Plain language law

New Zealand law explained for everyone

Fair Trading Act 1986

Miscellaneous provisions

48: Proceedings privileged

You could also call this:

“The Commission and its people are protected from legal trouble when doing their job properly”

The Commission is protected from legal action for things it does or doesn’t do while doing its job, as long as it acts with reasonable care and in good faith. This protection also applies to the Commission’s members, staff, and committee members. They can’t be sued or charged with a crime for what they do, say, or don’t do as part of the Commission’s work, unless they act in bad faith.

However, this protection doesn’t apply to certain serious crimes. These include offences against section 78, section 78A, section 105, or section 105A of the Crimes Act 1961. It also doesn’t protect against trying to commit these crimes or planning with others to commit them.

The Commission can’t sue its members for not doing their individual duties unless the person acted in bad faith. The Commission can also protect its members and employees by paying for their legal costs or insurance for things they do as part of their job, as long as they haven’t acted in bad faith.

This law is an exception to section 121 of the Crown Entities Act 2004, which normally sets rules for government organisations.

This text is automatically generated. It might be out of date or be missing some parts. Find out more about how we do this.

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM97345.

Topics:
Business > Fair trading
Government and voting > Government departments
Previous

47L: Powers of authorised employees, or

“What employees can do to check if shops are following the rules”

Next

48A: Sharing of information and documents with Financial Markets Authority or Takeovers Panel, or

“This rule about sharing information with money experts is no longer part of the law”

Part 6 Miscellaneous provisions

48Proceedings privileged

  1. No proceedings, civil or criminal, shall lie against the Commission for anything it may do or fail to do in the course of the exercise or intended exercise of its functions under this Act unless it is shown that the Commission acted without reasonable care or in bad faith.

  2. No proceedings, civil or criminal, lie against any member of the Commission, or any officer or employee of the Commission, or any member of a committee of the Commission, for anything that person may do or say or fail to do or say in the course of the operations of the Commission, unless it is shown that the person acted in bad faith.

  3. Nothing in subsections (1) and (2) applies in respect of proceedings for—

  4. an offence against section 78 or section 78A or section 105 or section 105A of the Crimes Act 1961; or
    1. the offence of conspiring to commit an offence against section 78 or section 78A or section 105 or section 105A of the Crimes Act 1961; or
      1. the offence of attempting to commit an offence against section 78 or section 78A or section 105 or section 105A of the Crimes Act 1961.

        1. Section 59(3) of the Crown Entities Act 2004 (which provides that a statutory entity may bring an action against a member for breach of an individual duty) does not apply, unless it is shown by the Commission that the person acted in bad faith.

        2. Sections 122 to 126 of the Crown Entities Act 2004 apply as if the conduct for which a person may be indemnified or insured under those sections were conduct that is covered by the protection from liability in this section.

        3. This section contains an exception to section 121 of the Crown Entities Act 2004.

        Notes
        • Section 48(2): substituted, on , by section 200 of the Crown Entities Act 2004 (2004 No 115).
        • Section 48(4): added, on , by section 200 of the Crown Entities Act 2004 (2004 No 115).
        • Section 48(5): added, on , by section 200 of the Crown Entities Act 2004 (2004 No 115).
        • Section 48(6): added, on , by section 200 of the Crown Entities Act 2004 (2004 No 115).