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Fair Trading Act 1986

Consumer transactions and auctions - Layby sales

36E: Risk in goods

You could also call this:

"Who is responsible for goods you buy until you take them home?"

Illustration for Fair Trading Act 1986

When you buy goods on layby, the supplier is responsible for them until you own the goods and have them in your possession. The goods are at the supplier's risk until you have paid for them and taken them home. This rule is important and overrides section 148 of the Contract and Commercial Law Act 2017.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM6156625.

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Topics:
Money and consumer rights > Consumer protection
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36D: Further disclosure if requested by consumer, or

"You can ask the seller for more details about your layby sale agreement, and they must provide it for free"

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36F: Cancellation of layby sale agreement by consumer, or

"You can cancel a layby sale before taking the items home"

Part 4AConsumer transactions and auctions
Layby sales

36ERisk in goods

  1. Goods to which a layby sale agreement relates remain at the supplier's risk until property in the goods is transferred to the consumer and the consumer takes possession of those goods.

  2. To avoid doubt, this section overrides section 148 of the Contract and Commercial Law Act 2017.

Notes
  • Section 36E: inserted, on , by section 23 of the Fair Trading Amendment Act 2013 (2013 No 143).
  • Section 36E(2): amended, on , by section 347 of the Contract and Commercial Law Act 2017 (2017 No 5).