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I bought services for the payment express gateway. They charge me monthly 100$ and i am not using their services but they say that contract is till 2021 and they are not canceling it. Their service is similar to PayPal and stipe. What should i do? I am from australia

https://www.paymentexpress.com

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    So - did you in fact sign a contract to purchase services until 2021? – brhans Jul 16 '19 at 13:08
  • @brhans nothing was signed ..they said by purchasing the service we agreed to contract. I just brought the service. – Latheesh V M Villa Jul 16 '19 at 13:59
  • Ok - so substitute "sign a contract" with "accept the terms of service" (same thing - doesn't have to be ink on paper). When you clicked the "I accept" button (or whatever it was), did the terms you accepted indicate that you were signing up for a period of time ending in 2021? – brhans Jul 16 '19 at 14:11
  • @brhans Yes i think that's what happened. Is it possible to do anything now – Latheesh V M Villa Jul 16 '19 at 14:12
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    So then really your question is more like "I accepted a contract to purchase services for $100/month until some time in 2021, but now I've changed my mind. How do I get out of the contract?" ... ? – brhans Jul 16 '19 at 14:17
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You may well be stuck. If you agreed to a contract specifying a monthly payment, with no cancellation provisions, you may have to honor it legally.

However, under the COMPETITION AND CONSUMER ACT 2010 - SCHEDULE 2 The Australian Consumer Law section 82, if the contract was an "Unsolicited consumer agreement" the consumer generally has 10 days in which to cancel the agreement without penalty. Section 85 seems to indicate that a consumer will have a right to terminate such a =n agreement even after 10 days, but must pay for any services already received, and for any goods received and not in returnable condition. Sections 82 through 88 generally cover terminations of "Unsolicited consumer agreements".

It is not entirely clear to me if the kind of agreement described in the question is an "Unsolicited consumer agreement" under this law or not. If not, it is probably not cancel-able beyond its own terms.

It might be a good idea to consult an actual lawyer knowledgeable about Australia's consumer law.

Section (3) of that law provides:

(3) A person is taken to have acquired particular services as a consumer if, and only if: (a) the amount paid or payable for the services, as worked out under subsections (4) to (9), did not exceed:

(i) $40,000; ...

(other options are alternative, not additional)

Section (69) provides that:

69 Meaning of unsolicited consumer agreement

(1) An agreement is an unsolicited consumer agreement if:

(a) it is for the supply, in trade or commerce, of goods or services to a consumer; and

(b) it is made as a result of negotiations between a dealer and the consumer:

(i) in each other's presence at a place other than the business or trade premises of the supplier of the goods or services; or

(ii) by telephone;

whether or not they are the only negotiations that precede the making of the agreement; and

(c) the consumer did not invite the dealer to come to that place, or to make a telephone call, for the purposes of entering into negotiations relating to the supply of those goods or services (whether or not the consumer made such an invitation in relation to a different supply); and

(d) the total price paid or payable by the consumer under the agreement:

(i) is not ascertainable at the time the agreement is made; or

(ii) if it is ascertainable at that time--is more than $100 or such other amount prescribed by the regulations.

The question does not say how the agreement was formed, nor is it clear to me if an internet contact would be considered equivalent to a telephone contact. Perhaps not.

However, On looking at the Australia ELUA for the service section 11.1.b says:

Customer may terminate this Agreement at any time on not less than 3 months' prior written notice to PX

So at worst the OP is on the hook for 3 months payment once OP gives notice of intent to terminate. I would suggest that notice be in writing by some method which leaves an audit trail. In the US I would use both email and a certified letter -- I am not sure what the equivalent in AZ might be.

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  • "Unsolicited consumer agreement" to me screams door-to-door sales, which this almost certainly isn't. A consumer also doesn't have any use for a payment gateway (Payment Express doesn't have the end-user features of PayPal, its purely a b2b thing) so its almost certainly not a "consumer agreement", solicited or not, so again another red flag against this approach. – user4210 Jul 16 '19 at 23:46
  • @Moo, see my expanded answer, after actually checking PX's online agreement. Note that a 'consumer' under the AZ "consumer law" can be a business if the transaction is for under $40,000. – David Siegel Jul 17 '19 at 0:09
  • @Moo Businesses are "consumers" under the law if the contract is for less than $40k (plus some other circumstances). Also "unsolicited consumer agreement" definitely is targeted at door-to-door and telemarketing sales - it doesn't capture internet purchases. – Dale M Jul 17 '19 at 1:45
  • @DavidSiegel You have not considered the possible effect of 'Part 2-3 -- Unfair contract terms'. 3 months cancellation is probably not unfair but it is arguable. – Dale M Jul 17 '19 at 1:47
  • @DaleM No I didn't, which is why i said "at worst" in my edited answer. I take it that if 3 months is considered "unfair" a shorter notice period might be imposed? – David Siegel Jul 17 '19 at 2:03

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