Web design contracts in New Zealand: what to check

Short answer

A good web design contract sets out the scope, price, payment stages, how changes are handled, who owns what at the end and what happens if things go wrong. The Consumer Guarantees Act covers services usually acquired for personal or household use; a business buyer can contract out only in writing, where that is fair and reasonable. Standard form small trade contracts, in trading relationships worth up to $250,000 over 12 months, are covered by the unfair contract terms rules. This guide is general information, not legal advice.

Why a written contract matters

Website projects involve many decisions over weeks or months. Without a written agreement, it is easy for the client and the designer to remember things differently: what was included, how many rounds of changes were agreed, who owns the finished site. A clear contract reduces misunderstandings and gives both sides something to refer to.

The contract does not need to be long or full of legal language. Plain, specific wording is usually better.

What the contract should cover

Scope

The scope describes exactly what the designer will deliver. Look for:

• The pages or page types to be designed and built
• Features and integrations, such as booking, payments or a newsletter
• Content work: is the designer writing copy, editing yours or just placing it?
• Migration work: redirects, content transfer, search baseline
• Testing: devices, browsers, accessibility standard
• What happens at launch and afterwards

Equally important is what is not included. Hosting, domain names, paid plugins, stock photos and ongoing maintenance are often excluded. If something you need is not listed, ask.

Price and GST

The contract should state the price and whether it includes or excludes GST. If the price is an estimate rather than fixed, it should say so and explain how the final figure will be worked out.

Payment stages

Most web design contracts split payment into stages: a deposit, then payments tied to milestones such as approved designs and launch. Check that each payment is tied to something you can see and check.

Changes to the scope

Projects change. The contract should explain how changes are requested, priced and approved. Ideally, any change that affects price or timing is agreed in writing before work starts. Watch for vague phrases like "reasonable revisions included" without a number.

Timeline

A timeline with stages and estimated dates helps both sides plan. It should also say what happens if either side causes a delay, such as late content or late feedback.

Ownership

Ownership is one of the most important and most overlooked parts. Check:

• Who owns the design and custom code once paid for?
• Who owns the content, including any copy the designer writes?
• What licences apply to third-party themes, plugins, fonts and images?
• Whose name are the domain, hosting and other accounts in?

As a client, you should usually own the domain name and have administrator access to every account connected to your site.

Warranties and fixing problems

What happens if something breaks after launch? Many contracts include a period during which the designer fixes defects at no charge. The contract should say how long that period lasts and what counts as a defect.

Ending the agreement

The contract should explain how either side can end it and what happens to work completed and payments made.

The Consumer Guarantees Act

The Consumer Guarantees Act (CGA) covers services of a kind usually acquired for personal or household use; Consumer Protection, a government service run by MBIE, describes it as applying to businesses that provide services "usually for personal or household use" ^[1]. Many web design projects for a business will fall outside that, but some will not. Where the CGA applies, the guarantees include that services are carried out with reasonable care and skill, are fit for any particular purpose that was made known, are completed within a reasonable time where no time was agreed, and cost a reasonable price where no price was agreed ^[1].

Can a business contract out?

The CGA can only be excluded in limited circumstances. Consumer Protection explains that contracting out is possible only when the customer is in trade and acquiring the services for business purposes, the agreement is in writing, and it is fair and reasonable for the parties to be bound by it ^[1]. If the exclusion is only verbal, or is not mentioned at all, the CGA applies ^[1].

So if you are a business hiring a designer, check whether the contract excludes the CGA. If it does, consider whether that is fair given what you are paying for and what other protections the contract offers.

Unfair contract terms

Many web designers use standard form contracts, meaning contracts prepared in advance and offered without much room for negotiation. The Fair Trading Act's unfair contract terms rules apply to standard form consumer contracts and, since 16 August 2022, to standard form small trade contracts. The Fair Trading Amendment Act 2021 received royal assent on 16 August 2021, and its section 2 brought the remaining provisions into force on the first anniversary of that date, 16 August 2022 ^[2,3].

The Commerce Commission describes small trade contracts as standard form business-to-business contracts where the total value of the trading relationship is up to $250,000 in any 12-month period ^[4]. A court can declare a term unfair, but only the Commerce Commission can bring that case ^[4].

Terms that might raise concern include:

• A right for one side to change the price or scope without the other's agreement
• A right for one side to end the contract without notice while the other cannot
• Penalties that apply only to one side
• Broad limits on the designer's liability that leave the client with no remedy

This does not mean every one-sided term is unlawful. Whether a term is unfair depends on the whole contract and the circumstances. But a balanced contract is a good sign.

Red flags in web design contracts

• No written contract at all
• A scope that says "website" with no detail
• No mention of who owns the finished site
• The domain registered in the designer's name with no transfer arrangement
• Full payment required upfront for a large project
• Unlimited revisions promised alongside a very low price, which often leads to disputes later
• Guarantees of search rankings or a specific number of enquiries

Questions to ask a designer

1. Can I see your standard terms before accepting the quote?
2. What exactly is included, and what is not?
3. How many rounds of design feedback are included?
4. Who will own the design, code and content when the project ends?
5. Will the domain and all accounts be in my name?
6. What happens if something breaks after launch?
7. Does the price include GST?
8. Does the contract exclude the Consumer Guarantees Act?

A good designer will answer these questions readily. Our own terms and how we quote show how we approach them.

Getting advice

This guide is general information for New Zealand businesses. Contracts vary, and the right terms depend on your circumstances. For a large project, or if a contract includes terms you are unsure about, have a lawyer review it before signing.

Contract questions

Do I need a contract for a small website project?

Yes, even a short one. A one-page agreement covering scope, price, payments and ownership prevents most misunderstandings.

Who should own the domain name?

Usually you, the business. Registering the domain in your name and keeping the login details means you are not dependent on the designer if the relationship ends.

Can a designer keep my site if I stop paying?

The contract should address this. Commonly, ownership transfers on full payment. Read the ownership and termination clauses carefully before signing.

Sources

Each source was opened and checked against the sentence it supports on 3 November 2026.

1. Obligations under the Consumer Guarantees Act | Consumer Protection (published by Consumer Protection (MBIE); checked 3 November 2026) Government
2. Fair Trading Amendment Act 2021 (published by New Zealand Legislation; checked 3 November 2026) Legislation
3. Small trade contracts to be subject to the unfair contract terms regime (published by Lane Neave; Published 4 October 2021) Secondary source (law firm)
4. Unfair contract terms | Commerce Commission (published by Commerce Commission; checked 3 November 2026) Regulator