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Crown Entities Act 2004

Establishment and governance of Crown entities - Statutory entities - Conflict of interest disclosure rules

71: Onus of proving fair value

You could also call this:

"Proving a deal is fair"

Illustration for Crown Entities Act 2004

You need to prove something was a fair deal if you want to stop it from being cancelled. If you knew about a conflict of interest when the deal was made, you have to show it was fair. In other cases, the organisation has to show they got a fair deal.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM330305.

Topics:
Money and consumer rights > Consumer protection
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70: What is fair value, or

"What is a fair price when doing business?"

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72: Effect of avoidance on third parties, or

"You keep what you bought if you paid for it fairly and didn't know it was problematic."

Part 2Establishment and governance of Crown entities
Statutory entities: Conflict of interest disclosure rules

71Onus of proving fair value

  1. A person seeking to prevent an act being avoided, and who knew, or ought reasonably to have known, of the member's interest at the time the act was done, has the onus of establishing fair value.

  2. In any other case, the entity has the onus of establishing that it did not receive fair value.

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