The French constitutional court has struck out two provisions of New Caledonia's price control laws adopted last year.
The laws were put in place as part of tax reform amid efforts to curb the high cost of living.
However, the court accepted complaints by an association of importers and distributors and decided that the government could not intervene with controls in all spheres of business.
It also found that the list of products subjected to these controls was too large.
The association which challenged the regulations said it was pleased with the court ruling and its lawyers were studying the implications.
The government said the changes were minimal and didn't contravene the thrust of the law which was to protect consumers.
New Caledonia has much higher prices than mainland France and has repeatedly experienced protests at the high cost of living.