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24 1995

CONSUMER CREDIT ACT, 1995

PART VII

Consumer-Hire Agreements

Contents of consumer-hire agreements.

84. —(1) A consumer-hire agreement and any contract of guarantee relating thereto shall be made in writing and signed by the hirer and by or on behalf of all other parties to the agreement, and—

(a) a copy of the agreement shall be—

(i) handed personally to the hirer upon the making of the agreement, or

(ii) delivered or sent to the buyer by the owner within 10 days of the making of the agreement,

and

(b) in case of any contract of guarantee relating to the agreement, a copy of the guarantee and the agreement shall be—

(i) handed personally to the guarantor upon the making of the contract, or

(ii) sent within 10 days of the making of any contract by the seller to the guarantor.

(2) A consumer-hire agreement shall contain a statement of—

(a) the cash price of the goods to which the agreement relates,

(b) the amount of each instalment to be paid by the hirer under the agreement,

(c) the date, or the method of determining the date, upon which each instalment is payable,

(d) where the agreement is for a specified period—

(i) the number of instalments, and

(ii) the total amount payable under the agreement (including taxes),

(e) the name and address of the supplier of the goods to which the agreement relates,

(f) any additional costs to be paid,

(g) the cost of any early termination by the hirer of the agreement,

(h) the names and addresses of all parties to the agreement at the time of its making, and

(i) any costs or penalties to which the hirer will become liable for any failure by the hirer to comply with the terms of the agreement.

(3) A consumer-hire agreement shall contain a list of the goods to which the agreement relates sufficient to identify them.

(4) A consumer-hire agreement shall contain a notice, which is at least as prominent as the rest of the contents of the agreement, to the effect that the agreement is for the letting of goods which remain the property of the owner.

(5) A consumer-hire agreement shall contain, in respect of the cooling-off period, a statement that the hirer—

(a) has a right to withdraw from the agreement without penalty if the hirer gives written notice to this effect to the seller within a period of 10 days of the date of receipt by the hirer of a copy of the agreement, or

(b) may indicate that he does not wish to exercise this right by signing a statement to this effect, this signature to be separate from, and additional to, the hirer's signature in relation to any of the terms of the agreement.

(6) A consumer-hire agreement shall contain a statement to the effect that a hirer is obliged to give the owner information under section 91 as to the whereabouts of the goods to which the agreement relates.

(7) A consumer-hire agreement shall contain in a prominent position the words Consumer-hire agreement.

Enforceability.

85. —An owner shall not be entitled to enforce a consumer-hire agreement or any contract of guarantee relating thereto or any right to recover the goods from the hirer, and no security given by the hirer in respect of money payable under the consumer-hire agreement or given by a guarantor in respect of money payable under such contract of guarantee as aforesaid shall be enforceable against the hirer or guarantor by any holder thereof, unless the requirements specified in section 84 have been complied with:

Provided that if a court is satisfied in any action that a failure to comply with any of the aforesaid requirements, other than section 84 (1), was not deliberate and has not prejudiced the hirer, and that it would be just and equitable to dispense with the requirement, the court may, subject to any conditions that it sees fit to impose, decide that the agreement shall be enforceable.

Regulations.

86. —The Minister may make regulations in relation to the form and content of consumer-hire agreements and in so doing may amend or modify section 84 .

Obligation on owners to comply with sections 84 and 86 .

87. —An owner who is a party to a consumer-hire agreement shall ensure that the contents of the agreement comply with section 84 and any regulations made under section 86 .

Application of sections 75 to 83 to consumer-hire agreements.

88. —Where goods are let under a consumer-hire agreement, the provisions of sections 75 to 83 shall apply to the agreement as if it were a hire-purchase agreement and in every such agreement there is an implied warranty that the goods are free, and will remain free, from any charge or encumbrance not disclosed, before the agreement is made, to the person taking the goods and that that person will enjoy quiet possession of the goods except so far as it may be disturbed by any person entitled to the benefit of any charge or encumbrance so disclosed.

Right of hirer to determine consumer-hire agreement.

89. —(1) A hirer shall, at any time, be entitled to determine a consumer-hire agreement by giving notice of termination to the owner or any person entitled to receive the sums payable under the agreement.

(2) Where a notice is given under subsection (1) the agreement shall be determined after the expiration of the period of 3 months (or such lesser period as may be specified in the agreement) from the date of receipt of the notice.

Hirer to take reasonable care of goods.

90. —A hirer shall take all reasonable care of goods which are let to him under a consumer-hire agreement and shall be liable to the owner if he fails to take such care.

Duty of hirer to give information as to whereabouts of goods.

91. —A hirer shall, within 10 days of receipt of a request in writing from the owner of the goods let to the hirer under a consumer-hire agreement, inform the owner where the goods are at the time when the information is given or, if it is sent by post, at the time of posting.