New Zealand Acts

COMMERCE ACT 1986 - SECT 83

83 Pecuniary penalties relating to business acquisitions

1 The court may, on the application of the Commission, order a person to pay a pecuniary penalty to the Crown if the court is satisfied that the person—

a) has contravened section 47 or 47B ; or

b) has attempted to contravene either of those sections; or

c) has aided, abetted, counselled, or procured any other person to contravene either of those sections; or

d) has induced, or attempted to induce, any other person, whether by threats or promises or otherwise, to contravene either of those sections; or

e) has been in any way, directly or indirectly, knowingly concerned in, or party to, the contravention by any other person of either of those sections; or

f) has conspired with any other person to contravene either of those sections.

1A

2 In determining an appropriate penalty under this section, the court must have regard to all relevant matters, including—

a) the nature and extent of the act or omission:

b) the nature and extent of any loss or damage suffered by any person as a result of the act or omission:

c) the circumstances in which the act or omission took place:

d) whether or not the person has previously been found by the court in proceedings under this Part to have engaged in any similar conduct.

3 The amount of any pecuniary penalty must not, in respect of each act or omission, exceed,—

a) in the case of an individual, $500,000; or

b) in any other case, the greater of the following:

i) $10 million:

ii) either,—

A) if it can be readily ascertained and if the court is satisfied that the contravention occurred in the course of producing a commercial gain, 3 times the value of any commercial gain resulting from the contravention; or

B) if the commercial gain cannot readily be ascertained, 10% of the turnover of the person and all its interconnected bodies corporate (if any) in each accounting period in which the contravention occurred.

3

4

5 Proceedings under this section may be commenced within 3 years after the matter giving rise to the contravention arose.

6 A person is not liable to a pecuniary penalty under both section 80 and this section in respect of the same conduct.

History: Section 83: substituted, on 1 January 1991, by section 29 of the Commerce Amendment Act 1990 (1990 No 41).   Section 83 heading: amended, on 15 August 2017, by section 25(1) of the Commerce (Cartels and Other Matters) Amendment Act 2017 (2017 No 40).     Section 83(1): replaced, on 15 August 2017, by section 25(2) of the Commerce (Cartels and Other Matters) Amendment Act 2017 (2017 No 40).     Section 83(1A): repealed, on 5 May 2022, by section 38(1) of the Commerce Amendment Act 2022 (2022 No 11).     Section 83(2): amended, on 5 May 2022, by section 38(2) of the Commerce Amendment Act 2022 (2022 No 11).     Section 83(3): inserted, on 5 May 2022, by section 38(3) of the Commerce Amendment Act 2022 (2022 No 11).     Section 83(3): repealed, on 14 October 2008, by section 12(2)(d) of the Commerce Amendment Act 2008 (2008 No 70).     Section 83(4): repealed, on 14 October 2008, by section 12(2)(d) of the Commerce Amendment Act 2008 (2008 No 70).