Distance Selling Regulation, Bespoke Items and Servers
Discussion
Ok, here is an interesting one.
I signed up for a standard dedicated hosting server package with a company, then realised I had made a mistake in ordering it and asked to cancel the next day (within 7 day 'cooling off' period of regs).
I got back a snotty email saying that 'website services' and bespoke products are not covered by these regulations and I couldnt cancel.... I had to honour a year long contract...
There is no mention of 'website services' being excluded in the full regulatory document. Also bespoke services/items are supposed to pertain to customer specifications not the companies specifications. In other words if I requested a specific server specification just for myself (ie not a point, click and buy off-the-shelf offering) then it is bespoked and they would find it hard to sell on to someone else..... but if they just sell me a standard package that is generally available to all customers, then surely it is not bespoked to MY specification. Sure, they might later set it up/configure it for me as a new customer, but all customers would have this done for them.
I think they are just trying to bend the wording in the regulations to fit them quite nicely (As effectively they are probably a re-seller anyway and B2B contracts are not covered by the regulation) so they carry no cancellation risk. As a business I feel they should shoulder the risk as part of their businesses model as a re-seller.
Any thoughts? Im thinking about taking it to small claims (under £5K) just on principle. Will the magistrate side with me? Thats the question....
I signed up for a standard dedicated hosting server package with a company, then realised I had made a mistake in ordering it and asked to cancel the next day (within 7 day 'cooling off' period of regs).
I got back a snotty email saying that 'website services' and bespoke products are not covered by these regulations and I couldnt cancel.... I had to honour a year long contract...
There is no mention of 'website services' being excluded in the full regulatory document. Also bespoke services/items are supposed to pertain to customer specifications not the companies specifications. In other words if I requested a specific server specification just for myself (ie not a point, click and buy off-the-shelf offering) then it is bespoked and they would find it hard to sell on to someone else..... but if they just sell me a standard package that is generally available to all customers, then surely it is not bespoked to MY specification. Sure, they might later set it up/configure it for me as a new customer, but all customers would have this done for them.
I think they are just trying to bend the wording in the regulations to fit them quite nicely (As effectively they are probably a re-seller anyway and B2B contracts are not covered by the regulation) so they carry no cancellation risk. As a business I feel they should shoulder the risk as part of their businesses model as a re-seller.
Any thoughts? Im thinking about taking it to small claims (under £5K) just on principle. Will the magistrate side with me? Thats the question....
timskipper said:
What exactly would you be sueing them for?
I paid a deposit for the year long contract by debit card of couple hundred quid (wish I used a credit card now). They will not return me this money, so this is what I will take them to small claims for.However, if the situation drags on, I will owe them more money (the monthly payment) in which case I could pay this and add it to the over all amount that I seek through small claims... or I could just not pay and let them take me to court, but Id rather get in first if you see what I mean.
The whole contract if worth about £1,000. So if I dont do something about this, I will be liable for the whole amount.
It's my understanding that DSA doesn't cover Services, the idea behind the DSA is that you get to take physical delivery of an item and inspect in in the same way as you would do had you gone to the shop to buy it..
With a service, you simply use it, and you could in theory, use it for what you want to do, then try and cancel under the DSA, which would be unfair to the vendor (imagine if you took legal advise, paid an annual contract for a solicitor to give you advice, and then cancelled once he'd answered your question)
Certainly take advice on this, but my IANAL feeling is that it's NOT covered under the DSA.
GL anyway.
J
PS, if you need a server or hosting, check out my profile.. 7 day money back guarantee on the hosting
With a service, you simply use it, and you could in theory, use it for what you want to do, then try and cancel under the DSA, which would be unfair to the vendor (imagine if you took legal advise, paid an annual contract for a solicitor to give you advice, and then cancelled once he'd answered your question)
Certainly take advice on this, but my IANAL feeling is that it's NOT covered under the DSA.
GL anyway.
J
PS, if you need a server or hosting, check out my profile.. 7 day money back guarantee on the hosting
JamieBeeston said:
It's my understanding that DSA doesn't cover Services, the idea behind the DSA is that you get to take physical delivery of an item and inspect in in the same way as you would do had you gone to the shop to buy it..
PS, if you need a server or hosting, check out my profile.. 7 day money back guarantee on the hosting
Interesting points. It does apply to all services (apart from exception documented). So for example (in my view) all hosting reseller companies would be bound by these regs.PS, if you need a server or hosting, check out my profile.. 7 day money back guarantee on the hosting
http://www.opsi.gov.uk/si/si2000/20002334.htm
Section 12 specifically relates to services.
Ade355 said:
JamieBeeston said:
It's my understanding that DSA doesn't cover Services, the idea behind the DSA is that you get to take physical delivery of an item and inspect in in the same way as you would do had you gone to the shop to buy it..
PS, if you need a server or hosting, check out my profile.. 7 day money back guarantee on the hosting
Interesting points. It does apply to all services (apart from exception documented). So for example (in my view) all hosting reseller companies would be bound by these regs.PS, if you need a server or hosting, check out my profile.. 7 day money back guarantee on the hosting
http://www.opsi.gov.uk/si/si2000/20002334.htm
Section 12 specifically relates to services.
We're a dedicated hosting company, and we have to comply with the DSR. However, once a service has started we don't offer a refund. Basically, they can place an order and change their mind up until the point we've started to deliver the service. From our contract:
DISTANCE SELLING REGULATIONS
Under Regulation 10 of The Consumer Protection (Distance Selling) Regulations 2000, the Client may have the right to cancel this Agreement for seven working days after the day after this Agreement has been concluded. However, it is agreed between RapidSwitch and the Client that the Services may commence before the end of that cancellation period, and then the Client will lose the right to cancel from the date that RapidSwitch provides the Client with the access details of the Services.
DISTANCE SELLING REGULATIONS
Under Regulation 10 of The Consumer Protection (Distance Selling) Regulations 2000, the Client may have the right to cancel this Agreement for seven working days after the day after this Agreement has been concluded. However, it is agreed between RapidSwitch and the Client that the Services may commence before the end of that cancellation period, and then the Client will lose the right to cancel from the date that RapidSwitch provides the Client with the access details of the Services.
JamieBeeston said:
Yes, but look at 13a
That looks like it applies if I was made aware in writing that this is the case before I cancelled. I did not receive any comms from them prior to cancellation (as I cancelled about 12 hours after opening the account). Their T&Cs dont seem to even mention cancellation or dedicated servers, tell me what you think please would be very interested:http://www.webfusion.co.uk/terms/
Timeline of event:
14th 11pm - I signed up for the account
15th 10am - I emailed to cancel the account
19th 10.42 am - I got a standard email stating my support ID/password... (very first email from them)
19th I replied (to two different addresses) asking them to cancel the account.
20th I got an email saying my account had now been activated and was now setup.
20th I replied by asking them to cancel again.
Edited by Ade355 on Sunday 7th September 11:10
Edited by Ade355 on Sunday 7th September 11:19
edb49 said:
On another point - who buys a dedicated server for 'personal' usage? Almost always business, so are you sure the Consumer DSRs apply?
DSR does not apply to B2B, correct. Ive had hosting packages and servers for the last 10 years purely for personal projects, is this uncommon? Almost always business, so are you sure the Consumer DSRs apply?Ade355 said:
edb49 said:
On another point - who buys a dedicated server for 'personal' usage? Almost always business, so are you sure the Consumer DSRs apply?
DSR does not apply to B2B, correct. Ive had hosting packages and servers for the last 10 years purely for personal projects, is this uncommon? Almost always business, so are you sure the Consumer DSRs apply?Gassing Station | Business | Top of Page | What's New | My Stuff