The commission today announced it had agreed to a settlement with the company in which CHH will make a voluntary payment of $1.5m to a project relating to the restoration and rebuilding of quake-stricken Christchurch.
CHH also agreed to contribute $100,000 towards the costs and inconvenience incurred by potential claimants, and $50,000 towards the commission's costs.
In reaching the settlement, CHH made no admission that any person suffered loss or damage from the sale of Laserframe timber.
Commerce Commission competition manager Greg Allan said the settlement avoided the high cost and uncertain outcome that came with pursuing long standing-proceedings
"We believe it is in the public interest to resolve this case now in a way that will produce a tangible benefit for New Zealanders,'' he said.
"Settling this case is part of a wider effort by the commission to resolve a number of long-standing cases, in order to focus on more current issues.''
It was not alleged that Laserframe timber was dangerous or unsafe, and advice from industry experts was there were no safety concerns.
"This case was purely about whether people had paid too much for Laserframe timber compared with other products on the market at the time, given that some of the timber was not of the grade claimed,'' Mr Allan said.
Consumers had a right to base purchase decisions on correct information, which was particularly important when claims could not be easily verified by an ordinary consumer.
"When businesses provide inaccurate information to consumers it can not only harm consumers but also their business competitors.''
