Enforcement Response Register

This register contains warnings, settlements and judgments since 1 January 2014 under the Fair Trading Act 1986, the Commerce Act 1986, and the Credit Contracts and Consumer Finance Act 2003.

It does not contain all enforcement responses before this date or enforcement responses withheld under the Official Information Act 1982.

Please note that judgments will be published as we receive them from the Court. This can sometimes be several months after the relevant hearing.

Selected Judgments

Enforcement Response Guidelines

Our guidelines describe how the Commission enforces New Zealand's fair trading, competition and credit contract laws.

Parties Act/Section Description Resolution Year
Unique Realty Limited Commerce Act 27 via s 30 Unique Realty Limited were ordered to pay a penalty of $1.25m following admissions they had breached s 27(1) and (2) via s 30 of the Commerce Act by entering into and giving effect to an agreement with at least 10 other real estate agencies in Manawatu to pass on to vendors the cost of advertising a property on Trade Me. Judgment 2016
Chequers Finance Limited CCCF Act 9J(4) The Commission issued an Infringement Notice as it had reasonable grounds to believe that Chequers Finance Limited breached section 9J(4) of the Credit Contracts and Consumer Finance Act 2003 by failing to provide a copy of its standard form contract terms immediately on request by a person. Infringement – paid 2016
Sportzone Motorcycles Limited (in liquidation) and Motor Trade Finance Limited CCCF Act 03, 41, 42, 43, 44 The Supreme Court confirmed that MTF and Sportzone had charged unreasonable establishment and other credit fees on 39 finance contracts entered into between 2005 and 2008. Judgment 2016
Intagr8 Limited, Mr Taylor and Mr Morrissey Fair Trading Act 13(b), 13(g) Intagr8, Mr Taylor and Mr Morrissey are warned for likely breaches of sections 13(b) and 13(g) of the FTA for making false or misleading representations as to: the price of equipment and telephony services offered; and the nature of the services offered – customers were entered into a long term rental agreement with third party finance companies when it had been implied that the services would be supplied by Intagr8. Warning letter 2016
NZ Nutritionals (2004) Limited Fair Trading Act 09, 10, 13(j) High Court declarations that NZ Nutritionals breached the FTA by making misleading representations that goats' milk dietary supplement products were "New Zealand made" when the key ingredients were imported. Judgment 2016
Steel & Tube Holdings Limited Fair Trading Act 09, 10, 13 The Commission had concerns that Steel & Tube may have engaged in conduct that breached the Fair Trading Act in relation to SE2 Steel Mesh. Steel & Tube has agreed to give an enforceable undertaking to the Commission. As part of the undertakings, Steel & Tube will only sell its SE62 500E grade steel mesh that passes specific independent testing and provide that to the Commission. The Commission’s investigation into Steel & Tube continues. Enforceable undertakings 2016
Euro Corporation Limited Fair Trading Act 09, 10, 13 The Commission had concerns that Euro may have engaged in conduct that breached the Fair Trading Act in relation to SE615 Steel Mesh, and sent Euro a Stop now letter. Euro has not admitted liability but has agreed to give an enforceable undertaking to the Commission so that the Commission can rescind the Stop now letter. As part of the undertakings, Euro will have an IANZ accredited laboratory test each batch of SE615 Steel 18 times and provide that to the Commission. The Commission’s investigation into Euro continues. Enforceable undertakings 2016
Dealer Finance Limited CCCF Act 39, 46 Dealer Finance Limited overcharged interest to some borrowers on their consumer credit contracts since 2005 because it did not credit lump sum or accelerated payments made by borrowers to the unpaid balance of their loans as soon as practicable. The Commission’s view was that in doing so Dealer Finance had breached s46 and 39 of the CCCFA. Dealer Finance entered into a settlement agreement with the Commission and has agreed to refund overcharged interest of $440,000 (and additional compensation for some customers) to approximately $5,800 affected customers. Out of court settlement 2016
Jetstar Airways Pty Limited Fair Trading Act 09, 11, 13(b), 13(g) The Commission investigated whether Jetstar’s practice of preselecting a checked baggage allowance, seat selection and travel insurance for customers purchasing New Zealand domestic fares on its website, mobile site and mobile applications was liable to mislead the public about the price of the airfares or the nature of kind of services that were being provided. Settlement, including enforceable undertakings, and warning letter 2016
Cashinaflash.co.nz Limited CCCF Act 17 We have warned Cashinaflash.co.nz Limited that it has likely breached section 17 of the Credit Contracts and Consumer Finance Act 2003 for failing to provide borrowers with initial disclosure of applicable information about their consumer credit contracts. Warning letter 2016
Flexi Buy Limited CCCF Act 17, 32 Flexi Buy Limited was fined $50,000 and ordered to pay $3,480 in damages to affected customers for failing to provide its customers with adequate disclosure of key information about their credit contracts, and describing some of the key information in a way that was likely to mislead or deceive a reasonable person. Judgment 2016
Phil and Teds Most Excellent Buggy Company Limited Fair Trading Act 30(1) We have warned Phil and Teds that it is likely to have breached section 30(1) of the Fair Trading Act 1986 by supplying toy teddy bears that did not comply with the mandatory product safety standard. The mandatory safety standard is established by the Product Safety Standards (Children's Toys) Regulations 2005. Warning letter 2016
Reckitt Benckiser (NZ) Ltd Fair Trading Act In the Commission's view Reckitt Benckiser (NZ) Ltd (Reckitt) has likely breached the Fair Trading Act. Reckitt has not admitted liability but has agreed to give an enforceable undertaking to the Commission in lieu of the Commission seeking interim relief from the Court. As part of the undertakings, Reckitt is making changes to its packaging. The Commission’s investigation into Reckitt continues. Enforceable undertakings 2015
L.I. Redshaw Limited Commerce Act 27 via s 30 We have warned L.I. Redshaw Limited that they likely breached section 27 via 30 of the Commerce Act 1986 by entering into an anti-competitive agreement to set fees at livestock saleyards. The fees arose in connection with the National Animal Identification and Tracing Act 2012. The agreement was that agents would charge farmers an RFID administration fee of $1.50 per head of cattle to register saleyard based cattle movements. Warning letter 2015
Allied Farmers Limited Commerce Act 27 via s 30 We have warned Allied Farmers Limited that they likely breached section 27 via 30 of the Commerce Act 1986 by entering into an anti-competitive agreement to set fees at livestock saleyards. Competitors agreed they would charge a minimum fee of $25 for the tagging of any untagged cattle ($10 for any calves). The fees arose in connection with the National Animal Identification and Tracing Act 2012. Warning letter 2015
Central Livestock Limited Commerce Act 27 via s 30 We have warned Central Livestock Limited that they likely breached section 27 via 30 of the Commerce Act 1986 by entering into three anti-competitive agreements to set fees at livestock saleyards. The fees arose in connection with the National Animal Identification and Tracing Act 2012. The agreements were: saleyards would charge a minimum fee of $25 for the tagging of any untagged cattle ($10 for any calves); agents would charge farmers an RFID administration fee of $1.50 per head of cattle to register saleyard based cattle movements; and saleyards would increase existing yard fees by $1.50 per head of cattle. Warning letter 2015
CRT Livestock Limited Commerce Act 27 via s 30 We have warned CRT Livestock Limited that they likely breached section 27 via 30 of the Commerce Act 1986 by entering into an anti-competitive agreement to set fees at livestock saleyards. Competitors agreed they would charge a minimum fee of $25 for the tagging of any untagged cattle ($10 for any calves). The fees arose in connection with the National Animal Identification and Tracing Act 2012. Warning letter 2015
Hazlett Rural Limited Commerce Act 27 via s 30 We have warned Hazlett Rural Limited that they likely breached section 27 via 30 of the Commerce Act 1986 by entering into three anti-competitive agreements to set fees at livestock saleyards. The fees arose in connection with the National Animal Identification and Tracing Act 2012. The agreements were: saleyards would charge a minimum fee of $25 for the tagging of any untagged cattle ($10 for any calves); agents would charge farmers an RFID administration fee of $1.50 per head of cattle to register saleyard based cattle movements; and saleyards would increase existing yard fees by $1.50 per head of cattle. Warning letter 2015
New Zealand Stock and Station Agents Association Commerce Act 27 via s 30 We have warned the New Zealand Stock and Station Agents Association that they likely breached section 27 via 30 of the Commerce Act 1986 by directly or indirectly being knowingly concerned in three anti-competitive agreements to set fees at livestock saleyards by livestock companies. The fees arose in connection with the National Animal Identification and Tracing Act 2012. The agreements were: saleyards would charge a minimum fee of $25 for the tagging of any untagged cattle ($10 for any calves); agents would charge farmers an RFID administration fee of $1.50 per head of cattle to register saleyard based cattle movements; and saleyards would increase existing yard fees by $1.50 per head of cattle. Warning letter 2015
Peter Walsh and Associates Limited Commerce Act 27 via s 30 We have warned Peter Walsh and Associates Limited that they likely breached section 27 via 30 of the Commerce Act 1986 by entering into two anti-competitive agreements to set fees at livestock saleyards. The fees arose in connection with the National Animal Identification and Tracing Act 2012. The agreements were: agents would charge farmers an RFID administration fee of $1.50 per head of cattle to register saleyard based cattle movements; and saleyards would increase existing yard fees by $1.50 per head of cattle. Warning letter 2015