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Uncollected Goods: It’s not mine and I want it gone!

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New MTA Members

New MTA Members

Your business has completed a repair job or sourced a part for a customer, but they never collect their property. You’ve tried everything to contact the customer, without luck. The item takes up space at your premises, and you don’t want responsibility for safeguarding it any longer. You just want it gone.

The Uncollected Goods Act 2004 (the Act) tells you how to dispose of someone else’s property in the Northern Territory.

Firstly, determine the value of the item. While not essential, an independent valuation will demonstrate that you have exercised due diligence.

Four value categories apply to uncollected goods with different disposal requirements.

Low value goods worth less than $200 requires giving the owner oral or written notice of your intention to dispose of the goods. If no response after 28 days, you may dispose of the goods by sale, destruction or otherwise.

Medium value goods range between $200 and $999. You must give written notice of your intention to dispose of the goods to the owner and others who may have an interest in the goods. The notice must contain the information listed in section 32 of the Act. If nobody comes forward within two months, the goods can be disposed of by public auction or private sale at a fair price.

High value goods range from $1000 to $6999. Written notice of your intention to dispose must be provided to the owner, other interested persons and the Commissioner of Police. If nothing has happened after three months, you must publish a notice in a Territory newspaper. After 28 days, the goods can be sold at public auction or private sale for a fair price. Disposing of goods above ‘high value’ requires a Court order. Before proceeding to dispose of a vehicle valued at $200 or more, you must obtain an extract from the Personal Property Securities Register. If the vehicle is registered as stolen or encumbered, additional steps may be needed.

After disposal, keep all receipts and documents for at least three years. You may retain the proceeds of any sale to cover the charge and disposal costs, but you must pay any excess amount received to the Accountable Officer’s Trust Account.

If the proceeds don’t cover your expenses, you may recover losses from your customer through the Local Court.

For further information: www.consumeraffairs.nt.gov.au/forbusinesses/uncollected-goods

NT Consumer Affairs
1800 019 319
consumer@nt.gov.au

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