While it is true that a B2B contract may not take away
all of the consumer protection that would apply to a B2C contract, it does take away considerable portions of it, such as the
Unfair Terms in Consumer Contracts Regulations, which do not apply to B2B contracts. The Distance Selling Regulations would also not apply.
And, in general, when interpreting B2B contracts, courts will take the view that each side has received appropriate advice, and negotiated a contract that matches their wishes, while with a standard fixed B2C contract that the consumer does not have the opportunity to negotiate, they will recognise the imbalance of arms, and construe all terms in a way that favours the consumer.
While it is true that a B2B contract may not take away
all of the consumer protection that would apply to a B2C contract, it does take away considerable portions of it, such as the
Unfair Terms in Consumer Contracts Regulations, which do not apply to B2B contracts. The Distance Selling Regulations would also not apply.
And, in general, when interpreting B2B contracts, courts will take the view that each side has received appropriate advice, and negotiated a contract that matches their wishes, while with a standard fixed B2C contract that the consumer does not have the opportunity to negotiate, they will recognise the imbalance of arms, and construe all terms in a way that favours the consumer.
Thank-you Murray.
Business to business sales, are consumer rights applicable? (Note: this is UK focused)
In short, yes, unless the company you are dealing with has specifically underwritten terms in their Terms and Conditions negating aspects of your consumer rights. This is known as an exclusion clause, and is yet another reason why Terms and Conditions should always be read and thoroughly discussed in your respective thread.
In particular, sections 10 and 11 of the Distance Selling Regulations, which would otherwise have given an absolute right to cancel, will not apply to a pre-order written as a B2B contract rather than a B2C one. In the particular field of Bitcoin ASIC miner pre-orders, I think that is quite a significant loss!
Edit: If by repeating that quote, you intend to imply that there is no loss of protection, you are simply wrong.
From the Distance Selling Regulations:
“consumer” means any natural person who, in contracts to which these Regulations apply, is acting for purposes which are outside his business;
[...]
Right to cancel
10.—(1) Subject to regulation 13, if within the cancellation period set out in regulations 11 and 12, the consumer gives a notice of cancellation to the supplier, or any other person previously notified by the supplier to the consumer as a person to whom notice of cancellation may be given, the notice of cancellation shall operate to cancel the contract.
(2) Except as otherwise provided by these Regulations, the effect of a notice of cancellation is that the contract shall be treated as if it had not been made.
This simply does not apply to businesses.
Similarly for the Unfair Terms in Consumer Contracts Regulations:
What terms are not covered?
Most standard terms are covered by the UTCCRs. The exceptions are those:
that reflect provisions which by law have to be included in contracts
that have been individually negotiated
in contracts between businesses
in contracts between private individuals
in certain contracts that people do not make as consumers – for example, relating to employment or setting up a business
in contracts entered into before 1995.
And, from the OFTs guidance on the UTCCR:
The fact that certain customers – even a majority – are not consumers does not justify exclusion of liability that could affect consumers. However, there is no objection under the Regulations to terms which cannot affect consumers, for example those which exclude liability for business losses, or losses to business customers.
You might want to read the rest/discuss it on the other thread, as it's more general that just KNCMINER, though it specifically applies here too.
