Mobile providers have been warned that changes to the Consumer Rights Act will have a 'significant impact' on the telecoms sector.
Consumers will now have additional rights to challenge unfair terms and conditions, as well as hidden clauses.
Law firm Moore Blatch have advised providers to prepare for the changes in law, which will put a greater focus on digital content.
Two new areas of law will be introduced into the new Act, which will replace existing laws relating to transactions between businesses and consumers.
Speaking to Mobile, Sarah Crookall, associate solicitor, corporate and commercial, Moore Blatch, said: 'The Consumer Rights Act will have a significant impact on the telecoms sector.
'It is essential that the sector fully appreciates the impact the Act will have on business.Telecom businesses will need to consider the extent to which communications made to consumers will incorporate additional terms into their contracts. Also consumers will now have more rights to challenge terms and conditions which are not fair, or are hidden in the small print.’
Consumers will be given new rights to the replacement of faulty content, such as music downloads, online films and e-books. Customers who also find that a substandard service is failing will now receive a price reduction.
The new legislation will also call time on existing laws on faulty goods, requiring businesses to provide a specific timeframe of 30 days to return goods for a refund.
Crookcall commented: 'Mobile phone handsets will be considered goods and in certain situations the consumer will have a 30 day time period to return faulty goods and get a full refund.
'Where the contract is a mixed contract i.e. the purchase of a mobile phone handset with a network service contract, the consumer has the right to terminate the whole contract and receive a refund of the price of the contract.'
Previously this returns policy was only possible within ‘a reasonable time’, but new Act will use a clear tier structure to set out rights to a refund. This structure will be adopted across the new areas of focus following the launch of the new Act on October 1 2015.