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Consumer Affairs and Fair Trading Act 1990
172Authority required by dealer for sale of motor vehicle on
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172 Authority required by dealer for sale of motor vehicle on
consignment
(1) A dealer must not:
(a) sell a motor vehicle, or an interest in a motor vehicle, for or on
behalf of another person; or
(b) offer or display a motor vehicle for sale for or on behalf of
another person;
unless the dealer is authorised to do so by the owner of the vehicle
or interest by writing in the approved form.
(2) An authorisation under subsection (1) must be prepared in
duplicate, and must:
(a) be signed by the owner and by or on behalf of the dealer; and
(b) bear the date on which it is signed by the owner; and
(c) contain a full statement of the terms of the authorisation; and
(d) sufficiently describe the vehicle; and
(e) state whether or not the vehicle is encumbered, and, if
encumbered, to whom and in what respect; and
(f) contain a full statement of the commission or other
remuneration to which the dealer is or is to be entitled.
Consumer Affairs and Fair Trading Act 1990 81
(3) A dealer who is given an authorisation under subsection (1) must:
(a) return one copy to the owner after it has been signed by or on
behalf of the dealer; and
(b) where the dealer has effected a sale in reliance on the
authorisation, retain the other copy for 3 years after the date of
the sale.
(4) An authorisation under subsection (1) may be varied only by
agreement of the parties in writing.
(5) An authorisation under subsection (1) ceases to have effect on the
expiry of 90 days beginning on the day after that on which it is
signed by the owner, or at such earlier time as the parties may have
agreed in writing.
(6) A dealer is not entitled to any commission or other remuneration in
respect of the sale of a motor vehicle, or an interest in a motor
vehicle, effected by the dealer for or on behalf of another person
unless:
(a) the sale is effected in accordance with an authorisation
complying with this section; and
(b) the dealer has complied with subsection (3)(a).