The Christmas trading period always proves to be the busiest in the retail industry, with thousands of consumers flooding into their local shopping centres and spending hours online in order to find the perfect gift for friends and family members. However, many worry that their purchase will prove to be faulty and they will struggle to gain a refund from the retailer.
Yet confusion regarding returns policies is not simply a matter for consumers, as retailers often find themselves struggling to identify what actions they must take in order to rectify issues with faulty products. This is why the government has chosen to update existing consumer protection laws and introduce the Consumer Rights Act (CRA), which will come into effect from December 1st.
While the legislation is currently in the form of a draft bill and so may be subject to change, industry experts largely believe that very few changes will be made to the present document. In part, this is because the drafted Bill helps to protect the rights of both consumers and retailers, thus benefiting those on either side of the check out this Christmas.
For retailers, the legislation primarily acts as a simplifier – it consists of eight separate existing regulations and pieces of legislation rolled into one act, meaning that the conditions set out by the CRA will now be much easier for staff members to follow. This greatly benefits short-staffed small businesses, as few can afford to devote a lot of time to staff training at this busy time of year.
In general, the CRA largely follows existing legislation closely by ensuring retailers guarantee that any products sold are fit for purpose and match descriptions both on the packaging and in any advertising materials. However, this regulation has now taken the form of a “statutory guarantee” rather than the implied contract terms previously relied upon, meaning retailers could potentially face high consequences for misleading consumers.
The CRA also clarifies the issue of the return period, which before stated only that consumers must return faulty goods to the point of purchase within a “reasonable time”. Obviously, this caused some debate over the definition of the timescale, so this has now been set at 30 days from purchase or delivery – largely to account for the high number of online orders which are sure to be returned over the festive period.
Yet retail firms are not the only businesses affected by the changes, as providers of services must also complete any contracted work within a reasonable time, at a reasonable cost and with reasonable skill and care. Additionally, consumers now have legal backing to request that any inadequate work be redone at no extra cost.
Writing in the Telegraph, lawyer Guy Wilmot, partner at Russell-Cooke, reassures retailers that they will be given a reasonable timeframe in which to adapt to new legislation.
He says; “The Act should pass in December but businesses mustn’t panic – you will have a few months to implement any necessary changes.”
Do you think this new Act will simplify consumer rights for both small retailers and their customers?
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