Additional tips to help with fair trading and meeting your legal obligations

There may be times when you may come across another member who does not wish to obey the rules of the exchange. With changes in legislation such as the FTA it is important that you are aware of your rights and obligations.

Tips that can help with any potential unfair traders

Being aware of how to deal with unfair traders will lead to a fairer and more beneficial trade exchange for both you and your fellow members.

Challenge unfair trading issues

As a new customer the best person to challenge any unfair trading issue in the first instance is you. As the purchaser you have the right to challenge the pricing or quote. So if you are uncomfortable with the deal, raise the point and, if still unhappy, withdraw.

Do your homework

Before you look at buying an item do a bit of due diligence and have a quick search of other products to see what the current market price is. If the item you are looking at is grossly overpriced, do not buy it. Advise the selling member that you feel it is overpriced and give a few examples. Notify your Business Development Manager if you cannot obtain a fair price, but remember do not buy the item as then you have accepted the price.

Get a written quote

If you are undertaking a sizable job then ensure you get a quote for this. If the seller is wanting to use a cash portion that falls within the rules make sure this is clearly stated on the quote. If you accept this quote with a quoted cash/trade split then you have accepted this and therefore this cannot be objected at a later date.

Treat all your deals as you would a cash deal

All members are bound by the FTA and governed by the Commerce Commission. Disputes can be escalated to the Disputes Tribunal if required.

See: www.consumerprotection.govt. nz/report-or-resolve-a-problem/ going-to-the-disputes-tribunal/

Disputes

Should you have a dispute with another member, Bartercard is not able to directly assist in resolving the dispute as Bartercard is not a party to the contract. It would also be possible for a court or tribunal to overturn a decision made by Bartercard in such a dispute. We therefore encourage members to have clear expectations prior to entering into agreements and to seek legal advice as required.

Communicate with your Business Development Manager

Bartercard is interested in being made aware of any dealings that you have had that you believe are unfair or unlawful. Bartercard can then decide if the circumstances mean that a member should be removed from the exchange, particularly if it’s a regular occurrence. By holding members accountable, this will assist in maintaining a healthy trade exchange.

NOTE: If you are unsatisfied after you have paid or entered an agreement, then standard commercial practices will prevail. We would recommend you seek legal advice and consider options such as the Disputes Tribunal.

Contract for services

Agreement for the provision of services with Bartercard payments

This information is addressing concerns raised by Bartercard members. This involves instances where parties enter agreements for services or goods in which payment will be paid in full or in part with Bartercard trade dollars. Soon after the relationship has begun some members have been told that Bartercard trade dollars would no longer be accepted under the agreement.

We have sought legal advice from our solicitors who have suggested the following steps are taken when contracting between Bartercard members.

1 2

Parties wishing to use Bartercard should state in the agreement the amount and the fixed term that Trade will be accepted under the contract. This can be done by inserting the following:

>> Terms payment (clause 1): 100% Trade and fixed for a term of X months/years

>> The above should be noted on the front of any agreement between members of Bartercard.

To supplement the suggested Terms of Payment (1) we also suggest that the following term is inserted into the Terms of Trade or the Terms and Conditions of the agreement:

>> BARTERCARD Trade dollars

Where payments for services or goods provided under this agreement are to be paid with Trade, payments are to be accepted according to the Terms of Payment

>> Payment according to Clause 1 shall be fixed as stated in the Terms of Payment. Neither party shall unilaterally amend the Terms of Payment without agreement in writing by both parties.

Should you wish to enter into an agreement with other members for long term contract we suggest the above are included to ensure that the Terms of the Agreement are clarified as much as possible and seek legal advice.

Other items to consider

Paying a deposit

Paying a deposit will often make an agreement legally binding. The amount can be negotiated and depends on what service is involved. Ensure you get a receipt with the amount paid, the date and the recipient, and be wary if a seller asks for a 100% deposit in advance.

Paying in installments

This generally occurs where ongoing purchases of supplies are needed to finish the job, or it could be the most convenient payment method.

The final payment

This is typically paid once the service has been completed. If you’re asked to pay the full price prior to this, you should seek legal advice.