Part I Introductory
F541 Director General of Fair Trading.
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F612 General functions of Director.
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F553 Consumer Protection Advisory Committee.
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F14. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F735 Principal functions of Commission.
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F586 Monopoly situation in relation to supply of goods.
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F587 Monopoly situation in relation to supply of services.
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F588 Monopoly situation in relation to exports.
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F589 Monopoly situation limited to part of United Kingdom.
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F5810 Supplementary provisions relating to ss. 6 to 9.
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F5811 Meaning of “complex monopoly situation”.
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F5612 Powers of Secretary of State in relation to functions of Director.
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C19Part II References to Consumer Protection Advisory Committee
General provisions
F5313 Meaning of “consumer trade practice”.
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F5314 General provisions as to references to Advisory Committee.
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F5315 Exclusion from s. 14 in respect of certain services.
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F5316 Restriction on references under s. 14 in respect of certain goods and services.
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F5317 Reference to Advisory Committee proposing recommendation to Secretary of State to make an order.
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F5318 No such recommendation to be made except in pursuance of reference to which s. 17 applies.
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F5319 Scope of recommendation proposed in reference to which s. 17 applies.
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F5320 Time-limit and quorum for report on reference to which s. 17 applies.
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F5321 Report of Advisory Committee on reference to which s. 17 applies.
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Order in pursuance of report of Advisory Committee
F5722 Order of Secretary of State in pursuance of report on reference to which s. 17 applies.
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23 Penalties for contravention of order under s. 22.
Subject to the following provisions of this Part of this Act, any person who contravenes a prohibition imposed by an order under section 22 of this Act, or who does not comply with a requirement imposed by such an order which applies to him, shall be guilty of an offence and shall be liable—
a
on summary conviction, to a fine not exceeding £400;
b
on conviction on indictment, to a fine or to imprisonment for a term not exceeding two years or both.
24 Offences due to default of other person.
Where the commission by any person of an offence under section 23 of this Act is due to the act or default of some other person, that other person shall be guilty of the offence, and a person may be charged with and convicted of the offence by virtue of this section whether or not proceedings are taken against the first-mentioned person.
25 Defences in proceedings under s. 23.
1
In any proceedings for an offence under section 23 of this Act it shall, subject to subsection (2) of this section, be a defence for the person charged to prove—
a
that the commission of the offence was due to a mistake, or to reliance on information supplied to him, or to the act or default of another person, an accident or some other cause beyond his control, and
b
that he took all reasonable precautions and exercised all due diligence to avoid the commission of such an offence by himself or any person under his control.
2
If in any case the defence provided by the preceding subsection involves the allegation that the commission of the offence was due to the act or default of another person or to reliance on information supplied by another person, the person charged shall not, without leave of the court, be entitled to rely on that defence unless, within a period ending seven clear days before the hearing, he has served on the prosecutor a notice in writing, giving such information identifying or assisting in the identification of that other person as was then in his possession.
3
In proceedings for an offence under section 23 of this Act committed by the publication of an advertisement, it shall be a defence for the person charged to prove that he is a person whose business it is to publish or arrange for the publication of advertisements, and that he received the advertisement for publication in the ordinary course of business and did not know and had no reason to suspect that its publication would amount to an offence under section 23 of this Act.
26 Limitation of effect of orders under s. 22.
A contract for the supply of goods or services shall not be void or unenforceable by reason only of a contravention of an order made under section 22 of this Act; and, subject to the provisions of F2section 18 of the M1Interpretation Act 1978 (which relates to offences under two or more laws), the provisions of this Part of this Act shall not be construed as—
a
conferring a right of action in any civil proceedings (other than proceedings for the recovery of a fine) in respect of any contravention of such an order, or
b
affecting any restriction imposed by or under any other enactment, whether public, local or private, or
c
derogating from any right of action or other remedy (whether civil or criminal) in proceedings instituted otherwise than under this Part of this Act.
Enforcement of orders
27 Enforcing authorities.
1
It shall be the duty of every local weights and measures authority to enforce within their area the provisions of any order made under section 22 of this Act; . . . F3
2
Nothing in subsection (1) shall be taken as authorising a local weights and measures authority in Scotland to institute proceedings for an offence.
28 Power to make test purchases.
A local weights and measures authority may make, or may authorise any of their officers to make on their behalf, such purchases of goods, and may authorise any of their officers to obtain such services, as may be expedient for the purpose of determining whether or not the provisions of any order made under section 22 of this Act are being complied with.
29C19 Power to enter premises and inspect and seize goods and documents.
1
A duly authorised officer of a local weights and measures authority, or a person duly authorised in writing by the Secretary of State, may at all reasonable hours, and on production, if required, of his credentials, exercise the following powers, that is to say—
a
he may, for the purpose of ascertaining whether any offence under section 23 of this Act has been committed, inspect any goods and enter any premises other than premises used only as a dwelling;
b
if he has reasonable cause to suspect that an offence under that section has been committed, he may, for the purpose of ascertaining whether it has been committed, require any person carrying on a business or employed in connection with a business to produce any books or documents relating to the business and may take copies of, or of any entry in, any such book or document;
C16c
if he has reasonable cause to believe that such an offence has been committed, he may seize and detain any goods for the purpose of ascertaining, by testing or otherwise, whether the offence has been committed;
C16d
he may seize and detain any goods or documents which he has reason to believe may be required as evidence in proceedings for such an offence;
e
he may, for the purpose of exercising his powers under this subsection to seize goods, but only if and to the extent that it is reasonably necessary in order to secure that the provisions of an order made under section 22 of this Act are duly observed, require any person having authority to do so to break open any container or open any vending machine and, if that person does not comply with the requirement, he may do so himself.
2
A person seizing any goods or documents in the exercise of his powers under this section shall inform the person from whom they are seized and, in the case of goods seized from a vending machine, the person whose name and address are stated on the machine as being the proprietor’s or, if no name and address are so stated, the occupier of the premises on which the machine stands or to which it is affixed.
3
If a justice of the peace, on sworn information in writing,—
a
is satisfied that there is reasonable ground to believe either—
i
that any goods, books or documents which a person has power under this section to inspect are on any premises and that their inspection is likely to disclose evidence of the commission of an offence under section 23 of this Act, or
ii
that any offence under section 23 has been, is being or is about to be committed on any premises, and
b
is also satisfied either—
i
that admission to the premises has been or is likely to be refused and that notice of intention to apply for a warrant under this subsection has been given to the occupier, or
ii
that an application for admission, or the giving of such a notice, would defeat the object of the entry or that the premises are unoccupied or that the occupier is temporarily absent, and it might defeat the object of the entry to await his return,
the justice may by warrant under his hand, which shall continue in force for a period of one month, authorise any such officer or other person as is mentioned in subsection (1) of this section to enter the premises, if need be by force.
In the application of this subsection to Scotland, “justice of the peace” shall be construed as including a sheriff and a magistrate.
4
A person entering any premises by virtue of this section may take with him such other persons and such equipment as may appear to him necessary; and on leaving any premises which he has entered by virtue of a warrant under subsection (3) of this section he shall, if the premises are unoccupied or the occupier is temporarily absent, leave them as effectively secured against trespassers as he found them.
5
Nothing in this section shall be taken to compel the production by a barrister, advocate or solicitor of a document containing a privileged communication made by or to him in that capacity or to authorise the taking of possession of any such document which is in his possession.
30 Offences in connection with exercise of powers under s. 29.
1
Subject to subsection (6) of this section, any person who—
a
wilfully obstructs any such officer or person as is mentioned in subsection (1) of section 29 of this Act acting in the exercise of any powers conferred on him by or under that section, or
b
wilfully fails to comply with any requirement properly made to him by such an officer or person under that section, or
c
without reasonable cause fails to give to such an officer or person so acting any other assistance or information which he may reasonably require of him for the purpose of the performance of his functions under this Part of this Act,
shall be guilty of an offence.
2
If any person, in giving any such information as is mentioned in subsection (1)(c) of this section, makes any statement which he knows to be false, he shall be guilty of an offence.
F623
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4
If any person who is neither a duly authorised officer of a weights and measures authority nor a person duly authorised in that behalf by the Secretary of State purports to act as such under section 29 of this Act or under this section, he shall be guilty of an offence.
5
Any person guilty of an offence under subsection (1) of this section shall be liable on summary conviction to a fine not exceeding F4level 3 on the standard scale; and any person guilty of an offence under subsection (2)F63... or subsection (4) of this section shall be liable—
a
on summary conviction, to a fine not exceeding £400;
b
on conviction on indictment, to a fine or to imprisonment for a term not exceeding two years or to both.
6
Nothing in this section shall be construed as requiring a person to answer any question or give any information if to do so might incriminate that person or (where that person is F97married or a civil partner) the spouse or civil partner of that person.
C17C1931C19 Notice of test.
Where any goods seized or purchased by a person in pursuance of this Part of this Act are submitted to a test, then—
a
if the goods were seized, he shall inform any such person as is mentioned in section 29(2) of this Act of the result of the test;
b
if the goods were purchased and the test leads to the institution of proceedings for an offence under section 23 of this Act, he shall inform the person from whom the goods were purchased, or, in the case of goods sold through a vending machine, the person mentioned in relation to such goods in section 29(2) of this Act, of the result of the test;
and where, as a result of the test, proceedings for an offence under section 23 of this Act are instituted against any person, he shall allow that person to have the goods tested on his behalf if it is reasonably practicable to do so.
C19C1832C19 Compensation for loss in respect of goods seized under s. 29.
1
Where in the exercise of his powers under section 29 of this Act a person seizes and detains any goods, and their owner suffers loss by reason of their being seized or by reason that the goods, during the detention, are lost or damaged or deteriorate, unless the owner is convicted of an offence under section 23 of this Act committed in relation to the goods, the appropriate authority shall be liable to compensate him for the loss so suffered.
2
Any disputed question as to the right to or the amount of any compensation payable under this section shall be determined by arbitration and, in Scotland, by a single arbiter appointed, failing agreement between the parties, by the sheriff.
3
In this section “the appropriate authority”—
a
in relation to goods seized by an officer of a local weights and measures authority, means that authority, and
b
in any other case, means the Secretary of State.
33 Application of Part II to Northern Ireland.
1
It shall be the duty of F5the Department of Commerce for Northern Ireland to enforce in Northern Ireland the provisions of any order under section 22 of this Act.
2
In the application of this Part of this Act to Northern Ireland—
a
section 27 shall not apply;
b
in sections 28 and 29, any reference to a local weights and measures authority shall be construed as a reference to F5the Department of Commerce for Northern Ireland, and the provisions of sections 30 to 32 shall be construed accordingly;
c
in section 29(3), any reference to a justice of the peace shall be construed as a reference to a resident magistrate; and
F6d
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C2 Part III Additional Functions of Director for Protection of Consumers
Pts. III, IV (ss. 34-56) amended (E.W.) (01.12.1991) by Water Industry Act 1991 (c. 56, SIF 130), ss. 31(4)(a), 35(4), 223(2) (with ss. 82(3), 186(1), 188, 222(1), Sch. 14 para. 6).
Pt. III modified (1.4.1992) by S.I. 1992/231 (N.I. 1), art. 46(1); S.R. 1992/117, art.3(1)
Pt. III (ss. 34-43) modified (E.W.S.) by Electricity Act 1989 (c. 29, SIF 44:1), s. 43(1)
Pt. III (ss. 34-43) modified (E.W.) by Water Act 1989 (c. 15, SIF 130), s. 28(1)
Pt. III (ss. 34-43) modified by Telecommunications Act 1984 (c. 12, SIF 96), s. 50(1)
Pt. III (ss. 34-43): certain functions transferred (E.W.S.) (1.4.1994) by 1993 c. 43, s. 67(1); S.I. 1994/571, art. 5
Pt. III (ss. 34-43) amended (E.W.S.) (1.4.1994) by 1993 c. 43, s. 67(1); S.I. 1994/571, art. 5
Pt. III (ss. 34-43) modified (E.W.S.) (1.3.1996) by 1986 c. 44, s. 36A(1) (as inserted (1.3.1996) by 1995 c. 45, s. 10(1), Sch. 3 para. 43; S.I. 1996/218, art. 2)
Pt. III (ss. 34-43) modified (N.I.) (10.6.1996) by S.I. 1996/275 (N.I. 2), art. 23(1) (with Sch. 7 paras. 2, 3(2)); S.R. 1996/216, art. 2
Pt. III (ss. 34-43) modified (1.6.2001) by S.I. 2001/1422, reg. 3, Sch. 2
F5934 Action by Director with respect to course of conduct detrimental to interests of consumers.
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F5935 Proceedings before Restrictive Practices Court.
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F5936 Evidence in proceedings under s. 35.
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F5937 Order of, or undertaking given to, Court in proceedings under s. 35.
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F5938 Provisions as to persons consenting to or conniving at courses of conduct detrimental to interests of consumers.
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F5939 Order of, or undertaking given to, Court in proceedings under s. 38.
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F5940 Provisions as to interconnected bodies corporate.
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F5941 Concurrent Jurisdiction of other courts in certain cases.
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F5941A Meaning of “relevant Court”.
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F5942 Appeals from decisions or orders of courts under Part III.
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43 Legal aid in proceedings under Part III in Restrictive Practices Court. C1
1
The paragraph set out in the next following subsection shall be inserted—
a
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b
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c
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2
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Part IV Functions of Director and Commission in Relation to Monopoly Situations and Uncompetitive Practices
Powers for Director to require information
F6044 General power for Director to require information.
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F6046 Supplementary provisions as to requirements to furnish information.
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Monopoly references
F6047 General provisions as to monopoly references
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F6048 Monopoly reference limited to the facts.
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F6049 Monopoly reference not limited to the facts.
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F6050 Monopoly references by Director.
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F6051 Monopoly references by Ministers.
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F6052 Variation of monopoly reference.
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F6053 Publication of monopoly references and variations, and of directions relating to them.
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F6054 Report of Commission on monopoly reference.
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F6055 Time-limit for report on monopoly reference.
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F6056 Order of appropriate Minister on report on monopoly reference.
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Undertakings as alternative to monopoly reference by Director
F6056A Proposals by Director.
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F6056B Proposals under section 56A: preparatory steps.
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F6056C Proposals under section 56A: exclusion of sensitive information.
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F6056D Acceptance by Secretary of State of proposals under section 56A.
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F6056E Review of undertakings.
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F6056F Release, variation and replacement of undertakings.
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F6056G Publication of undertakings etc.
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C4C5C6C7 Part V Mergers
Pt. V (ss. 57–77) restricted (E.W.) by Water Act 1989 (c. 15, SIF 130), s. 30(4)
Pt. V (ss. 57–77) applied (E.W.) by Water Act 1989 (c. 15, SIF 130), ss. 29(9)(b), 30(6)
Pt. V (ss. 57-77) restricted (E.W.) (01.12.1991) by Water Industry Act 1991 (c. 56, SIF 130), ss. 34(4), 223(2) (with ss. 82(3), 186(1), 188, 222(1), Sch. 14 para. 6).
Pt. V (ss. 57-77 ) applied (E.W.) (01.12.1991) by Water Industry Act 1991 (c. 56, SIF 130), ss. 35(2), 223(2) (with ss. 82(3), 186(1), 188, 222(1), Sch. 14 para. 6).
Newspaper merger references
F7257 Meaning of “newspaper”, “transfer of newspaper or of newspaper assets” and related expressions.
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F7258 Prohibition of certain newspaper mergers.
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F7259 Newspaper merger reference.
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F7260 Time-limit for report on newspaper merger reference.
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F7261 Report on newspaper merger reference.
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F7262 Enforcement provisions relating to newspaper mergers.
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Other merger references
F8963 Mergers references to which ss. 64 to 75 apply.
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F8964 Merger situation qualifying for investigation.
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F8965 Enterprises ceasing to be distinct enterprises.
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F8966 Time when enterprises cease to be distinct.
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F8966A Obtaining control by stages.
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F8967 Valuation of assets taken over.
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F8968 Supplementary provisions as to merger situations qualifying for investigation.
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F89C369 Different kinds of merger references.
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F8970 Time-limit for report on merger reference.
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F8971 Variation of certain merger references.
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F8972 Report of Commission on merger reference.
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F8973 Order of Secretary of State on report on merger reference.
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F8974 Interim order in respect of merger reference.
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F8975 Reference in anticipation of merger.
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Restriction on power to make merger reference where prior notice has been given
F8975A General rule where notice given by acquirer and no reference made within period for considering notice.
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F8975B The role of the Director.
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F8975C Cases where power to refer unaffected.
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F8975D Regulations
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F8975E Interpretation of sections 75A to 75D.
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F8975F Power to amend sections 75B to 75D.
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Undertakings as alternative to merger reference
F8975G Acceptance of undertakings.
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F8975H Publication of undertakings.
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F8975J Review of undertakings.
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F8975K Order of Secretary of State where undertaking not fulfilled.
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Supplementary
F8976 Functions of Director in relation to merger situations.
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F7477 Associated persons.
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Part VI References to Commission other than Monopoly and Merger References
F8878 General references.
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F8879 References as to restrictive labour practices.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F8880 Variation of reference under Part VI.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part VII Provisions Relating to References to Advisory Committee or to Commission
F9681 Procedure in carrying out investigations
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F7582 General provisions as to reports.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F7683 Laying before Parliament and publication of reports.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Part VIII Additional Provisions relating to References to Commission
F9184 Public interest.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F7785 Attendance of witnesses and production of documents.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F9286 Director to receive copies of reports.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F7887 Supplementary provisions as to laying reports before Parliament.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F9088 Action by Director in consequence of report of Commission on monopoly or merger reference.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F9089 Interim order after report of Commission under s. 54 or s. 72.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F9090 General provisions as to orders under ss. 56, 73, 74 and 89.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F9091 Procedure relating to orders to which s. 90 applies.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F9092 Investigation of company or association with reference to order to which s. 90 applies.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F9093 Enforcement of orders to which s. 90 applies.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F9093A Enforcement of undertakings.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
C9C1093BF11 False or misleading information. C8
1
If a person furnishes any information—
F79a
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
b
to the Commission in connection with the functions of the Commission under F80... the Airports Act 1986,
and either he knows the information to be false or misleading in a material particular, or he furnishes the information recklessly and it is false or misleading in a material particular, he is guilty of an offence.
2
A person who—
a
furnishes any information to another which he knows to be false or misleading in a material particular, or
b
recklessly furnishes any information to another which is false or misleading in a material particular,
knowing that the information is to be used for the purpose of furnishing information as mentioned in subsection (1)(a) or (b) of this section, is guilty of an offence.
3
A person guilty of an offence under subsection (1) or (2) of this section is liable—
a
on summary conviction, to a fine not exceeding the statutory maximum, and
b
on conviction on indictment, to imprisonment for a term not exceeding two years or to a fine or to both.
4
Section 129(1) of this Act does not apply to an offence under this section.”
F645
This section shall not have effect in relation to the furnishing of information to the Commission in connection with its functions under any provision of the Enterprise Act 2002 as applied by virtue of F81... section 44B of the Airports Act 1986.
Part IX Amendments of Restrictive Trade Practices Acts
94 Transfer of functions of Registrar to Director.
1
Subject to the transitional provisions having effect by virtue of section 139 of this Act, the functions of the Registrar of Restrictive Trading Agreements are hereby transferred to the Director,F86...
F122
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
95. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F13
Part X
107. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F14
Part XI Pyramid Selling and Similar Trading Schemes
118F15 Trading schemes to which Part XI applies.
1
This Part of this Act applies to any trading scheme if—
a
the prospect is held out to participants of receiving payments or other benefits in respect of any of the matters specified in subsection (2) of this section; and
b
(subject to subsection (7) of this section) either or both of the conditions in subsections (3) and (4) of this section are fulfilled in relation to the scheme.
2
The matters referred to in paragraph (a) of subsection (1) of this section are—
a
the introduction by any person of other persons who become participants in a trading scheme;
b
the continued participation of participants in a trading scheme;
c
the promotion, transfer or other change of status of participants within a trading scheme;
d
the supply of goods or services by any person to or for other persons;
e
the acquisition of goods or services by any person.
3
The condition in this subsection is that—
a
goods or services, or both, are to be provided by the person promoting the scheme (in this Part of this Act referred to as “the promoter”) or, in the case of a scheme promoted by two or more persons acting in concert (in this Part of this Act referred to as “the promoters”), by one or more of those persons; and
b
the goods or services so provided—
i
are to be supplied to or for other persons under transactions effected by participants (whether in the capacity of agents of the promoter or of one of the promoters or in any other capacity), or
ii
are to be used for the purposes of the supply of goods or services to or for other persons under such transactions.
4
The condition in this subsection is that goods or services, or both, are to be supplied by the promoter or any of the promoters to or for persons introduced to him or any of the other promoters (or an employee or agent of his or theirs) by participants.
5
For the purposes of this Part of this Act a prospect of a kind mentioned in paragraph (a) of subsection (1) of this section shall be treated as being held out to a participant whether it is held out so as to confer on him a legally enforceable right or not.
6
This Part of this Act does not apply to any trading scheme—
F16a
under which the promoter or any of the promoters or participants is to carry on, or to purport to carry on, a relevant regulated activity;
b
which otherwise falls within a description prescribed by regulations made by the Secretary of State by statutory instrument.
F176A
For the purposes of subsection (6)(a), “relevant regulated activity” means—
a
dealing in investments as principal or agent;
b
arranging deals in investments;
F98ba
operating a multilateral trading facility;
c
managing investments;
d
safeguarding and administering investments;
e
sending dematerialised instructions;
f
establishing etc. a collective investment scheme;
g
advising on investments,
and paragraphs (a) to (g) must be read with section 22 of the Financial Services and Markets Act 2000, any relevant order under that section, and Schedule 2 to that Act.
7
The Secretary of State may by order made by statutory instrument—
a
disapply paragraph (b) of subsection (1) of this section in relation to a trading scheme of a kind specified in the order; or
b
amend or repeal paragraph (a) of subsection (6) of this section;
and no such order, and no order varying or revoking any such order, shall be made under this subsection unless a draft of the order has been laid before Parliament and approved by a resolution of each House of Parliament.
8
In this Part of this Act—
“goods” includes property of any description and a right to, or interest in, property;
“participant” means, in relation to a trading scheme, a person (other than the promoter or any of the promoters) participating in the scheme;
“trading scheme” includes any arrangements made in connection with the carrying on of a business, whether those arrangements are made or recorded wholly or partly in writing or not;
and any reference to the provision or supply of goods shall be construed as including a reference to the grant or transfer of a right or interest.
9
In this section any reference to the provision or supply of goods or services by a person shall be construed as including a reference to the provision or supply of goods or services under arrangements to which that person is a party.
119 Regulations relating to such trading schemes.
1
Regulations made by the Secretary of State by statutory instrument may make provision with respect to the issue, circulation or distribution of F18any form of advertisement, prospectus, circular or notice which contains any informationcalculated to lead directly or indirectly to persons becoming participants in such a training scheme, and may prohibit any such F18advertisement, prospectus, circular or notice from being issued, circulated or distributed unless it complies with such requirements as to the matters to be included or not included in it as may be prescribed by the regulations.
2
Regulations made by the Secretary of State by statutory instrument may prohibit the promoter or any of the promoters of, or any participant in, a trading scheme to which this Part of this Act applies from—
a
supplying any goods to a participant in the trading scheme, or
b
supplying any training facilities or other services for such a participant, or
c
providing any goods or services under a transaction effected by such a participant, or
d
being a party to any arrangements under which goods or services are supplied or provided as mentioned in any of the preceding paragraphs, or
e
accepting from any such participant any payment, or any undertaking to make a payment, in respect of any goods or services supplied or provided as mentioned in any of paragraphs (a) to (d) of this subsection or in respect of any goods or services to be so supplied or provided,
unless (in any such case) such requirements as are prescribed by the regulations are complied with.
3
Any requirements prescribed by regulations under subsection (2) of this section shall be such as the Secretary of State considers necessary or expedient for the purpose of preventing participants in trading schemes to which this Part of this Act applies from being unfairly treated; and, without prejudice to the generality of this subsection, any such requirements may include provisions—
a
requiring the rights and obligations of every participant under such a trading scheme to be set out in full in an agreement in writing made between the participant and the promoter or (if more than one) each of the promoters;
b
specifying rights required to be conferred on every such participant, and obligations required to be assumed by the promoter or promoters, under any such trading scheme; or
c
imposing restrictions on the liabilities to be incurred by such a participant in respect of any of the matters mentioned in paragraphs (a) to (e) of subsection (2) of this section.
4
Regulations made under subsection (2) of this section—
a
may include provision for enabling a person who has made a payment as a participant in a trading scheme to which this Part of this Act applies, in circumstances where any of the requirements prescribed by the regulations were not complied with, to recover the whole or part of that payment from any person to whom or for whose benefit it was paid, and
b
subject to any provision made in accordance with the preceding paragraph, may prescribe the degree to which anything done in contravention of the regulations is to be treated as valid or invalid for the purposes of any civil proceedings.
5
The power to make regulations under this section may be exercised so as to make different provision—
a
in relation to different descriptions of trading schemes to which this Part of this Act applies, or
b
in relation to trading schemes which are or were in operation on a date specified in the regulations and trading schemes which are or were not in operation on that date,
or in relation to different descriptions of participants in such trading schemes.
120 Offences under Part XI.
1
Subject to the next following section, any person who issues, circulates or distributes, or causes another person to issue, circulate or distribute, an F19advertisement, prospectus, circular or noticein contravention of any regulations made under subsection (1) of section 119 of this Act shall be guilty of an offence.
2
Any person who contravenes any regulations made under subsection (2) of that section shall be guilty of an offence.
3
If any person who is a participant in a trading scheme to which this Part of this Act applies, or has applied or been invited to become a participant in such a trading scheme,—
a
makes any payment to or for the benefit of the promoter or (if there is more than one) any of the promoters, or to or for the benefit of a participant in the trading scheme, and
b
is induced to make that payment by reason that the prospect is held out to him of receiving payments or other benefits in respect of the introduction of other persons who become participants in the trading scheme,
any person to whom or for whose benefit that payment is made shall be guilty of an offence.
4
If the promoter or any of the promoters of a trading scheme to which this Part of this Act applies, or any other person acting in accordance with such a trading scheme, by holding out to any person such a prospect as is mentioned in subsection (3)(b) of this section, attempts to induce him—
a
if he is already a participant in the trading scheme, to make any payment to or for the benefit of the promoter or any of the promoters or to or for the benefit of a participant in the trading scheme, or
b
if he is not already a participant in the trading scheme, to become such a participant and to make any such payment as is mentioned in the preceding paragraph,
the person attempting to induce him to make that payment shall be guilty of an offence.
5
In determining, for the purposes of subsection (3) or subsection (4) of this section, whether an inducement or attempt to induce is made by holding out such a prospect as is therein mentioned, it shall be sufficient if such a prospect constitutes or would constitute a substantial part of the inducement.
6
Where the person by whom an offence is committed under subsection (3) or subsection (4) of this section is not the sole promoter of the trading scheme in question, any other person who is the promoter or (as the case may be) one of the promoters of the trading scheme shall, subject to the next following section, also be guilty of that offence.
7
Nothing in subsections (3) to (6) of this section shall be construed as limiting the circumstances in which the commission of any act may constitute an offence under subsection (1) or subsection (2) of this section.
8
In this section any reference to the making of a payment to or for the benefit of a person shall be construed as including the making of a payment partly to or for the benefit of that person and partly to or for the benefit of one or more other persons.
121 Defences in certain proceedings under Part XI.
1
Where a person is charged with an offence under subsection (1) of section 120 of this Act in respect of an advertisement, it shall be a defence for him to prove that he is a person whose business it is to publish or arrange for the publication of advertisements, and that he received the advertisement for publication in the ordinary course of business and did not know, and had no reason to suspect, that its publication would amount to an offence under that subsection.
2
Where a person is charged with an offence by virtue of subsection (6) of section 120 of this Act, it shall be a defence for him to prove—
a
that the trading scheme to which the charge relates was in operation before the commencement of this Act, and
b
that the act constituting the offence was committed without his consent or connivance.
122 Penalties for offences under Part XI.
A person guilty of an offence under this Part of this Act shall be liable—
a
on summary conviction, to a fine not exceeding £400 or to imprisonment for a term not exceeding three months or to both;
b
on conviction on indictment, to a fine or to imprisonment for a term not exceeding two years or to both.
123 Enforcement provisions.
1
The provisions of sections 29 to 32 of this Act shall have effect for the purposes of this Part of this Act as if in those provisions—
a
references to a weights and measures authority or a duly authorised officer of such an authority were omitted, and
b
any reference to an offence under section 23 of this Act were a reference to an offence under this Part of this Act.
2
For the purposes of the application to Northern Ireland of those provisions as applied by the preceding subsection—
a
any reference to the Secretary of State shall be construed as a reference to F20the Department of Commerce for Northern Ireland, and
b
paragraphs (c) and(d) of section 33(2) of this Act shall have effect as they have effect for the purposes of the application of Part II of this Act to Northern Ireland.
Part XII Miscellaneous and Supplementary Provisions
F65124 Publication of information and advice.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F66125 Annual and other reports of Director.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
126. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F21
127 Additional power to make orders under Agricultural Marketing Act 1958. C11
The following section shall be inserted in the M2Agricultural Marketing Act 1958 after section 19 :—
19A
1
The provisions of this section shall have effect where a report made by the Monopolies and Mergers Commission under section 54 of the Fair Trading Act 1973, as laid before Parliament, contains conclusions to the effect—
a
that certain matters indicated in the report operate, or may be expected to operate, against the public interest, and
b
that those matters consist of or include any provision of a scheme or any act or omission of a board administering a scheme.
2
In the circumstances mentioned in subsection (1) of this section, the Minister shall have the like power to make orders under section 19 of this Act as if those conclusions of the Monopolies and Mergers Commission—
a
had been to the effect that the provision of the scheme in question, or the act or ommisssion of the board to which those conclusions relate, were contrary to the interest of consumers of the regulated product, and
b
had been contained in a report of a committee of investigation.
128. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F22
F23129 Time-limit for prosecutions.
1
No prosecution for an offence under this Act shall be commenced after the expiration of three years from the commission of the offence or one year from its discovery by the prosecutor, whichever is the earlier.
2
Notwithstanding anything in F24section 127(1) of the Magistrates’ Courts Act 1980, a magistrates’ court may try an information for an offence under this Act if the information was laid within twelve months from the commission of the offence.
3
Notwithstanding anything in F25section 136 of the Criminal Procedure (Scotland) Act 1995, summary proceedings in Scotland for an offence under this Act may be commenced within twelve months from the commission of the offence, and F25subsection (3) of the said section 136 shall apply for the purposes of this subsection as it applies for the purposes of that section.
4
In the application of this section to Northern Ireland, for the references in subsection (2) to F26section 127(1) of the Magistrates’ Courts Act 1980 and to the trial and laying of an information there shall be substituted respectively references to F27Article 19(1) of the Magistrates’ Courts (Northern Ireland) Order 1981 and to the hearing and determination and making of a complaint F28and as if in that subsection for the words “an offence under this Act” there were substituted the words “an offence under section 30(1) F93... of this Act”.
F67130 Notice to Director of intended prosecution.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F68131 Notification of convictions and judgments to Director.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
C12132 Offences by bodies corporate.
1
Where an offence under section 23, F94... F82... F29section 93B or Part XI of this Act, which has been committed by a body corporate, is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, any director, manager, secretary or other similar officer of the body corporate, or any person who was purporting to act in any such capacity, he as well as the body corporate shall be guilty of that offence and be liable to be proceeded against and punished accordingly.
2
Where the affairs of a body corporate are managed by its members, subsection (1) of this section shall apply in relation to the acts and defaults of a member in connection with his functions of management as if he were a director of the body corporate.
F69133 General restrictions on disclosure of information.
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
134 Provisions as to orders.
1
Any statutory instrument whereby any order is made under any of the preceding provisions of this Act, other than a provision which requires a draft of the order to be laid before Parliament before making the order, or whereby any regulations are made under this Act, shall be subject to annulment in pursuance of a resolution of either House of Parliament.
2
Any power conferred by any provision of this Act to make an order by statutory instrument shall include power to revoke or vary the order by a subsequent order made under that provision.
135 Financial provisions.
1
The Secretary of State shall pay all remuneration, allowances or other sums payable under this Act to or in respect of persons who are or have been members of the Advisory Committee F30. . ., and shall defray—
F31a
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
b
to such amount as the Secretary of State with the approval of the Minister for the Civil Service may determine, all other expenses duly incurred by the Advisory Committee F30. . .
2
There shall be defrayed out of moneys provided by Parliament—
a
all expenses incurred by the Secretary of State in consequence of the provisions of this Act;
b
any expenses incurred in consequence of those provisions by any other Minister of the Crown or government department, not being a F32Northern Ireland department;
c
the remuneration of, and any travelling or other allowances payable under this Act to, the Director and any staff of the Director, any other sums payable under this Act to or in respect of the Director, and any expenses duly incurred by the Director or by any of his staff in consequence of the provisions F33of this or any other Act;
d
any increase attributable to this Act in the sums payable out of moneys so provided under the M3Superannuation Act 1972.
3
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F34
136. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F35
137C13 General interpretation provisions.
1
In this Act—
“the Act of 1948” means the M4Monopolies and Restrictive Practices (Inquiry and Control) Act 1948; F36
F37. . .
. . . . F38
“the Act of 1965” means the M5Monopolies and Mergers Act 1965;
. . . . F39
F83...
“contract of employment” means a contract of service or of apprenticeship, whether it is express or implied, and (if it is express) whether it is oral or in writing;
“scale” (where the reference is to the scale on which any services are, or are to be, made available, supplied or obtained) means scale measured in terms of money or money’s worth or in any other manner.
2
Except in so far as the context otherwise requires, in this Act, . . . F40 the following expressions have the meanings hereby assigned to them respectively, that is to say—
F70“the Advisory Committee” means the Consumer Protection Advisory Committee;“agreement” means any agreement or arrangement, in whatever way and in whatever form it is made, and whether it is, or is intended to be, legally enforceable or not;
“business” includes a professional practice and includes any other undertaking which is carried on for gain or reward or which is an undertaking in the course of which goods or services are supplied otherwise than free of charge;
F84...
“the Commission” means the F41Competition Commission;
F84...
“consumer” (subject to subsection (6) of this section) means any person who is either—
- a
a person to whom goods are or are sought to be supplied (whether by way of sale or otherwise) in the course of a business carried on by the person supplying or seeking to supply them, or
- b
a person for whom services are or are sought to be supplied in the course of a business carried on by the person supplying or seeking to supply them,
and who does not receive or seek to receive the goods or services in the course of a business carried on by him;
- a
F70“the Director” means the Director General of Fair Trading;“enactment” includes an enactment of the Parliament of Northern Ireland;
“goods” includes buildings and other structures, and also includes ships, aircraft and hovercraft, . . . F42;
F84...
F84...
“merger situation qualifying for investigation” has the meaning assigned to it by section 64(8) of this Act;
“Minister” includes a government department but shall not by virtue of this provision be taken to include the establishment consisting of the Director and his staff, and, except where the contrary is expressly provided, does not include any F43Northern Ireland department;
F84...
F84...
“practice” means any practice, whether adopted in pursuance of an agreement or otherwise;
F84...
F84...
“supply”, in relation to the supply of goods, includes supply by way of sale, lease, hire or hire-purchase, and, in relation to buildings or other structures, includes the construction of them by a person for another person;
F84...
F84...
3
In the provisions of this Act F40... “the supply of services” does not include the rendering of any services under a contract of employment but, F40... ,—
a
includes the undertaking and performance for gain or reward of engagements (whether professional or other) for any matter other than the supply of goods, and
b
includes both the rendering of services to order and the provision of services by making them available to potential users F44, and
c
d
includes the making of arrangements for the use by public service vehicles (within the meaning of the Public Passenger Vehicles Act 1981) of a parking place which is used as a point at which passengers on services provided by means of such vehicles may be taken up or set down.F46and
e
includes the making of arrangements permitting use of the tunnel system (within the meaning of the Channel Tunnel Act 1987) by a person operating services for the carriage of passengers or goods by rail.F47and
f
F71includes the making of arrangements, by means of such an agreement as is mentioned in paragraph 29 of Schedule 2 to the Telecommunications Act 1984, for the sharing of the use of any electronic communications apparatus, and
g
includes the supply of network services and station services, within the meaning of Part I of the Railways Act 1993;
and any reference in those provisions to services supplied or to be supplied, or to services provided or to be provided, shall be construed accordingly.
F483A
The Secretary of State may by order made by statutory instrument—
a
provide that “the supply of services” in the provisions of this Act is to include, or to cease to include, any activity specified in the order which consists in, or in making arrangements in connection with, permitting the use of land; and
b
for that purpose, amend or repeal any of paragraphs (c), (d), (e) or (g) of subsection (3) above.
3B
No order under subsection (3A) above is to be made unless a draft of the order has been laid before Parliament and approved by a resolution of each House of Parliament.
3C
The provisions of Schedule 9 to this Act apply in the case of a draft of any such order as they apply in the case of a draft of an order to which section 91(1) above applies.
4
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F49
5
For the purposes of the provisions of this Act . . . F40, any two bodies corporate are to be treated as interconnected if one of them is a body corporate of which the other is a subsidiary (within the meaning of F50section 736 of the Companies Act 1985) or if both of them are subsidiaries (within the meaning of that section) of one and the same body corporate; and in those provisions “interconnected bodies corporate” shall be construed accordingly, and “group of interconnected bodies corporate” means a group consisting of two or more bodies corporate all of whom are interconnected with each other.
6
For the purposes of the application of any provision of this Act in relation to goods or services of a particular description or to which a particular practice applies, “consumers” means persons who are consumers (as defined by subsection (2) of this section) in relation to goods or services of that description or in relation to goods or services to which that practice applies.
F857
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
8
Except in so far as the context otherwise requires, any reference in this Act to an enactment shall be construed as a reference to that enactment as amended or extended by or under any other enactment, including this Act.
138 Supplementary interpretation provisions.
1
This section applies to the following provisions of this Act, that is to say, section 2(4), F95... section 137(6), and the definition of “consumer” contained in section 137(2).
2
For the purposes of any provisions to which this section applies it is immaterial whether any person supplying goods or services has a place of business in the United Kingdom or not.
3
For the purposes of any provisions to which this section applies any goods or services supplied wholly or partly outside the United Kingdom, if they are supplied in accordance with arrangements made in the United Kingdom, whether made orally or by one or more documents delivered in the United Kingdom or by correspondence posted from and to addresses in the United Kingdom, shall be treated as goods supplied to, or services supplied for, persons in the United Kingdom.
4
In relation to the supply of goods under a hire-purchase agreement, a credit-sale agreement or a conditional sale agreement, the person conducting any antecedent negotiations, as well as the owner or seller, shall for the purposes of any provisions to which this section applies be treated as a person supplying or seeking to supply the goods.
F515
In subsection (4) of this section, the following expressions have the meanings given by, or referred to in, section 189 of the M7Consumer Credit Act 1974—
“antecedent negotiations”,
“conditional sale agreement”,
“credit-sale agreement”,
“hire-purchase agreement”.
6
In any provisions to which this section applies—
a
any reference to a person to or for whom goods or services are supplied shall be construed as including a reference to any guarantor of such a person, and
b
any reference to the terms or conditions on or subject to which goods or services are supplied shall be construed as including a reference to the terms or conditions on or subject to which any person undertakes to act as such a guarantor;
and in this subsection “guarantor”, in relation to a person to or for whom goods or services are supplied, includes a person who undertakes to indemnify the supplier of the goods or services against any loss which he may incur in respect of the supply of the goods or services to or for that person.
7
For the purposes of any provisions to which this section applies goods or services supplied by a person carrying on a business shall be taken to be supplied in the course of that business if payment for the supply of the goods or services is made or (whether under a contract or by virtue of an enactment or otherwise) is required to be made.
139 Amendments, repeals and transitional provisions.
1
Subject to the transitional provisions and savings contained in Schedule 11 to this Act—
a
the enactments specified in Schedule 12 to this Act shall have effect subject to the amendments specified in that Schedule (being minor amendments or amendments consequential upon the preceding provisions of this Act), and
b
the enactments specified in Schedule 13 to this Act are hereby repealed to the extent specified in the third column of that Schedule.
2
The provisions of Schedule 11 to this Act shall have effect for the purposes of this Act.
140C14†Short title, citation, commencement and extent. C15
1
This Act may be cited as the Fair Trading Act 1973.
F522
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F873
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4
Where any provision of this Act, other than a provision contained in Schedule 11, refers to the commencement of this Act, it shall be construed as referring to the day appointed under this section for the coming into operation of that provision.
5
This Act extends to Northern Ireland.
Pt. II: power to repeal conferred (1.4.2003) by Enterprise Act 2002 (c. 40), ss. 10(3)(a), 279; S.I. 2003/766, art. 2, Sch. (with art. 3) (as amended (20.7.2007) by S.I. 2007/1846, reg. 3(2), Sch.)