to enable the
contract or offer to be identified
 a statement that the consumer has a right to cancel the contract if
they wish, and that this right can be exercised by delivering or
sending (including by electronic mail) a cancellation notice, to the
name and address given, at any time within the period of seven
days, starting with the date of receipt of a notice in writing of the
right to cancel the contract
 the name and address (including any electronic mail address as
well as the postal address) of a person to whom a cancellation
notice may be given
 a statement that notice of cancellation is deemed to be served as
soon as it is posted or sent to a trader, or in the case of an
electronic communication from the day it is sent to the trader
 a statement that the consumer can use the cancellation form
provided if they wish to
Example of a cancellation notice:
NOTICE OF THE RIGHT TO CANCEL






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this is an agreement with Aaron A. Aardvark Plumbing Ltd, 123 High Street, Arcadia,
AC12 AAA
contract reference 201208PHS
you have seven days to cancel this agreement from the date on which you receive this
notice in writing
if you wish to exercise your right to cancel then please write to the following addresses:
Aaron A. Aardvark Plumbing Ltd, Customer Services Department, Unit 1, Airport Way,
Arcadia, AC10 AAP, or email [email protected]
you may wish to use the form below, however we will accept cancellations by letter,
personal visit (to deliver a notice or letter) or email. If sending the notice by post then
you are advised to send it by recorded delivery
cancellation is deemed to have started once the notice has been posted or sent by
electronic mail
If you wish to cancel the contract you MUST DO SO IN WRITING and
deliver personally or send (which may be by electronic mail) this to the
person named below. You may use this form if you want to but you do not
have to.
(Complete, detach and return this form ONLY IF YOU WISH TO CANCEL
THE CONTRACT)
To: ............................. [trader to insert name and address of person to
whom notice may be given.]
I/We (delete as appropriate) hereby give notice that I/we (delete as
appropriate) wish to
cancel my/our (delete as appropriate) contract .............................. [trader
to insert reference number, code or other details to enable the contract or
offer to be identified. He may also insert the name and address of the
consumer.]
Signed
Name and address
Date
SPECIFIED CONTRACTS
There are some contracts, called 'specified contracts', where the
consumer may wish the performance of the contract to begin before the
end of the statutory cancellation period. These are listed below:
 the supply of newspapers, periodicals or magazines
 advertising in any medium
 the supply of goods the price of which is dependent on fluctuations
in the financial markets which cannot be controlled by the trader
 the supply of goods to meet an emergency
 the supply of goods made to a customer's specifications or clearly
personalised and any services in connection with the provision of
such goods
 the supply of perishable goods
 the supply of goods which by their nature are consumed by use and
which, before the cancellation, were so consumed
 the supply of goods which, before the cancellation, had become
incorporated in any land or thing not comprised in the cancelled
contract
 the supply of goods or services relating to a funeral
 the supply of services of any other kind
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A good example of a specified contract where the consumer wishes work
to start right away is in the case of a trader who has been called out to
carry out emergency plumbing, glazing or locksmith work. In cases such
as these it is not practical to wait seven days before any work can be
done and the legislation therefore makes provision for these situations by
allowing the consumer to request in writing for work to start right away.
Besides these genuine emergency situations, there are many other
specified contracts listed above where, if they have a value greater than
£35, the consumer (NOT the trader) can request their performance to start
right away. Any such request MUST be in writing.
Evidence from trading standards services around the UK shows that
unsolicited visits - or cold calls - by traders, (particularly those offering
home maintenance work such as roof repairs, guttering, driveways,
gardening services and jet washing) have led to consumers being asked
to sign a document that they want work to start right away. There is not
normally a legitimate reason for a cold calling trader to ask a consumer to
sign a form requesting immediate work. One potential explanation for a
cold calling trader to make such a request to a consumer is to pressurise
them and not let them think about whether they really want to go ahead.
Depending on the particular circumstances of an individual case, or a
particular pattern of behaviour with a number of consumers, a trader
acting in this way MAY be committing offences (see below) in relation to
what are termed 'aggressive practices'.
The main purpose of this legislation is to allow consumers to have
cancellation rights in respect of contracts entered into during a visit made
by a trader to a consumer's home or place of work. Consumers can be
more vulnerable under these circumstances than if they make a contract
at a trader's premises and the law recognises this vulnerability and allows
consumers a chance to change their mind. Where consumers do not want
this right in relation to the 'specified contracts' listed above, the law
provides that consumers can request in writing for the performance of the
contract to start right away. Traders who seek to exploit the protection
afforded to consumers by this law may be committing criminal offences.
It must be remembered that where a specified contract is involved, if a
consumer has work carried out or receives goods within the seven-day
cancellation period (after requesting this in writing) and then cancels (still
within the seven days), they will HAVE to pay in accordance with the
reasonable requirements of the cancelled contract for goods or services
that were supplied before the cancellation.
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Example of additional text for the cancellation notice in the case of
specified contracts:
Please note and sign the following only if you wish to have the work start
within the seven day cancellation period
I/we agree that …………………………………………………… [trader's
name] may commence work on ………… [date], before my cancellation
period has expired.
I understand that if I decide to cancel within seven days, I may be asked
to pay for any work that has been carried out prior to my cancellation.
Signed…………………………………………………………
Date………………
Cancellation notices - frequently asked questions
Q. When must a written notice to cancel apply?
A. This should usually be given when a consumer enters into an
agreement for any goods or services costing more than £35 at their home,
place of work, at another person's home or on an excursion organised by
the trader away from their business premises.
Q. I deal only with other businesses - do I have to provide a written
cancellation notice?
A. No. You need to provide one only in consumer contracts. The
Regulations define a consumer as 'a natural person who in making a
contract […] acting for purposes which can be regarded as outside his
trade or profession'.
Q. How long must I give to cancel?
A. Seven days from the date the consumer receives the written right to
cancel
Q. I give all my agreements verbally - must I still provide a cancellation
notice?
A. Yes - this is the case in all contracts to which these Regulations apply.
You must provide a written notice to cancel as well as information on your
business (See the example of a cancellation notice above).
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Q. The consumer is keen to have the work done now - can I start within
the seven days?
A. Yes, as long as you haven't pressurised the consumer to agree to this
and as long as the consumer requests this in writing (see above for full
explanation).
Q. In this case will I still need to provide a written notice to cancel?
A. Yes. Consumers must still be provided with written details of their right
to cancel.
Q. What happens if I start the work within seven days and then the
consumer decides to cancel it within their seven-day cancellation period?
A. If the contract is a 'specified contract', and it is written into the
cancellation notice, the consumer will have to pay in accordance with the
reasonable requirements of the cancelled contract for goods or services
that were supplied before the cancellation (see above for a more detailed
explanation).
Q. What happens if I don't provide written details of cancellation rights?
A. Then it is arguable that you will not be able to enforce the contract.
Also you may be committing a criminal offence.
Q. I've provided the detachable slip as detailed by the Regulations but the
consumer hasn't used it. Must I still cancel the contract?
A. Yes. The consumer can fill in the form, or they can write or email you
their intention to cancel. They are not obliged to use the form.
Q. When does cancellation start?
A. Once the consumer has posted the letter or sent the email.
Q. Where can I get someone to look at my paperwork to ensure it
complies?
A. Your local trading standards service may be able to assist you further.
Alternatively you can seek independent legal advice.
Other laws and regulations that can directly apply to sales made at the
doorstep
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CONSUMER PROTECTION FROM UNFAIR TRADING REGULATIONS
2008
These Regulations impose a number of general requirements on all
businesses, and some requirements that are specifically aimed at
doorstep sellers. Broadly speaking, if you are treating customers fairly
then you are likely to be complying with these Regulations.
You must not use any aggressive, deceptive or coercive tactics to obtain
work or money. This also includes exploitation, causing fear or the
application of any undue influence.
Particularly in the case of unsolicited visits, this includes a trader asking
a consumer to sign a document (sometimes called a 'waiver notice') that
work commences right away where there is no justifiable reason for doing
so.
You must not use harassment. This specifically includes threatening or
abusive language and behaviour.
Any descriptions applied to goods or services provided by you must be
accurate. You may be criminally liable for any inaccuracies or omissions
(that is, 'false trade descriptions') even if somebody else has actually
applied the description or made the omission. You and persons trading on
your behalf must not impair a consumer's ability to make an informed
decision.
Please see our leaflet 'A guide to the Consumer Protection from Unfair
Trading Regulations' for further information
(http://www.derbyshire.gov.uk/images/ft23_tcm44-71886.pdf).
SUPPLY OF GOODS AND SERVICES ACT 1982
This legislation places certain duties on you if you provide services for
consumers, such as building or gardening. The Act creates certain
automatic 'implied' conditions within the contract that you have with the
consumer. These conditions provide the consumer with statutory rights,
whether the contract is written or not, for up to six years from the date of
the contract. The following terms are implied:
 the work will be carried out with reasonable care and skill
 where no time for the work has been agreed, it will be carried out
within a reasonable time
 where no charge for the work has been agreed, a reasonable
charge will be payable
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If you supply goods in the contract, consumers also have rights regarding
these goods. They are entitled to expect that such goods will be fit for
their purpose and be of satisfactory quality.
FRAUD ACT 2006
The Act creates a general offence of fraud and introduces the three
possible ways of committing it. As the name suggests, fraud is a serious
offence and carries a maximum sentence of up to 10 years' imprisonment
and an unlimited fine.
 fraud by false representation. You would commit fraud by false
representation if you knowingly lied about the extent of any work
required or about any work that you incorrectly claim to have done.
Fraud by false representation could also include gross overcharging
 fraud by failing to disclose information that there is a legal
duty to disclose. Fraud by failing to disclose information would
apply to situations where you are under a duty to tell the customer
something or provide them with a notice (such as notice of their
cancellation rights) and you fail to do so
 fraud by abuse of position. This makes it an offence to commit a
fraud by dishonestly abusing one's position. It applies in situations
where you have been put in a privileged position, and by virtue of
this position you are expected to safeguard another's financial
interests or not act against those interests
Relevant legislation
Consumer Credit Act 1974
(http://www.legislation.gov.uk/ukpga/1974/39/contents)
Supply of Goods and Services Act 1982
(http://www.legislation.gov.uk/ukpga/1982/29/contents)
Fraud Act 2006 (http://www.legislation.gov.uk/ukpga/2006/35/contents)
Consumer Protection from Unfair Trading Regulations 2008
(http://www.legislation.gov.uk/uksi/2008/1277/contents/made)
Cancellation of Contracts made in a Consumer's Home or Place of Work
etc. Regulations 2008
(http://www.legislation.gov.uk/uksi/2008/1816/contents/made)
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Where can I get further help?
This leaflet is not an authoritative document on the law and is only
intended for guidance. For further details or clarification contact
Derbyshire Trading Standards at:
Chatsworth Hall
Chesterfield Road
Matlock
Derbyshire
DE4 3FW
Telephone:
Businesses:
Consumers:
Call Derbyshire
Citizens Advice consumer helpline
01629 533190
08454 040506
Fax:
01629 536197
Website:
www.derbyshire.gov.uk/tradingstandards
We want everyone to be able to understand us. On request, we will
arrange:
 Language interpreters, including for sign language
 Translation of written materials into other languages
 Materials in large print, on tape or in Braille.
© Trading Standards Institute
To ensure that you are looking at the most up-to-date version of this
leaflet, please visit our website at
http://www.derbyshire.gov.uk/images/ft26_tcm44-94424.pdf
or telephone us on 01629 536166.
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