Commission launches new guidelines over enforcement response
The Commerce Commission has today launched new guidelines to help New Zealanders understand more about how the
Commission’s Competition Branch enforces its consumer and competition legislation.
The Enforcement Response Guidelines explain what enforcement responses are available to the Commission, and what
criteria and considerations are taken into account when deciding which response to use.
“We are committed to increasing transparency and public understanding about the work we do in competitive markets to
bring long-term benefits to New Zealanders. Publishing our new guidelines today is an important step in that direction,”
said Dr Mark Berry, Commerce Commission Chair.
The Commission’s approach to enforcement focuses on areas where we can have the biggest impact through the most
efficient use of taxpayer resources. Although litigation serves an important public function, the Commission also
actively encourages early resolution of matters by way of agreement, where appropriate, as a way to more quickly change
behaviour or bring about some other remedy.
“The Commission has always used a wide range of tools, including advocacy and education, to achieve good public
understanding of the law and compliance by businesses. The guidelines emphasise that public education and prevention or
remedy of harm are primary goals for us,” said Dr Berry.
Enforcement responses are broadly grouped as low-level and high-level responses. Low-level responses include sending
compliance advice or warnings to businesses and people that need to be reminded of their obligations under legislation
like the Fair Trading Act. Higher-level responses include court injunctions to immediately change behaviour, negotiated
settlements or taking proceedings in court.
The guidelines are an addition to a suite of resources produced by the Commission including the Enforcement Criteria and
the Model Litigant Policy. You can find all these resources on the Commission’s website at www.comcom.govt.nz/commission-policies
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