CONSUMER PROTECTION [CH.

337C – 1

CHAPTER 337C
CONSUMER PROTECTION

LIST OF AUTHORISED PAGES

1 - 31 LRO 1/2008

ARRANGEMENT OF SECTIONS
SECTION

1. Short title.
2. Interpretation and application of Act.
3. Establishment of Consumer Commission.
4. Functions and powers of the Consumer Commission.
5. Directions.
6. Funds and resources of the Consumer Commission.
7. Complaints.
8. Discretion not to conduct investigation.
9. Power to investigate not precluded.
10. Summoning persons to give evidence.
11. Obligations of persons summoned.
12. Paper, book, record or document as evidence.
13. Accounts.
14. Annual reports and estimates.
15. Minister to restrict imports, etc.
16. Compulsory recall of goods.
17. Compliance with goods recall notice.
18. Loss or damage caused by contravention of goods recall notice.
19. Consultation to be held in certain cases.
20. Exception in case of danger to public.
21. Information to consumer.
22. Measurement of goods.
23. Receipt to be given to consumer.
24. Warranties.
25. Damage resulting from use service or goods.
26. Damaged goods sold to consumer.
27. Return of defective goods.
28. Return of electrical goods.
29. Approved and non-approved services.
30. Businesses offering repair services.

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31. Misleading or deceptive conduct.

32. Misleading public as to the nature, etc., of goods or services.
33. False or misleading representation.
34. Non-delivery of goods or services on contracted date.
35. Advertising
36. Advertised delivery date.
37. Conditions for payment.
38. Court may order payment of damages or costs.
39. Breach of duty or obligation.
40. Excluding or restricting liability by contract.
41. Reliance upon contractual provisions where breach.
42. Indemnity subject to reasonableness.
43. Loss or damage from defective goods or negligence of
manufacturer.
44. Effect of Sale of Goods and Hire Purchase Act.
45. Satisfying reasonableness where contract terminated.
46. Reasonableness.
47. Alternative dispute resolution.
48. Goods or services acquired by installment.
49. Apportionment of payments where service not received.
50. Purporting to act on a Bill of Sale.
51. Registration of providers.
52. Regulations.

FIRST SCHEDULE (Section 3(2))

SECOND SCHEDULE (Section 10(2)(a))
SUMMONS TO WITNESS

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CHAPTER 337C
CONSUMER PROTECTION

An Act to make provision for the greater 7 of 2006

protection of consumers, to establish a consumer
protection commission and for the functions and
powers of that commission and related matters.
[Assent 26th May, 2006]
[Commencement 1st July, 2006] S.I. 25/2006.

1. This Act may be cited as the Consumer Short title.

Protection Act.
2. (1) In this Act — Interpretation
and application
“Consumer” in relation to — of Act.
(a) any goods, means —
(i) a natural person who acquires or enters a
contract to acquire goods for his own private
use or consumption; and
(ii) a commercial undertaking that purchases
consumer goods;
(b) any services or facilities, means any person who
employs or wishes to be provided with the
services or facilities (otherwise than for the
purposes of any business of his); or
(c) any accommodation, means any person who
wishes to occupy the accommodation (otherwise
than for the purposes of any business of his);
“Consumer Commission” means the Consumer
Protection Commission established by section 3;
“consumer protection policy” means the aims of the
Minister for consumer protection as published by
the Minister from time to time which may include
the enhanced rights and remedies available to the
consumer;
“goods” has the meaning ascribed thereto in the Sale Ch. 337.
of Goods Act;

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“Minister” means the Minister responsible for

Consumer Affairs;
“provider” in relation to —
(i) any goods, means any person who sells goods; or
(ii) any services or facilities, means any person who
provides services or facilities.
(2) Subject to subsection (1), this Act shall apply to
all persons involved in trade or business whether through
the purchasing or vending of goods or services.
(3) The Minister may by order, subject to affirmative
resolution, exempt categories of trade or business from the
application of this Act.
Establishment of 3. (1) There is established for the purposes of this
Consumer
Commission.
Act a body to be called the Consumer Commission.
First Schedule. (2) The First Schedule has effect as to the
constitution of the Consumer Commission and otherwise in
relation thereto.
Functions and 4. (1) The functions of the Consumer Commission
powers of the
Consumer
shall be to —
Commission. (a) advise the Minister generally in relation to
consumer issues;
(b) formulate and implement standards in relation to
the consumer protection policy;
(c) carry out, at the request of a consumer who has
been adversely affected, such investigations in
relation to the sale of goods or the provision of
services as will enable it to determine whether the
goods were sold or the services were provided in
contravention of this Act and thereafter to make
such report and recommendations in connection
therewith as it thinks fit to the Minister;
(d) carry out, on its own initiative, such other
investigations in relation to the availability of
goods of any class or description as it thinks fit
and make such report and recommendations as it
thinks fit to the Minister;
(e) promote the development of organizations formed
for the protection of the consumer;
(f) collect, compile, analyze and publish information
in relation to any trade or business;

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(g) provide information to consumers on their rights

as consumers and any other form of consumer
education;
(h) resolve disagreements between consumers and
providers; and
(i) carry out such other functions as the Minister
may assign to the Consumer Commission from
time to time.
(2) In carrying out its functions, the Consumer
Commission has the power to do all such acts as appear to
it to be requisite, advantageous or convenient for or in
connection with carrying out its functions or to be
incidental to their proper discharge and may carry on any
activities in that behalf either alone or in association with
any other person or body.
5. The Minister may, after consultation with the Directions.
Consumer Commission, give to the Consumer Commission
a written direction, as to government policy that is to be
applied by the Consumer Commission in the exercise of its
powers and the performance of its duties, and the
Consumer Commission shall give effect to that direction.
6. The funds and resources of the Consumer Funds and
Commission shall consist of — resources of the
Consumer
(a) such moneys as may from time to time be placed Commission.
at its disposition for the purposes of this Act by
Parliament;
(b) all other moneys and other property which may in
any manner become payable to, or vested in the
Consumer Commission in respect of any matter
incidental to its functions.
7. (1) A complaint may be made to the Consumer Complaints.
Commission by a person who claims to have suffered a
disadvantage in relation to the acquisition of goods or
services.
(2) Where the complainant —
(a) is a minor, the complaint may be made by his
parent or guardian;
(b) is unable to act for himself by reason of infirmity
or any other cause or has died, the complaint may
be made by a member of his family or his
personal representative.

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(3) A complaint to the Consumer Commission may

be made orally or in writing.
(4) The Consumer Commission may, upon the
request of a complainant specified in subsection (2), assist
that complainant in the event that litigation is
contemplated.
(5) Where litigation is contemplated by the
complainant in relation to a complaint that was not in
writing, the Consumer Commission shall require the
complainant to produce a written version of the complaint
signed by the complainant.
Discretion not to 8. (1) The Consumer Commission may determine
conduct
investigation.
whether to undertake or continue an investigation under
this Act and in particular, but without prejudice to the
generality of the foregoing, may refuse to undertake or
continue any investigation if it is of the opinion that —
(a) the complaint is frivolous or vexatious or not
made in good faith;
(b) the complainant is guilty of unreasonable delay in
the making of his complaint;
(c) the complainant does not have a sufficient interest
in the subject-matter of the complaint;
(d) the subject-matter of the complaint should more
appropriately be dealt with by another body; or
(e) having regard to all the circumstances of the case,
no investigation or further investigation is
necessary.
(2) Where the Consumer Commission decides not to
undertake or continue the investigation of a complaint, it
shall, in writing, inform the complainant of that decision
and give reasons therefor.
Power to 9. (1) The Consumer Commission shall not be
investigate not
precluded.
precluded from conducting an investigation in respect of
any matter by reason only that it is open to the complainant
Constitution. to apply to the court for redress under Article 28 of the
Constitution.
(2) If any question arises as to whether the Consumer
Commission has jurisdiction to investigate any case or
class of case under this Act, the Consumer Commission
may apply to the court for a declaration determining that
question.

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(3) The fact that an action is commenced in any court

in connection with a matter under investigation by the
Consumer Commission shall not, unless the court
otherwise directs, preclude such investigation.
10. (1) The Consumer Commission may summon any Summoning
person to attend before the Consumer Commission in persons to give
evidence.
relation to an investigation being conducted by it and to
give evidence or to produce any document in his
possession or under the control of such person.
(2) A summons under this section —
(a) shall be in the form prescribed in the Second Second Schedule.
Schedule; and
(b) may be served by a constable, or a bailiff.
11. (1) All persons summoned to attend and give Obligations of
evidence or to produce a document before the Consumer persons
summoned.
Commission are —
(a) entitled, in respect of such evidence or the
disclosure of any communication or the
production of any such document, to the same
right or privilege as before a court of law;
(b) entitled to be paid their expenses, including
traveling expenses, at the rates as are determined
for witnesses who are entitled to have their
expenses paid from public funds.
(2) Any person who —
(a) without sufficient cause, fails or refuses to attend
before the Consumer Commission in obedience to
a summons under this Act, or fails or refuses to
produce any document which he was required by
such summons to produce;
(b) being a witness, leaves the Consumer
Commission without the permission of the
Consumer Commission;
(c) being a witness, refuses, without sufficient cause,
to answer any question put to him by or with the
permission of the Consumer Commission; or
(d) wilfully obstructs or interrupts the proceedings of
the Consumer Commission,
commits an offence and is liable on summary conviction to
a fine not exceeding two thousand dollars.

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Paper, book, 12. In all legal proceedings, any paper, book, record
record or or document produced to the Consumer Commission
document as
evidence. pursuant to section 10 shall be received as prima facie
evidence of the truth of the statements contained therein.
Accounts. 13. (1) The Consumer Commission shall keep proper
accounts and shall prepare an annual statement of accounts
in a form satisfactory to the Minister, being a form which
shall conform with established accounting principles.
(2) The accounts of the Consumer Commission shall
be audited annually by auditors appointed by the Consumer
Commission with the approval of the Minister from among
members of The Bahamas Institute of Chartered
Accountants.
Annual reports 14. (1) The Consumer Commission shall, in each
and estimates. year —
(a) on or before the 31st day of May, submit to the
Minister a report of its activities during the
twelve months ending on the 31st day of March
in that year, including a statement of its accounts
audited in accordance with section 13;
(b) on or before the 30th day of April, submit to the
Minister for his approval its estimates of revenue
and expenditure for the financial year next
following.
(2) The Minister shall cause copies of reports
submitted pursuant to subsection (1)(a) together with the
annual statement of accounts and auditor’s report thereon
to be laid on the Table of the House of Assembly.
Minister to 15. (1) Subject to subsection (3), the Minister may,
restrict imports,
etc.
by Order —
(a) prohibit the importation or exportation of goods
of any class or description of goods from or to
any country;
(b) prohibit the importation or exportation of goods
or any class or description of goods from or to
any country except under the authority of a
licence granted by the Minister;
(c) regulate the distribution, purchase or sale of
goods or any class or description of goods;
(d) subject to section 16 provide for the recall of
certain goods which are dangerous or hazardous

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to safety and the refund or remission by the

vendor of the purchase price paid;
(e) provide for the furnishing by persons carrying on
or employed in connection with any trade or
business of information concerning all or any of
the elements of the cost or of the sale price of
goods or any class or description of goods bought
or sold whether by wholesale or retail in such
trade or business;
(f) require the provision and maintenance, at places
at which goods are offered for sale by retail, of
means whereby persons wishing to purchase any
of those goods may ascertain the weight or
measurement thereof.
(2) Without prejudice to the generality of subsection
(1)(f), the Minister may by Order, require —
(a) that the prices of those goods shall be marked on
the goods or on any container in or from which
they are sold; and
(b) that persons shall not be obstructed in any attempt
to ascertain at the place at which they wish to
purchase any of those goods, the weight or
measurement thereof.
(3) Subsection (1) shall not authorize the Minister to
make an Order regulating the exportation or importation of
any goods which may be regulated by the following
Acts —
(a) the Animal Contagious Diseases Act; Ch. 246.

(b) the Export Control Regulations Act; Ch. 299.

(c) the Fisheries Resources (Jurisdiction and Ch. 244.

Conservation) Act;
(d) the Food Act; Ch. 236.

(e) the Import Control Regulations; Ch. 298.

(f) the Plants Protection Act. Ch. 250.

16. (1) Subject to sections 19 and 20 where — Compulsory

recall of goods.
(a) a provider supplies goods on or after the
commencement of this Act; and
(b) it appears to the Minister that the goods are goods
of a kind which will or may cause injury to any

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person and that the provider has not taken

satisfactory action to prevent the goods causing
injury to any person,
the Minister may, by notice in writing published in the
Gazette, require the provider to do one or more of the
following —
(aa) take action within the period specified in the
notice to recall the goods;
(bb) disclose to the public, or to a class of persons
specified in the notice, in the manner and within
the period specified in the notice, one or more of
the following —
(i) the nature of a defect in, or a
dangerous characteristic of, the
goods specified in the notice;
(ii) the circumstances, being
circumstances specified in
notice, in which the use of the
goods is dangerous; and
(iii) procedures for disposing of the
goods specified in the notice;
(cc) inform the public, or class of persons specified in
the notice, in the manner and within the period
specified in the notice, that the provider
undertakes to do whichever of the following the
provider thinks is appropriate —
(i) except where the notice specifies
a dangerous characteristic of the
goods, repair the goods;
(ii) replace the goods;
(iii) refund to a person to whom the
goods were supplied, whether by
the provider or by another
person, the price of the goods,
within the period specified in the notice.
(2) The Minister may by notice published in the
Gazette give directions as to the manner in which the

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provider is to carry out a recall of goods required under

subsection (1).
(3) Where the provider under subsection (1)
undertakes to repair goods, the provider shall cause the
goods to be repaired so that any defect in the goods
specified in the notice under subsection (1) is remedied.
(4) Where the provider under subsection (1)
undertakes to replace goods, the provider shall replace the
goods with like goods which, if a defect in, or a dangerous
characteristic of, the first-mentioned goods was specified
in the notice under subsection (1), do not have that defect
or characteristic.
(5) Where the provider under subsection (1)
undertakes to repair goods or replace goods, the cost of the
repair or replacement, including any necessary
transportation costs, shall be borne by the provider.
(6) Where goods are recalled, whether voluntarily or
in accordance with a requirement made by the Minister
under subsection (1), a person who has supplied or supplies
any of the recalled goods to another person outside The
Bahamas shall, as soon as practicable after the supply of
those goods, give notice in writing to that other person,
addressed to his last known address —
(a) stating that the goods are subject to recall; and
(b) if the goods contain a defect or have a dangerous
characteristic, setting out the nature of that defect
or characteristic.
(7) Where a person is required under subsection (6)
to give notice in writing to another person, the first-
mentioned person shall, within 14 days after giving that
notice, provide the Minister with a copy of that notice.
(8) A person who contravenes subsection (7)
commits an offence and is liable on summary conviction to
a fine not exceeding two thousand dollars.
17. (1) Where a notice under section 16(1) is in force Compliance with
in relation to a person, he — goods recall
notice.
(a) shall comply with the requirements and directions
in the notice; and
(b) shall not, where the notice specifies a defect in, or
a dangerous characteristic of, the goods, supply
goods of the kind to which the notice relates
which have that defect or characteristic.

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(2) A person who contravenes subsection (1)

commits an offence and is liable on summary conviction to
a fine not exceeding five thousand dollars.
Loss or damage 18. Where —
caused by
contravention of (a) a person contravenes section 16 by —
goods recall
notice. (i) supplying goods of a kind in relation to
which a notice under section 16(1) is in
force; or
(ii) failing to comply with the requirements of
such notice; and
(b) another person suffers loss or damage by reason
of a defect in or a dangerous characteristic of, the
goods or by reason of not having particular
information as to a characteristic of the goods,
that other person shall be deemed for the purposes of this
Act to have suffered the loss or damage by the supplying of
the goods, or by the failure of the first-mentioned person to
comply with the notice, as the case may be.
Consultation to 19. (1) Subject to section 20, where the Minister
be held in certain
cases.
proposes to publish a notice under section 16(1) in relation
to goods of a particular kind, the Minister shall prepare —
(a) a draft of the notice that he proposes to publish;
and
(b) a summary of his reasons,
and shall, by notice published in the Gazette, invite any
person, in this section referred to as a “provider”, who
supplied or proposes to supply goods of that kind to notify
the Minister, within the period, in this section referred to as
“the relevant period”, of 10 days commencing on the day
specified in the last-mentioned notice, being not earlier
than the day on which that notice is published in the
Gazette, whether the provider wishes the Minister to hold a
consultation in relation to the proposed publication of the
first-mentioned notice.
(2) A notice published under subsection (1) shall set
out a copy of the draft notice under section 16(1) and a
copy of the summary of the reasons for the proposed
publication of the notice.
(3) If no provider notifies the Minister in writing
within the relevant period, or within such longer period as
the Minister allows, that the provider wishes the Minister

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to hold consultations in relation to the proposed publication

of the notice under section 16(1), the Minister shall
proceed to take such action under section 16 as he thinks
fit.
(4) If a provider notifies the Minister in writing
within the relevant period, or within such longer period as
the Minister allows, that the provider wishes the Minister
to hold consultations in relation to the proposed publication
of the notice under section 16(1), the Minister shall appoint
a day (being not later than 14 days after the end of that
period), time and place for the holding of the consultation,
and give notice of the day, time and place so appointed to
each provider who so notified the Minister.
(5) At a consultation under this section —
(a) the Minister or a person or persons nominated in
writing by the Minister is or are entitled to be
present;
(b) each provider who notified the Minister in
accordance with subsection (4) is entitled to be
present or to be represented;
(c) any other person whose presence at the
consultation is considered by the Minister to be
appropriate is entitled to be present or to be
represented; and
(d) the procedure to be followed shall be as
determined by the Minister.
(6) The Minister shall cause a record of proceedings
at a consultation under this section to be kept.
(7) The Minister shall, as far as is practicable, ensure
that each person who, in accordance with subsection (5), is
entitled to be present or who is representing such a person
is given a reasonable opportunity at the consultation to
present his case and, in particular, to inspect any
documents which the Minister proposes to consider for the
purpose of making a decision after the conclusion of the
consultation, other than any documents that contain
particulars of a secret formula or process, and to make
submissions in relation to those documents.
(8) As soon as is practicable after the conclusion of a
consultation in relation to the proposed publication of a
notice under section 16(1), the Minister shall proceed to
consider what action he should take under section 16.

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Exception in case 20. (1) Where it appears to the Minister that goods of
of danger to a particular kind create an imminent risk of death, serious
public.
illness or serious injury, the Minister may, immediately, by
notice published in the Gazette, publish a notice in relation
to the goods under section 16(1).
(2) Where the Minister publishes a notice in the
Gazette under subsection (1) —
(a) in a case where the notice is published before the
Minister takes any action under section 16(1) in
relation to goods of a particular kind, section 18
does not apply in relation to the action that the
Minister may take under section 16(1) in relation
to goods of that kind; or
(b) in any other case, any action taken by the
Minister under section 16(1) in relation to goods
of a particular kind ceases to have effect and, if a
consultation had, under section 18, been arranged
or had commenced, the Minister may publish the
notice under section 16(1) without regard to the
action taken under section 18.
Information to 21. (1) At any time before payment is made for any
consumer. item of goods of, or above a prescribed value (whether sold
as used or unused), a provider shall provide, both orally
and in writing, all information in the English Language to
the consumer concerning the goods being sold including,
where applicable, the origin, price in the currency of The
Bahamas, care terms, components, hazards, proper use,
assembling, installation, weight and size of the goods and
where chargeable, the professional fees of the provider
being charged in respect of the goods.
(2) Where a provider fails to comply with subsection
(1) he shall, notwithstanding anything to the contrary in the
warranty document, be responsible for any damage done to
the goods by the consumer that can be directly attributed to
the consumer’s lack of information.
Measurement of 22. (1) A consumer shall at all times be entitled to
goods. check the weight, volume or other measurement of the
goods sought to be purchased where the weight, volume or
other measurement of the goods materially affects or
determines the price thereof.
(2) For the purposes of subsection (1), any provider
of any good that is sold by reference to its weight, volume
or other measurement shall provide appropriate

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measurement standards in accordance with the Weights Ch. 338.

and Measures Act for use by the consumer at the time of
purchase.
(3) A provider commits an offence if in selling or
purporting to sell any goods by weight or other
measurement or by number, he knowingly delivers or
causes to be delivered to the consumer, a lesser quantity
than that purported to be supplied or that corresponds with
the price charged.
23. (1) Where a consumer purchases goods or Receipt to be
services from a provider, the provider shall give to the given to
consumer.
consumer a receipt showing —
(a) the amount paid by the consumer;
(b) the date on which the purchase is made or the
service is rendered;
(c) a description of the goods sold or services
rendered;
(d) the professional fees charged; and
(e) such other information as the Minister may by
regulations prescribe.
(2) At any time subsequent to the purchase, the
receipt issued by the provider shall be adequate proof of
the purchase of the goods or services and may be used for
the purposes of refund in any of the circumstances
specified in this Act.
(3) A provider who contravenes subsection (1)
commits an offence and is liable on summary conviction to
a fine not exceeding two thousand dollars.
24. (1) A provider shall issue explicit warranties in Warranties.
relation to his goods or services, as the case may be,
whether the goods are new or used, and whether the service
offered is the repair of any appliance, furniture, equipment
or other goods.
(2) Any warranty given by the manufacturer
(whether local or foreign) and attached to any goods or
services sold or provided as the case may be, in The
Bahamas shall be deemed to extend to the provider in The
Bahamas who shall be liable to the consumer in relation to
such warranty.
(3) Where a provider is liable only for the free
replacement of parts under a warranty agreement, the

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provider shall not require the consumer to use the services

of the provider in effecting the repairs to the equipment.
(4) Implied warranties in the absence of explicit
warranties shall apply to the sale of all used goods and to
the repair of all goods.
(5) In the absence of an explicit warranty which shall
be at the discretion of the provider, an implied warranty of
six months on parts and labour shall, subject to the
standard conditions of warranties attach to the transaction.
Damage resulting 25. (1) Subsection (2) applies in any case where a
from use service
or goods.
provider —
(a) undertakes to provide a consumer with a good or
service upon payment of a fee thereof;
(b) provides the declared benefit attached to the
service or use of the good; and
(c) inadvertently causes bodily injury or pecuniary
loss to be sustained by the consumer, independent
of all other causes or contributory negligence.
(2) The provider shall, upon presentation of a
substantiated claim by the consumer —
(a) undertake to pay the consumer all reasonable
costs incurred or to be incurred by the consumer
in correcting the damage so caused; and
(b) initiate all such compensation within a period not
exceeding seven days after the complaint is
received at the registered, regional or local offices
of the provider.
(3) A provider shall not be relieved of liability if —
(a) the consumer fails to avail himself of some other
good or service that may be recommended by the
provider of the primary good or service as a
supplementary good or service; or
(b) has provided complementary goods or services
which fail to function well or cause damage or
other loss.
(4) A provider who contravenes subsection (2)
commits an offence and is liable on summary conviction to
a fine not exceeding two thousand dollars.
Damaged goods 26. (1) A provider who sells a consumer any good
sold to consumer. that, due to no apparent negligence or abuse by the

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consumer within the comprehensive warranty period, fails

to provide to the consumer the benefit and uninterrupted
enjoyment for which it was intended, shall be responsible
for its replacement or repair at no cost to the consumer.
(2) The provider shall, in the event of repair of the
good referred to in subsection (1) —
(a) return the good to the consumer in a fully
repaired and functional state within ten days of
receipt of the good for replacement or repair; or
(b) if the good is not returned to the consumer within
the period of ten days, provide the consumer with
a temporary substitute of comparative value for
the consumer’s uninterrupted use and enjoyment
until such time as the consumer’s good is
replaced or repaired and returned.
27. (1) Subject to subsections (3) and (4), where a Return of
consumer is encouraged to acquire goods by the provider’s defective goods.
declaration and description of the goods and the consumer
subsequently discovers that those goods are defective in a
material particular from that intended to be purchased, the
consumer may return the goods to the provider.
(2) The provider shall immediately offer to the
consumer, in exchange for the returned goods, monetary
compensation of the goods or such other amount as may be
agreed between the consumer and the provider.
(3) Refunds on goods returned to a provider pursuant
to subsection (1) shall only be made where the goods are
returned to the provider in the condition purchased or with
minimal damage resulting from reasonable exposure in the
normal course of the consumer’s use of the goods prior to
discovery of the material difference between the goods
received and the goods that the consumer requested.
(4) A consumer who acquires a good that in every
way is similar or identical to the one requested or described
and declared by the provider shall not be entitled to a
refund if, having left the place from which the provider
sold the good, the consumer for any reason decides that he
no longer wants it.
28. (1) Subsection (2) shall apply in any case Return of
where — electrical goods.

(a) a consumer purchases any electrical good,

believing it to be fully operational; and

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CH.337C – 18] CONSUMER PROTECTION

(b) upon attempting to use it, the consumer discovers

that it is faulty or non-functional.
(2) The consumer shall, upon returning the good to
the provider, be entitled to —
(a) an exchange of the faulty good for a new
functional similar good free of cost; or
(b) a refund of the amount paid for the good if the
provider is unable to establish that the good was
damaged as a direct result of the consumer’s
actions.
Approved and 29. (1) Subject to subsection (2), a provider shall only
non-approved
services.
provide such services as are approved by the consumer and
shall not require a consumer to sign an open-ended
commitment to pay for services which, in addition to those
contracted, may, in the provider’s opinion, be necessary or
appropriate.
(2) The provider’s authority to provide services not
approved by the consumer shall be restricted to ten per cent
of the value of the approved services.
(3) A provider who offers a repair service shall —
(a) disclose to the consumer any and all additional
related repairs that he deems necessary for the
consumer to enjoy reasonably long and
uninterrupted use of the repaired good; and
(b) obtain a written indemnity for the consumer if the
consumer chooses to require the provider to effect
the recommended repairs.
Businesses 30. Businesses which offer repair services to
offering repair
services.
consumers shall keep records stating —
(a) the name, address and telephone number of the
consumer;
(b) a reasonably accurate description of the good to
be repaired; including any identification number
or mark;
(c) the replacement value of the good in its present
state as agreed with the consumer;
(d) an estimate of the labour and other costs to be
paid by the consumer in respect of the repairs to
be effected;

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 CONSUMER PROTECTION [CH.337C – 19

(e) the date on which the good was received for

repair; and
(f) the date on which the good will be ready for
delivery, and a copy of such information shall be
given to the consumer before the repairs are
commenced.
31. (1) No person shall, in the course of trade or Misleading or
business, engage in conduct that is misleading or deceptive deceptive
conduct.
or is likely to mislead or deceive.
(2) Any person who contravenes subsection (1)
commits an offence and is liable on summary conviction to
a fine not exceeding three thousand dollars.
32. (1) No person shall, in the course of trade or Misleading
business engage in conduct that is likely to mislead the public as to the
nature, etc., of
public as to the nature, manufacturing process, goods or
characteristics, suitability for a purpose or quantity of services.
goods or services, as the case may be.
(2) Any person who contravenes subsection (1)
commits an offence is liable on summary conviction to a
fine not exceeding two thousand dollars.
33. (1) No person shall, in the course of trade or False or
business in connection with the supply or possible supply misleading
representation.
of goods or services or with the promotion by any means of
the supply or use of goods or services —
(a) falsely represent that —
(i) the goods or services are of a particular kind,
standard, quality, grade, quantity,
composition, style, or model, or have had a
particular history or particular previous use;
or
(ii) services are of a particular kind, standard,
quality, or quantity, or that they are supplied
by any particular person or by any person of
a particular trade, qualification, or skill;
(iii) a particular person has agreed to acquire
goods or services;
(iv) goods are new, reconditioned, or that they
were manufactured, produced, processed,
reconditioned at a particular time;
(v) goods or services have any sponsorship,
approval, endorsement, performance

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CH.337C – 20] CONSUMER PROTECTION

characteristics, accessories, uses or benefits;

or
(vi) a person has any sponsorship, approval,
endorsement, or affiliation;
(b) make a false or misleading representation —
(i) with respect to the price of any goods or
services;
(ii) concerning the need for any goods or
services;
(iii) concerning the existence, exclusion, or effect
of a condition, warranty, guarantee, right or
remedy; or
(iv) concerning the place of origin of goods.
(2) Any person who contravenes subsection (1)
commits an offence and is liable on summary conviction to
a fine not exceeding five thousand dollars.
Non-delivery of 34. (1) Where it can be proven that a provider —
goods or services
on contracted (a) has contracted to provide goods or services;
date.
(b) pursuant to that contract, has received a deposit in
cash or kind; and
(c) on the contracted delivery date, is unable to
deliver such goods or services without reasonable
excuse or is unable to demonstrate that such
goods are in a reasonably advanced state of
production,
that provider shall be deemed to have acted in a fraudulent
manner and is liable to be prosecuted in relation thereto.
(2) A provider who is convicted of an offence under
subsection (1) is liable on summary conviction to a fine not
exceeding five thousand dollars.
Advertising 35. (1) No person shall in the course of trade,
advertise at a specified price, goods or services which that
person does not —
(a) intend to offer for supply; or
(b) have reasonable grounds for believing can be
supplied by that person at that price for a period
that is, and in quantities that are, reasonable
having regard to the nature of the market in which

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 CONSUMER PROTECTION [CH.337C – 21

the person carries on business and the nature of

the advertisement.
(2) Any person who has advertised goods or services
at a specified price shall offer such goods or services at that
price for a period that is, and in quantities that are,
reasonable having regard to the nature of the market in
which the person carries on business and the nature of the
advertisement.
(3) Any person who contravenes subsection (1)
commits an offence and is liable on summary conviction to
a fine not exceeding five thousand dollars.
36. (1) An advertised delivery date for new, used and Advertised
repaired goods shall form part of the contractual agreement delivery date.
between the provider and the consumer.
(2) Where a provider fails to meet the advertised
delivery date, the provider, as the case may be, shall refund
to the consumer all moneys paid, plus an amount equal to
ten per cent of the amount deposited for each week that the
goods are not delivered commencing after a period of (not
more than) fourteen days after the advertised delivery date.
37. No person shall demand or accept payment or Conditions for
other consideration for goods or services, if at the time of payment.
the demand or acceptance, that person —
(a) does not intend to supply the goods or services;
(b) intends to supply goods or services which are
materially different from the goods or services in
respect of which the payment or other
consideration is demanded or accepted; or
(c) does not have reasonable grounds to believe that
the goods or services will be supplied within any
specified period, or if no period is specified,
within a reasonable time.
38. Upon the conviction of a provider of an offence Court may order
the court may order the provider to pay to the — payment of
damages or costs.
(a) consumer, by way of damages, a sum
representing the costs incurred by that consumer
as a result of the offence, and
(b) Consumer Commission such sum as represents
the costs incurred in relation to the prosecution of
the offence.

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CH.337C – 22] CONSUMER PROTECTION

Breach of duty or 39. In relation to any breach of duty or obligation, it

obligation. is immaterial for any purpose of this part whether the
breach was inadvertent or intentional, or whether liability
for it arises directly or vicariously.
Excluding or 40. (1) A person shall not by reference to —
restricting
liability by (a) any term of a contract;
contract.
(b) a notice given to persons generally; or
(c) particular persons,
exclude or restrict his liability for death or personal injury
resulting from negligence.
(2) In the case of other loss or damage, a person shall
not so exclude or restrict his liability for negligence except
in so far as the term or notice satisfied the requirement of
reasonableness as provided for in section 17.
(3) Where a term of a contract or notice purports to
exclude or restrict liability for negligence, the fact that, that
person agrees with it or is aware of it is not of itself to be
taken as indicating his voluntary acceptance of any risk.
Reliance upon 41. No party to a contract shall —
contractual
provisions where (a) when he is in breach of contract, exclude or
breach. restrict his liability in respect of the breach; or
(b) claim to be entitled to render —
(i) a contractual performance substantially
different from that which was reasonably
expected of him; or
(ii) no performance in respect of the whole or
any part of his contractual obligation, except
in so far as the contract term satisfies the
requirement of reasonableness.
Indemnity 42. A consumer shall not in reference to any term of
subject to
reasonableness.
a contract be made to indemnify another person (whether a
party to the contract or not) in respect of liability that may
be incurred by the other person for negligence or breach of
contract, except in so far as the term of the contract
satisfies the test of reasonableness.
Loss or damage
from defective 43. (1) In the case of goods of a type ordinarily
goods or supplied for private use or consumption, where loss or
negligence of damage —
manufacturer.
(a) arises from the goods proving defective while in
consumer use; or

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 CONSUMER PROTECTION [CH.337C – 23

(b) results from the negligence of a person concerned

in the manufacture or distribution of the goods,
liability for the loss or damage shall not be excluded or
restricted by reference to any contract term or notice
contained in or operating by reference to a guarantee of the
goods.
(2) For the purposes of this section —
(a) goods are to be regarded as “in consumer use”
when a person is in possession of them for use,
otherwise than exclusively for the purposes of a
business; and
(b) anything in writing is a guarantee if it contains or
purports to contain some promise or assurance
(however worded or presented) that defects will
be made good by complete or partial replacement,
or by repair, monetary compensation or
otherwise.
44. Liability for breach of the obligations arising Effect of Sale of
from — Goods and Hire
Purchase Act.
(a) section 13 (implied undertaking as to title, etc)
and 16 (implied conditions as to quality or
fitness) of the Sale of Goods Act, and Ch. 337.

(b) sections 9 and 11 of the Hire Purchase Act, shall Ch. 342.
not be excluded or restricted by reference to any
contract term.
45. (1) Where, for the purpose of reliance upon it, a Satisfying
contract term has to satisfy the requirement of reasonableness
where contract
reasonableness, it may be found to do so and be given terminated.
effect accordingly notwithstanding that the contract has
been terminated either by breach or by a party electing to
treat it as repudiated.
(2) Where on a breach the contract is nevertheless
affirmed by a party entitled to treat it as repudiated, such
affirmation does not of itself exclude the requirement of
reasonableness in relation to any term of a contract.
46. (1) The requirement for reasonableness in relation Reasonableness.
to a contract term, is that the term is a fair and reasonable
one to be included having regard to the circumstances
which were, or ought reasonably to have been, known to or
in the contemplation of the parties when the contract was
made.

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CH.337C – 24] CONSUMER PROTECTION

(2) The requirement of reasonableness in this Act in

relation to a notice (not being a notice having contractual
effect), is that the notice should be fair and reasonable to
allow reliance on it, having regard to all the circumstances
when the liability arose or (but for the notice) would have
arisen.
(3) Subsection (4) applies in any case where, by
reference to a contract term or notice, a person seeks to
restrict liability to a specified sum of money, and the
question arises (under this or any other Act) whether the
term or notice satisfies the requirement of reasonableness.
(4) Regard shall be had in particular (but without
prejudice to subsection (2) in the case of a contract term)
to —
(a) the resources which the person could expect to be
available to him for the purpose of meeting the
liability if it arises; and
(b) how far it was open to that person to cover
himself by insurance.
(5) It is for those claiming that a contract term or
notice satisfies the requirement of reasonableness to show
that it does.
Alternative 47. Any written contract formed between a consumer
dispute
resolution.
and a provider shall include a clause providing for the
parties to attempt to settle their disagreements through
mediation by the Consumer Commission before taking the
matter to court.
Goods or 48. (1) This section applies to any case where a
services acquired
by installment.
provider contracts to provide a consumer with a good or
service over an extended period of time, and that provider
contracts to receive periodic payments from the consumer
for the good or service.
(2) The provider shall —
(a) be required to present an accurate claim for the
exact amount of, or the exact percentage of, the
total value of the good or service actually
received to date by the consumer; and
(b) upon presentation of such accurate claim, be
entitled to void the contract if payment in full is
not made within a reasonable time after the
presentation of the claim, or by a pre-determined
payment date which forms part of the contract.

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 CONSUMER PROTECTION [CH.337C – 25

(3) In the event that the provider is unable to present

an accurate claim, the provider may act in accordance with
subsection (4).
(4) The provider may —
(a) present the consumer with an estimated claim;
and
(b) if the estimated claim is reasonably accurate,
request that the consumer pay the estimated
amount on the conditions specified in subsection
(5).
(5) The conditions referred to in subsection (4)
are that —
(a) where the amount estimated is greater than the
accurate claim, the amount paid by the consumer
will be credited to the amount owing at the next
time that an accurate claim is presented; and
(b) the provider shall under no circumstances, be able
to void the contract or impose any penalty therein
contained in the event of breach by the consumer,
solely on the ground that the estimated amount
has not been paid by the consumer, either in full
or in part.
(6) A provider who presents an estimated claim for
any good or service shall be required to present an accurate
claim no later than 90 days after presentation of the
estimate.
(7) Subsection (6) shall apply notwithstanding that
the consumer of the good or service does not pay the
estimated amount claimed or pays it in full or in part.
49. (1) Where a service is provided to a consumer — Apportionment
of payments
(a) the provider is deemed to be providing the where service not
consumer with a benefit under the relevant received.
contract; and
(b) the provisions of subsection (2) shall apply where
a fee is collected from the consumer for that
service.
(2) The provider shall —
(a) be liable to make a full refund to the consumer, if
for reasons not attributable to the consumer, the
benefit is not received by the consumer; or

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CH.337C – 26] CONSUMER PROTECTION

(b) where the benefit is received only in part —

(i) refund a proportionate part of the fees
collected; or
(ii) subject to subsection (3), be entitled to
receive a similar proportionate part of the
fees if not yet paid.
(3) Subsection (2) shall not apply in any case where
the consumer contracts to pay the provider the prescribed
fee regardless of whether the consumer receives the
benefit.
(4) The provider who offers a service to the
consumer shall —
(a) be required to stipulate the extent of the benefit
that shall be deemed to be attached to the service;
and
(b) provide the consumer with an appropriate
warranty that —
(i) the benefit shall be enjoyed for a reasonable
time, subject to the fulfillment of such
conditions attached by the provider as may
be reasonable to the consumer’s enjoyment
of that benefit; and
(ii) in the absence of the enjoyment of the
benefit, the provider shall again provide the
service free of cost to the consumer.
Purporting to act 50. (1) A provider commits an offence if he —
on a Bill of Sale.
(a) acts on the powers contained in a Bill of Sale of
chattel pledged by a consumer; and
(b) employs any person other than a constable, or a
bailiff to recover any or all of the chattels pledged
in the Bill of Sale to the provider in the event of
default in repayment of a loan.
(2) A provider who commits an offence under
subsection (1) shall, upon summary conviction be liable to
a fine not exceeding five thousand dollars.
(3) A provider commits an offence if he, in taking
action to recover any or all of the chattels pledged by the
consumer in the Bill of Sale to the provider in the event of
default in repayment of a loan, carries out an act of seizure
although the consumer’s indebtedness to the provider has

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 CONSUMER PROTECTION [CH.337C – 27

already been discharged or is currently being serviced in

accordance with existing contractual provisions.
(4) A provider who commits an offence under
subsection (3) shall, upon summary conviction be liable to
a fine not exceeding one thousand dollars.
(5) The court may order a provider convicted of an
offence under subsection (3) to pay the consumer an
amount equal to ten times the market value of the chattels
seized plus an amount of fifty dollars per day for every day
that the consumer has been deprived of the use and
enjoyment of those chattels.
(6) The court may order a provider convicted of an
offence to compensate the consumer for all expenses
reasonably incurred as a result of the breach and the legal
action.
(7) A person commits an offence who —
(a) not being a Bailiff, purports to be a Bailiff; or
(b) being a Bailiff, wrongfully seizes the chattels of a
consumer.
(8) A person who commits an offence under
subsection (7) shall upon summary conviction be liable to a
fine not exceeding five thousand dollars.
(9) The Court may order a person convicted of an
offence under subsection (8) to pay the consumer an
amount equal to ten times the market value of the chattels
seized plus an amount of fifty dollars per day for every day
that the consumer has been deprived of the use and
enjoyment of those chattels.
(10) Any bailiff or person purporting to be a
bailiff who —
(a) threatens to seize the chattels of a consumer
under the powers contained in a Bill of Sale
although the consumer’s indebtedness to the
provider has already been discharged; or
(b) recklessly damages the chattels of a consumer
while exercising distraint,
commits an offence and shall, upon summary conviction be
liable to a fine not exceeding five thousand dollars.
51. (1) All providers acting individually or Registration of
collectively, and offering goods or services to consumers providers.

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CH.337C – 28] CONSUMER PROTECTION

for purchase, shall be appropriately registered as

companies, partnerships, co-operatives, sole
proprietorships or informal commercial operators.
(2) The instruments of registration and licence where
applicable, or any official number or identification mark
issued by the relevant authorities shall be conspicuously
displayed by the provider for viewing by the consumer.
(3) A provider who fails to comply with the
provisions of this section commits an offence and is liable
on summary conviction to a fine of one thousand dollars.
Regulations. 52. The Minister may make regulations for the
purposes of giving effect to the provisions of this Act.

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 CONSUMER PROTECTION [CH.337C – 29

FIRST SCHEDULE (Section 3(2))

1. (1) The Consumer Commission shall consist of a Constitution of

chairman, a deputy chairman and not less than five nor the Consumer
Commission.
more than nine other members appointed by the Governor-
General on the advice of the Minister from persons
appearing to be qualified in the areas of law, industry,
commerce, agriculture, banking and finance,
transportation, administration or organization of workers.
(2) The Permanent Secretary of the Ministry
responsible for Consumer Affairs or a person designated
by the Permanent Secretary shall be an ex officio member
of the Consumer Commission.
2. A member of the Consumer Commission other Tenure.
than the ex officio member shall hold office for such
period, not exceeding three years as the instrument of
appointment may direct, but such member shall be eligible
for reappointment.
3. The Minister shall appoint a chairman and a Chairman and
deputy chairman of the Consumer Commission from deputy chairman.
among members appointed under paragraph 1 and if the
chairman is absent or unable to act, the deputy chairman
shall act as chairman during the time the absence or
inability continues.
4. A member of the Consumer Commission other Resignation.
than the ex officio member, may at any time resign his
office by instrument in writing addressed to the Minister
and from the date of receipt by the Minister of the
instrument that member shall cease to be a member of the
Consumer Commission.
5. The Governor-General on the advice of the Removal.
Minister may, by instrument in writing remove a member
of the Consumer Commission upon being satisfied that the
member —
(a) is an undischarged bankrupt;
(b) is, for whatever reason permanently incapable of
performing the duties of a member;
(c) has neglected the duties of a member or has
engaged in misconduct; or
(d) has been convicted of an indictable offence.

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CH.337C – 30] CONSUMER PROTECTION

Publication. 6. The appointment, removal, death or resignation

of a member to the Consumer Commission shall be
notified in the Gazette.
Remuneration. 7. There shall be paid to the chairman and other
members of the Consumer Commission such remuneration,
if any, as the Minister may determine.
Meetings. 8. (1) The Consumer Commission shall meet as
often as may be required for the performance of its
functions, but in any event, shall meet at least once a
month.
(2) The chairman, or in his absence the deputy
chairman, shall preside at all meetings of the Consumer
Commission.
(3) The chairman, or in his absence the deputy
chairman, and three other members of the Consumer
Commission shall form a quorum.
(4) The decisions of the Consumer Commission are
by a majority of votes and in any case in which the voting
is equal, the member presiding at the meeting shall have, in
addition to an original vote, a casting vote.
(5) Minutes of each meeting in proper form are to be
kept by the secretary or any officer the Consumer
Commission may appoint for that purpose, and confirmed
by the Consumer Commission at the next meeting and
signed by the chairman or a member of the Consumer
Commission designated by the chairman as the case may
be.
(6) The Consumer Commission may co-opt any one
or more persons to attend any particular meeting of the
Consumer Commission for the purpose of assisting or
advising the Consumer Commission in any matter with
which the Consumer Commission is dealing, but no co-
opted person has the right to vote.
(7) Where a quorum is present, the validity of any
proceeding of the Consumer Commission shall not be
affected by any vacancy amongst the members thereof by
any defect in the appointment of a member.
Authority to 9. Subject to this Schedule, the Consumer
regulate its
proceedings.
Commission has the power to regulate its proceedings.

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 CONSUMER PROTECTION [CH.337C – 31

SECOND SCHEDULE (Section 10(2)(a))

SUMMONS TO WITNESS

To : .......................................................(name of
person summoned and his or her address, if known)
You are hereby summoned to appear before the
Consumer Commission, established under the Consumer
Protection Act, at ................................................... (place)
on the ........... day of …............. at .........o'clock and to give
evidence respecting ....................... (state the matter).
(If the person summoned is to produce any documents,
add) And you are required to bring with you (specify the
papers, books, records and documents required).

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