AUSTRALIAN CONSUMER LAW

Australian Consumer Law (ACL)
•	A consumer is a person if they buy goods or services
o	For no more than $40,000; or
o	Of a type normally purchased for personal, domestic, or household use
(s.3 ACL)
•	BUT, if goods are purchased for business purposes such as resupply or manufacturing the purchaser is not a consumer and is not protected by the ACL
Misleading and Deceptive Conduct
•	It is against the law to mislead or deceive consumers: see s.18 ACL
•	You can mislead and deceive consumers by:
o	Using a business name that is similar to another business (Taco Company of Australia Inc v Taco Bell Pty Ltd)
o	Saying something is new when it is not (Annand and Thompson Pty Ltd v Trade Practices Commission)
o	Saying nothing when there is an expectation that you would speak up (Collins Marrickville Pty Ltd v Henjo Investments Pty Ltd)
•	The basic test is whether the conduct would mislead or deceive an ordinary person in the market for the good or service (Campomar Sociedad, Limitada v Nike International Ltd)
Unconscionable Conduct
•	Unconscionable conduct is also prohibited under the ACL: see ss.20-21 ACL
•	Unconscionable conduct is where a stronger party takes advantage of a weaker party’s special disability or weakness (Commonwealth Bank v Amadio)
•	This could include disabled people, the elderly, and people with a poor grasp of the English language
Unfair Practices
Unfair practices are prohibited under the ACL (s.29 ACL) and includes false statements about:
•	Newness, standard, quality, or grade
•	Price, repair facilities, place of origin
•	Sponsorship or testimonials
•	Rebates or prizes
Statutory Guarantees
•	Apply to all contracts for the sale of goods and services to consumers
•	Cannot be excluded by agreement
•	Statutory Guarantees for the supply of goods include:
o	Supplier’s title, undisturbed possession, freedom from undisclosed securities (ss.51-53 ACL)
o	Acceptable quality, fitness for any disclosed purpose, correspondence with description or sample (ss.54-57 ACL)
o	Reasonable availability of repair and parts (s.58 ACL)
•	Statutory guarantees for services include:
o	Supply with due care and skill (s.60 ACL)
o	Materials supplied with the service will be fit for required purpose (s.61 ACL)
o	Supply within a reasonable time (s.62 ACL)
Consumer Safety
•	Bans, standards, and recalls are all methods used to ensure consumers are protected from unsafe products (see Part 3-3 ACL)
•	Manufacturers must compensate consumers for injury or loss caused by goods with a safety defect (s.138 ACL)
•	Some goods must include specific information about the nature of the good and any potential risks (s.134 ACL)
•	Cigarette packaging must include warnings about the health risks of smoking
Remedies
•	Court enforceable undertakings (s.218 ACL)
•	Substantiation notices, requiring proof of claims made in advertising (s.222 ACL)
•	Public warning notices (s.223 ACL)
•	Civil pecuniary penalties (s.224 ACL)
•	Injunctions (s.235 ACL)
•	Damages (s.236 ACL)
•	Non-punitive orders (s.246 ACL)