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Bunnings Loses Legal Appeal Relating To 'Lowest Price' Claims In New Zealand

Bunnings Auckland

Bunnings could be facing a fine of up to NZ $27 million, having lost a legal battle over pricing claims.

In 2016, the New Zealand Commerce Commission charged Bunnings with 45 pricing offences under the Fair Trading Act, following a 2014 complaint by rival DIY retailer Mitre 10 over the use of phrases such as, "Lowest prices are just the beginning" and "Bunnings has the lowest price on everything you need", which featured in media advertising, on staff uniforms and on its stores.

Bunnings denied the charges and pleaded not guilty to the offences, which carry a potential fine of up to NZ $600,000 each. 

In 2019, Bunnings appealed against Judge Cunningham's approval of the use of the pricing evidence gathered by Mitre 10 and the use of Murrary Snowden, Group Manager of Business Efficiency at Mitre 10 New Zealand Limited, as a witness.

In December 2019, a High Court decision was made by Justice Duffy to dismiss the appeal, allowing the use of the data and the staff member as evidence in the case.

Bunnings employs over 3,500 people in New Zealand and is one of the country's largest employers, operating 46 stores.

Source : Insight DIY Team

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24 February 2020

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