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Fair Trading Act 1986

Enforcement and remedies - Civil proceedings

41: Injunctions may be granted by court for contravention of Part 1, Part 2, Part 3, and Part 4

You could also call this:

“The court can stop people from breaking the Fair Trading Act rules”

The court can stop people from breaking the rules in Parts 1 to 4 of the Fair Trading Act. This is called an injunction. The Commission or anyone else can ask the court for an injunction. The court can stop someone from doing something wrong, helping others do wrong things, or trying to make others break the rules.

The court can change or cancel an injunction at any time. If someone has done something wrong before, the court can stop them from doing it again. Even if they haven’t done it yet, but might do it soon, the court can still stop them.

Sometimes, the court might give a temporary injunction while they decide on a permanent one. When the Commission asks for a temporary injunction, they don’t have to promise to pay for any damages if the injunction turns out to be wrong. But the court can’t think about this when deciding whether to give the temporary injunction or not.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM97300.

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Part 5 Enforcement and remedies
Civil proceedings

41Injunctions may be granted by court for contravention of Part 1, Part 2, Part 3, and Part 4

  1. The court may, on the application of the Commission or any other person, grant an injunction restraining a person from engaging in conduct that constitutes or would constitute any of the following—

  2. a contravention of any of the provisions of Parts 1 to 4:
    1. any attempt to contravene such a provision:
      1. aiding, abetting, counselling, or procuring any other person to contravene such a provision:
        1. inducing, or attempting to induce, any other person, whether by threats, promises or otherwise, to contravene such a provision:
          1. being in any way directly or indirectly, knowingly concerned in, or party to, the contravention by any other person of such a provision:
            1. conspiring with any other person to contravene such a provision.

              1. The court may at any time rescind or vary an injunction granted under this section.

              2. Where an application is made to the court under this section for the grant of an injunction restraining a person from engaging in conduct of a particular kind the court may,—

              3. if it is satisfied that the person has engaged in conduct of that kind, grant an injunction restraining the person from engaging in conduct of that kind; or
                1. if in the opinion of the court it is desirable to do so, grant an interim injunction restraining the person from engaging in conduct of that kind,—
                    1. whether or not it appears to the court that the person intends to engage again, or to continue to engage, in conduct of that kind.

                  1. Where an application is made to the court under this section for the grant of an injunction restraining a person from engaging in conduct of a particular kind, the court may,—

                  2. if it appears to the court that, in the event that an injunction is not granted, it is likely that the person will engage in conduct of that kind, grant an injunction restraining the person from engaging in conduct of that kind; or
                    1. if in the opinion of the court it is desirable to do so, grant an interim injunction restraining the person from engaging in conduct of that kind,—
                        1. whether or not the person has previously engaged in conduct of that kind and whether or not there is an imminent danger of substantial damage to any person if the first-mentioned person engages in conduct of that kind.

                      1. If the Commission applies to the court for the grant of an interim injunction, the court must not, as a condition of granting an interim injunction, require the Commission to give an undertaking as to damages.

                      2. However, in determining the Commission's application for the grant of an interim injunction, the court must not take into account that the Commission is not required to give an undertaking as to damages.

                      Compare
                      Notes
                      • Section 41(5): added, on , by section 10 of the Fair Trading Amendment Act 2003 (2003 No 31).
                      • Section 41(6): added, on , by section 10 of the Fair Trading Amendment Act 2003 (2003 No 31).
                      • Section 41 compare note: amended, on , by section 10 of the Fair Trading Amendment Act 2003 (2003 No 31).