Disposing uncollected goods

There are certain forms you need to use when notifying the various people of your intention to dispose of goods. Following these procedures and using the correct forms can save you problems later, particularly if your customers turn up wanting their goods. You should be aware that penalties apply for offences against the Act.

The procedures for disposing of goods differ for the three types of uncollected goods:

Prescribed goods

These are goods that are ‘prescribed’ in the Disposal of Uncollected Goods Regulations 1971 and are listed on the uncollected goods page.

After the goods are ready for redelivery to the customer, the following action is required.

Complete a Form 1* ‘Notice that goods are ready for redelivery’ and serve it on the person who left the goods with you. You may also wish to advise the customer that charges for storage will be incurred if the goods are not collected by a particular date.

If within three months you haven’t received a ‘notice of dispute’ from the customer or they have not collected the goods, you must complete a Form 2* ‘Notice of intention to sell or otherwise dispose of goods’ and serve it on the customer. A copy must also be served on anyone you know who has an interest in the goods and the Commissioner of Police.

Keep a record of the service details: who served the form, and the date, time and place of delivery for each of the notices served under the Act.

If the customer doesn't respond to the second notice within one month, you may attempt to sell the goods by auction or private sale.

If after reasonable attempts, you fail to sell the goods within one month, you can dispose of them however you choose.

You must stop the process of disposing of the goods if within one month of the issuing of either of the notices the customer gives you a ‘notice of dispute’. 

If you sell the goods

Deduct from the proceeds all of your lawful and reasonable moneys owed, charges and sale expenses (including advertising, storage, sales commission, insurance, etc.

If there is a shortfall, you may claim the balance from the party who left the goods with you, as a debt in a court of competent jurisdiction.

If there is a surplus, deliver the surplus to the person who left the goods with you. If the person who left the goods with you cannot be found and the surplus remains unclaimed for 28 days, lodge the surplus with the State Treasury along with a Form 13* ‘Record of Goods Disposed of, Not Under Court Order’.

If you dispose of the goods other than by sale

You may claim your outstanding charges from the party who left the goods with you as a debt in a court of competent jurisdiction. Within seven days after the sale or other disposal you must complete a Form 13* ‘Record of goods disposed of not under court order’.

Goods not prescribed and valued at $3,500 or less

Complete a Form 1* ‘Notice that goods are ready for redelivery’ and serve it on the person who left the goods with you. You may also wish to advise the customer that charges for storage will be incurred if the goods are not collected by a particular date.

If within six months you haven’t received a ‘notice of dispute’ from the customer or they have not collected the goods, you must complete a Form 2* ‘Notice of intention to sell or otherwise dispose of goods’ and serve it on the customer. A copy must also be served on anyone you know who has an interest in the goods and the Commissioner of Police.

A notice must also be published in a newspaper with state circulation and in the Government Gazette.

Keep a record of the service details: who served the form, and the date, time and place of delivery for each of the notices served under the Act

If after one month the customer has not responded to the second notice, you may attempt to sell the goods by public auction.

If the goods are passed in at public auction on two occasions, at least 14 days apart, you can dispose of the goods however you choose.

You must stop the process of disposing of the goods if within one month of the issuing of either of the notices the customer gives you a ‘notice of dispute’.

If you sell the goods

Deduct from the proceeds all of your lawful and reasonable moneys owed, charges and sale expenses (including advertising, storage, sales commission, insurance, etc.

If there is a shortfall, you may claim the balance from the party who left the goods with you, as a debt in a court of competent jurisdiction.

If there is a surplus, deliver the surplus to the person who left the goods with you. If the person who left the goods with you cannot be found and the surplus remains unclaimed for 28 days, lodge the surplus with the State Treasury along with a Form 13* ‘Record of goods disposed of not under court order’.

If you dispose of the goods other than by sale

You may claim your outstanding charges from the party who left the goods with you as a debt in a court of competent jurisdiction. Within seven days after the sale or other disposal you must complete a Form 13* ‘Record of goods disposed of not under court order’.

Goods not prescribed and valued at more than $3,500

Complete a Form 1* ‘Notice that goods are ready for redelivery’ and serve it on the person who left the goods with you. You may also wish to advise the customer that charges for storage will be incurred if the goods are not collected by a particular date.

If within six months you haven’t received a ‘notice of dispute’ from the customer or they have not collected the goods, you must complete a Form 4* ‘Notice of intention to apply for an order to sell or otherwise dispose of goods in excess of $3,500’ and serve it on the customer. A copy must also be served on anyone you know who has an interest in the goods and the Commissioner of Police.

A notice must also be published in a newspaper with state circulation and in the Government Gazette.

Keep a record of the service details: who served the form, and the date, time and place of delivery for each of the notices served under the Act

If after one month, the customer does not respond to the second notice you can apply to the Magistrates Court for an order to sell or dispose of the goods.

You must stop the process of disposing of the goods if within one month of the issuing of either of the notices the customer gives you a ‘notice of dispute’. Otherwise, complete a Form 8* ‘Application under Part VI for an order to sell or otherwise dispose of goods valued in excess of $3,500’. Contact the Magistrates Court for information on the filing fee that applies to this application.

A copy of the Form 8 application must be served on the customer, along with anyone you know has an interest in the goods. 

If a bailiff has served your Part VI application, the bailiff will provide you with a certificate of service. Should you choose to serve the application yourself you must complete an Affidavit of Service (Form 11) available from a Magistrates Court registry or the Court’s website.

The Court will give you a place, date and time for the hearing of the application (the Court Notice).

A copy of the Court Notice must be provided to the owner of the goods, to every person who you know claims an interest in the article and for yourself.

Attend the hearing at the time and place on the Court Notice. At the hearing ensure that any witnesses you wish to call attend the hearing with you, take copies of all the paperwork you have completed in complying with the Act and have details of all the costs and expenses you have incurred complying with the provisions of the Act – the court will decide what is a reasonable cost to pass on to the person who left the goods with you.

The court has the power to order the disposal of the goods and to award costs such as storage fees, advertising fees and any other fees you have paid to comply with the provisions of the Act.

See the once a Court Order has been obtained page for further information on proceeding from here.

*All references to forms are those set out in Schedule 2 of the Disposal of Uncollected Goods Regulations 1971.

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