3 December 2015
Release no. 64

Canterbury construction company charged over building guarantee

The Commerce Commission has filed charges against construction business Flaxmill Limited (Flaxmill) and its director, Gerard James Thomson, in the Christchurch District Court.

The charges relate to misrepresentations about the existence of Homefirst building guarantees offered in the building contracts of three homeowners in the Canterbury region.

Both defendants face six charges each under the Fair Trading Act 1986.

The Commission alleges that home owners were told they would be provided with a builder’s guarantee, which they never received.

As this matter is now before the Court, the Commission is unable to comment further at this time.

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