Seller - Consignment Terms

Circular Clothing Company
ABN: 99 481 502 842
Effective Date: 8th Jan 2025

These Seller Terms ("Terms") govern the relationship between Circular Clothing Company ("we," "us," or "Circular") and consignors ("you," "seller," or "consignor") who use our consignment services to sell second-hand garments, shoes, and accessories through our platform. By participating in our consignment program, you agree to abide by these Terms.

1. Introduction & Scope

Circular Clothing Company provides a consignment platform that allows sellers to send in their pre-loved clothing, which we inspect, photograph, describe, price, and list for sale on our website. We manage the entire sales process, including customer support, order fulfillment, and payouts to sellers.

2. Seller Responsibilities

2.1 Clean Out Kit Request

  • Consignors must purchase a Clean Out Kit through our website. Each Clean Out Kit costs $49 AUD and includes:
    • A prepaid electronic shipping label with Australia Post for up to 20 items from any location in Australia.
    • $100 insurance, provided as store credit, to cover lost packages.
  • Clean Out Kits must be used only for sending items intended for consignment.
  • Consignors are encouraged to utilize recycled packaging. The total dimensions of the package should not exceed a combined length, width, and height of 120 cm.
  • To ensure that items remain in good condition during transit, consignors should neatly fold their items and pack them in a box or satchel. We recommend boxes for bulky items or items that might easily crease in a smaller satchel. Items will be photographed and listed exactly as they are received.
  • Clean Out Kits must be used within 60 days of receipt. If this timeframe cannot be met, consignors should contact us to discuss available options.
  • The fee for the Clean Out Kit is non-refundable, regardless of whether the consignor ultimately uses the service.

2.2 Accepted Items

  • Circular Clothing Company accepts high-quality second-hand garments, shoes, and accessories. Items must meet the following criteria:
    • Be clean, sanitized, and in good condition (free from stains, odors, or damage).
    • Be fit for purpose and ready to wear without requiring further cleaning or repair.
    • Be authentic (no counterfeit or replica items).
    • Be free from alterations (unless professionally tailored).
    • Be relevant to current trends and seasons.
    • Watches and accessories must be in good working condition and not require any alterations or fixing.
  • Circular reserves the right to refuse items that do not meet these criteria. Rejected items will either be returned to the seller (for a fee) or donated, based on the seller’s preference.

2.3 Unaccepted Items

  • Circular does not accept the following categories of items:
    • Items of low value with low resale potential, i.e., under $100 in RRP value.
    • Home or value brands, including unknown brands from overseas.
    • Non-clothing items such as toys, books, electronics, phone cases, etc.
    • Clothing with references to teams and places that do not have a broad audience across Australia, including work uniforms, local team jerseys, and school uniforms.
    • Counterfeit items or items obtained illegally, including those containing trackers or sensors.
    • Items with illegal or offensive slogans or imagery, including those with gang affiliations.
  • We may choose to donate, recycle, or bulk sell unacceptable items at our discretion.

2.4 Ownership and Authenticity

  • By sending items to Circular, you represent and warrant that you own the items and have the right to consign them.
  • You also warrant that all items are genuine and not counterfeit. Circular reserves the right to refuse or destroy counterfeit items in compliance with applicable laws. Counterfeit items will not be returned under any circumstances.
  • Circular fully cooperates with law enforcement and brands to track the source of counterfeit or stolen goods.

3. Circular’s Responsibilities

3.1 Inspection & Listing

  • Upon receiving your items, we will inspect them to ensure they meet our acceptance criteria.
  • Accepted items will be photographed, described, and listed on our platform within 30 business days of receipt. However, this timeframe may vary without prior notice due to fluctuating demand
  • Circular reserves the right to make adjustments to listings, including pricing and descriptions, to improve the chances of sale.

3.2 Pricing

  • Circular Clothing Company establishes prices using a combination of comprehensive market research and pricing algorithms to assist in setting optimal prices by considering historical sales data, current demand,market fluctuations, condition, brand and trend relevance...
  • Sellers can request price adjustments for high-value items by contacting us. Circular Clothing Company will consider these requests, but any changes are made at its discretion based on current market conditions, demand, and comparable listings. Feedback will be provided to the seller as needed.
  • Circular reserves the right to periodically adjust prices, including applying discounts or promotional pricing, to maximize the likelihood of sale.

3.3 Sales Management

  • Circular handles all aspects of the sales process, including customer inquiries, order fulfillment, and returns.
  • In the event of a return by the buyer, Circular will manage the return process. Items returned in good condition will be re-listed for sale.

4. Consignment Fees & Payouts

4.1 Consignment Payout

Circular offers consignors a payout based on a tiered structure. The percentage listed below indicates the portion of the final selling price per item that will be paid out to the consignor:

Selling Price (AUD) Consignors Payout (%)
Up to $49.99 10%
$50 - $99.99 15%
$100 - $149.99 25%
$150 - $199.99 35%
$200 - $249.99 50%
$250 - $299.99 60%
$300 - $499.99 70%
$500 - $999.99 75%
$1000 and above 80%

4.2 Payouts

  • Payouts will be issued to sellers via bank transfer or store credit, based on the seller’s chosen method.
  • Payouts are processed 14 days after the sale is completed to account for any potential buyer returns.
  • A minimum payout threshold of $20 AUD applies for bank transfers. Amounts below this threshold will be issued as store credit.

4.3 Payout Explanation

  • The percentage payout reflects the effort and resources required to manage each consigned item.
  • Lower-value items involve the same processes—sorting, listing, photographing, storing, marketing, and shipping—as higher-value items, which is why lower-value items yield a lower payout percentage.
  • Consigning higher-value items results in a significantly better payout for sellers.

4.4 Returns and Reversed Payouts

  • If an item is returned by a buyer, any payout already issued to the consignor may be reversed.
  • This ensures that payouts accurately reflect completed sales.

4.5 Consignment Best Practices

  • To maximize your earnings, we encourage consignors to focus on high-quality items that are in demand.
  • Items that are well-made, locally produced, and ethically sourced tend to attract more buyers and yield better payouts.
  • By selecting quality over quantity, consignors can enhance both their earnings and their positive contribution to sustainable fashion.

5. Unsold Items

5.1 Listing Duration

  • Items will be listed for sale on our platform for a period of 90 days. If an item remains unsold after this period, Circular will contact the seller with the following options:
    1. Return the item: The seller may request the item to be returned for a $10 AUD return shipping fee per item.
    2. Donate the item: The seller may choose to have the item donated to a charitable organization selected at the discretion of Circular Clothing Company.

5.2 Grace Period for Reclaiming Items

  • Sellers have a grace period of 14 days after the 90-day consignment window to reclaim unsold items without any additional handling fees. Return shipping costs still apply.

5.3 Early Removal of Items

  • Sellers may request early removal of their items before the 90-day listing period ends. Early removal requests are subject to a $10 AUD handling fee and return shipping costs.

5.4 Non-Returnable Items

  • If sellers do not request the return of unsold items within the grace period, such items become the property of Circular and may be donated or recycled without further notice.

6. Counterfeit and Stolen Items

  • Circular strictly prohibits the consignment of counterfeit or stolen items.
  • If we suspect that an item is counterfeit or stolen, we reserve the right to refuse it, and it will not be returned.
  • Circular cooperates fully with law enforcement and brands in investigating counterfeit or stolen goods. Any item determined to be counterfeit may be destroyed in accordance with applicable laws. Circular may also pursue legal action to recover costs or damages.

7. Class Action Waiver

Sellers agree to resolve any disputes on an individual basis and waive the right to participate in any class action lawsuit or class-wide arbitration. This waiver applies to disputes handled through both VCAT and ACICA arbitration.

8. Changes to Seller Terms

Circular reserves the right to modify these Seller Terms at any time. Changes will be communicated to sellers via email or our website. Continued participation in the consignment program after such changes constitutes acceptance of the revised terms.

9. Electronic Communications

By using Circular’s consignment services, you agree to receive communications from us, including Clean Out Kit confirmations, order updates, promotional offers, and account-related notifications. For more information on how we handle your personal data, please refer to our Privacy Policy.

10. Prices, Product Descriptions, and Taxes

10.1 Pricing and Product Information

While we strive to ensure accuracy in pricing and product descriptions, occasional errors may occur. If we discover an error in the price or description of an item you’ve ordered, we will contact you as soon as possible. You will have the option to reconfirm your order at the correct price or cancel it.

If we are unable to reach you, we will treat the order as cancelled. If you have already paid, you will be refunded in full.

10.2 GST and Customs Duties

All prices include GST where applicable. For international orders, you may be liable for additional customs duties or taxes imposed by your local government. Circular Clothing Company is not responsible for any such charges, and they are the sole responsibility of the customer.

Depending on the value of your order, additional import taxes may apply if your order exceeds $1,000 AUD in value.

Please note: Circular Clothing Company sells preloved items as an agent on behalf of the consignors. Therefore, we are only liable to pay GST on the commission we earn as an agent, not on the selling price of the goods. In summary, GST is not included in the sale price.

10.3 Delivery Charges

Delivery charges are applied based on the delivery option and address selected at checkout. These charges will be clearly displayed during the checkout process and included in the total cost of your order.

10.4 Currency and Bank Fees

The prices displayed on our website are in AUD. If you are using a credit or debit card issued in a different currency, your card issuer may apply a currency conversion fee or other charges. Please check with your card provider for details.

11. Contact Us

If you have any questions or concerns about these Seller Terms, please contact us: hello@circularclothingco.com.au

Thank you for choosing Circular Clothing Company as your consignment partner. We look forward to helping you extend the lifespan of your garments and contribute to a more sustainable future.