Which of the following is NOT CORRECT about the Fair Trading Act 1986 (FTA): Group of answer choices If a business is engaged in potentially misleading conduct, it can only breach one section. For example, if a business breaches section 10 it cannot also breach section 9. If a business is contracting with a consumer, the business cannot state in its contract with the consumer that the FTA does not apply or that the consumer cannot sue for any loss or damage arising from the contract. The Commerce Commission is able to take cases to court if it believes a business has breached the FTA The FTA is broad in its application, eg it can cover statements made about goods and services as well as protecting both registered and unregistered trade marks. Plus it can create both civil and criminal liability.
Question
Which of the following is NOT CORRECT about the Fair Trading Act 1986 (FTA): Group of answer choices
If a business is engaged in potentially misleading conduct, it can only breach one section. For example, if a business breaches section 10 it cannot also breach section 9.
If a business is contracting with a consumer, the business cannot state in its contract with the consumer that the FTA does not apply or that the consumer cannot sue for any loss or damage arising from the contract.
The Commerce Commission is able to take cases to court if it believes a business has breached the FTA
The FTA is broad in its application, eg it can cover statements made about goods and services as well as protecting both registered and unregistered trade marks. Plus it can create both civil and criminal liability.
Solution
If a business is engaged in potentially misleading conduct, it can only breach one section. For example, if a business breaches section 10 it cannot also breach section 9.
Explanation:
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This statement is not correct. A business can breach multiple sections of the Fair Trading Act 1986 (FTA) if its conduct falls within the prohibitions of those sections. For example, a business could breach both section 9 (which prohibits misleading and deceptive conduct in trade) and section 10 (which prohibits false or misleading representations) if its conduct is both misleading and deceptive and involves false or misleading representations.
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The other statements are correct. A business cannot contract out of the FTA when dealing with a consumer. The Commerce Commission can take cases to court if it believes a business has breached the FTA. The FTA is broad in its application and can cover a wide range of conduct, including statements made about goods and services and the protection of both registered and unregistered trademarks. It can also create both civil and criminal liability.
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