Sch 2 s 243BOrders made on application of the regulator to prevent and remedy unfair contract terms

243B Orders made on application of the regulator to prevent and remedy unfair contract terms

(1) If a declaration has been made under section 250 in relation to a term (the declared term) of a contract, a court may, on the application of the regulator, make against a party (the respondent) to the contract who is advantaged by the declared term such order or orders (other than an award of damages) as the court thinks appropriate:

(a) to prevent a term (a similar term) that is the same, or substantially similar, in effect to the declared term from being included in any future contract:

(i) to which the respondent is a party; and

(ii) that is a consumer contract or small business contract; and

(iii) that is a standard form contract; or

(b) to redress, in whole or in part, loss or damage that has been caused, or to prevent or reduce loss or damage that is likely to be caused, to any person by a similar term that is included in any existing contract:

(i) to which the respondent is a party; and

(ii) that is a consumer contract or small business contract; and

(iii) that is a standard form contract;

whether or not the future or existing contract is identifiable when the court makes the order or orders.

(2) Without limiting subsection (1), the orders that a court may make against the respondent include all or any of the following:

(a) an injunction restraining the respondent from making any future contract that is of the kind referred to in paragraph (1)(a) and includes a similar term;

(b) an injunction restraining the respondent from applying or relying on a similar term of any existing contract that is of the kind referred to in paragraph (1)(b);

(c) an order declaring the whole or any part of any existing contract of the kind referred to in paragraph (1)(b), or of a collateral arrangement relating to such a contract:

(i) to be void; and

(ii) if the court thinks fit—to have been void ab initio or void at all times on and after such date as is specified in the order (which may be a date that is before the date on which the order is made);

(d) an order:

(i) varying such an existing contract, or such a collateral arrangement, as specified in the order; and

(ii) if the court thinks fit—declaring the contract or arrangement to have had effect as so varied on and after such date as is specified in the order (which may be a date that is before the date on which the order is made);

(e) an order refusing to enforce any or all of the provisions of such an existing contract, or of such a collateral arrangement.

(3) An application under subsection (1) may be made at any time before the end of 6 years from the day on which the declaration under section 250 was made.