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Placemakers has avoided possible court action in a settlement with the Commerce Commission after incorrectly describing, labelling and supplying treated timber to customers.
Fletcher Distribution Ltd - trading as Placemakers - admitted breaching the Fair Trading Act after a misunderstanding over the nature of timber framing product, TimberSaver.
A report from the Commerce Commission said Placemakers began selling TimberSaver, also known in the building industry as T1.2, in November 2004.
TimberSaver was accredited by the Building Industry Authority and deemed suitable for use in situations that would otherwise require the use of a specially treated timber known as H1.2.
Between November 2004 and July 2005 Placemakers incorrectly stated on labels and invoices that TimberSaver was H1.2 treated timber.
The commission launched an investigation after two consumer complaints.
Commission chairwoman Paula Rebstock said today correct information was important for making informed decisions. However, there was no indication anybody was adversely affected.
"It is recognised that Placemakers' actions were as a result of a misunderstanding and that when made aware of the issues it took immediate steps to resolve complaints.
"The commission considered that a settlement was appropriate in this case, as Fletcher Distribution Limited have, amongst other things, agreed to put things right."
Ms Rebstock said the company would meet any valid guarantee claims relating to TimberSaver and correct all instore labelling.
- NZPA