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ARTICLE · 14 JULY 2012

Court deletes unfair term in on-line contract

In 2010 the Federal government introduced new laws making unfair terms in standard form consumer contracts to be void.

AustraliaConsumer Protection

In 2010 the Federal government introduced new laws providing for unfair terms in standard form consumer contracts to be void. In January 2011, these laws became part of the Australian Consumer Law, which has standing as law on a Federal and State level.

A recent decision in the New South Wales Consumer, Trader & Tenancy Tribunal ("CTTT"), Malam v Graysonline (link here http://www.austlii.edu.au/au/cases/nsw/NSWCTTT/2012/197.html), considered the application of these new laws to contracts entered into online.

Mr and Mrs Malam purchased a table from the auction web site graysonline.com. The table had a glass top. The auction was on terms requiring the goods to be picked up by the buyer, and the Malams arranged a courier to pick up their purchase. When it arrived, the glass was smashed and other parts of the table were bent. Mr Malam signed up for the user account with graysonline.com, and like most people entering contracts online, clicked the "yes" button to

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