Credit Contracts and Consumer Finance Act 2003

Enforcement and remedies - Orders, injunctions, and prohibited enforcement - Prohibited enforcement

102: Enforcement of buy-back transaction prohibited

You could also call this:

"You can't make someone pay back or take back property until all the information is shared."

Illustration for Credit Contracts and Consumer Finance Act 2003

You cannot enforce a buy-back transaction until disclosure is made under section 72 or section 77. You are not allowed to recover property or enforce any rights related to the transaction before disclosure. You cannot make someone pay before the payment is due. If the other party fails to comply with section 72 or 77, you are not liable for the costs during that time. This period starts when they fail to comply and ends when the disclosure is made. However, this rule does not apply to fees payable to other people or agencies, unless they are associated with the other party, as referred to in section 81.

This text is automatically generated. It might be out of date or be missing some parts. Find out more about how we do this.

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM213183.

This page was last updated on View changes


Previous

101: Enforcement of consumer lease prohibited, or

"Lease holders can't make you pay until they give you the right information"


Next

102A: Infringement offences, or

"Breaking the rules about lending money or goods can lead to fines"

Part 4Enforcement and remedies
Orders, injunctions, and prohibited enforcement: Prohibited enforcement

102Enforcement of buy-back transaction prohibited

  1. If disclosure is required under section 72 or section 77, no person (other than an occupier under the buy-back transaction) may, before that disclosure is made,—

  2. enforce the buy-back transaction; or
    1. enforce any right to recover property to which the buy-back transaction relates; or
      1. enforce any right in relation to the costs of the buy-back transaction; or
        1. require the occupier or any other person to make a payment of an amount before that amount is payable under the buy-back transaction on the basis of a failure by the occupier or other person to pay the costs of the buy-back transaction; or
          1. enforce any security interest taken in connection with the buy-back transaction.
            1. Neither the occupier nor any other person is liable for the costs of the buy-back transaction in relation to any period during which the transferee has failed to comply with section 72 or 77.

            2. The period referred to in subsection (2)—

            3. starts on the date of the failure; and
              1. ends only at the close of the day on which the disclosure under section 72 or 77 is made.
                1. However, subsection (2) does not apply in relation to fees or charges payable to another person, body, or agency as referred to in section 81 unless that person, body, or agency is an associated person of the transferee.

                Notes
                • Section 102(1)(ba): inserted, on , by section 67(1) of the Credit Contracts and Consumer Finance Amendment Act 2014 (2014 No 33).
                • Section 102(1)(bb): inserted, on , by section 67(1) of the Credit Contracts and Consumer Finance Amendment Act 2014 (2014 No 33).
                • Section 102(2): inserted, on , by section 67(2) of the Credit Contracts and Consumer Finance Amendment Act 2014 (2014 No 33).
                • Section 102(3): inserted, on , by section 67(2) of the Credit Contracts and Consumer Finance Amendment Act 2014 (2014 No 33).
                • Section 102(4): inserted, on , by section 67(2) of the Credit Contracts and Consumer Finance Amendment Act 2014 (2014 No 33).