Consumer Guarantees Act 1993
 | This article has multiple issues. Please help improve it or discuss these issues on the talk page. (Learn how and when to remove these messages)
|
| Consumer Guarantees Act | |
|---|---|
| Royal assent | 20 August 1993 |
| Commenced | 1 April 1994 |
| Status: Current legislation | |
The Consumer Guarantees Act (CGA) 1993 was a significant improvement of consumer protection in New Zealand over its predecessor The Sale of Goods Act 1908, and rectifies a lot of its shortcomings.
Differences over the Sales of Goods Act
One of the CGA's biggest changes was that it now extended protection to consumers for the supply of services, and not just for purchases of goods under the old Act. 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 retailer a reasonable time to either fix or replace the goods, otherwise the consumer has the right to reject the goods, cancel the contract, and obtain a full refund from the retailer. The legislation has now been amended to include online purchases, including auction websites as Trademe.[1]
Guarantees for services
The CGA gives guarantees of reasonable care and skill, of fitness for purpose, of completion, and of price for consumer services supplied.
Shortfalls of the CGA
While the CGA was a significant improvement over the SGA, the CGA does not apply to either commercial goods, or consumer good or services supplied for business purposes.