Consumer Guarantees Act 1993; Fair Trading Act 1986, ss 28B, 36ZC
The automatic guarantees in the Consumer Guarantees Act apply to consumer goods bought on online auction and trading sites like Trade Me only if the seller is in the business of selling. The Act covers you whether you buy from a trader through winning an auction or through buying at a fixed price (using “Buy now”).
The Act doesn’t apply if the seller using the online site is someone who is not in the business of selling things.
All online sellers who are traders must make it clear to potential buyers that they are traders. This includes when they sell through an intermediary website like Trade Me. The website itself must also take reasonable steps to ensure that sellers who are traders make this clear. Traders and websites that do not do this may get an infringement notice, from the Commerce Commission, requiring them to pay an infringement fee (a fine), as an alternative to a criminal prosecution.