Can consumer protection laws help tenants who ask landlords for rent extensions? The issue divided the Court of Appeal. The essential elements of the Consumer Rights Act 2015 (Law) came into force on 1 October 2015. The law aims to make consumer protection legislation clearer and more understandable and to save time and money for consumers and businesses. The essential terms of the lease (the conditions under which the rent, the details of the property and the duration of the lease are fixed) must not be fair as long as they are “transparent” – as above, this means that they must be in clear and understandable language.  They may, however, be questioned in respect of aspects that do not concern matters that concern the substance of the treaty. For example, the concept of rent setting cannot be unfair simply because it sets a higher rent than other landlords, but it may be unfair because of the nature and date of the rent payment. Legislation on abusive contractual clauses depends on whether or not the contract begins before or after October 1, 2015. The Consumer Rights Act 2015 applies to agreements reached on or after that date. With respect to contracts concluded prior to that date, the unfair clauses of the 1999 Consumer Contracts Regulation (the “regulations”) continue to apply through the savings rules in derivative law.  The Consumer Rights Act maintains the key elements of the definition of an abusive concept contained in the regulations and consolidates many aspects of the previous act. In a case where neither landlords nor tenants would have entered into a tenancy agreement if they had not been informed by the housing allowance that they would pay 90% of the rent, it was examined whether the agreement had a tacit condition of termination of the contract if the housing allowance was not payable. Such an unspoken condition would only occur if the effect of the new cause (for example). B the unpaid benefit) had the effect of preventing the implementation of the agreement or withdrawing the agreement from the agreement in the original facts.
The Court of Appeal held that a condition should be included in the contract, namely that the contract should be terminated if the housing allowance was not payable.  Few donors would generally adhere to consumer law. Most homeowners normally call themselves investors, but they offer a service (a home) to consumers (their tenants). Therefore, consumer law applies to homeowners in one way or another. This also applies to homeowners who provide a service to the owners. Existing legislation required that the terms of the contract be transparent. However, the “celebrity test” is a new requirement for businesses. This addition means that brokers and owners need to be more vigilant to ensure that the “relevant conditions” are clear to consumers. Consumers may challenge the terms  arts.3 and 6 Consumer Rights Act 2015 (Start 3, Transitional Provisions, Savings and Consequential Amendments) Order 2015 SI 2015/1630; Para1.2 Unfair Clauses in Consumer Contract Consulting, CMA37, Competition and Markets Authority, July 2015. The regulations contain an “indicative and non-exhaustive list” of contractual clauses that may be considered abusive. The terms quoted refer to the “consumer” and the “seller/supplier” – in the context of the leases, the consumer is the tenant and the supplier the owner.
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