(D) ANOTHER EXAMPLE OF PARTIAL FAILURE OF BASIS: REJECTION OF GOODS
When the Consumer Rights Act 2015 comes into force, another statutory example of partial failure of basis will effectively be recognized. One effect of the Act is that, if a consumer has exercised the statutory right to reject goods, so that the contract of sale is treated as terminated, the consumer has a statutory right to recover money which has been paid under the contract,[1] or anything else which had been transferred under the
contract.339 This statutory right to restitution will apply even though the consumer has received some benefit under the contract, so that the basis will not have failed totally. This is even more clear in section 21 which enables the consumer to recover money paid in respect of some of the goods, where the consumer has only exercised the right to reject partially. This Act, which only applies to protect consumers,340 will provide a significant restriction on the total failure of basis requirement.
- [1] business, craft, or profession: ibid, s 2(3).
