Consumer Guarantees Act 1993 — Your Buyer Rights in NZ

The Consumer Guarantees Act 1993 (CGA) gives New Zealand consumers automatic legal protections whenever they buy goods or services for personal, domestic, or household use. These protections exist regardless of what a retailer's returns policy says — they cannot be signed away or excluded for consumer transactions.

Who Does the CGA Cover?

The CGA applies when:

·You are a consumer — buying for personal, domestic, or household use

·The seller is a trader — supplying goods or services in trade (businesses, retailers, online stores)

·The transaction takes place in New Zealand or involves NZ suppliers

The CGA does not apply if you are buying goods or services for business purposes, or buying privately (e.g., from a Trade Me listing where the seller is not a trader).

Guarantees for Goods

When you buy goods from a trader in NZ, the CGA automatically provides these guarantees:

| Guarantee | What It Means |

|-----------|--------------|

| Acceptable quality | Goods must be safe, durable, free from defects, acceptable in appearance and finish, and fit for their normal purpose |

| Fit for purpose | If you told the seller the specific purpose you needed the goods for, they must be fit for that purpose |

| Match description | Goods must match any description given by the seller |

| Match sample | If you bought based on a sample, the goods must match the sample |

| Price | If no price was agreed, the price must be reasonable |

| Title | The seller must have the right to sell the goods — you should receive clear ownership |

Guarantees for Services

When you pay for a service in NZ, the CGA guarantees:

·The service will be carried out with reasonable care and skill

·The service will be completed in a reasonable time (if no time was agreed)

·If you stated the purpose, the service will achieve that result

·The price will be reasonable if not agreed in advance

Examples: building work, repairs, cleaning, professional services, tradespeople.

What Can You Claim When the CGA Is Breached?

Faulty Goods — Your Remedies

If the problem is minor (e.g., a small defect that can be fixed):

·The supplier has the right to choose to repair or replace the goods first

·If they can't repair within a reasonable time, you can request a refund or replacement

If the problem is substantial (e.g., goods that are unsafe, completely fail to work, or can't be fixed):

You can choose to:

1.Return the goods and get a full refund

2.Keep the goods and get compensation for the difference in value

3.Have the goods replaced with equivalent goods

A problem is "substantial" if:

·A reasonable consumer wouldn't have bought the goods knowing about the fault

·The goods are significantly below the acceptable quality standard

·The goods are unsafe

Consequential Loss

If a fault in goods causes you to suffer additional losses (e.g., a faulty fridge ruins your groceries), you can also claim consequential loss from the manufacturer or importer, even if the retailer has already refunded you.

Who Is Responsible — Retailer or Manufacturer?

The retailer is your first point of contact and is responsible for resolving your claim. You do not need to go directly to the manufacturer.

The manufacturer or importer is directly liable for:

·Acceptable quality guarantee

·Fitness for purpose

·Consequential loss claims

This means if the retailer has closed down, you can still claim directly from the manufacturer.

Common Retailer Misconceptions the CGA Overrides

Many retailers tell customers things that are simply wrong under the CGA:

·"No refunds on sale items" — False. Sale items have the same CGA protections.

·"You need the receipt to get a refund" — False. A receipt helps but is not required — a bank statement or order confirmation is sufficient proof of purchase.

·"Our store policy is exchanges only" — False. If the problem is substantial, you are entitled to a refund.

·"The warranty has expired" — Irrelevant. The CGA applies for the expected life of the goods, which may extend well beyond any manufacturer's warranty.

·"You should have read the manual" — The acceptable quality standard is objective; goods must be reasonably durable regardless.

How to Enforce Your CGA Rights

Step 1: Contact the Retailer

Write or email the retailer explaining:

·What you bought and when

·What the problem is

·What remedy you are seeking (repair, replacement, refund)

Keep all correspondence.

Step 2: Escalate Within the Business

If the store assistant refuses, ask to speak with the manager or submit a formal written complaint.

Step 3: Consumer Protection — Commerce Commission

The Commerce Commission enforces consumer law in NZ and can investigate traders who systematically breach the CGA. You can report at comcom.govt.nz.

Step 4: Disputes Tribunal

For amounts up to $30,000, you can file a claim at the Disputes Tribunal without a lawyer. Filing fees start at $45. Go to disputestribunal.govt.nz.

Step 5: District Court

For amounts over $30,000, file in the District Court.

Quick Reference — CGA Key Facts

·Law: Consumer Guarantees Act 1993

·Applies to: Consumer purchases from traders (not private sales or business purchases)

·Cannot be excluded in consumer transactions

·Substantial fault: Entitles consumer to full refund (consumer's choice)

·Consequential loss: Claimable from manufacturer

·Enforcement: Disputes Tribunal (up to $30,000) or District Court

·Regulator: Commerce Commission — 0800 943 600

LexNZ provides legal information only — not legal advice. For your specific situation, consult a qualified NZ lawyer or your local Community Law Centre.

Consumer Guarantees Act NZ: What Buyers Can Claim