Contract and Commercial Law Act 2017

Sale of goods - Performance of contract - Rules about delivery

167: Delivery to carrier

You could also call this:

“Sending goods to the buyer through a shipping company”

When you buy something and the seller needs to send it to you, there are some rules about how this should happen. If the seller gives your goods to a carrier (like a shipping company) to bring them to you, this usually counts as the seller delivering the goods to you, even if you didn’t choose the carrier.

The seller needs to make a fair deal with the carrier for moving your goods. They should think about what kind of goods they are sending and other important things about the situation.

If the seller doesn’t make a fair deal with the carrier and your goods get lost or damaged while being moved, you can ask the seller for money to make up for it. You can also say that giving the goods to the carrier doesn’t count as giving them to you.

Sometimes, goods need to travel by sea to get to you. If this is normal for the kind of goods you’re buying, the seller needs to tell you about it early enough so you can get insurance for your goods while they’re on the ship. If the seller doesn’t tell you in time, they will be responsible if something happens to your goods during the sea journey.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM6844373.


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

167Delivery to carrier

  1. If, under a contract of sale, the seller is authorised or required to send the goods to the buyer, delivery of the goods to a carrier, whether named by the buyer or not, for the purpose of transmission to the buyer must, unless the contrary is proved, be treated as being a delivery of the goods to the buyer.

  2. The seller must, unless otherwise authorised by the buyer, make a contract with the carrier on behalf of the buyer that is reasonable, having regard to the nature of the goods and the other circumstances of the case.

  3. The buyer has, against the seller, a right to claim damages, or may decline to treat the delivery to the carrier as a delivery to the buyer, if—

  4. the seller does not comply with subsection (2); and
    1. the goods are lost or damaged in the course of transit.
      1. Unless otherwise agreed, if goods are sent by the seller to the buyer by a route involving sea transit, under circumstances in which it is usual to insure goods, the seller must give enough notice to the buyer to enable the buyer to insure the goods during the sea transit.

      2. The goods must be treated as at the seller’s risk during the sea transit if the seller does not comply with subsection (4).

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