A lay-by agreement is one where goods are delivered to the Under the Australian Consumer Law, a person who buys goods or services for less than $40 000 or for personal or home use. only when the total price of the goods has been paid, and the transaction involves payments spread over at least three instalments (including any deposit). This constitutes a lay-by agreement, unless both the consumer and supplier agree that an agreement involving two payments is a lay-by agreement.
The ACL sets out five rules about lay-bys:
- A lay-by agreement must be in writing, a copy of which must be given to the consumer (s 96 ACL).
- A consumer may cancel a lay-by agreement at any time, after paying any The end of something. Contracts terminate when the parties have done what they agreed. A contract can also be terminated without being completed, for example if one party breaks the contract, or it is impossible to carry out. (1) A statement giving the details of a crime an accused person is claimed to have committed. (2) A personal property security. (3) A judge’s directions to a jury at the end of a case., which must not be more than the reasonable The amount charged by a lawyer for legal work. Lawyers can only charge the amount agreed with the client in a costs agreement or the amount stated by a court in its rules. The party who loses a case usually has to pay all their own costs plus most of the costs reasonably incurred by the other side. See also indemnity costs. incurred by the supplier (s 97 ACL).
- A supplier may cancel a lay-by agreement only if:
i the consumer has breached a term of the agreement;
ii the supplier is ceasing to engage in trade or commerce; or
iii the goods are no longer available (s 98 ACL).
4. In the event of cancellation by either A person or organisation directly involved in a court case. Parties include the plaintiff or applicant, the defendant, and any third party added to the action, but not independent witnesses., the consumer is entitled to a full refund of amounts paid (s 99(1) ACL).
5. Where a consumer cancels a lay-by agreement, the supplier is entitled to recover a reasonable termination charge. This amount may be withheld from any money repaid to a consumer or recovered from the consumer if the total amount paid by the consumer under the lay-by agreement is not enough to cover it (s 99(2) ACL).
Lay-by arrangements are no longer widely promoted. Instead, retailers now commonly The first step in agreeing to make a legally binding agreement. An offer must be accepted before there can be a legally enforceable contract. For example, a person can offer to sell their car for $5000 and a buyer can accept the offer and pay that purchase price. ‘buy now, pay later’ arrangements. These arrangements allow customers to purchase and obtain goods and services immediately, but pay for the goods and services later.
There are no specific regulations dealing with ‘buy now, pay later’ arrangements and the National Consumer A debt that does not have to be paid until some future time. Being allowed to pay later, in the future, for something you are getting now. Protection A written law made by parliament. Also called an ‘Act of parliament’, ‘statute’ or legislation. 2009 (Cth) does not apply. However, these arrangements are considered to be ‘credit facilities’ under the ASIC Act. This means that ASIC can take action where a ‘buy now, pay later’ provider engages in conduct that is misleading or unconscionable.