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
Sales Concepts Limited, Kchitij Tiwari, Asha Ajit Srivastava Fair Trading Act 09, 11, 13(e), 13(f), 13(g), 13(i), 21 In December 2015, the Commission issued a Stop Now Letter to Sales Concepts for likely breaches of the Fair Trading Act. The conduct related to Sales Concepts selling bundles of electronic goods on layby to consumers between October and December 2015, with the promise that the goods would be delivered by Christmas 2015 if they were up to date on their payments. In fact, customers would only receive one of the goods prior to Christmas 2015, with the remainder being delivered when the customer had paid in full. Sales Concepts 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, Sales Concepts gave the option of a full refund to customers who signed up to the “Christmas Deal”. The Commission continued its investigation into Sales Concepts and the subsequent proceedings filed resulted in the company entering guilty pleas to all of the ten charges laid under the Fair Trading Act. A fine of $ 145,000 was imposed on the company. Judgment and Enforceable undertakings 2017
Millen Homeware Ltd, Millen Wellington Ltd and The Kitchen and Bathroom Warehouse Ltd t/a Millen Fair Trading Act 28(1) The Commission issued four infringement notices as it had reasonable grounds to believe that Millen Homeware Ltd, Millen Wellington Ltd and The Kitchen and Bathroom Warehouse Ltd (all trading under the name of Millen), breached section 28(1) of the Fair Trading Act, by failing to comply with the consumer information standard requirements for water efficiency labelling set out in the Consumer Information Standards (Water Efficiency) Regulations 2010. Infringement – paid 2017
Impact Roofing and Plumbing Limited Fair Trading Act 13(a) Impact Roofing and Plumbing Limited was warned for likely breaching section 13(a) of the Fair Trading Act by quoting New Zealand Steels Colorsteel roofing product but supplying another roofing product. Impact admitted that their quoting process was not as accurate as it should have been. Warning letter 2017
Bestdeals 4 You Limited Fair Trading Act 36

CCCF Act 17
Bestdeals 4 You Ltd entered guilty pleas and was fined $47,250 for breaching s36 of the Fair Trading Act and s17 of the Credit Contracts and Consumer Finance Act. Bestdeals failed to provide customers with key information including an accurate statement of their right to cancel a contract andtheir right to apply for relief from unforeseen hardship. It also failed to provide over 100 customers with a copy of their layby sales agreement terms and conditions when they entered the contract, as required under the FTA. Judgment 2017
Bikes International Ltd and Bike Retail Group Ltd t/a Bike Barn Fair Trading Act 10 Bike Retail Group Limited and Bikes International Limited pleaded guilty to 16 charges under section 10 of the Fair Trading Act for misleading consumers. Bike Barn ran various Half Price, Was/Now and Clearance Sales, which made misleading representations that bicycles were on offer at a discount from their usual price. Bike Barn also misled consumers by using “final days” wording in sale advertising as an urgent call to action to consumers that special prices were available, but were about to end, which was untrue. Judgment 2017
Reckitt Benkiser (New Zealand) Limited Fair Trading Act 10 Reckitt Benkiser (New Zealand) Limited pleaded guilty to 10 charges under section 10 of the Fair Trading Act 1986 for making representations on its website and on packaging giving the impression that the Nurofen Specific Pain range of products were specifically formulated to target a particular type of pain, when this was not the case. Judgment 2017
Tegel Foods Limited Fair Trading Act 10, 13(a) Tegel Foods Limited was warned for breaching section 10 and 13(a) of the Fair Trading Act 1986 by making misleading representations on product packaging about the size of the chickens by including stuffing and marinade in the weight of chickens. Warning letter 2017
Inghams Enterprises NZ PTY Limited Fair Trading Act 10, 13(a) Inghams Enterprises NZ PTY Limited was warned for breaching section 10 and 13(a) of the Fair Trading Act 1986 by making misleading representations on product packaging about the size of the chickens by including stuffing and marinade in the weight of chickens. Warning letter 2017
Baby City Retail Investments Limited t/a Baby City Fair Trading Act 30(1), 46A Baby City was ordered to pay a fine of $39,000 following admissions it had breached section 30(1) of the Fair Trading Act 1986 by supplying household cots that did not meet the mandatory safety standard. The mandatory product safety standard is established by the Product Safety Standards (Household Cots) Regulations 2005. Baby City has also entered into Undertakings with the Commission to carry out a series of testing and quality control procedures designed to ensure that all household cots Baby City supplies comply with the safety standard. Judgment and Enforceable undertakings 2017
Hitchcock Wholesale Limited Fair Trading Act 28 The Commission issued an Infringement Notice as it had reasonable grounds to believe that Hitchcock Wholesale Limited breached section 28 of the Far Trading Act by failing to comply with the Consumer Information Notice requirements for used motor vehicles set out in the Consumer Information Standards (Used Motor Vehicles) Regulations 2008. Infringement – referred to Ministry of Justice 2017
Latitude Financial Services Ltd t/a Gem Finance CCCF Act 26A Latitude Financial Services Ltd (trading as Gem Finance) was warned for likely breaching section 26A of CCCFA by failing to notify debtors within the statutory time of assignment (via sale) of their debts to Baycorp. Warning letter 2016
New Zealand Vacuum Cleaner Company Limited t/a Godfreys Fair Trading Act 36U Godfreys was ordered to pay a fine of $48,000 following admissions it had breached section 36U of the Fair Trading Act. Godfreys was a warrantor of extended warranty agreements and failed to comply with its disclosure requirements under the FTA. Judgment 2016
Barfoot & Thompson Limited Commerce Act 27 via s 30 Barfoot & Thompson Limited was ordered to pay a penalty of $2.575 million following admissions they breached s 27 via s 30 of the Commerce Act by entering into and giving effect to a price fixing agreement with four other real estate companies to pass on to vendors the cost of advertising properties on Trade Me. Judgment 2016
Harcourts Group Limited Commerce Act 27 via s 30 Harcourts Group Limited was ordered to pay a penalty of $2.575 million following admissions they breached s 27 via s 30 of the Commerce Act by entering into and giving effect to a price fixing agreement with four other real estate companies to pass on to vendors the cost of advertising properties on Trade Me. Judgment 2016
LJ Hooker New Zealand Limited Commerce Act 27 via s 30 LJ Hooker New Zealand Limited was ordered to pay a penalty of $2.475 million following admissions they breached s 27 via s 30 of the Commerce Act by entering into and giving effect to a price fixing agreement with four other real estate companies to pass on to vendors the cost of advertising properties on Trade Me. Judgment 2016
Ray White (Real Estate) Limited Commerce Act 27 via s 30 Ray White (Real Estate) Limited was ordered to pay a penalty of $2.2 million following admissions they breached s 27 via s 30 of the Commerce Act by entering into and giving effect to a price fixing agreement with four other real estate companies to pass on to vendors the cost of advertising properties on Trade Me. Judgment 2016
Property Page (NZ) Limited Commerce Act 27 via s 30 Property Page (NZ) Limited was declared to have aided, abetted, counselled or procured five real estate companies to breach s 27 via s 30 of the Act. The real estate companies entered into and gave effect to a price fixing agreement to pass on to vendors the cost of advertising properties on Trade Me. No pecuniary penalty was imposed on Property Page (NZ) Limited. Judgment 2016
Lugton’s Limited Commerce Act 27 via s 30 Lugton’s Limited was ordered to pay a penalty of $1,000,000 following admissions they breached s 27 via s 30 of the Commerce Act by entering into and giving effect to a price fixing agreement with four other real estate companies to pass on to vendors the cost of advertising properties on Trade Me, and to take down existing Trade Me listings. Judgment 2016
ANZ Cars Limited Fair Trading Act 28 The Commission has reasonable grounds to believe that ANZ Cars Limited breached section 28 of the Fair Trading Act by failing to comply with the consumer information notice requirements for used motor vehicles set out in the Consumer Information Standards (Used Motor Vehicles) Regulations 2008. Infringement – paid 2016
Youi NZ Pty Limited Fair Trading Act 13, 21C Youi NZ Pty Limited was ordered to pay a fine of $320,000 following admissions it had breached sections 13 and 21C of the Fair Trading Act through various false representations. These included representing that consumers could obtain a quote online when in fact this was not possible for the significant majority of customers; customers bank or credit card details were required to generate a quote when this was not the case; customers were obtaining a quote when in fact a policy was being issued. In addition Youi asserted a right to payment for unsolicited insurance policies by sending letters demanding payment and/or debiting consumers’ bank or credit card accounts without their express permission or knowledge. Judgment 2016