ARTICLE · 23 JANUARY 2013

Franchisees can't blame everything on the Carbon Tax, warns ACCC

Hunt & Hunt

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Franchisors must not encourage or induce franchisees to make misleading price claims of the impact of the carbon price.

AustraliaConsumer Protection

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The rising cost of utilities, other business expenses and the introduction of unpopular taxes is no excuse for businesses to incorrectly point the finger to these expenses as the reason for increasing product prices. In recent times, there have been examples of businesses doing just this and they have had to bear the wrath of the public, media and the consumer watchdog.

Brumby Bakeries

Brumby Bakeries decided to increase their prices and sent out an internal newsletter to franchisees advising them to put up their prices and "let the carbon tax take the blame".

In a copy of the June 2012 edition of the newsletter, the former managing director of Brumby Bakeries Deane Priest said:

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