On 30 June 2017 the New Zealand Commerce Commission (NZCC) released its final guidelines on credit fees. The updates to the previous draft guidelines (released in September 2016) provide lenders with guidance on assessing the reasonableness of credit fees under the Credit Contracts and Consumer Finance Act 2003 (CCCFA). The guidelines also emphasise conclusions drawn [...]
In Real Finance Ltd v Stefano [2016] NZHC 2293, the High Court found that it had jurisdiction to reopen a credit contract if it considered the contract oppressive, even where neither party to the proceeding had raised the issue. The general jurisdiction to reopen credit contracts arises under section 120 of the Credit Contracts and [...]
This recent High Court decision focussed on whether the guarantor for a credit contract could escape liability under sections 118 and 120 of the Credit Contracts and Consumer Finance Act 2003 (CCCFA). Section 118 relates to “oppression” in the credit context, and section 120 allows a court to reopen “oppressive” credit contracts. Mr Sharma had [...]