The Australian Government has announced its intention to double the maximum penalties for false or misleading conduct and cartel conduct to $100 million per offence.
Currently under the Australian Consumer Law, corporations face penalties of up to the greater of:
- $50 million;
- three times the benefit obtained from the breach; or
- 30% of adjusted turnover during the period of the breach (minimum 12 months),
for a breach of misleading or deceptive conduct or cartel conduct.
The Government has also announced stronger scrutiny of the fuel industry to monitor prices and report on any unusual price spikes.
The announcement builds on the Government’s recent enforcement focus on consumer protection, strengthening the national approach to unfair trading practices by addressing conduct that distorts consumer decision-making, drip pricing, and subscription practices. To explore more about these proposed reforms, please see our article here.
If you would like to understand what these developments mean for your business, or need guidance preparing for the upcoming changes, please get in touch with our consumer law and competition experts, Alex Hutchens and Melissa Miller.
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