The phrase “misleading and deceptive conduct” is one which is well known amongst Australians. Misleading and deceptive conduct is prohibited concurrently by both state and federal legislation. The broad statutory provisions provide that a person or corporation, in trade or commerce, must not engage in conduct that is misleading and deceptive, or that is likely to be misleading or deceptive.
Conduct that merely confuses or causes uncertainty is not necessarily misleading and deceptive conduct. Rather, the conduct must be judged by the impact it has on the audience (which is in most cases the public). It is not an element of misleading and deceptive conduct that anyone actually be misled. The likelihood of conduct being misleading or deceptive is sufficient to satisfy a breach of the provisions.
The word “conduct” is not limited to advertising. It includes product packaging, endorsements, logos and verbal discussions. In some circumstances, silence can also be construed as being misleading and deceptive conduct.
The misleading and deceptive conduct statutory provisions are designed to be broad in nature. Providers of goods or services should ensure that they are familiar and understand the laws governing misleading and deceptive conduct.
The law also prescribes some more specific provisions in relation to prohibited conduct. Amongst other things, those provisions disallow the making of false or misleading representations:
- that goods are of a particular standard, quality, value, grade, composition, style or model
- that goods are new
- concerning the place of origin of goods
- with respect to the price of goods or services
Serious repercussions can arise for individuals or corporations partaking in conduct that is misleading or deceptive, including fines, injunctive orders, and liability to payment of damages and other orders.
Our Commercial Lawyers are experienced in representing clients involved in a wide range of competition disputes. With years of experience, our Commercial Solicitors are at the forefront of the industry, providing comprehensive and strategic consumer law advice. For quality consumer law advice, arrange a consultation with one of our Business Lawyers today by calling our main office line (02) 9233 4048.
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