Part 2: Consumer Right Remedies

Question 1

What are consumer right remedies?

Answer 1

Specific remedies which apply in relation to breaches of the terms implied by the Consumer Rights Act 2015 for consumer contracts.

Question 2

In relation to consumer right remedies what are the goods contract remedies?

Answer 2

Outlined in s19 of CRA 2015

There are 3 distinct ‘steps’ in the available remedies, as follows:

1. Short-term right to reject, within the first 30 days of ownership
2. Right to request a replacement or a repair
3. Right to a price reduction, or to reject goods.

Also confirmed that these remedy options don’t prevent the consumer from seeking other remedies - e.g SP, damages or repudiation.

The consumer is not permitted to recover more than once for the same loss.

Question 3

In relation to goods contract remedies, what is ss20-22 of CRA 2015?

Answer 3

Short term right to reject.

30-day window which exercises initially right to reject goods that breach any implied terms (time limit reduced for perishable items)

Time window begins when consumer gains ownership. It gets put on hold whilst any repair / replacement being attempted.

Rejection allows consumer to treat contract as ended - releasing of contractual obligations.

Also entitled to refund - which must be provided to them within 14 days (must return refund or make available for collection)

S21 identifies what options consumer has for rejection:
1. Rejecting all items
2. Rejecting all the goods which are faulty
3. Rejecting some of the faulty goods (keeping some faulty and all goods which are not faulty)

Question 4

In relation to goods contract remedies, what is s23 of CRA 2015?

Answer 4

Repair or replacement.

Consumer can require trader to repair or replace faulty goods.

The trader is required to:
1. Replace or repair item within reasonable time period
2. To do so without significant inconvenience to consumer - provided that such request is not impossible or disproportionate
3. Bear any costs incurred in attempting repair / repair.

The consider is required:
1. To allow the trader reasonable time to repair / replace before asking for alternative option or decide to enforce short-term right to reject.

The initial 30 days of ownership is paired whilst repair / replace takes place. Once done, the consumer has the remaining 30 days or further 7 days (whichever is longer)

Question 5

In relation to goods contract remedies, what is s24 and s20 of CRA 2015?

Answer 5

Right to price reduction or final right to reject.

The final remedy is the right to either:
1. Keep the goods but insist on price reduction.
2. Long term right to reject

This is available if repair / replacement has not been possible / not fixed the issue.

With price reduction, the consumer can keep the goods but pays back the difference in value in the amount paid and value of goods provided.

S20 - right to reject.
Consumer rejection allows them a full refund - which must be provided no more than 14 days from the date when agreement to refund is made.

Question 6

In relation to consumer right remedies what are the service contract remedies?

Answer 6

S54
Used when implied terms relating to the service has been breached.

S55 - right to repeat performance
Applies when initial service not performed with the use of reasonable care and skill
Trader is required to perform service again, at own cost, within reasonable time and without significant inconvenience to consumer

S56 - right to price reduction
If repeat performance is not available or initial service not performed with reasonable time - consumer has right to require the trader to reduce price.

Any refund must be given to consumer ASAP but no more than 14 days

Question 7

In relation to consumer right remedies what are the digital content contract remedies?

Answer 7

S42 - where implied terms relating to contract have been breached.

Similarities between good service contract remedies but with differences (intangible nature of digital contract)

S43 - right to repair or replace
“Repair” means to ensure that digital content conforms with contract (e.g update)
Must be within reasonable time and with inconvenience to consumer.
Consumer must allow reasonable time to replace / repaid before asking for alternative.

S44 - right to price reduction
If repair or replacement can’t be carried out - price reduction is available.
Can be partial or full. Must be paid ASAP and no more than 14 days.

S45 - right to a refund
Only available when the term that has been breached is the trader’s right to supply the digital content (e.g no right to sell)

S46 - remedy for damage to the device or other digital content
If digital content causes damage and where trader has failed to take reasonable care and skill to prevent it happening - the consumer entitled to receive an offer from trader to repair damage or compensation.