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46
T H E P R I M E R U S P A R A D I G M
Australian
Consumer Law
and the
Volkswagen
Diesel Episode
The consumers of Australia are protected
by laws at the state and territory levels,
as well as nationally, most significantly
by the Competition and Consumer Act
2010
(Cth). The most significant part
of the 2010 Act is its second schedule,
known as The Australian Consumer
Law
(ACL). The ACL outlines certain
rights of consumers, sets out standards
for goods and services and provides
penalties for breaches.
Protections for consumers provided in
the ACL include:
1. Ensuring that goods supplied will
correspond with the description
of those goods and be fit for their
disclosed purpose;
2. Requiring that goods sold are of
acceptable quality, safe and free of
defects; and
3. Guaranteeing that services are
provided with due care and skill.
In addition, the ACL prevents any of
these protections from being "contracted
out." Remedies where the guarantees
are not met include having the goods
repaired, replacing the goods or
providing a refund. The ACL also gives
Australian Federal Courts the power
to grant injunctions where the ACL is
breached.
The statutory liability for products
is primarily borne by manufacturers,
however suppliers along the supply
chain can also be liable in certain
circumstances. In addition, the definition
of "manufacturer" in the ACL is quite
broad, including those who apply their
brand name to the goods. This is of
particular concern to importers into
Australia, as they may be held liable,
and are likely to be sued when the
original manufacturer is not in Australia.
One of the most significant provisions
in the ACL is the s18 prohibition
against a person, in trade or commerce,
engaging in conduct that is misleading
International ­ Asia Pacific
Julia Harrison
is a partner in the compensation
(consumer law) division at Carroll & O'Dea
Lawyers. She has extensive experience in a wide
variety of litigation matters including consumer
and compensation law, commercial litigation and
matters relating to the Succession Act (Estate
Disputes). She also has expertise assisting clients
required to appear before Special Commissions
of Inquiries or Royal Commissions.
Selwyn Black
leads the business lawyers group
at Carroll & O'Dea Lawyers. His practice includes
advising on a variety of issues for businesses
and other organizations, including acquisitions
and disposals, joint ventures, contracts and
employment arrangements, international supply
and distributorship arrangements and associated
disputes and regulatory issues.
Carroll & O'Dea Lawyers
Level 18, St. James Centre
111 Elizabeth Street
Sydney NSW 2000 Australia
+61.2.9291.7100 Phone
+61.2.9221.1117 Fax
julia_harrison@codea.com.au
selwyn_black@codea.com.au
codea.com.au
Julia Harrison
Selwyn Black