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
1980 Trust Limited t/a Wholesale Club Fair Trading Act 30, 40(1) 1980 Trust Limited has been fined $7,000 after pleading guilty to three charges under section 30 of the Fair Trading Act. It supplied 15 defective and potentially unsafe toys, and three baby walkers without correct safety labels to consumers. Judgment 2018
SDL Trading Limited Fair Trading Act 30, 40(1) SDL Trading Limited has been fined $81,000 after pleading guilty to six charges under the Fair Trading Act for supplying 4,757 defective and potentially unsafe toys to retailers. Judgment 2018
Dealer Finance Limited CCCF Act 9C Dealer Finance Ltd (DFL) provides vehicle finance through 20 Christchurch motor vehicle dealerships, each being shareholders in DFL. It is the Commission's opinion that as the creditor DFL, in late 2015, did not make reasonable inquiries before entering into agreements with particular named borrowers, so as to be satisfied that it was likely that the named borrowers would make payments under the agreements without suffering substantial hardship. Warning letter 2018
Nigel Thompson Motor Company Limited Fair Trading Act 13(i) Nigel Thompson Motor Company Limited (NTMC) has been warned for likely breaching section 13(i) of the Fair Trading Act for misleading some customers about their rights under the Consumer Guarantees Act 1993 when they sought redress for faults with cars they had purchased from NTMC (in liquidation). Warning letter 2018
AHL Co Limited Fair Trading Act 30(1), 40 AHL Co Limited has been fined $20,000 after pleading guilty to two charges under the Fair Trading Act for supplying 271 defective and potentially unsafe toys to retailers. Judgment 2018
Dollar Saver (2009) Limited Fair Trading Act 30(1) We’ve warned Dollar Saver (2009) Limited that it has likely breached section 30(1) of the Fair Trading Act 1986 for supplying children's nightwear that did not comply with the mandatory product safety standard for children’s nightwear. Warning letter 2018
Mega Import & Export Limited Fair Trading Act 30(1), 40(1) Toy importer Mega Import and Export Limited has been fined $65,000 for selling toys which did not comply with a mandatory standard. Judgment 2018
Appenture Marketing Limited Fair Trading Act 13(i)

CCCF Act 17
Appenture Marketing Limited was fined $114,000 after being found guilty on 24 charges including six breaches of section 17 of the Credit Contracts and Consumer Finance Act (CCCFA) 2003 for failing to disclose to debtors certain key information required under Schedule 1 CCCFA, and 18 breaches of section 13(i) of the Fair Trading Act 1986 for making false or misleading representations to consumers relating to their Consumer Guarantees Act 1993 rights and the amounts recoverable by the creditor under contracts following repossession and sale of goods. Judgment 2018
Endeavour Consumer Health Limited T/A Red Seal Fair Trading Act 09, 10, 13(a), 13(e) The Commission considers that Endeavour Consumer Health Limited has likely breached sections 9, 10, 13(a) and 13(e) of the Fair Trading Act 1986 for the use of the term "Pharmacy Strength" on labels and promotional materials for its Red Seal range of health supplements. Warning letter 2018
Brent Smith T/A Motor Me Fair Trading Act 13(a), 13(e), 13(i) The Commission considers that Brent Smith the owner and operator of Motor Me has likely breached sections 13(a) and 13(e) of the Fair Trading Act by making false or misleading representations as to the quality and the particular history of vehicles offered for sale, and the benefits, approval or endorsement of a vehicle offered for sale. We also consider Mr Smith T/A Motor Me to be at risk of breaching section 13(i) of the Fair Trading Act by making false or misleading representations about the rights or remedies available to consumers under the Consumer Guarantees Act 1993. Warning Letter 2018
VetLife Limited Commerce Act 30 VetLife Limited has been warned for likely breaching section 30 of the Commerce Act in relation to an agreement with a competing veterinary practice relating to the supply of Cepravin to a customer in 2015. Warning letter 2018
NZ Trustees Association Charitable Trust Fair Trading Act 13(c), 21C NZ Trustees Association Charitable Trust has been warned for likely breaching sections 13(c) and 21C of the Fair Trading Act by sending invoices to registered charities for unsolicited membership services, without clearly informing the recipients of the invoice that they were under no obligation to make payment of the invoice; and falsely representing to the recipients of the invoices that they had agreed to acquire membership services from NZTA. Warning letter 2018
Johnson & Johnson (New Zealand) Limited Fair Trading Act 10, 13(a), 13(e), 46A While denying any breach of the Act, Neutrogena sunscreen producer Johnson & Johnson (New Zealand) Limited has undertaken to the Commerce Commission to only sell sunscreen products which meet the joint Australia/New Zealand standard. The Commission had investigated whether two Neutrogena sunscreens correctly represented that they were SPF 60+ following a complaint by Consumer NZ. Court enforceable undertakings 2017
Smart Farm Technologies Limited Commerce Act 27 via s 30 We have warned Smart Farm Technologies Limited that it likely breached section 27 via section 30 of the Commerce Act 1986 by entering into an agreement with Milfos on pricing for certain milk sensors (plus parts needed to install the sensors, a herd management system and installation services). Warning letter 2017
Greenfield Global Limited T/A KiwiOwn Fair Trading Act 13(i)

CCCF Act 17
We’ve warned Greenfield Global Limited T/A KiwiOwn that it has likely breached section 17 of the Credit Contracts and Consumer Finance Act 2003 for failing to provide customers with initial disclosure of applicable information about their consumer credit contracts. KiwiOwn were also warned for likely breaching section 13(i) of the Fair Trading Act 1986 by misleading consumers about their rights under the Consumer Guarantees Act 1993. Warning letter 2017
New Zealand Fibre Communications Limited Fair Trading Act 12A NZ Fibre Communications Limited (trading as Stuff Fibre) has been warned for likely breaching section 12A of the Fair Trading Act by making unsubstantiated representations about the speed of its broadband services. Warning Letter 2017
Receivables Management (NZ) Limited, Southern Receivables Limited, Allied Recoveries Limited, and RJK Receivables Limited Fair Trading Act 13(i)

CCCF Act 83ZM
Debt collection group Receivables Management has agreed to credit more than $1.4 million to around 1,700 customers who were wrongly charged interest, costs and fees on loans after their goods had been repossessed and sold. Out of court settlement 2017
TSB Bank Limited CCCF Act 41, 51, 54(1) TSB Bank Limited self reported three errors in its calculation of fees charged on the early termination of fixed rate home loans (break fees). The errors affected customers charged a break fee between 2008 and February 2016. Out Of Court Settlement 2017
Timber King Limited (TKL) and NZ Steel Distributor Limited (NZSD) Fair Trading Act 09, 10, 13 TKL and NZSD pleaded guilty to seven charges and were fined $660,000 (reduced to $400,950 after discount) for breaching s 12A and 13a of the Fair Trading Act in relation to false, misleading and unsubstantiated representations that TS10 Steel Mesh used for reinforcing buildings in earthquake zones complied with Australian / New Zealand Standard 4671:2001. Judgment and Enforceable undertakings 2017
Auckland Academy of Learning Limited Fair Trading Act 10, 13(e), 36L(3) Auckland Academy of Learning Limited was fined $351,000 after pleading guilty to 9 representative charges under the Fair Trading Act 1986 relating to misrepresenting the performance characteristics, uses or benefits and the need for and suitability for purpose of the CAMI program. The company also plead guilty to 2 representative charges of failing to give consumers oral notice of the rights to cancel and uninvited direct sale agreement. Judgment 2017