OpenLegislation

Explanatory note

Original text. Later amendments are not shown.

(This note is not part of the Order)

This Order brings into force the Trading Schemes Act 1996 (“the Act”) on 6th February 1997.

This Act amends Part XI of the Fair Trading Act 1973 (c. 41) (“the 1973 Act”) which deals with pyramid selling and similar trading schemes. In particular, section 1 of the Act substitutes section 118 of the 1973 Act which contains an extended definition of trading schemes subject to the controls of Part XI. The new section 118 also contains powers for the Secretary of State to exclude trading schemes from the controls of Part XI. Regulations excluding trading schemes will come into force at the same time as the Act.

Section 2 of the Act amends the provisions relating to advertisements and other information materials in section 119 of the 1973 Act and extends the definition of document in section 120 of that Act. New regulations relating to pyramid selling and similar trading schemes come into force at the same time as the Act.