Know your customer's rights or suffer the consequences

It’s fair to say that the few builders who disappoint consumers to the point of distrust don’t do the domestic building industry any favours. Consumers feel more confident about choosing a builder who provides transparent information. A clear and detailed quotation, evidence of health and safety planning, a contract and payment schedule, are all important - something that Which? the consumer magazine encourages.

On the subject of contracts, please note you cannot enforce a contract if you don’t provide a customer with a ‘notice of the right to cancel’. It is a criminal offence not to supply the consumer with a written notice of their right to cancel, in the correct format. And this applies to builders – no one is above the law!

It is a legal requirement to inform the client that they can cancel any agreement within a seven-day cooling-off period under The Cancellation of Contracts made in a Consumer’s Home or Place of Work etc. Regulations 2008.

The regulations apply to any contract between a consumer and trader, for the supply of goods or services to the consumer by a trader, which is made during a visit by the trader. This visit can be to the consumer’s home or place of work, to the home or 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 regulations require cancellation rights to be clearly and prominently displayed. Not only would you be breaking the law, you’re also at risk of losing a lot of money. Without the notice, the contract becomes unenforceable. Put simply, the consumer does not have to pay. This could be a high price to pay for failure to give the customer a piece of paper!

ContractsXpert now combines the notice of right to cancel and 7-day cooling off period with the domestic contract. ContractsXpert software protects both the builder and the customer. Everyone knows from the outset what is going to happen – the work covered, its value, obligations, payment timings, defect, termination, warranties, insurance, dispute resolution and more. Further details here.

You can read more on the Government website about the legal requirement for the Notice of the right to cancel here