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ARTICLE · 16 MARCH 2022

Unfair contract terms reforms: big changes to help small businesses

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Bill seeks to strengthen provisions which protect consumers & small businesses from unfair contract terms in standard form contracts.

AustraliaCorporate/Commercial Law
Murray Thornhill
Murray Thornhill
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Special Counsel, Matthew Lilly, and Lawyer, Kimberly Jones, in our Agribusiness team team have outlined the proposed changes.

On 9 February 2022 the Treasury Laws Amendment (Enhancing Tax Integrity and Supporting Business Investment) Bill 2022 (Bill) was introduced to Federal Parliament. The Bill seeks to strengthen provisions which protect consumers and small businesses from unfair contract terms (UCTs) in standard form contracts.

The Bill follows concerns from the Australian Competition and Consumer Commission (ACCC) that the current regime does not deter businesses from using UCTs. One area of focus for the ACCC, when reviewing the use of UCTs, is agriculture. Most agriculture businesses are small, or family owned, and will frequently deal with standard form contacts from larger organisations.

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