We think it’s a clear breach of clause 4.1.3 of the Telecommunications Consumer Protection Code.
When the ACCC suspects a CSP is breaching the Trade Practices Act with unacceptable advertising, one of its main weapons is to issue a ‘section 155 notice‘.Now the Federal Government has agreed to give the regulator an even more effective power that will change the way CSPs need to approach advertising.
ACMA today announced a formal warning to Hyarchis Company Limited for alleged breaches of the Spam Act 2003 using SMS.On this occasion, ACMA has used its discretion not to impose a penalty, but noted that penalties of up to $1.1 million per day can apply to repeat offenders.
The lessons:
Communications Alliance has released in draft a proposed new industry code to regulate mobile premium services.Importantly, the proposed code will mandate better up front disclosure of the commitment a consumer is being asked to make and a prompt and effective cancellation / opt-out process.
Premium services and problems surrounding them have long been a bane for many consumers and mobile resellers alike. If resellers have any comments on the draft, they should speak before 12 December 2008, or hold their peace for a long time.
The Trade Practices Amendment (Clarity in Pricing) Bill 2008 was passed by Federal Parliament on 11 November 2008. It will come into force within the next few months – date to be announced.
Tuesday, 9 December 2008: Logie-Smith Lanyon Lawyers and CSP Central will be holding one of our popular CSP Legal Update seminars.Places are limited and bookings close on 2 December 2008 are closed.
Download the PDF invitation.
A mobile with unlimited calls and texts for just $59.99 a month ! What a bargain ! Where do we sign ?
ACCC today launched heavyweight legal proceedings in the Federal Court of Australia against 28 parties involved in ‘bundled services deals’, alleging that customer equipment is ‘secretly’ financed while the customer (wrongly) believes they are getting ownership of it for free.ACCC alleges that the way the deals operate and were marketed, there have been extensive breaches of sections 52, 53(e) and 53(g) of the Trade Practices Act 1974 and/or sections 12DA(1), 12DB(1)(e) and (12DB(1)(g) of the Australian Securities and Investments Commission Act 2001.
ACCC also says that these kind of bundled services deals constitute exclusive dealing, in breach of section 47(6) of the TPA.
Make no mistake, this kind of action is a big deal for ACCC and they’ll run it accordingly.
Last week, the Trade Practices Amendment (Clarity in Pricing) Bill 2008 was introduced to Federal Parliament.Subscribe to our e-mail newsletter to receive updates.
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