In its last gasp under Prime Minister Turnbull, Parliament passed legislation to substantially increase penalties for breach of the Australian Consumer Law.
For individuals who breach, the maximum penalty rises from $220,000 to $500,000 per breach.
For companies that breach, the maximum penalty rises to whichever is the highest of-
- $10 million
- 300 per cent of the value of the benefit received by the company; or
- if that benefit can’t be calculated, 10 per cent of its annual turnover in the prior year.
What a sobering prospect for companies weighing up the risk of making potentially misleading statements about their product performance or warranty conditions!