The Competition and Consumer Act 2010 (the CCA) is a national law that sets out a framework for fair trading in Australia. The CCA is designed to protect consumers and allow businesses to compete on their own merits. Many small businesses are unaware that the rules in the CCA can often help them.
One example is that the CCA allows small firms to seek immunity from otherwise anti-competitive conduct – for instance if small firms come together and collectively bargain with larger suppliers – where this conduct is in the public interest. The ACCC promotes compliance with the CCA through a wide range of educational and compliance activities. The ACCC also enforces the provisions of the CCA and has a wide range of investigative tools and enforcement options.
What is the impact of the new Australian Consumer Law on business? And on the general public?
Basically, the Australian Consumer Law (ACL) provides a single set of consumer protection rules that apply across the country. One of the key changes introduced by the ACL is a new mandatory reporting requirement for businesses that have supplied a good or product-related service that caused serious injury, illness or death.
While the ACL introduced some new obligations for businesses, it also brought together a number of state, territory and national laws that businesses had to follow prior to the introduction of the new legislation.
A nationally consistent consumer law means that Australian consumers and businesses have a consistent set of rights and obligations, regardless of where they live or operate. This makes it much simpler for businesses to understand their obligations and consumers to understand their rights.
What are the main complaints brought to the ACCC’s attention?
In 2010/11 the ACCC Infocentre responded to more than 140,000 complaints, queries and comments from consumers and businesses.
Scams, unfortunately, represent a growing area. Each year we receive more and more reports of scammers trying to fleece money out of the public, or out of small businesses. Many of the other contacts received related to the rights and obligations provided by the consumer guarantees. The number of complaints about breaches of the competition laws are much smaller in number, but are investigated thoroughly.
How are these addressed?
Where we detect conduct that is likely to breach the law, we use one or another of a range of measures to deal with the issue. These can range from administrative resolutions for small-scale matters, through to court-enforceable undertakings, the issuing of infringement notices, and, at the most serious end of the scale, court-based litigation.
