UNFAIR TERMS IN CONTRACTS – A CONSULTATION PAPER

The Law Commission and the Scottish Law Commission have recently published a consultation paper on unfair terms in contracts (Law Commission Consultation Paper No. 166 and Scottish Law Commission Discussion Paper No. 119). The paper proposes the introduction of legislation that will unify the Unfair Contract Terms Act 1977 and the Unfair Terms in Consumer Contracts Regulations 1999 (SI 1999 No. 2083). Much of the paper is concerned with consumer law and it is not our purpose to draw attention to these proposals. More significant for present purposes is the proposal to extend the range of controls applicable to business-to-business contracts. These proposals could have a significant impact on the construction industry throughout the UK and it is important that the industry respond to these proposals.