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The new guide takes into account the ACCC’s experience in considering and issuing infringement notices since their introduction as part of Australian Consumer Law (ACL) amendments in April 2010.

If you operate in the automotive, franchise, food and grocery, government procurement, agriculture, health and medical fields, are a small business (or contract with a small business), provide products subject to consumer guarantees under the Australian Consumer Law (ACL), or have to undertake a product recall, you could be in the sights of the Australian Competition and Consumer Commission (ACCC) in 2016.

“It is simply unacceptable for businesses to raise prices before applying a discount in order to give consumers the misleading impression that they are obtaining a larger percentage discount than is actually the case,”

Following an investigation, the ACCC considered that the clause was an unfair contract term which was likely to contravene the Australian Consumer Law (ACL). The ACCC also considered that Exetel’s advertising of these fixed term plans was likely to be misleading because it represented that consumers would receive the service for the 12-month fixed term, when this was not necessarily the case.

“Businesses are expected to take appropriate and effective steps to ensure that their staff understand the rights of consumers and the obligations of businesses under the consumer guarantees provided by the Australian Consumer Law,” Dr Schaper said.

It is against the law to tell your customers that they cannot cancel a lay-by contract at any time before the goods are delivered to them.

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