Plain language law

New Zealand law explained for everyone

Fair Trading Act 1986

Consumer transactions and auctions - Uninvited direct sales

36K: Meaning of uninvited direct sale agreement

You could also call this:

“What it means when a business tries to sell you things without you asking”

An uninvited direct sale agreement is when a business sells goods or services to you without you asking them to. This can happen in two ways:

  1. The seller comes to your home or workplace to talk about selling you something, even though you didn’t ask them to come for that reason.

  2. The seller calls you on the phone to talk about selling you something, even though you didn’t ask them to call for that reason.

For it to be an uninvited direct sale agreement, the price must be more than $100 or not known at the time of sale.

You haven’t invited a seller if you only gave them your contact details for a different reason, or if you contacted them because they tried to reach you before. Also, getting a quote you didn’t ask for doesn’t count as an invitation.

This doesn’t include renewal agreements. A renewal agreement is when you make a new agreement with the same seller for similar goods or services that you’re already getting from them.

Remember, just because a seller contacts you doesn’t mean you have to buy anything. It’s important to know your rights when it comes to uninvited sales.

This text is automatically generated. It might be out of date or be missing some parts. Find out more about how we do this.

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM6156638.

Topics:
Business > Fair trading
Money and consumer rights > Consumer protection
Previous

36J: Bankruptcy, receivership, or liquidation of supplier: consumer priority, or

“What happens if a store goes out of business before you finish paying for something?”

Next

36L: Disclosure requirements relating to uninvited direct sale agreements, or

“Rules for sellers when they make unexpected sales to you”

Part 4A Consumer transactions and auctions
Uninvited direct sales

36KMeaning of uninvited direct sale agreement

  1. In this subpart, uninvited direct sale agreement means an agreement for the supply, in trade, of goods or services to a consumer—

  2. that is made as a result of negotiations (whether or not they are the only negotiations that precede the making of the agreement) between a supplier and the consumer in a situation described in either subsection (2) or (3); and
    1. where the price paid or payable by the consumer under the agreement—
      1. is more than $100; or
        1. cannot be ascertained at the time of supply (regardless of whether the price ultimately paid or payable is $100 or less).

        2. The first situation is where the negotiations take place between the consumer and the supplier, in each other's presence, in the consumer's home or workplace, where the consumer did not invite the supplier to come to that place 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).

        3. The other situation is where the negotiations take place by telephone, where the consumer did not invite the supplier to make the 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).

        4. However, uninvited direct sale agreement does not include a renewal agreement.

        5. For the purposes of this section, a consumer has not invited a supplier to—

        6. come to the home or workplace, or to make a telephone call, merely because the consumer has—
          1. given his or her name or contact details to the supplier other than for the predominant purpose of entering into negotiations relating to the supply of goods or services; or
            1. contacted the supplier in connection with an unsuccessful attempt by the supplier to contact the consumer:
            2. enter into negotiations for a supply merely because the supplier has provided an unsolicited quote or estimate.

              1. In subsection (4), renewal agreement means a new agreement that replaces an existing agreement between a supplier and consumer where—

              2. the existing agreement—
                1. involves the supply, in trade, of goods or services to the consumer by the supplier; and
                  1. is in force at the time the negotiations for the new agreement occur; and
                  2. the new agreement involves the supply, in trade, of goods or services—
                    1. of the same, or of a similar, kind as those supplied under the existing agreement; and
                      1. by the same supplier to the same consumer (being the parties to the existing agreement); and
                        1. on the same, or similar, terms and conditions as those in the existing agreement.

                        Notes
                        • Section 36K: inserted, on , by section 23 of the Fair Trading Amendment Act 2013 (2013 No 143).