The Consumer Guarantees Act (CGA) 1993 is a

consumer protection Consumer protection is the practice of safeguarding buyers of goods and services, and the public, against unfair practices in the marketplace. Consumer protection measures are often established by law. Such laws are intended to prevent business ...

law that was enacted in

New Zealand New Zealand () is an island country in the southwestern Pacific Ocean. It consists of two main landmasses—the North Island () and the South Island ()—and List of islands of New Zealand, over 600 smaller islands. It is the List of isla ...

in 1993. Consumer protections were previously in the Sale of Goods Act 1908.

Differences over the Sales of Goods Act

One of the CGA's biggest changes was that it extended protection to consumers for the supply of services. Another change was that the CGA explicitly outlawed a merchant from contracting out of the CGA, such as having a "no refunds" or "no returns" displayed.

Guarantees for goods

The CGA gives guarantees to free title, quality, fitness for purpose and price of consumer goods. The goods must also comply with description and with sample. If a good is faulty, the Act gives the

retail Retail is the sale of goods and services to consumers, in contrast to wholesaling, which is the sale to business or institutional customers. A retailer purchases goods in large quantities from manufacturers, directly or through a wholes ...

er a reasonable time to either fix or replace the goods, otherwise the consumer has the right to reject the goods, cancel the

contract A contract is an agreement that specifies certain legally enforceable rights and obligations pertaining to two or more parties. A contract typically involves consent to transfer of goods, services, money, or promise to transfer any of thos ...

, and obtain a full refund from the retailer. The

legislation Legislation is the process or result of enrolling, enacting, or promulgating laws by a legislature, parliament, or analogous governing body. Before an item of legislation becomes law it may be known as a bill, and may be broadly referred ...

has now been amended to include online purchases from traders, including auction websites such as TradeMe and Shopless. The CGA gives guarantees of reasonable care and skill, of fitness for purpose, of completion, and of price for consumer services supplied. The CGA does not apply to either commercial goods, or consumer good or services supplied for business purposes.

Cases

* Finch Motors Ltd v Quin (No 2) * Jetz International Ltd v Orams Marine Ltd * Price v Sports Marine Ltd

References

{{Reflist

External links

Link to full text of Act
Statutes of New Zealand Consumer protection legislation 1993 in New Zealand law Business in New Zealand New Zealand business law