Extensive IUE observations of the dwarf nova Z Cha during the 1987 April superoutburst and IUE-Exosat observations during the 1985 July superoutburst are presented. The UV light curve shows two dips when folded on the orbital period. One dip, at orbital phase 0.8 becomes shallower as the superoutburst progresses and can be associated with decreasing mass transfer rate from the secondary star. The other dip, at orbital phase 0.15, appears after the development of the superhump and some days after the occurrence of the largest dip at phase 0.8. The continuum flux distribution during superoutbursts is fainter and redder than in low-inclination dwarf novae during superoutbursts. This is interpreted in terms of the extended vertical disk structure which occults the hot inner parts of the disk with the development of a 'cool' bulge on the edge of the disk at orbital phase 0.75. Details of the behaviour of the UV emission lines during eclipse and away from eclipse are discussed.