Cancellation of Contracts made in a Consumer’s Home or Place of Work etc. Regulations 2008 (“Doorstop Regulations”)
Many TESS Clients purchased their timeshare interest after resorts made an unsolicited approach, resulting in our Client attending a sales presentation. The sales presentations were in many cases were held not only away from our Client’s home but involved an excursion away from your own business premises. The Doorstep Regulations accordingly apply, and ,any times client can rely on Section 5 of the Regulations accordingly.
In selling timeshare interests to our Clients, resorts failed to comply with the Doorstep Regulations. In particular, they might have failed:
- to provide our Client with the required notice of right to cancel a purchase agreement and Membership in the Club;
- To provide our Client with a notice incorporating the required information set out in regulation 7 and Part 1 Schedule 4 of the Doorstep Regulations.
By failing to give our Client the necessary cancellation notice in the form required by the Regulations, our Client may have been denied key statutory information.
Breach of the Doorstop Selling Regulations has both civil and criminal consequences.
It is clear that Doorstep Selling Regulations envisage 2 outcomes:
- if the trader fails to give notice of the right to cancel in the required form to a consumer the contract is unenforceable ((Practice Regulation 7(6));
- if a consumer serves a cancellation notice within the cancellation period the contract is cancelled ((Regulation 8(1)).
For the avoidance of any doubt, resorts are not entitled to assert that the contract to purchase the timeshare interest has in any way been affirmed by performance. There is case authority on the point and we refer you to the case of W v Veolia Environmental Services (UK) Plc  EWHC 2020.
If a resort is unwilling to release TESS’s Client from this timeshare produce, our Clients will reserve their right to report the resort to Trading Standards (the Body responsible for enforcing compliance with the Regulations).
Last modified: 8th February 2016