Legal Guidance for Business Sellers
Sellers who run a business selling items on Taxiauctions.co.uk
have a number of legal obligations, ranging from general trading laws such as
the Sale of Goods Act, specific trading laws that may apply depending on the type
of goods traded (
Guidance notes
from Trading Standards are a useful starting point for further information),
and specific laws that apply to online sales, such as the distance selling
regulations. This page is a brief introduction to the most important laws
applicable to online trading, together with links to other websites that offer
further information.
Please note that this page is for informational purposes only
and is not intended to be legal advice. If you are unclear about the way that
any of these laws may apply to you, please seek advice from a lawyer, trading
standards officer or similar professional.
Sale of Goods Act
The Sale of Goods Act 1979 is one of the most important laws
to be aware of when selling goods on Taxiauctions.co.uk in the course of a
business. You are responsible for ensuring that any goods you sell on Taxi
Auctions are:
- in accordance with the description you have given in the item listing;
- of satisfactory quality; and
- fit for their purpose.
Goods are of satisfactory quality if they reach the standard
that a reasonable person would regard as satisfactory, taking into account the
price and the item description. Indications of quality include fitness for
purpose, freedom from defects, appearance and finish, durability and safety. It
is the seller, not the manufacturer, who is responsible for the goods.
This is a complicated law and for more information on your
responsibilities we recommmend that you visit Business Link's
guide
to the Sale of Goods Act, the DTI's
Sale of Goods Fact
Sheet and information from
Trading
Standards.
Other trading and consumer protection laws
Trade descriptions and fair trading laws will also apply to
you when selling on Taxiauctions.co.uk as a business. For example, the Trade
Descriptions Act 1968 makes it an offence to:
- apply a false description to any items; or
- supply or offer to supply any items to which a false description is applied.
For further information, please visit Businesslink's
guide
to fair trading, trade descriptions and Trading Standards and
fair trading advice leaflets from Trading Standards. In addition if you are a business
selling to consumers you should be aware of consumer's legal rights, and
further information can be obtained at Businesslink's
consumer
protection guide and
consumer
protection advice leaflets from Trading Standards.
Distance Selling Regulations
The Consumer Protection (Distance Selling) Regulations 2000
apply to sales to consumers made by sellers acting in the course of a business
which have been concluded at a distance. In other words, where there is no face
to face contact between the seller and the consumer. This would usually cover
sales made over the internet, for example, via Taxiauctions.co.uk.
Business sellers need to comply with a certain number of
obligations such as:
- providing clear information about themselves and their items and
- providing consumers with a period of seven working days in which the consumer can cancel the contract (often referred to as the "cooling off" period).
To get a general idea of the laws governing distance sales,
we recommend that you review the DTI's summary of the Regulations which are
available
here.
E-Commerce Regulations
In addition to the Distance Selling Regulations, which apply
to businesses selling to consumers, there are further rules in the Electronic
Commerce (EC Directive) Regulations 2000 which apply regardless of whether the
buyer is a consumer or another trader. In addition to providing the required
information under the Distance Selling Regulations (where applicable) the
seller must also provide other information such as
- the name, geographic address and email address of the seller's business;
- details of any relevant trade organisations to which the seller belongs;
- details of any authorisation scheme relevant to the seller's online business; and
- the seller's VAT number, if the online activities are subject to VAT.
For further information we recommend that you visit the
DTI's website, particularly the
Beginners Guide to the E-Commerce Regulations 2002.