Part I

Statutory Interest on Qualifying Debts

Contracts to which Act applies.
2
1
This Act applies to a contract for the supply of goods or services where the purchaser and the supplier are each acting in the course of a business, other than an excepted contract.
2
In this Act “contract for the supply of goods or services” means—
a
a contract of sale of goods; or
b
a contract (other than a contract of sale of goods) by which a person does any, or any combination, of the things mentioned in subsection (3) for a consideration that is (or includes) a money consideration.
3
Those things are—
a
transferring or agreeing to transfer to another the property in goods;
b
bailing or agreeing to bail goods to another by way of hire or, in Scotland, hiring or agreeing to hire goods to another; and
c
agreeing to carry out a service.
4
For the avoidance of doubt a contract of service or apprenticeship is not a contract for the supply of goods or services.
5
The following are excepted contracts—
a
a consumer credit agreement;
b
a contract intended to operate by way of mortgage, pledge, charge or other security; and
c. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
6. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7
In this section—
- “business” includes a profession and the activities of any government department or local or public authority;
- “consumer credit agreement” has the same meaning as in the Consumer Credit Act 1974;
- “contract of sale of goods” and “goods” have the same meaning as in the Sale of Goods Act 1979;
“government department” includes any part of the Scottish Administration;
“property in goods” means the general property in them and not merely a special property.
S. 2 fully in force; s. 2 not in force at Royal Assent see s. 17(2); s. 2 in force for specified purposes: at 1.11.1998 by S.I. 1998/2479, art. 3; at 1.7.1999 by S.I. 1999/1816, art. 3; at 1.9.2000 by S.I. 2000/2225, art. 3(1), Sch.; at 1.11.2000 by S.I. 2000/2740, art. 3(1); S. 2 in force (E. W. NI.) in so far as not already in force at 7.8.2002 by S.I. 2002/1673, art. 2; S. 2 in force (S.) in so far as not already in force at 7.8.2002 by S.S.I. 2002/337, art. 2
S. 2(5)(c) repealed (7.8.2002) by S.S.I. 2002/335, reg. 2(2) (with reg. 4)
S. 2(5)(c),(6) repealed (7.8.2002) by S.I. 2002/1674, reg. 2(2)
S. 6 repealed (7.8.2002) by S.S.I. 2002/335, reg. 2(2) (with reg. 4)
1974 c. 39.
1979 c. 54.
Definition in s. 2(7) inserted (1.7.1999) by S.I. 1999/1820, art. 4, Sch. 2 Pt. I para. 132