Contract and Commercial Law Act 2017

Sale of goods - Performance of contract - Rules about delivery

166: Instalment deliveries: breach of contract

You could also call this:

“What happens if there's a problem with goods delivered in parts?”

If you have a contract to buy goods that are delivered in parts, and you pay for each part separately, this law applies to you. It covers situations where the seller doesn’t deliver the goods properly, or where you don’t take or pay for the goods as agreed.

If something goes wrong with the deliveries or payments, it’s not always clear if the whole contract is cancelled or if it’s just a small problem that can be fixed. To figure this out, you need to look at what the contract says and think about all the details of what happened.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM6844372.


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165: Buyer not bound to accept delivery by instalments, or

"You can expect to get everything you buy all at once, not in bits and pieces"


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167: Delivery to carrier, or

"Sending goods to the buyer through a shipping company"

Part 3 Sale of goods
Performance of contract: Rules about delivery

166Instalment deliveries: breach of contract

  1. This section applies if—

  2. there is a contract for the sale of goods to be delivered by stated instalments, which are to be paid for separately; and
    1. either or both of the following occur:
      1. the seller makes defective deliveries in respect of 1 or more instalments:
        1. the buyer neglects or refuses to take delivery of, or pay for, 1 or more instalments.
        2. Whether the breach of contract is a repudiation of the whole contract or whether it is a severable breach that gives rise to a claim for compensation but not to a right to treat the whole contract as repudiated depends on the terms of the contract and the circumstances of the case.

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