22.—(1) This regulation applies if a consumer withdraws from a regulated contract by giving written notice of withdrawal to the trader under regulation 20.
(2) The following obligations of the parties are terminated with effect from the date the consumer sends the notice of withdrawal—
(a)their obligations under the regulated contract, and
(b)if the regulated contract is a timeshare contract or a long-term holiday product contract, their obligations under any ancillary contract.
(3) The reference to obligations in paragraph (2) includes, in the case of a long term holiday product contract, an obligation to pay any penalty or further instalments of the payment schedule (see regulation 26).
(4) The consumer is not liable for any costs or charges—
(a)in respect of the regulated contract, or
(b)if the regulated contract is a timeshare contract or a long-term holiday product contract, in respect of any ancillary contract.
(5) The reference to costs and charges in paragraph (4) includes any costs or charges corresponding to services provided under a contract before withdrawal.
(6) “Ancillary contract”, in relation to a timeshare contract or long-term holiday product contract (“the main contract”), means a contract under which the consumer acquires services which are related to the main contract and which are provided by—
(a)the trader, or
(b)a third party on the basis of an arrangement between the third party and the trader.
(7) An exchange contract which is related to a timeshare contract (see regulation 21(10)), is an ancillary contract in relation to the timeshare contract for the purposes of paragraph (6).