Small businesses to be protected from unfair terms in contracts
The Competition and Consumer Act and the Australian Securities and Investment Commission Act have been amended to extend the protections that consumers had against unfair contracts to small businesses. What contracts do these amendments apply to? They apply to most standard form contracts for the supply of goods or services or the grant of an […]
Read MoreEnergy Efficiency Claims: cars and vacuum cleaners
It’s good to see energy efficiency is making headlines. Last month it was VW over their fraudulent emissions and fuel efficiency claims, which will result in billions of dollars of repairs, customer claims, penalties and untold damage to its, otherwise, excellent reputation. In a positive twist, it seems that VW may redeem its reputation by escalating […]
Read MoreSamsung: an example of why a business needs an effective Compliance Program to manage its risks.
Washing machine fires and recall Samsung had a problem with several of their washing machines; they caught on fire! They issued a recall in 2013, however, 2 years later, many of the effected washing machines are still in the community and pose a dangerous fire and safety hazard. Samsung issued further recall notice in June […]
Read MoreFailing to give a refund, repair or replacement product costs online seller $100,000
Retailers need to know what rights consumers have when they purchase from their online or physical stores Mr Chopra, the owner, of the online electronics store ”Electronic Bazaar” has been sent a strong message that it is unacceptable for a retailer to fail to give consumers a refund, repair or replacement product for faulty goods sold. The Federal Court has […]
Read MoreWe have a Policy: translating a Policy into Practice
I was very privileged to participate last week in The National Defence, Police & Emergency Services Women’s Leadership Summit and hear some very successful women talk about their experiences and share their leadership insights. One of the issues that each of their organisations face, whether it be the Army, Navy Air Force, State or Federal […]
Read MoreDodging the Regulator’s bullet
3 unwanted letters I recently wrote about 3 unwanted types of letter a business could receive. To recap, these are letters from: -a Regulator, for example the ACCC, a State Fair Trading Office, the TGA or Workcover alleging that you or your company has broken the law that the relevant regulator enforces; – the lawyer acting […]
Read MoreWhat do you do when you get “The Letter”?
Four types of letters There are 3 important letters that your business cannot ignore if it receives one. Each one is serious and has enormous consequences for the business. Each one is avoidable and only one is welcome. There is a fourth letter that you won’t receive, but also has huge consequences. The 3 letters […]
Read MoreBusiness lessons from contaminated raspberries
This week we have heard of a number of people contracting Hepatitis A from contaminated imported frozen raspberries. The berries were grown, washed and packaged in China and it appears that unhygienic work practices and /or contaminated water used to wash the fruit is to blame for the contamination. Apart from providing a compelling reason […]
Read MoreWhat all businesses can learn from free range eggs
This week the ACCC has taken action against 3 more “free range” egg producers; those selling Ecoeggs, Field Fresh, Port Stephens and Darling Downs Fresh Eggs brands. The ACCC is alleging that their claims of free range are misleading and deceptive in breach of the Australian Consumer Law. These proceedings follow the recent decision of the Federal Court in September […]
Read MoreCredence claims: you can’t rely on standards and industry body approval to avoid fines
What are credence claims? One of the priority areas for the ACCC’s enforcement actions is credence claims. The ACCC has told us this, and we can see it from the cases they have taken action against lately. Credence claims are claims and representations made about products or services that they are somehow better, of […]
Read More6 signs that you might be unintentionally misleading your customers
The word spreads quickly when you do something wrong It does not take long for press releases and news, particularly if it is bad, scandalous or involves a famous person or well -known brand, to do the rounds of the mainline press, industry newsletters, blogs and other social media. We saw it last week with the […]
Read MoreHas someone complained about your business?
Small businesses cannot expect to fly under the ACCC’s radar. Managing risk of non compliance with laws, including the Australian Consumer Law (ACL) is something all businesses should be concerned with. The ACCC does not only deal with complaints and enquiries relating to the conduct of large businesses and companies. According to the ACCC’s latest Small Business […]
Read MoreThe real costs of cheap goods
Whether its cosmetics or electrical goods, suppliers have a responsibility for consumer protection and consumers have a responsibility for their own protection. Counterfeit make-up causing injury The NSW Department of Fair Trading has been investigating and following up on complaints about counterfeit MAC branded make-up products being sold in Sydney which […]
Read MoreWhat can companies learn from GM’s recall debacle?
15 senior GM employees lost their jobs over delaying the recall of faulty cars Failing to act urgently to recall faulty products last week led to General Motors sacking 15 employees, mostly in senior and executive legal and engineering roles and disciplining 5 others. They failed to act an ongoing problem with the ignition switches in a number […]
Read MoreTrade Mark rights and Consumer Protection aren’t always congruent
Trade mark rights and consumer protection can mean different things. This is the story of a boutique brewery that developed a beer recipe and licensed the recipe and associated trade marks to a large brewery. It is not a story of competition between the two but of a business arrangement. The ACCC doesn’t like […]
Read MoreHow can your social media activity breach the Australian Consumer Law?
Are you responsible for what other people say on your social media site? A few years ago, the Federal Court found that Allergy Pathway Pty Ltd had engaged in false, misleading and deceptive conduct. The Company and its director undertook, among other things, not to make certain representations about their ability to test for allergens […]
Read MoreDoes anyone like telemarketers and door to door salespeople?
Devious and annoying telemarketers! I was having lunch with friends on the weekend when the conversation turned to the devious tricks that telemarketers play to try to get your personal information and make a sale. One friend told us about a call she received where the caller said that they were following up a recent […]
Read MoreSelling goods online- 3 things sellers need to be aware of to avoid paying big fines
Almost every day there is an article or media release about companies that have allegedly breached laws that protect consumers. Mostly they don’t intend to hurt their customers. (I hope not anyway!!) Buying electrical and other goods online is becoming more common with new sellers popping up every day. Here’s a warning that they […]
Read More4 reasons why you need to know what your salespeople are saying
Employers are liable for things that their employees say to customers. The company can be found to have breached the Australian Consumer Law (“ACL”) even if an employee doesn’t intend to do wrong or doesn’t know what they are doing is a breach. Here are 4 common things that can get the company into trouble […]
Read More3 lessons suppliers can learn from washing machines that catch fire and cars that will not stop.
Unfortunately, products will, from time to time, be released in the marketplace with faults that are not detected until in use. How a company handles this is important not only to the safety of consumers but to the reputation and financial well -being of the manufacturer (in Australia an importer of foreign manufactured goods is […]
Read MoreComplaints- where lawyers and marketers can agree.
Lawyers and marketers don’t always see eye to eye- take for instance the marketer wanting to find a descriptive name for a product and the IP lawyer advising that a descriptive name won’t be easy to protect. But I don’t want to talk about names here. This is about complaints, brand identity and product and […]
Read MoreThe ACCC gets tough with Coles and Woolworths and their fuel discounts
Coles and Woolworths shopper dockets and their s87B undertakings Coles and Woolworths were issuing shopper dockets with fuel discounts of 8 cents or more to customers who made purchases over a certain value in their supermarkets. The ACCC were investigating whether, by doing this, the big supermarket retailers were lessening competition in the retail fuel […]
Read MoreThe serious consequences of supplying goods that don’t comply with safety standards
We have recently heard in the news the sad cases of two small children who were strangled by the cords used to open and raise blinds. Standards to keep us safe In Australia we have a number of mandatory Safety Standards that apply to products that have the potential to cause serious harm to consumers, […]
Read MoreHow to comply with consumer protection laws? Walmart knows
The customer is the boss Sam Walton knew about building a successful business servicing customers. He founded the American retail giant Walmart. Sam said “There is only one boss. The customer. And he can fire everybody in the company from the chairman on down, simply by spending his money somewhere else.” Misleading conduct- accidental or […]
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