ARK Payment & Cancellation Policy

This Policy records ARK's stage-based payment, dispute, delay, storage and cancellation rules. It must be read with the accepted Project Contract Schedule and ARK Standard Kitchen Project Terms.

1. Purpose
This Policy explains:
the payment stages applying to eligible ARK kitchen projects;
when each payment becomes due;
how invoices and payment claims are issued;
what happens where an amount is disputed or overdue;
how Client-controlled delays and storage costs are managed;
how cancellation amounts and refunds are calculated;
how payment records are preserved through myARK and the Project Record.
This Policy is intended to provide clear stage-based payment requirements without using automatic forfeiture, penalty charges or blanket warranty cancellation.

2. Application
This Policy applies to residential kitchen projects where it is identified in the Contract Schedule.
It may apply to:
Kitchen Cabinets & Benchtop projects;
kitchen cabinetry and installation projects;
kitchen-led renovation work expressly included in the Accepted Quotation.
It does not automatically apply to:
standalone wardrobes;
standalone storage cabinetry;
supply-only cabinetry;
retail products;
non-kitchen work.
Those services require their own recorded payment and cancellation terms.

3. Contract documents
This Policy must be read together with the applicable:
ARK Standard Kitchen Project Terms;
Contract Schedule;
Accepted Quotation;
Approved Drawings;
Material and Hardware Schedule;
accepted Variations;
Handover & Completion Policy;
other identified Contract Documents.
The Contract Schedule records the Policy version applying to the project.
A later website update does not automatically replace an accepted Policy version.

4. Definitions
Accepted Project Documents
The signed or accepted Contract, Contract Schedule, Accepted Quotation, Approved Drawings, schedules and accepted Variations.
Cleared Funds
Money received into ARK’s nominated account and available for use without a pending reversal, failed transaction or unresolved payment-provider hold.
Client-Controlled Delay
A delay caused or materially contributed to by the Client, the Client’s representative, a Client-appointed trade or a condition within the Client’s reasonable control.
Contract Price
The accepted project price including GST unless expressly stated otherwise.
Handover
The formal project stage recorded by ARK after Practical Completion has been achieved under the applicable Contract Documents.
Payment Claim
A payment claim issued under the Construction Contracts Act 2002 where that Act applies.
Payment Schedule
A written response to a Payment Claim stating the amount the payer proposes to pay and, where less than the claimed amount, the calculation and reasons for the difference.
Project Activation
The point at which:
the Contract has been accepted;
the required deposit has been received in Cleared Funds;
ARK confirms that the project may proceed into project setup, ordering, scheduling or production
preparation.
Variation
An accepted change to the Scope, price, material, drawing, timing or responsibility.

5. Contract Price and GST
The Contract Price is recorded in the Contract Schedule and Accepted Quotation.
Unless expressly stated otherwise:
all consumer prices include GST;
the price covers only the accepted Scope;
work not expressly included is excluded;
Variations may change the final price;
allowances or provisional amounts are dealt with according to their recorded terms.
ARK will not increase an accepted fixed price merely because ARK underestimated work already included
in the confirmed Scope.

6. Standard kitchen payment structure
Unless the Project Contract Schedule records a signed project-specific variation, the standard structure is:
50% - Project Activation Deposit
Payable on Contract acceptance. Project Activation occurs after Cleared Funds are received.
45% - Cabinetry Installation Completion Progress Payment
Payable only after Cabinetry Installation Completion has been recorded. ARK serves the Payment Claim at or promptly after that milestone. Any Payment Schedule must be served within 3 working days after service, and the claimed or scheduled amount is due within 3 working days after service. Custom benchtop manufacture is not authorised or released until the required Cleared Funds are received.
5% - Final Completion Balance
Claimable only after the included benchtop has been installed, Practical Completion has been achieved and ARK has recorded Handover. ARK serves the Payment Claim with or promptly after the Handover Notice. Any Payment Schedule must be served within 3 working days after service, and the claimed or scheduled amount is due within 3 working days after service.
The Final Completion Balance is not a condition for benchtop manufacture, dispatch or installation.

7. Deposit and Project Activation
The 50% deposit activates the project.
Before the deposit is received in Cleared Funds, ARK is not required to:
reserve production capacity;
reserve an installation date;
order project-specific materials;
commit to supplier orders;
begin manufacturing;
begin detailed project administration;
activate myARK project workflows.
ARK may complete preliminary quotation, measurement or design work before Project Activation, but
this does not require ARK to commence the contracted project.

8. Use of the deposit
After Project Activation, ARK may apply the deposit toward:
final measurement and technical review;
project setup;
design finalisation;
drawing preparation;
material calculation;
material ordering;
supplier deposits;
project-specific components;
production scheduling;
manufacturing;
administration directly connected to the project.
The deposit is a part-payment of the Contract Price.
It is not an additional fee on top of the Contract Price.

9. Deposit refund status
The deposit is not automatically:
fully refundable; or
fully forfeited.
If the Contract is cancelled or terminated, the deposit will be credited against the amount reasonably due under this Policy.
The final calculation may result in:
a full refund;
a partial refund;
no refund;
an additional amount becoming payable.
The result depends on the work completed, project commitments, recoverable materials, avoidable costs and reason for cancellation.

10. Cabinetry Installation Completion Progress Payment
The 45% payment becomes claimable only after Cabinetry Installation Completion has been recorded. This milestone means the cabinetry included in the accepted Scope has been delivered and substantially installed, fixed, levelled and checked against the Approved Drawings. It excludes the custom benchtop, splashback, trade reconnections, final sealing, ordinary final adjustments and recorded minor outstanding items.
ARK will serve the Payment Claim at or promptly after that milestone. The Client may serve a Payment Schedule within 3 working days after service. The claimed or scheduled amount is due within 3 working days after service.

11. Non-payment of the Cabinetry Installation Completion Progress Payment
Cabinet installation is not made conditional on advance receipt of the 45% payment. If the payment has not been received in Cleared Funds after it becomes due, ARK may postpone or withhold release of:
custom benchtop manufacture;
supplier production authorisation;
benchtop dispatch;
subsequent unreleased project stages.
ARK may carry out final measurement or templating before payment is received, but is not required to authorise ordering or manufacture before Cleared Funds are received. ARK is not required to finance custom benchtop production on the Client’s behalf.
Any postponement must be recorded and communicated to the Client. The revised date will depend on payment, production availability, installer availability, supplier availability, site readiness and other project commitments.

12. Final Completion Balance
Where a custom benchtop is included, the final 5% becomes claimable only after:
the included benchtop has been installed;
Practical Completion has been achieved; and
ARK has recorded Handover and issued the Handover Notice.
ARK will serve the Payment Claim with or promptly after the Handover Notice. The Client may serve a Payment Schedule within 3 working days after service. The claimed or scheduled amount is due within 3 working days after service.
The Final Completion Balance is not a condition for benchtop manufacture, dispatch or installation.
If no custom benchtop is included, the Final Completion Balance becomes claimable after Practical Completion and Handover of the included Scope.

13. Payment position at Handover
At or promptly after Handover, ARK may serve the Payment Claim for the 5% Final Completion Balance.
Handover and warranty commencement are not conditional on prior payment of the Final Completion Balance. If a properly due amount remains unpaid after its due date, the Project Record may show Account Outstanding.
Payment does not waive recorded outstanding items, valid defects, warranty obligations or statutory rights.
An accepted Variation, separately authorised charge or genuinely disputed amount remains governed by its own recorded terms.

14. Invoices and Payment Claims
ARK may issue an invoice or Payment Claim by email, myARK or another agreed durable electronic method.
A Payment Claim issued under the Construction Contracts Act 2002 must be in writing and contain the information and accompanying response notice required by that Act, including the claimed amount, due date and calculation method.
The Project Record may preserve the claim, issue date, service record, due date, Payment Schedule, dispute information, reminders and payment receipt.

15. Payment methods
Payment must be made to the account or payment method stated on ARK’s invoice.
The Client must use the requested payment reference where reasonably required.
The Client is responsible for:
bank fees charged by the Client’s bank;
ensuring the correct account is used;
allowing sufficient processing time;
checking payment limits;
confirming large transfers where required.
A screenshot or transfer instruction does not by itself establish receipt in Cleared Funds.

16. Payment due dates
Each payment must be made by the due date stated in:
the Contract Schedule;
the applicable invoice;
the applicable Payment Claim;
an accepted Variation.
Where no enforceable contractual payment period has been stated, any applicable statutory default period may apply.
ARK should not use inconsistent due dates across the Contract, invoice and Payment Claim.

17. Payment reminders
ARK may issue reminders:
before a payment is due;
on the due date;
after the due date.
Reminders may be delivered through:
email;
myARK;
text message;
another agreed route.
A failure to receive a courtesy reminder does not automatically change an agreed payment due date.
ARK must ensure that formal statutory notices satisfy any separate legal requirements.

18. Payment dispute
If the Client disputes a claimed amount, the Client should respond in writing and identify:
the relevant invoice or Payment Claim;
the amount disputed;
the amount accepted;
the calculation used;
the reason for the difference;
the reason for any withholding;
supporting evidence.
Where the Construction Contracts Act applies, the response should comply with the applicable Payment Schedule requirements and time limits.
General dissatisfaction without identifying the amount and reason is insufficient for reliable payment assessment.

19. Undisputed amounts
An amount that is not genuinely disputed remains payable.
Where only part of a payment is disputed, the Client should pay the undisputed amount by the applicable due date.
This clause does not remove any lawful right to:
dispute an amount;
withhold a proportionate amount;
seek a remedy;
recover overpayment;
respond through a valid Payment Schedule.

20. Minor items and disputed payment
An isolated Minor Defect does not automatically justify withholding:
the entire stage payment or Final Completion Balance;
an unrelated Progress Payment;
an amount disproportionate to the alleged issue.
The Client should identify the reasonably disputed amount and the basis of calculation.
ARK must be given a reasonable opportunity to:
inspect;
assess;
adjust;
repair;
replace the affected component;
offer another lawful remedy.

21. Overdue payment
A payment becomes overdue if:
it has not been paid by the applicable due date;
no valid agreed extension applies;
the amount is not subject to a valid contrary determination.
Where an amount is overdue, ARK may:
notify the Client;
update the Project Record;
postpone an unreleased stage;
exercise a lawful suspension right;
recover a debt through an available process;
seek adjudication or another dispute remedy.
ARK must not impose a charge or consequence that is disproportionate, undisclosed or operates as a
penalty.

22. Default interest
No default interest applies under the standard ARK Contract Documents. ARK may use the disclosed payment, suspension, debt-recovery and dispute processes available under the Contract and applicable law. A fixed default-interest rate applies only where it is expressly stated in accepted Contract Documents and is permitted by law.

23. Debt-recovery costs
ARK may seek recovery of actual and reasonable debt-recovery costs to the extent permitted by:
the Contract;
the Construction Contracts Act;
a court or tribunal;
other applicable law.
ARK must not automatically charge an unsupported fixed debt-recovery amount.

24. Suspension for non-payment
ARK may postpone an unreleased stage where a required stage payment has not been received by the contractual release date. If ARK relies on a statutory right to suspend construction work, ARK must comply with the applicable notice, timing and service requirements under the Construction Contracts Act 2002.
Except in an urgent safety situation, ARK will provide written notice identifying the unpaid amount, the affected claim, the action required to resume and the likely timing effect. Suspension does not eliminate non-excludable consumer, building or defect rights.

25. Resumption after payment
After the required payment and any agreed resumption requirements are satisfied, ARK will place the project back into the next reasonably available:
production slot;
delivery slot;
installation slot;
supplier-release process.
The original date is not guaranteed to remain available.
ARK may require payment of reasonable direct rescheduling or remobilisation costs caused by the
Client’s breach before work resumes.

26. Client-controlled delay
A Client-Controlled Delay may arise where:
the site is not ready;
access is unavailable;
required approval is missing;
appliance information is incomplete;
another Client-appointed trade is incomplete;
the Client postpones delivery or installation;
a required payment has not been made;
project-specific materials cannot be delivered because of Client circumstances.
ARK will record the delay and its likely effect on timing.

27. Storage, handling and remobilisation
Where completed or committed goods cannot be delivered, installed or progressed because of a Client-
Controlled Delay, ARK may charge reasonable and evidenced costs for:
storage;
handling;
protection;
insurance directly connected to storage;
redelivery;
rebooking;
supplier rescheduling;
remobilisation.
ARK should provide reasonable written notice before storage charges begin where practicable.
Charges must reflect reasonable actual or reasonably anticipated cost.
They must not operate as an arbitrary daily penalty.

28. Fifteen-day storage trigger
Unless the Contract Schedule states otherwise, ARK may begin applying reasonable storage- related costs where:
goods are ready;
delivery, installation or progress is prevented by a Client-Controlled Delay; and
the delay continues for more than 15 calendar days after written notice.
This trigger does not create an automatic fixed daily fee.
The amount must still be reasonable and supportable.

29. Variations and payment
A Variation may require:
full payment before ordering;
payment with the next stage;
a revised Progress Payment;
adjustment to the Completion Balance;
another agreed payment arrangement.
The Variation must, where reasonably practicable, identify:
changed Scope;
price effect;
GST;
payment timing;
time effect;
approval.
ARK must not use a general price-change clause as a blank authority to increase the Contract Price
without an agreed Variation or another valid contractual basis.

30. Allowances and provisional amounts
Where the Quotation includes an allowance or provisional amount, the relevant document should identify:
what the amount covers;
whether it includes labour, materials and GST;
the basis of adjustment;
what evidence will be provided;
whether Client approval is required before exceeding it.
The final price may be adjusted according to the actual accepted selection or cost.
ARK must not treat an accepted fixed-price item as a provisional amount after the Contract is formed.

31. Client cancellation
The Client must give cancellation notice in writing.
The notice should identify:
Client name;
ARKCode or quotation number;
project address;
requested cancellation date;
reason, where relevant;
any request concerning ordered materials.
Cancellation does not automatically end all accrued payment responsibilities.

32. Cancellation before Project Activation
If the Contract has been accepted but the deposit has not been paid and ARK has not incurred an authorised project-specific cost, ARK will generally close the project without a cancellation charge.
ARK may seek payment only for separately authorised paid work or actual recoverable cost already
incurred.

33. Cancellation after Project Activation
If the Client cancels after Project Activation, the Client is responsible for ARK’s reasonable entitlement for:
project-specific design and technical work completed;
administration directly connected to the activated project;
materials ordered;
materials received;
supplier deposits;
non-cancellable supplier commitments;
manufactured or partly manufactured cabinetry;
completed labour;
transport or storage commitments;
reasonable demobilisation;
another direct loss caused by cancellation;
less costs reasonably avoided and amounts reasonably recovered.

34. Cancellation during manufacture
Where cabinetry or another custom item has entered manufacture, the cancellation calculation may include:
materials consumed;
completed machining;
edging;
assembly;
subcontract fabrication;
labour;
production commitments;
unusable or non-resaleable custom components.
ARK must not automatically charge the entire Contract Price if substantial costs can reasonably be
avoided.

35. Cancellation after cabinet installation
Where the Client cancels after cabinet installation has begun or been completed, the calculation may include:
work completed;
installed goods;
materials supplied;
supplier obligations;
site labour;
transport;
project management;
costs required to leave the site safe;
reasonable demobilisation;
other unavoidable commitments.
The Client may also remain responsible for protection and care of completed or partly completed work left at the property.

36. Custom materials and resale
ARK will take reasonable steps to determine whether cancelled materials or components can be:
returned to the supplier;
used in another project;
resold;
repurposed.
Any amount reasonably recovered or cost reasonably avoided must be credited in the cancellation calculation.
ARK is not required to accept unreasonable loss, delay or commercial risk in attempting to resell highly
project-specific goods.

37. Supplier cancellation charges
Where a supplier, fabricator or other contractor imposes a cancellation or restocking charge, ARK may pass through the reasonable project-related amount where:
the commitment was authorised by the Contract;
the charge was actually incurred or is legally payable;
ARK provides a reasonable explanation or supporting evidence;
the amount is not duplicated elsewhere.

38. Cancellation statement
After cancellation, ARK will provide a reasonable written calculation showing, where applicable:
payments received;
completed work;
material and supplier commitments;
cancellation-related costs;
credits;
avoided costs;
recoveries;
refund due;
additional amount due.
ARK may preserve this statement in the Project Record.

39. Refund following Client cancellation
Where the calculation shows that ARK holds more than the amount reasonably due, ARK will refund the balance within a reasonable time after:
supplier refunds are determined;
returnable materials are processed;
final costs are reasonably known;
any agreed set-off is applied.
ARK should provide an expected processing window where supplier resolution is required.

40. Client cancellation for ARK breach
Nothing in this Policy removes the Client’s right to cancel or seek another remedy where ARK commits:
a serious breach;
a substantial failure;
another breach giving a cancellation right under the Contract or applicable law.
Where ARK fails to meet its obligations, ARK cannot retain money for work or products that the Client is legally entitled to reject or cancel.
Responsibility for conforming materials or work already properly supplied will be assessed under applicable law.

41. ARK cancellation or termination
ARK may terminate the Contract where permitted by the Contract, including where the Client:
fails to pay an amount properly due;
repeatedly prevents progress;
refuses required access;
instructs unlawful or unsafe work;
commits a serious or repeated breach;
repudiates the Contract;
becomes insolvent.
Where the breach can reasonably be corrected, ARK will normally give written notice and a reasonable opportunity to remedy it first.

42. Amounts following ARK termination
Where ARK lawfully terminates because of Client breach, ARK may calculate:
completed work;
supplied materials;
ordered or manufactured goods;
non-cancellable commitments;
reasonable suspension and termination costs;
direct loss caused by the breach;
less costs reasonably avoided or recovered.
Termination does not give ARK an automatic right to the full unpaid Contract Price regardless of actual loss and work completed.

43. ARK inability to proceed
If ARK cannot complete the project for a reason within ARK’s responsibility, the parties will assess:
completed conforming work;
materials properly supplied;
incomplete Scope;
alternative completion cost;
refund or credit;
statutory remedies.
ARK must not retain payment for work it has not supplied where it has no lawful entitlement to do so.

44. Events outside reasonable control
Where the project cannot reasonably proceed because of an event outside both parties’ control, the parties should first consider:
postponement;
revised timing;
alternative material;
revised Scope;
mutual cancellation.
If the Contract ends, the financial calculation will consider:
completed work;
materials and commitments;
costs reasonably avoided;
supplier refunds;
applicable insurance;
applicable law.

45. Mutual cancellation
The parties may agree in writing to end the Contract.
A mutual cancellation agreement should identify:
effective cancellation date;
work completed;
materials;
payments received;
amount payable or refundable;
collection or delivery arrangements;
ownership of drawings and goods;
continuing warranty or defect obligations;
Project Record status.

46. Ownership and unpaid goods
Ownership of unfixed goods may remain with ARK until amounts properly due for those goods are paid, subject to the Contract and applicable law.
ARK may retain possession of undelivered goods where a properly due amount remains unpaid.
This Policy does not authorise ARK to:
enter the property without lawful authority;
remove installed goods without agreement or legal process;
damage the property;
disregard consumer or property rights.

47. Chargebacks and reversed payments
If a payment is reversed, charged back or dishonoured, ARK may treat the amount as unpaid while the reversal remains valid and unresolved.
ARK may request:
proof of payment;
bank confirmation;
payment-provider information;
replacement payment.
ARK must not treat a legitimate bank or payment error as deliberate misconduct without reasonable
evidence.

48. Overpayment and payment error
If ARK identifies an overpayment or duplicate payment, ARK will:
notify the Client;
verify the payment;
apply any agreed credit; or
refund the confirmed excess within a reasonable time.
The Client should promptly notify ARK of an apparent payment error.

49. Outstanding account and warranty
The warranty periods begin on the recorded Handover Date even where an amount remains outstanding.
The Project Record may display:
Active - Account Outstanding
ARK will continue to:
receive Service Requests;
preserve evidence;
conduct initial assessment;
identify urgent or safety-related issues;
comply with obligations that cannot lawfully be excluded.
To the extent permitted by the Contract and law, ARK may defer non-urgent discretionary benefits supplied solely under ARK’s additional written warranty while an undisputed overdue amount remains unpaid.
ARK must not automatically cancel the Warranty because of an outstanding account.

50. Public payment privacy
Public ARKCode or project information must not reveal:
invoice amounts;
amount outstanding;
payment history;
bank information;
debt-recovery details;
private payment disputes.
A public status may state:
Account action required - contact ARK
Detailed information remains private within authorised records.

51. myARK and Project Record
ARK may preserve:
Contract Price;
payment stages;
invoices;
Payment Claims;
due dates;
payment receipts;
reminders;
Payment Schedules;
dispute notices;
delay notices;
storage calculations;
cancellation notices;
cancellation statements;
refunds;
account status.
myARK may display released payment information and required actions to authorised users.
myARK is a record and communication layer.
It does not independently change the payment obligations in the accepted Contract Documents.

52. Electronic communications
Payment and cancellation communications may be sent through:
email;
myARK;
another agreed electronic route.
A formal notice must meet any applicable contractual and statutory content and delivery requirements.
ARK should preserve:
issue date;
recipient;
document version;
delivery record;
response;
related project status.

53. No waiver
A delay by ARK in requesting payment or enforcing a payment right does not automatically waive that right.
A payment arrangement or extension applying to one stage does not automatically change later stages.
Any material payment variation should be recorded in writing.

54. No penalty or automatic forfeiture
ARK will not rely on:
automatic forfeiture of all money paid;
an arbitrary daily storage penalty;
undisclosed cancellation fees;
unsupported debt-recovery charges;
blanket warranty cancellation;
a unilateral right to charge any amount ARK chooses.
Amounts must be supported by:
the Contract;
completed work;
accepted commitments;
reasonable cost;
actual loss;
applicable law.

55. Statutory rights
This Policy does not remove or reduce rights or remedies that cannot lawfully be excluded under New Zealand law.
Where applicable, the parties retain access to:
Construction Contracts Act payment and adjudication processes;
Consumer Guarantees Act remedies;
Fair Trading Act protections;
Building Act protections;
Disputes Tribunal;
courts and other lawful processes.

56. Policy review
Before formal adoption, this Policy must be reviewed for consistency with:
ARK Standard Kitchen Project Terms;
Contract Schedule;
Quotation Policy;
Variations & Change Control Policy;
Delivery Policy;
Kitchen Installation Policy;
Handover & Completion Policy;
ARK Core Kitchen Warranty Policy and Schedules;
Website & Digital Services Terms;
Privacy Policy;
New Zealand law.