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ARTICLE · 23 FEBRUARY 2013

Down, down, prices are down ... or are they?

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Retailers must not mislead customers about the amount of money they are saving during advertised sale periods.

AustraliaConsumer Protection
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IN BRIEF

Retailers must not mislead customers about the amount of money they are saving during advertised sale periods.

ACCC V JEWELLERY GROUP PTY LIMITED (NO 2) [2013] FCA 14

Last month, the Federal Court found that Zamel's Jewellers engaged in misleading or deceptive conduct and made false or misleading representations by distributing numerous catalogues promoting the sale of jewellery using dual-pricing.

By using strikethrough and was/now pricing techniques, Zamel's represented to customers that customers would save the difference between the compared prices if those customers purchased the items during the sale being advertised in the relevant catalogue. This representation was misleading because Zamel's did not in fact sell or rarely sold the items in question at the higher price in the period immediately before the relevant catalogue sale period.

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