ACCC issues infringement notice to automotive equipment supplier

25 May 2016

On 11 May 2016, Update Technology Pty Ltd (Update), paid a penalty of $10,200 to the Australian Competition and Consumer Commission (ACCC) in connection with an infringement notice concerning Update’s supply of high lift jacks.

According to an ACCC media release, ACCC issued Update with an infringement notice after having formed the belief, on reasonable grounds, that Update had supplied high lift jacks to consumers which did not comply with applicable mandatory safety standard for performance and labelling of that good.

Under the Australian Consumer Law (Act), the responsible Commonwealth Minister can, by written notice published online, make safety standards for any consumer goods. A failure to comply with a product safety standard published by the responsible Commonwealth Minister is a contravention of the Act. Product safety standards can change over time. Current product safety standards can be accessed here.

An ACCC infringement notice does not amount to a finding by a Court that a supplier has contravened the Act. Similarly, the payment of a penalty specified in an infringement notice does not amount to an admission of a contravention of the Act.

If a contravention of the Act is found by a Court, the offending supplier can face penalties of up to $1.1 million.

High lift jacks are currently the focus of an ACCC product safety surveillance campaign. As part of the campaign, the ACCC is purchasing high lift jacks from a number of suppliers and warning that suppliers will be the target of enforcement action if any of the jacks do not meet current applicable safety standards.

Subscribe to HWL Ebsworth Publications and Events

HWL Ebsworth regularly publishes articles and newsletters to keep our clients up to date on the latest legal developments and what this means for your business.

To receive these updates via email, please complete the subscription form and indicate which areas of law you would like to receive information on.

Contact us