If you are a business providing digital content to consumers, then you will be affected by the updates to the Consumer Rights Act 1 October 2015. The new contractual terms apply to digital content that has been purchased, including by subscription, or provided with another purchased product. The new provisions only apply to entities trading with consumers and not business-to-business supplies. For advice on business obligations to consumers contact IBB's Infomation technology and commercial dispute resolution solicitors today. We are based in London, and support all surrounding areas. Please visit: http://www.ibblaw.co.uk/service/information-technology http://www.ibblaw.co.uk/service/commercial-dispute-resolution

1. DIGITAL
CONTENT
New consumer rights
from 1 October 2015
a briefing note from

2. so and the trader must bear the costs of repair or replacement,
this is the first tier of remedy available to consumers.
If repair or replacement is not possible, or, the trader has not
carried out the repair or replacement within a reasonable time
and without significant inconvenience to the consumer, then
the consumer is entitled to a reduction in the price of the digital
content, within 14 days of agreeing that the consumer is entitled
to a refund. This encompasses not only a price reduction but also
a full refund.
If the digital content supplied to a consumer
damages other digital content or the
consumer’s device, then the trader must
repair the damage within a reasonable
period and bear any costs of the repair.
Alternatively consumers are entitled
to compensation for the damage with an
appropriate payment for the damage caused.
Can traders exclude the new terms?
Traders may not exclude the new terms in any contract for
the supply of digital content. The practical effect of this is that
businesses should review their contracts, including subscription
and licence agreements to ensure that they are compliant with
the new provisions when they come into force on 1 October 2015.
New Consumer Rights
For Digital Content
from 1 October 2015
What are the new contractual terms?
The quality of digital content must be of a satisfactory standard.
A satisfactory standard is that which a reasonable person would
consider satisfactory, taking into account the description of
the content, the price paid for it (if any) and all other relevant
circumstances, including any public statements made in
advertising or labelling of the digital content. The quality of the
digital content includes whether it is fit for the purposes for which
digital content of that kind is usually supplied, free from minor
defects, its safety and durability.
The digital content must also be fit for the purpose that the
consumer has made known to the trader. The
digital content must also match the description
given by the trader to the consumer. It is not
sufficient if the trial or demo version provided
to the consumer also does not match the
description. Any modifications to the digital
content must also be of a satisfactory
quality, fit for purpose and match the
description.
What remedies do consumers have?
Consumers have a number of remedies which cover not only the
digital content but also any device damaged by digital content.
A consumer is entitled to repair or replacement of the digital
content, providing it is not impossible or disproportionate to do
Digital content is any data that is supplied and produced in digital form. It
can include computer programs, films and music streamed or downloaded,
e-books, games and apps. The new contractual terms apply to digital
content that has been purchased, including by subscription, or provided
with another purchased product. The new provisions only apply to entities
trading with consumers and not business-to-business supplies.
© IBB Solicitors 2015. Thissummaryisprovidedforgeneralinformationonly,andisnotintendedto
amounttolegaladviceonwhichyoushouldrely.Werecommendyouobtainspecialistprofessional
advicebeforetaking–orrefrainingfrom–anyactiononthebasisoftheinformationabove.
If you would like to discuss any aspect of this briefing further,
please contact:
Dr Christopher Hayes
Partner, IP and IT
christopher.hayes@ibblaw.co.uk / 01895 207240
New
contractual
terms
Satisfactory quality
Fit for purpose
Match description
Remedies
Repair or replacement
Price reductionRefund