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Summer 2003 Newsletter

 

Content

What cash says about you
Schedule E is dead
Flat Rate Scheme
Business in the house
TIGER, TIGER, burning bright
Buyer beware
A question of interest
Is it a car? Is it a heap?
Retire to a safe distance
Paternity leave
Off the back of a lorry?
Partners in crime
You can't have it both ways
Two's company
Options Open
Tax credit chaos
Congestion Charging
Landlord's delight
Stamp Duty splits
Another PAYE year
IR35 strikes again
Simpler by the year
Ain't necessarily so
Elementary deductions
New rules for goods
Sell low, buy high?
Pension problems

 

New rules for goods

A number of different consumer protection rules, including the Sale of Goods Act 1979, have been amended with effect from 31 March 2003. The changes give consumers - which include businesses, if they are not buying for trade - more rights against their suppliers. You will need to know what you are entitled to as a consumer, and what you are obliged to do as a supplier.

The old test of 'fitness for purpose' is extended in the new requirement for 'conformity with contract'. This includes conformity with any published description or advertising, as well as fitness for the purposes normally intended for such goods, and suitability for any purpose declared by the customer.

If non-conformity is discovered within six months of delivery, there will be a presumption that it was not right from the outset. But non-conformity discovered within two years will be the seller's liability, if it can be shown that the problem existed on delivery.

There are also new remedies. A product that does not conform must be repaired or replaced for free within a reasonable time and without inconvenience. The repair option may therefore involve the seller in providing a temporary replacement while the work is carried out.

There are a number of other detailed changes, and anyone who deals in goods should make sure that they are fully aware of all the consequences.

The new rules are the Sale and Supply of Goods to Consumers Regulations (SI 2002/3045), which are written up in Accountancy, March 2003 p130.

 
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