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Abandoned goods

For a variety of reasons, items that are clearly not included in the contract (such as a car or personal items) may be left behind. The purchaser cannot obtain legal ownership of these items and should contact the vendor and insist that the items be removed. If this proves difficult it may be easiest to deliver the items to the vendor although advice should first be obtained.

If the vendor's address is unknown or there is no other way of forcing the vendor to collect the items it may be necessary to proceed under the Unclaimed Goods Act 1987 (SA). Provided the goods should have been taken on the date of settlement, the purchaser must hold onto the items for three months. After this date, the goods may be sold, but if the cost of selling the goods would be more than their value, the goods may be disposed of by other means.

Depending on the value of the items, they may be sold or disposed of in one of the following ways:

  • value under $500 - sold or disposed of by any method
  • value $500 to $2000 - sold by public auction or with the authority of the Court
  • value over $2000 - sold with the authority of the Court

Before conducting an auction to sell the goods, the person holding the goods must send a notice to both the owner and the Commissioner of Police. The owner must be given the opportunity to collect the goods although the purchaser can demand payment of any reasonable costs incurred (such as storage costs) before releasing the goods. If the owner's whereabouts are unknown, the purchaser must advertise the time and place of the auction in a public newspaper.

An application to court will usually be made to the Magistrates Court unless the value of the goods is greater than $100 000. In such circumstances an application must be made to the District Court or the Supreme Court. Once the Court is satisfied that notice of the application has been given to the owner, the Commissioner of Police and anyone else with an interest in the goods, the Court may authorise the sale or disposal of the goods.

Once the goods have been disposed of, any reasonable costs may be deducted from the proceeds and the balance must be paid to the owner or, if their whereabouts are unknown, to the State Treasurer.

If the goods are disposed of without following the procedures under the Act, the owner may have a claim against the purchaser. It is therefore important to proceed following the correct procedure. The Legal Services Commission has a free information sheet on Unclaimed Goods including copies of all the necessary forms.

This same procedure applies for any abandoned or unclaimed goods.

Abandoned goods  :  Last Revised: Mon Oct 16th 2023
The content of the Law Handbook is made available as a public service for information purposes only and should not be relied upon as a substitute for legal advice. See Disclaimer for details. For free and confidential legal advice in South Australia call 1300 366 424.