Labor has today welcomed the Federal Court’s imposition of a custodial sentence for contempt of court relating to anti-consumer conduct, and draws attention today to the importance of businesses complying with the Australian Consumer Law.
Dhruv Chopra, former owner of an online electronics retailer, was sentenced to three months’ imprisonment (two months suspended) today for failing to comply with an earlier court ruling that he made false and misleading representations to consumers about refunds available for faulty products sold through his online store.
The Federal Court decision should be a warning to all businesses that they must comply with the Australian Consumer Law. Online retailers should not attempt to undermine consumers’ rights through waivers in their terms and conditions.
The representations made by Mr Chopra about limits to consumers refund and warranty rights were found to be misleading because consumers have a statutory right to a remedy for faulty products under Australian Consumer Law.
The Australian Competition and Consumer Commission’s media release on the Federal Court case is available here: https://www.accc.gov.au/media-release/court-sentences-online-electronics-store-operator-to-three-months-imprisonment-following-accc-contempt-action.
WEDNESDAY, 28 JUNE 2017
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