Investor Presentaiton
[Rev. 2016]
16. Rescinding agreement
Consumer Protection
No. 46 of 2012
(1) Any agreement, whether written, oral or implied, entered into by a consumer
after or while a person has engaged in an unfair practice may be rescinded by
the consumer and the consumer is entitled to any remedy that is available in law,
including damages.
(2) A consumer is entitled to recover the amount by which the consumer's
payment under the agreement exceeds the value that the goods or services have
to the consumer or to recover damages, or both, if rescission of the agreement
under subsection (1) is not possible—
(a) because the return or restitution of the goods or services is no longer
possible; or
(b) because rescission would deprive a third party of a right in the subject-
matter of the agreement that the third party has acquired in good faith
and for value.
(3) The consumer may express notice in any way as long as it indicates the
intention of the consumer to rescind the agreement or to seek recovery where
rescission is not possible and the reasons for so doing and the notice meets any
requirements that may be prescribed.
(4) Notice may be delivered in the manner used when entering into the contract.
(5) If notice is delivered other than by personal service, the notice shall be
deemed to have been given when sent.
(6) The consumer may send or deliver the notice to the person with whom the
consumer contracted at the address set out in the agreement or, if the consumer
did not receive a written copy of the agreement or the address of the person was
not set out in the agreement, the consumer may send or deliver the notice―
(a) to any address of the person on record with the consumer; or
(b) to an address of the person known by the consumer.
(7) If a consumer has delivered notice and has not received a satisfactory
response within the prescribed period, the consumer may commence an action.
(8) In the trial of an issue under this section, oral evidence respecting an unfair
practice is admissible despite the existence of a written agreement and despite the
fact that the evidence pertains to a representation in respect of a term, condition
or undertaking that is or is not provided for in the agreement.
(9) A court may award exemplary or punitive damages in addition to any other
remedy in an action commenced under this section.
(10) Each person who engaged in an unfair practice is liable jointly and
severally with the person who entered into the agreement with the consumer for
any amount to which the consumer is entitled under this section.
(11) If an agreement to which subsection (1) or (2) applies has been assigned
or if any right to payment under such an agreement has been assigned, the liability
of the person to whom it has been assigned is limited to the amount paid to that
person by the consumer.
(12) When a consumer rescinds an agreement under subsection (1), such
rescission operates to cancel, as if they never existed―
(a) the agreement;
(b) all related agreements;
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