If you sell products and services worth over £35 to a customer on their doorstep, you must let them know in writing they have the right to cancel within 7 days. You must include certain information in the ‘Notice of the Right to Cancel’.
This applies whether you visit a customer with or without an appointment or agree the sales contract verbally or in writing.
It includes the sale of products and services to customers at:
- their home
- their workplace
- another individual’s home
- on an excursion you’ve organised away from your business premises
You must provide specific information about cancellation in a document called ‘Notice of the Right to Cancel’.
Notice of the Right to Cancel
You must give this document to the customer when the contract is made. It must:
- be either a separate document or in a prominent separate box on the contract with the heading ‘Notice of the Right to Cancel’
- state that the customer has at least 7 calendar days to cancel the contract
- have a detachable cancellation form with your contact details that the customer can fill in and return to you
The 7 days is usually from the date the contract was made. It starts when the customer makes an offer if the offer’s made:
- during a visit by the trader to the consumer’s home or place of work or someone else’s home
- during an excursion organised by the trader away from his business premises
The document must contain:
- identity of the trader including trading name (if applicable)
- trader’s reference number, code or other details to enable the contract or offer to be identified
- 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 email) a cancellation notice to the person mentioned in the next paragraph at any time within the period of 7 days starting with the day of receipt of a notice in writing of the right to cancel the contract
- name and address, (email as well as postal address) of someone the customer can give a cancellation notice
- statement that notice is considered to be given as soon as it’s sent
- statement that the consumer can use the cancellation form provided if they wish
For contracts where work or services start within the 7 days, you must get written authorisation to start. The notice must also state that the customer must pay a reasonable amount for goods or services covered by the contract before any cancellation.
You can’t enforce a contract if you don’t provide a customer with a Notice Of the Right to Cancel.
Who the rules apply to
You’ll need to provide a Notice of the Right to Cancel if you sell goods and and services such as:
- home improvement, repair and maintenance services
- gardening services
- personal items such as cosmetics, clothes, jewellery and toiletries
- household items
- books and leisure items
- nutrition and health products
- energy supplies (eg gas and electricity)
- disability aids and mobility products such as stair lifts, scooters and buggies
Exceptions
These regulations won’t apply to you if you make a solicited visit to a customer for regulated finance plans such as mortgages and consumer credit agreements.
Other exceptions include visits made to a customer with or without an appointment for:
- agreements that are cancellable under the Consumer Credit Act 1974
- 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)
- insurance contracts
- contracts for food and drink supplied by regular roundsmen
- contracts under £35
- contracts relating to shares and investments
- catalogue orders where there is a notice showing the right to return goods or cancel the contract
Penalties
Failure to provide a valid notice is a criminal offence. If convicted the trader and/or their business could be fined up to £5,000.
Information source:https://www.gov.uk/doorstep-selling-regulations
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5k fine
Here is a right to terminate I have put together hope it meets the requirments
Phil
Thanks for this, I was aware Essex Trading Standards are a very helpful bunch and sent me the following which I know have to hand and get the customer to fill in if they wish to wave this right. This note reads:
NOTICE OF THE RIGHT TO CANCEL THE CONTRACT
The trader should complete part 1 of this form,
If you wish to exercise your right to cancel the contract within the cancellation period. Part 2 should be detached and returned to the trader.
If you wish for the contract / work to commence prior to the expiry date of the cancellation period. Part 3 should be completed, detached and returned to the trader.
PART ONE
Date of Issue: Quote Reference:
Name of Trader:
Address:
Phone: Email:
Customer Cancellation Rights
You have the right to cancel the quotation/ contract if you wish within seven calendar days from the date this notice is issued. Cancellation should be communicated in writing by delivery post or email. You are advised to take a copy of the cancellation should it get lost.
The following cancellation notice (Part Two) should be used to exercise this right as stated above, if using post it is advised to obtain a certificate of postage or a record delivery slip.
Work begun prior to the expiry of the cancellation period, if you require the work to commence prior to the seven day cancellation period expires you will be required to confirm in writing and should use Part Three of this form which we will collect from you.
If you have completed Part Three and then cancel, any work that has been carried out to that point must be paid for.
_________________________________________________________________________________
PART TWO – CANCELLATION NOTICE ONLY TO BE SENT IF YOU WISH TO CANCEL
If you wish to cancel the quote and contract you MUST DO SO IN WRITING and deliver or post this notice to us. You should use this part of this form.
To: Quote Reference:
I / We wish to give you notice that we wish to cancel my contract with you.
Name:
Address:
Date: Signed:
PART THREE – WORK COMMENCING PRIOR TO EXPIRY OF CANCELLATION PERIOD
If you wish to have the work carried out prior to the expiry of the cancellation period. You should sign below. You should understand payment will be due for any work carried out prior to you cancelling.
To:
Quote Reference:
I / We wish to give you notice that we would like the work to commence on:.
Date of Issue: .................................................
Contract Reference or Quotation Reference:.......................................................