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Lift supplier gets that sinking feeling

Posted: 04/05/2010

The Australian Competition and Consumer Commission (“ACCC”) recently instituted proceedings in the Federal Court against Lift Shop Pty Ltd (“Lift Shop”) and its director, Mr Leslie Katz, for alleged breaches of sections 52 and 53(a) of the Trade Practices Act 1974 (Cth) (“Act”).

Lift Shop installs and services residential and limited mobility lifts to customers across Australia.

Section 52 of the Act prohibits a company from engaging in conduct that is misleading or deceptive, or is likely to mislead or deceive.

Section 53(a) of the Act prohibits a company from making false representations as to, amongst other things, the standard, style or model of goods.

In documents filed with the Federal Court, the ACCC alleges that, in breach of the Act, Lift Shop represented to two of its customers that Lift Shop would supply and install a certain type of platform lift in the customers’ premises when in fact Lift Shop supplied and installed a different model of platform lift which possessed different characteristics and features.

The ACCC further alleged that Mr Katz was knowingly concerned in the alleged breaches of the Act.

The ACCC is seeking various orders and injunctions from the court to restrain Lift Shop from engaging in further misleading or deceptive conduct.

The proceedings are a timely reminder for businesses to take care not to engage in any misleading or deceptive conduct.


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