Consumer contracts

Consumer contracts

If the customer is a consumer, the Consumer Services Act is applicable. The law is compelling for the benefit of the consumer, which means that it is not possible to agree on conditions that are worse for the consumer than the law states. In many cases, however, the law contains additional provisions that only apply in cases where the parties have not agreed otherwise.

The Act also contains special provisions for small-scale housing contracts, and construction and extensions of single and two-dwelling houses. According to these rules, what the consumer claims has been agreed in terms of the extent of the work, the price, the date of payment and the termination of the work is binding, unless otherwise agreed in writing or if the circumstances dictate a different outcome. It is therefore especially important that the contractor ensures that a written contract is drawn up which clearly indicates, for example, the work to be carried out and the price or how to calculate it.

Standard agreements have been established that consumers and traders can use in construction work:

  • ABS 18 is intended for the construction or extension of one and two-dwelling houses which a trader carries out for a consumer.
  • The Craft Form 14 is intended for use in repair and conversion work performed by a trader for a consumer.

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