New Zealand: contracts, corporate, trademarks and employment
New Zealand offers one of the simplest company regimes in the world, a consolidated commercial statute and a trade mark office that examines in weeks. It is used by groups as a low-friction operating jurisdiction, as the second half of a trans-Tasman structure and, for founders, as a home for lean holding and IP companies.
LegalMatrix prepares documents on its AI-assisted workflow and delivers in New Zealand through a New Zealand law firm engaged as its delivery partner. Every document is reviewed and signed off by a New Zealand lawyer holding a current practising certificate before release. Trade mark searches and IPONZ filings are handled by the partner firm or a registered patent attorney.
Contracts
| Topic | Essentials |
|---|---|
| Governing law | New Zealand contract law is common law supplemented by the Contract and Commercial Law Act 2017, which consolidates the statutes on privity, remedies, mistakes and electronic transactions. Parties may choose New Zealand or foreign law; New Zealand courts enforce foreign judgments from many countries and Australian judgments under the trans-Tasman regime. |
| Language | English (te reo Maori and New Zealand Sign Language are also official languages). Commercial contracts are in English. |
| Electronic signature | Part 4 of the Contract and Commercial Law Act 2017 gives electronic signatures legal effect where the method adequately identifies the signatory and indicates their approval, is as reliable as appropriate and the recipient consents. Schedule 5 excludes certain documents, including wills, affidavits, statutory declarations, powers of attorney and some negotiable instruments, which require paper or specific formalities. Companies may sign deeds electronically. Check the authority: https://www.legislation.govt.nz/ |
- The Fair Trading Act 1986 prohibits unfair contract terms in standard-form consumer contracts and, since 2022, small trade contracts below a value threshold; check the Commerce Commission.
- The Consumer Guarantees Act 1993 cannot be excluded in consumer sales; business-to-business contracts may contract out in writing.
- The Personal Property Securities Register governs priority of security interests, including retention of title.
- Deeds must be signed and, for individuals, witnessed; a company signs a deed by two directors, or one director with a witness, or under its constitution.
Corporate
| Topic | Essentials |
|---|---|
| Director duties | Sections 131 to 138 of the Companies Act 1993 require directors to act in good faith and in the company's best interests, for a proper purpose, with reasonable care, and not to trade recklessly or incur obligations the company cannot perform. At least one director must live in New Zealand, or live in Australia and be a director of an Australian company. |
| Shareholder rights | Ordinary resolutions pass by majority and special resolutions by 75 per cent. Shareholders have minority buy-out rights when they vote against certain major transactions, and may apply to the court for relief from prejudicial conduct. A constitution is optional; without one, the Act's default rules apply. |
| Share transfers | Shares are transferred by a written instrument signed by the transferor and entered in the share register (section 84); the board may refuse registration only on grounds set out in the constitution. Shareholder changes are updated on the Companies Office register. No stamp duty applies. |
- Annual returns are filed online with the Companies Office; the register is public and includes directors' and shareholders' details.
- Companies must record their ultimate holding company on the register.
- Financial reporting and audit obligations depend on size and overseas ownership; large companies and subsidiaries of overseas companies above thresholds must file audited statements (check the authority).
- New Zealand has no beneficial ownership register at the review date; a register has been proposed, so check the Ministry of Business, Innovation and Employment.
Trademarks
| Topic | Essentials |
|---|---|
| Authority | Intellectual Property Office of New Zealand (IPONZ) |
| System | First to file for registration, with ownership and prior-use arguments available to an earlier user in opposition and invalidity proceedings. |
| Time to registration | Examination usually produces a first report within about 15 working days. Registration cannot occur earlier than 6 months from filing, so approximately 6 to 9 months in total if there is no objection or opposition; check the authority. |
| Classes | Nice Classification. Fees are charged per class and are lower where goods and services are selected from IPONZ's pre-approved list; check the authority. |
| Opposition | 3 months from advertisement of acceptance in the IPONZ Journal, extendable on request. |
| Term | 10 years from the filing date, renewable for further 10-year periods. |
- Applications containing Maori words or imagery are referred to the Maori Trade Marks Advisory Committee, which can add time.
- An address for service in New Zealand or Australia is required; patent attorneys are registered under the trans-Tasman regime.
- New Zealand is a member of the Madrid Protocol.
- A registration unused for three continuous years is exposed to revocation.
Employment
| Topic | Essentials |
|---|---|
| Probation | Two distinct tools exist. A 90-day trial period, available to all employers since 23 December 2023, must be agreed in writing before the employee starts and bars a personal grievance for unjustified dismissal if notice is given within the trial. A probationary period is different: it signals assessment but the employer must still follow a fair process before dismissal. |
| Notice | No statutory minimum notice applies; the employment agreement sets notice and a reasonable period is implied if it is silent. Dismissal must be substantively justified and procedurally fair under the Employment Relations Act 2000, except within a valid trial period. Check the authority: https://www.employment.govt.nz/ |
| Non-compete | Restraints of trade are enforceable only to the extent reasonable to protect a proprietary interest, and the court may modify an unreasonable restraint under the Contract and Commercial Law Act. Consideration, duration (three to six months is typical), geography and the employee's seniority are the main factors. The government has signalled a review of restraint clauses; check the authority. |
| Equity | Employee share schemes are taxed under the Income Tax Act 2007 share scheme rules at the share scheme taxing date, with an optional PAYE withholding election. Offers to employees are exempt from the Financial Markets Conduct Act 2013 disclosure regime if they meet the employee share scheme exclusion. Plan rules, an offer letter and a board resolution are the standard set; check Inland Revenue and the FMA. |
Products available here
Contracts: drafting and review
Counterparty Contract Review
Negotiation Playbook
Go-to-Market Contract Bundle
NDA Set
Master Services Agreement and SOW
Data Processing Agreement
Shareholders' Agreement
Subscription and Share Transfer Documents
Intercompany Services Agreement
Board and Shareholder Resolutions Pack
Cross-Border Employment Contract
Secondment Agreement
Employee Share Option Plan
Executive Equity Grant
Family Holding and Trust Documents
IP rights: applications and portfolio
Trade Mark Search and Filing
IP Assignment and Licence
Technology Licence Agreement
IP Portfolio Management
Renewals and Annuities
Trademark Watch
Questions
What is the difference between a 90-day trial and a probation period?
A valid 90-day trial removes the right to bring an unjustified dismissal claim if the employer gives notice within the trial; a probation period does not and the employer must still run a fair process. The trial must be agreed in writing before day one and only applies to genuinely new employees.
Can any employer now use a 90-day trial?
Yes. The restriction to employers with fewer than 20 employees was removed with effect from 23 December 2023.
How fast is a New Zealand trade mark?
IPONZ examines within about three weeks, but registration cannot occur until six months after filing, so expect six to nine months unopposed.
Do we need a New Zealand resident director?
Yes, unless a director lives in Australia and is also a director of an Australian company. The trans-Tasman rule is convenient for groups already in Australia.
Is a New Zealand non-compete enforceable?
Only if reasonable. Courts can cut down an overbroad restraint rather than void it, but short, specific restraints on senior staff fare best, and confidentiality and non-solicitation terms do most of the work.
Does New Zealand have stamp duty or capital gains tax on share transfers?
No stamp duty. New Zealand has no general capital gains tax, but share dealing can be taxable in specific circumstances; the review flags this for the client's tax adviser.
Guides
Sources
- Intellectual Property Office of New Zealand: apply for a trade mark ↗
- New Zealand Companies Office ↗
- Employment New Zealand: trial periods ↗
- Contract and Commercial Law Act 2017 ↗
- Companies Act 1993 ↗
- Inland Revenue: employee share schemes ↗
Reviewed 26 October 2026. Rules and fees change; confirm with the authority before relying on them.
Documents and filings for New Zealand
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