Disputes Tribunal of New Zealand

Contract / Consumer Guarantees Act 1993 (CGA) / Applicant purchased washing machine from First Respondent / Washing machine broke down within short period / Applicant approached First Respondent who put them in contact with Second Respondent / Second Respondent took away washing machine and refunded some of purchase price / Refund delayed for some time / Applicant was without a washing machine and had to make numerous trips to laundrette / During Covid-19 restrictions Applicant was unable to access laundrette / Applicant went to First Respondent numerous times for resolution / Applicant claimed breach of guarantee of acceptable quality under CGA / Applicant claimed damages for refund or replacement, consequential financial losses and consequential losses in form of emotional harm / Applicant claimed $30,000 to be paid equally by the Respondents / Held: breach of guarantee of acceptable quality / First Respondent to pay Applicant $119.00 refund / Emotional harm damages cannot be claimed…

Consumer Guarantees Act 1993 (CGA) / Respondent provided immediate and conventional denture to Applicant / Applicant claims neither denture of acceptable quality or fit for purpose / Applicant claims reimbursement of $2,502.00 / Was immediate denture of acceptable quality? / Was conventional denture of acceptable quality? / If not, is Applicant entitled to reimbursement / Held: immediate denture was of acceptable quality per s 7 CGA / Held: conventional denture not of acceptable quality / Held: Applicant not entitled to refund for immediate denture; entitled to refund of $650.00 for conventional denture plus mileage costs / Respondents ordered to pay Applicant $662.00 / Claim allowed in part.  

Contract / Consumer Guarantees Act 1993 (CGA) / Respondent relocated water meter on Applicants rental property, a leak developed / Respondent agreed to fix leak and provide leak allowance for lost water / Applicants reported further leak, Respondent carried out repairs / Respondent provided further leak allowances and partially paid for water use invoices and charged Applicants for remaining cost / Applicants claim amount charged for estimated water usage excessive / Applicants claim $5,000 for declaration of non-liability on outstanding invoice of $1,056.80 plus damages for distress and time spent resolving matter / Held: Applicant not liable to pay Respondent $289.80 / Respondent overestimated usage / Insufficient evidence of quantifiable loss to award damages / Claim allowed

Contract / The Building Act 2004 / Consumers Guarantees Act 1993 / Applicant purchased house from Second Respondent / Respondent Director of Second Respondent / House built and warranty issued by Third Respondent / Applicant claims for defective painting and defective sewer pump / What were terms of contract / Whether the CGA applies to the build / Whether sewer pump fit for purpose / Whether reasonable care and skill exercised in painting and was it fit for purpose / Whether failure to transfer warranty on time / Whether Respondent personally liable / Whether defects covered by warranty / Whether Appellant entitled to relief / Held: both the Builder under the Project Management contract and the developer are liable for any breach of implied statutory warranty under the Building Act concerning any failure to exercise reasonable care and skill in providing painting service / Held: sewer pump is a good under the CGA / Must be of acceptable quality and fit for purpose under ss 6 and 8 CGA…

Contract / Consumer Guarantees Act 1993 / Applicants engaged Respondent to carry out electrical work for water pump on new water bore in 2017 / Applicants had ongoing problems with pump which burnt out in 2020 / Applicants claimed Respondents made various mistakes in electrical work resulting in the pump failing / Applicants claimed damages of $6,200.80 from Respondents / Whether subcontractors damaged the pipes / Whether Applicants were charged for incorrect cable and correct cable, if so should some or all costs be refunded / Whether Respondent used wrong type of flex to extend pump lead / Whether Respondent did not carry out services with reasonable care and skill and/or whether the services/product reasonably fit for purpose under ss 28, 29 CGA / Whether Applicants entitled to remedy / Respondent agreed subcontractors damaged pipe / Held: Respondent should have replaced incorrectly installed cable without charge / Incorrect flex used / Respondent failed to carry out services with r…

Consumers Guarantees Act 1983 (CGA) / Guarantee of acceptable quality / Applicant purchased jet ski from Respondent / Applicant discovered jet ski had issues after using and claims refund of purchase price and cost of repairs, WOF on trailer and mileage for travel to jet ski dealer / Held: CGA applies to sale, Respondent as supplier in trade has obligations under CGA / Held: jet ski not of acceptable quality, not free from minor defects, not durable and not fit for a purpose a reasonable consumer would find acceptable /  Held: failure of a substantial character, Applicant entitled to reject jet ski and entitled to refund / Held: Applicant entitled to compensation for cost of repair, trailer WOF and transport of jet ski. Claim allowed / Respondent ordered to pay $17,056.23 to Applicant / Respondent to arrange collection of jet ski

Negligence / Consumer Guarantees Act 1993 (CGA) / Remedy / Applicant purchased horse from Respondent and Second Respondent / Applicant engaged Third Respondent to provide pre purchase examination which did not record any concerns / after purchase horse diagnosed with several issues and given poor prognosis for athletic performance and long term pleasure riding / Applicant euthanised horse and claims full reimbursement of purchase price of $28,750.00 from Respondents / Held: Third Respondent was not negligent in exercising duty of care when carrying out pre purchase exam of horse / Held: Respondent and Second Respondent acted “in trade” when sold horse to Applicant / Guarantees in CGA apply to sale / Held: horse did not comply with guarantees of acceptable quality and fitness for purpose per ss 7 and 8 of CGA / Held: failure of substantial character per s 21 of CGA / Applicant entitled to compensation of $19,165.00 / Claim allowed

Contract / Consumer Guarantees Act 1993 (CGA) / Promissory Estoppel / Fair Trading Act 1986 (FTA) / Applicant booked 3 tickets on a spectator boat during the America’s Cup for 13 March / Applicant arrived after check in time and missed departure of vessel / Applicant claims refund of ticket costs, accommodation costs, filing fee and legal costs/damages / Respondent does not agree to refunding ticket price as purchase honoured by providing Applicant alternative trip / Held: Respondent did not breach contract as Applicant did not adhere to conditions of agreement / Held: promissory estoppel does not apply in these circumstances as no detriment to Applicant, he has not suffered any loss as alternative trip offered / Held: Applicant complied with terms and conditions, did not breach FTA / Claim dismissed

Contract / Fair Trading Act 1986 / Consumer Guarantees Act 1993 / Applicants entered contract with Respondent for repairs to flood damage to property / Contract included 25% deposit of total sum / Work commenced on site in September 2021 but Respondent did not return until Applicant’s insurer paid deposit / Applicant cancelled contract in October 2021 and claims for return of deposit and payment for damage caused by Respondent / Respondent counter claims losses due to cancellation of contract / Whether Respondent claimed to be a certified, qualified or licensed builder in breach of FTA; if so were Applicants entitled to cancel contract; was work carried out with reasonable care and skill and fit for purpose per CGA; if not, what is the remedy; are Applicants entitled to return of deposit; were Applicants entitled to cancel contract; did Applicants breach contract; if so, what is the remedy / Held: more likely than not Respondent engaged in misleading conduct stating he was a qualified …

Contract / Consumer Guarantees Act 1993 (CGA) / Applicant provided structural engineering services to Respondents / Respondents did not want to pay remaining balance invoice / Respondent claimed they did not receive satisfactory or timely services / Held: Applicant breached the contract as the plan provided was not prepared with reasonable care and skill / Respondents breached the contract as they failed to follow the remedies available under s 32 of the CGA / Respondents obliged to pay Applicant $452.81 / Claim granted.  

Contract / Consumer Guarantees Act 1993 (CGA) / Applicant purchased washing machine from Respondent / washing machine failed when the tip of a drawstring on a pair of shorts was torn off and damaged inner plastic drum / Did washing machine meet guarantees of acceptable quality pursuant to CGA / Did Respondent comply with obligations pursuant to CGA / Is Applicant entitled to refund and damages for consequential losses / Held: washing machine does not comply with CGA guarantees of acceptable quality / no evidence Applicant misused washing machine / washing machines should be able to cope with common type of clothing / Held: Respondent failed to comply with CGA obligations / Respondent failed to address Applicant’s complaint sufficiently or timely / Respondent responded late and blamed Applicant for failure / Held: Respondent to pay Applicant $1,715.00 being refund of purchase price plus consequential damages / Held: Respondent to collect washing machine or pay Applicant additional $250.…

Contract / Consumer Guarantees Act 1993 / Guarantee of services completed within a reasonable time and reasonable price / Guarantee of services carried out with reasonable care and skill / Respondent hired Applicant to carry out landscaping works around their pool / Agreement was varied to include additional work / Respondents were unhappy with time and cost to carry out the work / Respondents ended agreement and did not pay full sum invoiced by Applicant / Applicant claims $25,533.74 in relation to unpaid invoices / Respondents counterclaim $8,000 in relation to the service carried out and costs of reinstatement / Held: guarantees under ss 30 and 31 of the CGA relating to services completed in a reasonable time and at a reasonable cost do not apply / Contract determined end date for work and cost estimate for work / Held: service not carried out with reasonable care and skill per guarantee in s 28 of the CGA / Failure to property document project in writing or pictures relating to des…

Contract / Consumer Guarantees Act 1993 / Variation of contract / Reasonable price / Respondent engaged Applicant to provide landscaping services at his home / Applicant provided Respondent a written scope of works priced as a “provisional estimate” / A variation order was issued to reflect a change in materials for a path from concrete to stone / During project disputes arose over quality of work and amounts being invoiced / Applicant claims unpaid invoices of $18,306.22 / Respondent counter-claims $30,000 representing sums over-paid and remedial costs / Held: no meeting of the minds with respect to the variation of the total price for the stone path / Applicant’s variation order was not clear or consistent with other comparable pricing for paving with the same product / Respondent claims “remedial” work not carried out by Applicant but was charged in provisional estimate / Held: reduction for remedial work in the overall claim per terms of “reasonable price” under s 31 of the CGA / C…