The Supply of Extended Warranties on Domestic Electrical Goods Order 2005

Citation commencement and interpretation

1.—(1) This Order may be cited as the Supply of Extended Warranties on Domestic Electrical Goods Order 2005.

(2) This Order shall come into force on 6th April 2005.

(3) In this Order—

“domestic electrical good” means a product designed to be connected to an electricity supply or powered by batteries and used for domestic purposes, but does not include watches, jewellery or fixed installations (other than integrated appliances);

“domestic electrical good cover” means cover which at least provides cover against the cost of repairing or replacing a domestic electrical good in the event of a breakdown and which may also provide additional cover against eventualities such as accidental damage, loss or theft and assistance in setting up and operating a domestic electrical good;

“extended warranty” means a contract for domestic electrical good cover entered into by a consumer for monetary consideration;

“further relevant information” means information indicating in general terms—

(a)

the relevant statutory rights of a consumer relating to the purchase of a domestic electrical good and where further information may be obtained in relation to such rights,

(b)

that extended warranties may be available from other persons,

(c)

that household insurance may be relevant to the purchase of a domestic electrical good,

(d)

that an extended warranty does not have to be purchased at the same time as a domestic electrical good,

(e)

any cancellation and termination rights pursuant to article 8,

(f)

the nature of the financial protection provided to a consumer who purchases an extended warranty offered by the supplier in the event of the provider going out of business, and

(g)

whether or not an extended warranty offered by the supplier will be terminated in the event of a claim being made;

“offer” includes an invitation to treat;

“provider” means the person who enters into a contract with a consumer for the provision of an extended warranty;

“supplier” means a person who offers to supply a consumer with an extended warranty, either directly or on behalf of a third party, at the same time as offering to supply a consumer with a domestic electrical good (to which that extended warranty relates) or immediately subsequent to the sale of a domestic electrical good (to which that extended warranty relates); and

“Tax” means Value Added Tax or Insurance Premium Tax.

(4) For the purposes of articles 3 to 6, the price and duration of an extended warranty that is applicable to a range of domestic electrical goods shall be treated as displayed, advertised or published in close proximity to that range if the price and duration may be seen when looking at any of the domestic electrical goods in that range.