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Get the labelling right on your products
Consumer Law News | June 2012
Product labels are your means of communicating with the customer
Recent Federal Court judgments remind suppliers of the necessity to include clear, visible and correct warning labels on their products. In ACCC v Trade Quip Pty Ltd it was found that some font used for warning labels was too small and left Trade Quip Pty Ltd in contravention of the now replaced Trade Practices Act 1974 while other warning labels used by the company were incorrect. Similarly, Optus has recently been penalised for misrepresenting the workings of an on-and-off-peak broadband service plan in Singtel Optus Pty Ltd v ACCC indicating the importance of clearly and correctly indicating the content of products and services.
Meanwhile proceedings brought against Apple on the basis that advertising for "iPad with WiFi and 4G" is misleading given the device is unable to connect to the 4G network in Australia have resulted in Apple undertaking to display statements in all promotional materials on the website and the online store regarding the actual capabilities of the product. Again, this indicates the importance that suppliers properly represent the capabilities and uses of products to consumers.
