Buying at home: off-premises contracts explained

In this guide, the words 'must' or 'must not' are used where businesses are legally required to do (or not do) something. The word 'should' is used where there is established legal guidance or best practice that is likely to help businesses avoid breaking the law.

This guidance is for England, Scotland and Wales

Traders must comply with the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 when they sell goods, services and digital content away from their business premises, such as on your doorstep, in your home or at your place of work. These are called 'off-premises' contracts.

You have the right to cancel most off-premises contracts and the cancellation period is 14 days. Traders must give you certain information before they make a contract with you. They must get your clear agreement if they want to charge you for any 'extras'. There are clear rules on delivery and the point at which you become responsible for the goods. If the trader supplies you with 'unsolicited' goods (goods that you have not ordered), you can keep them and you do not have to pay for them.

These Regulations also cover 'on-premises' contracts (when you buy from a trader at their business premises) and 'distance' contracts (when you buy without face-to-face contact with the trader, such as online).

You also have rights and remedies under the Consumer Rights Act 2015 when a trader supplies you with goods, services and digital content.

WHAT IS AN OFF-PREMISES CONTRACT?

An off-premises contract is a contract between you and a trader when any of the following occur:

• you buy goods, services or digital content away from a trader's business premises but with the trader present, such as at your home or place of work (for example, if a double glazing salesperson visits your home and you sign a contract)
• the trader organises an excursion to promote and sell their goods or services. The regulations do not explain what 'excursion' means but it is likely to include a trip arranged by a trader for you, and possibly others, to attend a venue for the purpose of selling particular goods and services
• you make an offer to buy with the trader present, but that offer is not made on the trader's business premises
• a contract is concluded on business premises or by distance means immediately after the trader has met with you in a place that is not their business premises

'Business premises' include the trader's permanent place of business as well as temporary sites where they normally operate, such as market stalls.

It is important to note that if a trader visits you at home and you do not immediately agree to go ahead with the contract (perhaps they leave a quotation with you or send you one later), it becomes an on-premises contract.

This means that the trader does not have to give you the same pre-contract information and does not have to give you cancellation rights. For example, a trader who supplies and installs kitchens calls at your home by appointment. After you have discussed your requirements, the trader measures up and then leaves you with a written quotation. You are told that the price quoted will be honoured if you go ahead with the contract within a specified number of months. A month later, you agree to sign the contract. As you did not agree to the contract immediately, it is classed as an on-premises contract, rather than an off-premises one.

WHICH TYPES OF CONTRACT DO THE REGULATIONS APPLY TO?

The contract you have with the trader will fall into one of the categories of contract listed below:

• sales contracts. Contracts for the sale of goods (such as household goods) and contracts for the supply of goods with services (such as mobile phones with airtime or a central heating system)
• service contracts. Contracts for the supply of services only (such as carpet cleaning, fitness classes or golf lessons)
• digital content. Contracts for data that is produced and supplied in a digital form (such as music, games, ringtones, computer software, apps or film downloads)

WHAT IS AN ANCILLARY CONTRACT?

An ancillary contract is an 'extra' to the main contract. For example, a warranty on a washing machine or insurance cover on a high-value watch. To qualify as an ancillary contract, it must be for the purchase of goods or services connected to the main contract, and provided by the trader to the main contract or by a third party that the trader has an arrangement with. If you cancel the main contract, the regulations state that the ancillary contract is automatically cancelled (generally without any cost to you) and the trader must inform the third party provider.

WHICH CONTRACTS DON'T THE REGULATIONS APPLY TO?

Not all sales, service and digital content contracts are covered by these Regulations, but you will have rights under other legislation. The excluded contracts are:

• gambling, including lotteries
• services of a banking, credit, insurance, personal pension, investment or payment nature (warranties, credit agreements and insurance that are offered as extras with the sale of non-financial goods or services, such as double glazing, will still need to satisfy the conditions for the cancellation of ancillary contracts)
• creation or sale of immoveable property - for example, the construction of a new building
• rental of residential accommodation
• construction of new buildings or substantially new buildings by the conversion of existing buildings
• supply of food, drink and other such consumables by a trader on regular rounds to your home, residence or workplace
• package travel, holidays and tours
• timeshare, long-term holiday products, resale and exchange contracts
• goods sold from automatic vending machines
• contracts made from a public phone and via one single connection by phone or online

INFORMATION THE TRADER MUST GIVE YOU

When you buy goods, services or digital content under an off-premises contract, you are entitled to expect that the trader provides you with certain information, as set out below. This information must be given on paper or, if you agree, in another durable form, such as email. It must be clear, understandable and legible, and provided before you enter into the contract. Under the Consumer Rights Act 2015, this information is considered a term of the contract you have with the trader (unless it relates to the main characteristics of the goods or the main characteristics, functionality and compatibility of digital content). If a trader does not provide you with the required information, or it is changed without your clear agreement, you can make a claim to have your costs (if you have any) reimbursed.

The required information includes:

• main characteristics of the goods, services or digital content
• identity of the trader (or trading name), geographical address, telephone number and email address
• an address you can complain to (only required if it is different to the geographical address) and details of any complaint-handling policy. If the trader is a member of an out-of-court complaint-and-redress scheme, they must give you the details
• total price of the goods, services or digital content, including taxes. If the price cannot be worked out in advance, you must be given the method of calculation
• details of costs:
  • all additional delivery charges*
  • total costs per billing period / monthly costs for open-ended or subscription contracts*
  • the cost of using the type of distance communication to finalise the contract if it is charged at more than the basic rate (for example, if there was an extra charge for buying by phone rather than online)
  • If the trader wants you to pay to return the goods when you cancel, they need to inform you in advance*
• arrangements for payment, delivery, performance and how long it will take to deliver the goods, to perform the services or to supply the digital content
• the length of the contract and, if it is open-ended or one that is extended automatically, how you can cancel it. Where applicable, the trader must inform you if there is a minimum duration of the contract
• cancellation requirements (the time limit and procedures for cancelling). If you ask the trader to start a service contract within the cancellation period and then decide to cancel, you may have to pay reasonable costs for the service you have received. If you have a right to cancel, a cancellation form must be provided on paper or, if you agree, in another durable form, such as email
• in sales contracts, the trader must remind you that they are required by law to supply goods that are in conformity with the contract (in other words, goods that are not faulty)
• details of any after-sales customer assistance / services and guarantees, as well as details of any relevant codes of conduct and how copies can be obtained. If you are required to pay a deposit or financial guarantee, you must be given the details
• digital content functionality, including any technical protection measures and any relevant compatibility of digital content with hardware and software

*If the trader does not give you this information, you do not have to pay those charges

If you ask a trader to perform a repair or maintenance service immediately and it costs £170 or less, the trader does not have to provide the information listed above. However, there are rules that they must satisfy before the contract is made:

• the trader must give their name and address (or the name and address of any trader they are acting for), the total price (or an estimate) of the goods or services and details of delivery costs. If you have a right to cancel, you must be given a cancellation form
• the trader must provide details about the goods or service, information on cancellation rights, give an explanation of the circumstances when there is no right of cancellation or when there are conditions attached to the right to cancel

After the contract is made, you must be given a copy of the signed contract or confirmation of the contract in a durable form (such as paper or email), which includes all the information listed above. If the trader gave you this information before the contract was concluded, they don't have to give you it again. This information forms part of the contract that you have with the trader. If the trader changes the information, either before you make the contract or at a later stage, it does not take effect unless you and the trader have clearly agreed that it will.

If you want to download or stream digital content (content that is not on a tangible medium, such as a disc) supplied by a trader within the cancellation period, you can do so as long as you expressly request it and acknowledge that you will lose your right to cancel.

Note that this part of the Regulations does not apply to NHS medicinal products or services, passenger transport contracts or to contracts where you pay no more than £42.

CONTRACTS YOU CAN'T CANCEL

There are certain contracts that you do NOT have the right to cancel under these Regulations. You should check the list below before assuming you have cancellation rights:

• NHS medicinal products or services
• passenger transport services - for example, bus, train or flights
• contracts for £42 or less
• supply of goods or services, where the price depends on fluctuations in the financial markets beyond the control of the trader (this does not apply to water, gas, electricity or district heating)
• supply of goods that have been made to your specification or clearly personalised, such as a photograph printed onto a t-shirt or made-to-measure curtains and, in some cases, goods supplied for home improvements, such as double glazing
• supply of goods that would deteriorate rapidly, such as fresh flowers
• supply of alcohol, such as investment wines and spirits, where the contract price is fixed, delivery takes place after 30 days and the value depends on fluctuations of the market
• contracts where you request a visit from a trader to carry out urgent repairs or maintenance
• supply of newspapers, periodicals or magazines. You still have a right to cancel subscriptions contracts for such items
• contracts made at a public auction. Internet auction sites are not 'public auctions' as defined in the Regulations, so they must give you cancellation rights
• supply of accommodation, transport of goods, vehicle rental, catering or services related to leisure activities if the contract states when the service has to be performed - for example, hotel and restaurant bookings for particular dates

Be aware that if you unseal goods after delivery that must remain sealed for health or hygiene reasons, unseal audio, video or computer software after delivery or mix goods with other goods after delivery so that they are inseparable (such as mixing sand with cement), you lose your right to cancel the contract.

YOUR RIGHT TO CANCEL THE CONTRACT

The Regulations give you the right to cancel an off-premises contract at any time and for any reason within the cancellation period. You also have the right to withdraw your offer to buy before the contract is made.

If the trader does not provide you with information on your cancellation rights, the cancellation period can be extended by up to 12 months, depending on when / whether the information is provided.

It is a criminal offence if a trader fails to give you a notice of your right to cancel, fails to inform you that you may have to pay the cost of returning goods if you cancel and fails to inform you that you have to pay for services when you ask for them to be carried out within the cancellation period. Report your complaint to the Citizens Advice consumer service so that it can be referred to Trading Standards.

You have the right to cancel the contract before it begins or cancel a contract during the cancellation period by informing the trader of your intentions. You can use the cancellation form provided by the trader if you wish (but you do not have to). You are entitled to a refund of all payments, including payment for, or equivalent to, the cost of basic delivery (if you choose delivery arrangements that are more expensive than the basic type, you will not get a refund for this). This must be within 14 days or, if you are returning goods, 14 days from when the trader received the goods back from you. If you can provide evidence to show that you returned the goods, you can obtain your refund earlier. The trader must collect the goods after cancellation if they agreed to do so or if they were delivered to your home and cannot be returned by post, otherwise you are responsible for returning them within 14 days from cancellation. Unless the trader has agreed to pay the return costs, you must do so, but the trader is required to inform you of this. The trader is not allowed to charge you a cancellation fee.

You are entitled to check the goods to make sure you are happy with their nature, characteristics and function, but if the trader believes you have used them more than was necessary to decide if they are suitable, they may be able to claim compensation from you up to the contract price. Try to treat goods like you would in a shop. How would you inspect them in a shop before you bought them?

There are times when you may want the trader to start a service straight away. You are required to make this request in a durable form, such as in writing or by email.

Under these circumstances, the trader must inform you that you lose your right to cancel once the contract has been performed (this does not apply to utility contracts). If the service has not been completed and you cancel within the cancellation period, you will have to pay for the part of the service that the trader has carried out. If goods are supplied with a service, you have the right to return the goods if you cancel within the cancellation period, but you may be liable to pay some or all of the service costs. For example, if you have a washing machine installed and you decide to cancel within your cancellation period, you must get a refund for the washing machine, but you may have to pay any installation charges.

ADDITIONAL PAYMENTS UNDER THE CONTRACT

If the trader offers you an 'extra' that is linked to the main contract, such as gift wrapping, special delivery, a warranty, credit or insurance, they must always get your clear agreement to charge you for it. This means that the trader cannot have a pre-ticked box in an order form, for example, that you have to 'un-tick' or ask the trader to remove to avoid payment. If you did not agree, you will not have to pay and if you have paid, you are entitled to claim a refund.

TELEPHONE HELPLINE CHARGES

If the trader provides a telephone helpline for you to contact them about a contract that you have entered into, they can only charge you the 'basic rate'. This means the normal geographic or mobile rate. Numbers beginning with the prefixes 01, 02, 03 or 07 (except those beginning with 070) and Freephone numbers beginning with 0800 and 0808 meet the requirements of the Regulations. If the trader charges you more than the basic rate, you are entitled to reclaim the extra from them.

DELIVERY OF GOODS

Requirements covering the delivery of goods were removed from these Regulations and are set out, as below, in the Consumer Rights Act 2015.

The trader must deliver the goods to you unless you have agreed otherwise. The goods must be delivered without undue delay or, in any event, not more than 30 days after the day on which you entered the contract. This does not prevent you and the trader from agreeing your own arrangements for delivery, but you should ensure this arrangement is written into the contract.

You are entitled to cancel the contract and claim a full refund if any of the following apply:

• the goods are not delivered within 30 days
• the trader refuses to deliver the goods
• the trader fails to deliver the goods by the agreed time or within the agreed period and it is clear from circumstances that were apparent when the contract was made that the time or period for delivery was essential
• you told the trader before you entered into the contact that delivery without undue delay, within 30 days, at the agreed time or within the agreed period was essential
• in any other circumstances, you specify a period for delivery of the goods, usually in writing, which the trader fails to meet

If you order multiple goods from the trader and some of them are not delivered on time or not at all, you have an alternative to ending the contract. You can cancel the order for any of the goods or reject goods that have been delivered. The trader must refund you for the part of the order you cancelled or for the goods you rejected. Where goods form part of a 'commercial unit' (for example, a set of cutlery), you cannot cancel part of the order, you have to cancel the whole order. These Regulations do not prevent you from seeking other remedies for late delivery if you so wish.

WHEN ARE YOU RESPONSIBLE FOR THE GOODS?

Requirements covering the delivery of goods were removed from these Regulations and are set out, as below, in the Consumer Rights Act 2015.

You become responsible for the goods when you, or a person you nominate, takes physical possession of them on delivery. Until that time, the trader is responsible for them even if they use a carrier. For example, if a carrier makes a mistake with a parcel and delivers it to the wrong address, responsibility for the undelivered goods still rests with the trader. If you organise your own carrier, then the trader is only responsible for the goods until your carrier takes possession of them.

INERTIA SELLING

If a trader supplies unsolicited goods, you are entitled to keep them as an unconditional gift and do not have to pay for them. Inertia selling is a banned practice under the Consumer Protection from Unfair Trading Regulations 2008.

'ON-PREMISES' AND 'DISTANCE' CONTRACTS

These Regulations also deal with a trader's obligations when they sell from their business premises (including mobile premises) and when they sell at a distance without face-to-face contact with you.

See the guides 'Buying from business premises: on-premises contracts explained' and 'Buying by internet, phone and mail order: distance contracts explained' for information on these other types of contract.

WHAT ABOUT FAULTY GOODS OR DIGITAL CONTENT, OR A SERVICE THAT IS BELOW A REASONABLE STANDARD?

The Regulations described above are in addition to the rights and remedies you have under the Consumer Rights Act 2015 when goods, digital content or services are supplied to you.

The 'Sale and supply of goods: your consumer rights' , 'Supply of digital content: your consumer rights' and 'Supply of services: your consumer rights' guides give more information on your rights and remedies.

The 'Sale and supply of goods: what to do if things go wrong' , 'Supply of digital content: what to do if things go wrong' and 'Supply of services: what to do if thing go wrong' guides give you a clear direction to follow when you want to complain.

IN THIS UPDATE

No major changes.

Last reviewed / updated: August 2024

Key legislation

• Consumer Protection from Unfair Trading Regulations 2008
• Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013
• Consumer Rights Act 2015

Please note

This information is intended for guidance; only the courts can give an authoritative interpretation of the law.

The guide's 'Key legislation' links may only show the original version of the legislation, although some amending legislation is linked to separately where it is directly related to the content of a guide. Information on amendments to legislation can be found on each link's 'More Resources' tab.

For further information in England and Wales contact the Citizens Advice consumer service on 0808 2231133. In Scotland contact Advice Direct Scotland on 0808 164 6000. Both provide free, confidential and impartial advice on consumer issues.

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