On Apr. 30, UK CMA proposed draft consumer protection guidance.
UK CMA consulted on draft consumer protection law compliance guidance for unregulated firms providing will writing, online divorce, pre-paid probate services.
Overview
The purpose of the draft guidance is to help unregulated providers of will writing, online divorce and pre-paid probate services in the UK to better understand and comply with their existing obligations under UK consumer protection law.
Unregulated providers often offer innovative, convenient services for consumers, which can be cheaper, but as they are unregulated, and given their significance in the current and future legal landscape, these firms must comply with consumer protection law.
CMA issued the draft guidance as part of its investigation into will-writing and other unregulated legal services; consultation may be of interest to firms offering unregulated legal services to consumers, particularly those providing will writing, online divorce, pre-paid probate services; self-regulatory trade bodies in the sector.
Fellow enforcers of consumer protection law in the UK, including local Trading Standards Services, and consumer advisory groups; regulated legal service providers active in the will writing, divorce and probate sectors, and their regulators.
CMA plans to publish the final version of the compliance guidance, and an anonymized summary of responses with a list of all respondents (except individuals), later in 2024.
Draft Guidance
The draft guidance outlines UK CMA's views on the most important consumer protection law requirements which apply to providers of unregulated legal services.
Explains how businesses can make it more likely: consumers have information to make informed decisions; terms, conditions between providers of unregulated legal services and consumers are fair; services are performed with reasonable care and skill.
Sales practices are not misleading/aggressive/otherwise against statutory obligations.
Draft guidance also includes specific issues for will writing, online divorce service providers, in form of do and don’t checklists to assist businesses to ensure their terms and conditions and their business practices comply with consumer protection law.
Also includes case studies to illustrate points raised; and information on pre-paid probate services, which sets out UK CMA’s concerns regarding these products.
While each case will depend on the particular facts, businesses which fail to adhere to this compliance guidance would, in CMA's view, be more likely to break the law.
That said, the draft guidance does not create new legal requirements for businesses.
Effectiveness
The deadline for responses to the consultation 5pm GMT on Jun. 13, 2024.
