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Auto Consignment Agreement Template for New Zealand

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Key Requirements PROMPT example:

Auto Consignment Agreement

"I need an Auto Consignment Agreement for my luxury car dealership in Auckland, covering multiple high-end vehicles with international sales capabilities and specific provisions for exotic car handling and specialized insurance requirements."

Document background
The Auto Consignment Agreement is essential for businesses and individuals engaging in vehicle consignment sales in New Zealand. This document is typically used when a vehicle owner wants to sell their vehicle(s) through a professional dealer without transferring ownership until the final sale. The agreement must comply with New Zealand's Motor Vehicle Sales Act 2003, Consumer Guarantees Act 1993, and Fair Trading Act 1986, among other relevant legislation. It details critical elements such as pricing mechanisms, commission structures, vehicle handling procedures, and sales authorization processes. The document is particularly relevant for automotive businesses, fleet owners, and dealers who need to establish clear, legally-compliant consignment arrangements while protecting both parties' interests throughout the sales process.
Suggested Sections

1. Parties: Identifies and defines the consignor (vehicle owner) and consignee (dealer), including full legal names and contact details

2. Background: Sets out the context of the agreement, including that the consignor owns the vehicle(s) and wishes to appoint the consignee to sell them on consignment

3. Definitions and Interpretation: Defines key terms used throughout the agreement and establishes rules of interpretation

4. Appointment and Authority: Establishes the consignment relationship and defines the scope of the dealer's authority to sell the vehicle(s)

5. Vehicle Details and Pricing: Specifies the process for recording vehicle details and establishing selling prices

6. Consignment Period: Defines the duration of the consignment arrangement

7. Consignee's Obligations: Details the dealer's responsibilities including vehicle storage, maintenance, marketing, and sales process

8. Consignor's Obligations: Outlines the vehicle owner's responsibilities including providing documentation and maintaining insurance

9. Fees and Payment Terms: Specifies the commission structure, payment processes, and timing

10. Vehicle Condition and Risk: Addresses responsibility for vehicle condition, damage, and insurance requirements

11. Compliance with Laws: Ensures compliance with relevant NZ legislation including Motor Vehicle Sales Act and Consumer Guarantees Act

12. Termination: Sets out circumstances and process for ending the agreement

13. General Provisions: Standard clauses covering notices, dispute resolution, governing law, and other administrative matters

Optional Sections

1. Multiple Vehicle Provisions: Additional terms for consignment of multiple vehicles - used when the consignor may provide multiple vehicles over time

2. International Sales: Provisions for international buyers and export requirements - included if dealer handles international sales

3. Marketing and Advertising: Detailed marketing terms and restrictions - used when specific marketing arrangements need to be documented

4. Exclusivity: Terms making the arrangement exclusive - used when the consignor agrees not to sell through other dealers

5. Repairs and Modifications: Terms covering vehicle repairs or modifications during consignment - included if dealer may conduct repairs

6. Sub-agents: Provisions allowing/restricting use of sub-agents - used when dealer may involve other parties in sales

7. Online Sales: Specific provisions for online sales platforms and processes - included for dealers with significant online presence

Suggested Schedules

1. Schedule 1 - Vehicle Details: Detailed description of vehicle(s) including make, model, year, VIN, registration, condition report

2. Schedule 2 - Commission Structure: Detailed breakdown of commission rates, minimum prices, and payment calculations

3. Schedule 3 - Required Documentation: List of required vehicle documentation including registration papers, service history, certificates

4. Schedule 4 - Operating Procedures: Detailed procedures for vehicle handling, sales process, and reporting requirements

5. Appendix A - Condition Report Template: Standard form for recording vehicle condition at start and end of consignment

6. Appendix B - Sales Authorization Form: Template for obtaining final authorization from consignor for specific sales

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions







































Clauses





























Relevant Industries

Automotive

Retail

Fleet Management

Vehicle Trading

Motor Vehicle Sales

Transportation

Automotive Finance

Vehicle Leasing

Relevant Teams

Legal

Sales

Operations

Compliance

Finance

Risk Management

Business Development

Contract Administration

Fleet Management

Vehicle Trading

Relevant Roles

Automotive Sales Manager

Fleet Manager

Dealership Owner

Vehicle Trading Manager

Compliance Officer

Sales Director

Business Development Manager

Contract Administrator

Legal Counsel

Operations Manager

Vehicle Finance Manager

Commercial Director

Risk Manager

Dealer Principal

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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