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ARTICLE · 24 MAY 2023

Misleading or deceptive conduct

Sometimes a third party who relies on misleading & deceptive conduct may be entitled to damages.

AustraliaConsumer Protection

Misleading or deceptive conduct is a broad-spectrum cause of action that frequently arises in the practice of commercial litigation.

Where a third party relies on misleading or deceptive conduct, and another party suffers loss and damage because of that third party's reliance, the party that suffered loss and damage may be entitled to damages.

This article considers the above issue in brief.

What is misleading or deceptive conduct?

Section 18 of the Australian Consumer Law (the "ACL"), being Schedule 2 to the Competition and Consumer Act 2010 (Cth), relevantly provides that "a person must not, in trade or commerce, engage in conduct that is misleading or deceptive or is likely to mislead or deceive."

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