Is it illegal for anyone to deal with an unregistered business? Will the customer be dealt with legal consequences? What are the legal consequences that could be faced by a registered retailer who deals with an unregistered wholesaler?

Answer :



    answered on 18/05/2018

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    According to section 31(6) of the Business Names Registration Act 2014, the non-registration of a business does not affect the rights of counter-party (the “customer” or “registered retailer” as you have described). This means that there is no restriction on any party that wants to enforce the contract against the unregistered business. The main legal consequences of non-registration are primarily detrimental for the unregistered business only.

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