Australian Competition and Consumer Commission (ACCC) chairman Rod Sims announced that the body’s enforcement teams would hone in on the unfair contract terms, cartel conduct, anti-competitive conduct, and misleading and deceptive practices that can often be lauded over SMEs.
“I can foreshadow that we will have a big focus on unfair contracts in 2017, following the introduction of new laws to protect small business in 2016,” Mr Simms said during his speech at a Committee for Economic Development of Australia (CEDA).
“What that means is that large companies can no longer have unilateral terms in their standard contracts that put small businesses at a significant disadvantage,” he explained.
Highlighting the charges the ACCC brought to two cartels last year, Mr Simms indicated that any companies found to be in breach of the new rules could expect to be made example of.
“Court action not only helps to sharpen businesses’ focus on what is and isn’t acceptable under the law, but acts as a deterrent to others that may be tempted in a race to the bottom,” Mr Sims said.
“Unfortunately, I fear that only jail sentences for individuals in prominent companies will help to send the appropriate deterrence messages that cartels seriously damage competition and the economy as a whole,” he added.
Announcing the establishment of a new investigation unit in response to new concerns over commercial construction, the ACCC said the construction, as well as the energy, and health sectors will be prioritised in 2017.
“We have one private health insurer before the courts and I can confirm there will be further enforcement action in 2017.”
