Plain language law

New Zealand law explained for everyone

Fair Trading Act 1986

Consumer transactions and auctions - Auctions

36Z: Each lot is separate contract of sale

You could also call this:

“Each piece of property sold at an auction is its own separate deal”

When someone is selling property through an auction and they have divided it into different lots, each lot is treated as its own separate auction. This means that if you buy a lot, you are making a separate deal just for that specific lot. It’s like buying individual items at a store rather than buying everything as one big package. Each lot you buy will have its own separate contract of sale, which is the agreement between you and the seller for that particular piece of property.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM6156667.

Topics:
Business > Fair trading
Money and consumer rights > Consumer protection
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36Y: Application of subpart, or

“This part explains who the rules about auctions apply to”

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36ZA: Start and end of auction, or

“How an auction starts and finishes, and what happens after”

Part 4A Consumer transactions and auctions
Auctions

36ZEach lot is separate contract of sale

  1. If property is offered for sale by auction in lots,—

  2. the offer of each lot is a separate auction; and
    1. each lot sold is subject to a separate contract of sale.

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