New Zealand Legislation: Acts

14 Substance matters, not form

• (1) Any question under Parts 1 to 5 is to be determined according to the nature, substance, and economic effect of the interest or relationship or other facts, and independently of form.

  (2) Without limiting subsection (1), a person may be involved in an electricity business, or be an associate or agency, regardless of whether a right, influence, power, obligation, or agreement—

  • (a) Is expressed or implied:

  • (b) Is direct or indirect:

  • (c) Is legally enforceable or not:

  • (d) Is related to a particular control right or not:

  • (e) Is subject to restraint or restriction or is capable of being made subject to restraint or restriction:

  • (f) Is exercisable presently or in the future:

  • (g) Is exercisable only on the fulfilment of a condition:

  • (h) Is exercisable alone or jointly with another person or persons.

  (3) A power, influence, or ability exercisable jointly with another person or persons is deemed to be exercisable by either or any of those persons.

  (4) A reference to a power or obligation includes a reference to a power, influence, ability, or requirement that arises from, or is capable of being exercised or required as the result of, a breach of any trust or agreement whether or not it is legally enforceable.

  Compare: 1988 No 234 s 5(4), (5), (6)