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Financial Markets Conduct Act 2013

Fair dealing - Misleading or deceptive conduct, false or misleading representations, and unsubstantiated representations

22: False or misleading representations

You could also call this:

"Telling the truth when buying or selling financial products"

Illustration for Financial Markets Conduct Act 2013

When you are buying or selling financial products or services, you must not be told false or misleading information. This includes information about the kind, quality, or value of the products or services. You must not be misled about who is offering the products or services, or what they can do. You must also not be given false information about the price, or whether you really need the products or services. Information about guarantees, warranties, or rights you have under the Consumer Guarantees Act 1993 or Part 6 of the Deposit Takers Act 2023 must also be accurate.

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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=DLM4090952.

Topics:
Money and consumer rights > Consumer protectionMoney and consumer rights > Banking and loansBusiness > Fair trading
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21: Misleading conduct in relation to financial services, or

"Don't mislead people when selling financial services"

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23: Unsubstantiated representations, or

"Don't make claims about something you're selling if you can't back them up with good reasons."

Part 2Fair dealing
Misleading or deceptive conduct, false or misleading representations, and unsubstantiated representations

22False or misleading representations

  1. A person must not, in trade, in connection with any dealing in financial products, the supply or possible supply of financial services, or the promotion by any means of the supply or use of financial services, make a false or misleading representation—

  2. that the products or services are of a particular kind, standard, quality, grade, quantity, composition, or value, or have had a particular history; or
    1. that the products or services are offered, issued, transferred, or supplied by a particular person, by a person of a particular trade, qualification, or skill, or by a person who has other particular characteristics; or
      1. that a particular person has agreed to acquire the products or services; or
        1. that the products or services have any sponsorship, approval, endorsement, performance characteristics, accessories, uses, or benefits; or
          1. that a person has any sponsorship, approval, endorsement, or affiliation; or
            1. with respect to the price of the products or services; or
              1. concerning the need for the products or services; or
                1. concerning the existence, exclusion, or effect of any condition, warranty, guarantee, right, or remedy, including (to avoid doubt) in relation to any guarantee, right, or remedy available under the Consumer Guarantees Act 1993 or Part 6 of the Deposit Takers Act 2023; or
                  1. concerning the place of origin of the products or services.

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                    Notes
                    • Section 22(h): amended, on , by section 487 of the Deposit Takers Act 2023 (2023 No 35).