Trade Practices Update, October 2006

Following the 2003 Dawson Review of the Trade Practices Act's (the Act) competition provisions, the Federal Government has announced a new package of reforms to the Act. The changes focus on increased penalties for anti-competitive conduct such as price fixing, and reducing some of the obstacles the Act puts in front of smaller businesses.

The current maximum penalty for anti-competitive conduct is $10m per offence.

The maximum penalty will now be increased to the greater of $10m or three times the gain from the contravention or, where the gain cannot be readily ascertained, 10% of the turnover of the body corporate and any related bodies corporate.