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Contract and Commercial Law Act 2017

Other commercial matters - Carriage of goods - Rights of carriers

289: Storage and disposal of unclaimed or rejected goods

You could also call this:

“Rules for storing and selling goods when people don't collect them”

If you’re sending goods to someone, and they don’t pick them up quickly after the carrier’s job is done, or if the person can’t be found or refuses to take the goods, the carrier can do a few things. They can move the goods to a safe place for storage, and you’ll have to pay for this. The carrier gets to keep the goods until they’re paid for their work. They can sell the goods if they need to, just like they can with other goods they’re holding onto for payment. However, before selling anything, the carrier must offer to send the goods back to you or to someone you choose. You’ll need to pay for this too.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM6844618.

Topics:
Business > Industry rules Business > Fair trading Money and consumer rights > Consumer protection
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"What happens when a carrier sells your stuff if you don't pay them"

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290: Disposal of perishable goods, or

"When goods can go bad, you can sell or throw them away"

Part 5 Other commercial matters
Carriage of goods: Rights of carriers

289Storage and disposal of unclaimed or rejected goods

  1. This section applies if, under a contract of carriage,—

  2. any goods are to be collected by the consignee and the goods are not collected by the consignee promptly after the responsibility of the contracting carrier for the goods ends under section 258; or
    1. any goods are to be delivered to the consignee and the consignee—
      1. cannot be found; or
        1. refuses to accept the goods (otherwise than because of any default by the carrier).

        2. The carrier may remove the goods, at the consignee’s expense, to suitable premises for storage.

        3. The carrier is entitled to an active and particular lien over the goods held by the carrier under this section.

        4. The lien may be exercised in the same manner and to the same extent as if it were a lien to which section 285 applies, and that section and sections 286 to 288, to the extent that they are applicable and with all necessary modifications, apply accordingly.

        5. Despite subsections (1) to (4), the carrier must, before selling any goods to which this section applies, offer to carry the goods to, or to the order of, the consignor, and all costs must be met by the consignor.

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