UK: Law Commission consultation - consumer prepayments on retailer insolvency

The Law Commission for England and Wales has published a consultation paper setting out reform proposals in respect of the position of consumer prepayments on retailer insolvency: see here (pdf). A summary of the consultation paper is available here (pdf).

Reform options are outlined in five areas: (a) the chargeback scheme; (b) facilitating possible means of protection; (c) possible regulation of high risk sectors; (d) limited preferential status for consumers making large payments in the months leading up to insolvency and not otherwise protected; and (e) changing the rules governing the passing of ownership.