An Auckland go-kart racing company has been told to stop asking customers to sign a disclaimer absolving the business from any responsibility for death and injury.
The East Tamaki company, Extreme Motorsports, has been told by the Commerce Commission it risks breaching the law by making false and misleading claims.
It has
been asking customers to sign a document stating that it would not be responsible for any injury, death, loss or damage, even if caused by the company's action or negligence.
In its publication Fair's Fair, the commission says that if a business tries to "contract out" of rights and obligations, it is making a false or misleading claim and risks breaching the Fair Trading Act.
Even if a customer signs such a disclaimer, laws such as the Crimes Act and the Consumer Guarantees Act mean businesses have to offer a certain level of service and they are "criminally responsible for taking reasonable precautions to avoid injury or death."
Extreme Motorsports has given signed undertakings to the commission that it will stop asking customers to sign the indemnity.
