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Building Act 2004

Building product information requirements

362VC: False or misleading representations in relation to building products

You could also call this:

"Don't make false claims about building products"

Illustration for Building Act 2004

You must not make false or misleading claims about building products when you are selling them. You cannot make claims that are not true or are missing important information. If you do, you can get in trouble with the law. When you make claims about building products, you need to have good reasons for what you are saying. If you do not have good reasons, your claims are considered unsubstantiated. However, if a reasonable person would not expect you to have proof for your claims, then this rule does not apply. If you break this rule, you can commit an offence and have to pay a fine. The fine can be up to $200,000 for an individual or up to $600,000 for a company.

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This page was last updated on

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS753937.

Topics:
Money and consumer rights > Consumer protectionBusiness > Industry rulesBusiness > Fair tradingHousing and property > Home safety and repairs
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362VB: Failure to comply with building product information requirements an offence, or

"You can get in trouble if you sell or bring in building products without following the rules about sharing information."

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362VD: Defences for offences against sections 362VB and 362VC, or

"Defending yourself against building product information charges"

Part 4BBuilding product information requirements

362VCFalse or misleading representations in relation to building products

  1. A person must not, in trade, make a relevant representation about a building product that is—

  2. unsubstantiated; or
    1. false or misleading in a material particular or because of a material omission.

      1. A relevant representation means a representation relating to a building product that is made in connection with—

      2. the supply, or possible supply, of the building product; or
        1. the promotion of the supply of the building product.

          1. A representation is unsubstantiated if, when the representation is made, the person making it does not have reasonable grounds for the representation, irrespective of whether it is false or misleading.

          2. However, subsection (1)(a) does not apply to a representation that a reasonable person would not expect to be substantiated.

          3. A person who fails to comply with subsection (1)—

          4. commits an offence; and
            1. is liable on conviction,—
              1. in the case of an individual, to a fine not exceeding $200,000:
                1. in the case of a body corporate, to a fine not exceeding $600,000.

                Notes
                • Section 362VC: inserted, on , by section 84 of the Building (Building Products and Methods, Modular Components, and Other Matters) Amendment Act 2021 (2021 No 21).