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consumer

Wedding vendors failing to deliver: Consumer rights

Key Takeaway

In New Zealand, consumers engaging wedding vendors are protected by the Consumer Guarantees Act 1993, ensuring services are provided with reasonable care and skill, and the Fair Trading Act 1986, which prohibits misleading conduct. If a vendor fails to deliver as agreed, consumers may have rights to remedies such as repair, replacement, or refund, depending on the nature of the failure.

Consumer Rights When Wedding Vendors Fail to Deliver

When planning a wedding, consumers often engage various vendors for goods and services. If these vendors fail to deliver as expected, New Zealand law provides protections and remedies through legislation such as the Consumer Guarantees Act 1993 (CGA) and the Fair Trading Act 1986 (FTA).

The Consumer Guarantees Act 1993

The Consumer Guarantees Act 1993 (CGA) applies to goods and services ordinarily acquired for personal, domestic, or household use or consumption [Source: Consumer Guarantees Act 1993, s 2]. Wedding services, such as photography, catering, venue hire, and floristry, typically fall under this category. Under the CGA, a consumer is a person who acquires goods or services of a kind ordinarily acquired for personal, domestic, or household use or consumption, and does not acquire them for the purpose of resupplying them in trade, consuming them in the course of a process of production or manufacture, or repairing or treating in trade other goods or fixtures on land [Source: Consumer Guarantees Act 1993, s 2]. A supplier is a person who is in the business of supplying goods or services [Source: Consumer Guarantees Act 1993, s 2].

What are Services Under the CGA?

"Services" are broadly defined and include any rights, benefits, privileges, or facilities that are or are to be provided, granted, or conferred [Source: Consumer Guarantees Act 1993, s 2]. This definition covers a wide range of offerings from wedding vendors.

Guarantees for Services

The CGA sets out several guarantees that apply to services supplied to consumers in trade, meaning in the course of any business, industry, profession, occupation, or activity carried on for gain [Source: Consumer Guarantees Act 1993, s 2]. These include:

  • Reasonable care and skill: Services must be carried out with reasonable care and skill [Source: Consumer Guarantees Act 1993, s 28]. This means the vendor must perform their duties competently and to a reasonable standard expected in their industry.
  • Fitness for particular purpose: If the consumer makes known a particular purpose for which the services are required, and the supplier represents that they are reasonably fit for that purpose, the services must be reasonably fit for that purpose [Source: Consumer Guarantees Act 1993, s 29]. For example, if a couple specifies a need for a gluten-free wedding cake, the caterer must provide one.
  • Time of completion: Services must be completed within a reasonable time if no time for completion has been fixed by agreement between the parties [Source: Consumer Guarantees Act 1993, s 30].
  • Price: The consumer is not liable to pay to the supplier more than a reasonable price for the services if the price has not been fixed by agreement between the parties [Source: Consumer Guarantees Act 1993, s 31].

Remedies for Breaches of Service Guarantees

If a service fails to comply with a guarantee under the CGA, the consumer may have remedies. The type of remedy depends on whether the failure is minor or major:

  • Minor failure: If the failure can be remedied and is not of a substantial character, the consumer can require the supplier to remedy the failure within a reasonable time. If the supplier refuses or fails to remedy the failure, the consumer can either have the failure remedied by someone else and recover the costs from the supplier, or cancel the agreement for the supply of the service [Source: Consumer Guarantees Act 1993, s 32(a)].
  • Major failure: A failure is considered major if it cannot be remedied or is of a substantial character. It is also major if a reasonable consumer would not have acquired the service had they known the nature and extent of the failure [Source: Consumer Guarantees Act 1993, s 32(b)]. In the case of a major failure, the consumer may:
    • Cancel the agreement for the supply of the service [Source: Consumer Guarantees Act 1993, s 32(b)(i)].
    • Obtain damages from the supplier for any loss or damage resulting from the failure that was reasonably foreseeable [Source: Consumer Guarantees Act 1993, s 32(b)(ii), s 34]. This may include a refund or compensation.

The Fair Trading Act 1986

The Fair Trading Act 1986 (FTA) prohibits misleading and deceptive conduct and false representations by businesses in trade. Wedding vendors, operating "in trade," are subject to this Act.

Misleading and Deceptive Conduct

No person may, in trade, engage in conduct that is misleading or deceptive or is likely to mislead or deceive [Source: Fair Trading Act 1986, s 9]. This is a broad prohibition and applies to any representation, promise, or action by a vendor that could mislead a consumer about the services being offered.

False or Misleading Representations

The FTA specifically prohibits making false or misleading representations about services [Source: Fair Trading Act 1986, s 13]. This includes representations about:

  • The nature, characteristics, suitability for a purpose, or quantity of the services [Source: Fair Trading Act 1986, s 13(a)].
  • The supply or provision of services [Source: Fair Trading Act 1986, s 13(b)].
  • The place of origin of the services [Source: Fair Trading Act 1986, s 13(d)].
  • The existence, exclusion, or effect of any condition, warranty, guarantee, right, or remedy [Source: Fair Trading Act 1986, s 13(k)].

For example, a vendor cannot falsely claim to be able to provide a particular style of photography or a specific venue amenity if they cannot or will not deliver it.

Unsubstantiated Representations

A person must not, in trade, make an unsubstantiated representation [Source: Fair Trading Act 1986, s 12A(1)]. An unsubstantiated representation is one made without reasonable grounds for the representation, regardless of whether the representation is true or not [Source: Fair Trading Act 1986, s 12A(2)]. This means that if a vendor makes a claim about their services, they must have a reasonable basis for making that claim at the time it is made.

Important Considerations for Wedding Services

  • Evidence is key: Consumers should keep all contracts, emails, receipts, advertisements, and any other communications with the vendor. Photographic or video evidence of failures can also be important.
  • Contract terms: While the CGA guarantees apply regardless of contract terms, some contract clauses might attempt to limit a vendor's liability. However, the CGA states that any term in a contract that purports to exclude, restrict, or modify the application of the CGA is void [Source: Consumer Guarantees Act 1993, s 43(1)]. This generally ensures consumer rights under the CGA cannot be contracted out of for personal consumer contracts.

When to Seek Independent Legal Advice

Individuals facing issues with wedding vendors and seeking to understand their specific rights and options should consult with an independent legal professional. This includes situations involving significant financial loss, complex contractual disputes, or when considering formal dispute resolution or legal action. Further guidance can be obtained from Community Law Centres throughout New Zealand, which offer free legal advice.

Key Resources