Ministry of Consumer Affairs
NZBA strongly supports the outcome of the Ministry’s analysis that any purpose clause to the Fair Trading Act 1986 should not include a reference to good faith. However, we wish to reiterate the reasoning made in our submission on the Discussion Paper.
We also note the Supplementary Paper states that one potential unintended effect of introducing a good faith provision is that it could widen the defences in section 44 to include honesty as well as reasonableness. We consider this illustrates the danger of introducing untested provisions when a clear problem has not been identified.