If you break a promise you made to the Bank, the Bank can ask the court to take action. The court can then tell you to keep your promise, or pay money to the government because you broke your promise. You might also have to pay money to someone else if they were affected by your actions. The court's order can include other instructions that follow on from their main decision. You will have to follow the court's instructions if they make an order against you.

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 It might be out of date or be missing some parts.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

This page was last updated on 6 August 2025

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS497394.

Topics:

Money and consumer rights > Banking and loansBusiness > Industry rulesCrime and justice > Courts and legal help

152: Offence to contravene undertaking, or

"Breaking a promise to the law can result in a big fine"

154: Court must take into account certain matters, or

"Courts consider what happened and who was affected when making decisions about deposit takers"

Part 5Enforcement
Power to accept undertakings

153Court may enforce undertaking

The Bank may apply to the court for an order under this section if the Bank is satisfied that a person has contravened an undertaking given by that person that is in force.
The court may make an order directing the person to do 1 or more of the following:
comply with the undertaking:
pay to the Crown an amount representing (wholly or partly) any financial benefit that the person has received because of the contravention of the undertaking:
pay compensation to any person.

The order may include consequential directions.

Deposit Takers Act 2023

Enforcement - Power to accept undertakings

153: Court may enforce undertaking

"Court can make you keep a promise you made to the Bank"

Part 5EnforcementPower to accept undertakings

153Court may enforce undertaking

Part 5Enforcement
Power to accept undertakings