Every Contract an E-commerce Business Needs in the UK (2025)
Last updated: February 2025
Legal Requirements for a E-commerce Business
UK e-commerce businesses must comply with the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013, providing a 14-day cooling-off period for most consumer purchases. The Consumer Rights Act 2015 governs product quality, returns, and refunds. The Electronic Commerce (EC Directive) Regulations 2002 require specific pre-contractual information online. UK GDPR and PECR govern data collection and marketing cookies. The Product Safety and Metrology etc. (Amendment) Regulations require product safety compliance post-Brexit.
Essential Contracts
Must comply with Consumer Contracts Regulations 2013, including 14-day cancellation rights, delivery terms, and clear pricing information
Required under UK GDPR, Data Protection Act 2018, and PECR — must cover data collection, marketing consent, and cookie usage
Governs relationships with product suppliers, covering quality standards, delivery obligations, returns handling, and liability allocation
Must comply with the Consumer Rights Act 2015 and Consumer Contracts Regulations 2013 — statutory rights cannot be excluded
Recommended Contracts
If selling through third-party marketplaces like Amazon or eBay, understanding their terms and supplementing with your own is important
Contracts with 3PL providers covering storage, picking, packing, delivery SLAs, and liability for damaged or lost goods
Must comply with ASA guidelines on advertising disclosure — requires clear disclosure of commercial relationships
Common Legal Risks for a E-commerce Business
- Non-compliance with the 14-day cooling-off period leading to enforcement action from Trading Standards
- Product liability claims under the Consumer Protection Act 1987 for defective products
- UK GDPR fines for inadequate cookie consent or data processing without proper legal basis
- Chargebacks and fraud losses without clear terms of sale and payment processing agreements
- Supply chain disruption without documented supplier obligations and remedies
Industry-Specific Notes
E-commerce businesses selling to EU customers post-Brexit must comply with both UK and EU consumer protection regulations. The UK GDPR applies to UK customers, while EU GDPR may apply to EU customers. VAT on e-commerce supplies to EU consumers is subject to the One Stop Shop (OSS) regime. Import duty implications for goods sourced from outside the UK must be considered in supplier agreements.
FAQ
Can an e-commerce business exclude the 14-day cooling-off period?
No. Under the Consumer Contracts Regulations 2013, online consumers have an absolute right to cancel most purchases within 14 days of receiving goods, without giving any reason. There are limited exceptions for personalised goods, sealed goods unsealed after delivery for hygiene reasons, and digital content once downloading has begun with consent. Any attempt to exclude or limit this right is void and may result in Trading Standards enforcement.
What information must an e-commerce website display by law?
Under the Electronic Commerce Regulations 2002 and Consumer Contracts Regulations 2013, you must display: your full company name and registration number, registered address, VAT number (if registered), contact email, the total price including taxes and delivery, payment methods accepted, delivery arrangements, cancellation rights, and the technical steps to complete an order. Failure to provide this information can make contracts voidable by the consumer.
Is an e-commerce business liable for defective products from its suppliers?
Yes. Under the Consumer Rights Act 2015, the seller is liable to the consumer for faulty goods, regardless of whether the fault originates with the supplier. You cannot tell customers to take complaints to the manufacturer. You have the right to seek indemnity from your supplier under your supplier agreement, which is why robust supplier contracts with quality warranties and indemnity clauses are essential.
Related Business Types
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