When you sell goods and services in New Zealand it is important that you understand and comply with consumer laws. If you sell to New Zealanders from overseas the same laws still apply.
Before you sell
It is illegal for businesses to give false or misleading information or create a misleading impression about a product or service. Business must also be able to substantiate any claims they make about the products or services they offer for sale.
This applies to anyone in trade – from big players like major retailers, airlines and department stores, to small or temporary businesses like a food truck or souvenir stand.
The Fair Trading Act covers all aspects of the promotion and sale of goods and services. It includes anything you say about a product or service, either verbally or in writing. It also includes an impression given by pictures, advertisements, promotional material or a sales pitch, or by something which is not said – but is important information that is left out.
Complying with the Consumer Guarantees Act
You must meet minimum guarantees for the products and services you sell to consumers. These include that goods are of an acceptable quality and that repair facilities, refunds or replacements will be available for a reasonable time if goods are faulty or services are substandard.
When deciding on your pricing, you must take care not to mislead or deceive consumers. Any representations you make about price must be clear, accurate and unambiguous.
