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Credit Contracts and Consumer Finance Act 2003

Miscellaneous provisions

135: No contracting out

You could also call this:

"You can't agree to ignore this law, even if a contract says something different."

Illustration for Credit Contracts and Consumer Finance Act 2003

This law applies even if a credit contract says something different. You cannot agree to ignore any part of this law. If you are a creditor, lessor, or transferee and you try to contract out of this law, you will commit an offence against section 13(i) of the Fair Trading Act 1986.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM213526.

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Topics:
Money and consumer rights > Consumer protection
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Part 6Miscellaneous provisions

135No contracting out

  1. This Act has effect despite any provision to the contrary in any credit contract, guarantee, consumer lease, or buy-back transaction.

  2. Section 197 of the Contract and Commercial Law Act 2017 must be read as subject to this section.

  3. Every creditor, lessor, or transferee commits an offence against section 13(i) of the Fair Trading Act 1986 who purports to contract out of any provision of this Act.

  4. Subsection (1) does not limit or affect any term in a credit contract, guarantee, consumer lease, or buy-back transaction between a creditor, a lessor, or a transferee and a debtor, a guarantor, a lessee, or an occupier to the extent that the term—

  5. imposes a stricter duty on the creditor, the lessor, or the transferee than that imposed by this Act; or
    1. provides a remedy more advantageous to the debtor, guarantor, lessee, or occupier than the remedies provided by this Act.

      1. Subsection (1) does not prevent a debtor, guarantor, lessee, or occupier who has a claim under this Act from agreeing to settle or compromise that claim.

      Compare
      Notes
      • Section 135(1A): inserted, on , by section 76 of the Credit Contracts and Consumer Finance Amendment Act 2014 (2014 No 33).
      • Section 135(1A): amended, on , by section 347 of the Contract and Commercial Law Act 2017 (2017 No 5).