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ARTICLE · 07 DECEMBER 2004

When Does Comparative Advertising Pass the Smell Test?

Businesses wanting to promote their products by way of comparison with those of their trade rivals need to take particular care. This was reinforced by the recent Federal Court decision in Reckitt Benckiser (Australia) Pty Ltd v SC Johnson & Son Pty Limited.

AustraliaAccounting and Audit

Key Point

  • Businesses wanting to promote their products by way of comparison with those of their trade rivals need to take particular care. This was reinforced by the recent Federal Court decision in Reckitt Benckiser (Australia) Pty Ltd v SC Johnson & Son Pty Limited.

On the nose

This case is the Australia manifestation of an international dispute between Reckitt and SC Johnson over the introduction of SC Johnson's new Clean & Pure air sanitiser into the global air freshener market.

Reckitt is the manufacturer and distributor in Australia of Glen 20 surface spray disinfectant. In April this year, SC Johnson launched Clean & Pure in Australia and promoted it by way of a television advertising campaign. The advertisements in question depict a husband and wife overjoyed at the discovery of Clean & Pure and include the following dialogue:

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