Credit Contracts and Consumer Finance Act 2003

Reopening of oppressive credit contracts, consumer leases, and buy-back transactions

128: Costs in consumer cases

You could also call this:

"Who pays court costs in unfair credit deals"

Illustration for Credit Contracts and Consumer Finance Act 2003

You can go to court if you think a credit contract, lease, or buy-back deal is unfair. The court can make one party pay some or all of the other party's costs. This cost is like a debt that must be paid. You can get an order to pay costs if the court reopens your case. The court decides who pays the costs and how much they pay. The costs are paid from one party to another. The court's decision on costs is affected by section 87. This means the court must follow the rules in that section when making a decision. You should look at section 87 to understand how it applies.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM213518.

This page was last updated on 1 January 2026 — View changes

Topics:

Money and consumer rights > Consumer protectionCrime and justice > Courts and legal help

127: Power of court on reopening credit contract, consumer lease, or buy-back transaction, or

"The court can fix problems with a credit contract and make things fair."

129: Persons who share in profits or have beneficial interest in reopened credit contract, consumer lease, or buy-back transaction, or

"What happens if you benefit from a changed credit contract, lease, or buy-back deal?"

Part 5Reopening of oppressive credit contracts, consumer leases, and buy-back transactions

128Costs in consumer cases

In any proceedings under this Part, the court may, if it has reopened a consumer credit contract, consumer lease, or buy-back transaction, make an order for the payment by any party to the proceedings of the whole or any part of the full costs incurred in connection with the proceedings by any other party to the proceedings.
The costs so awarded are recoverable as a debt due by the party against whom they have been awarded to the party in whose favour they have been awarded.
This section is subject to section 87.