An Update on the Unfair Contract Terms Regime
This week on You Legal TV, we take a quick look at what's been happening with the Unfair Contract Terms regime introduced by the Australian Consumer Law (ACL) approximately 5 years ago. The Australian Competition and Consumer Commission made a serious commitment to ensuring adherence to the new rules and swiftly moved from a compliance to an enforcement role. If you're a business that deals with consumers, it is essential that your standard form consumer contract terms do not fall into the definition of unfair under the ACL, or the consequences could be severe.
See below for the complete transcript of this episode -
Do you use standard-form contracts with consumers? You may recall it's been nearly five years since the Australian consumer law was introduced and ushered in the unfair contract terms regime.
Today on You Legal TV, we take a quick look at what's happened since then.
In 2013, the ACCC conducted an industry review of unfair contract terms, focusing particularly on the airline, telecommunications, fitness, and vehicle rental industries and some contracts commonly used by online traders.
The ACCC identified a wide array of terms in standard-form consumer contracts that could be considered unfair. Since the review, the ACCC has focused on unfair contracts and moved from a compliance to an enforcement role, bringing proceedings against several businesses for breaching the rules.
In 2015, the ACCC will prioritize consumer protection issues impacting vulnerable and disadvantaged consumers, with a particular focus on older consumers and consumers who are newly arrived in Australia.
Therefore, it is important to ensure your relevant contracts are compliant, and You Legal would be happy to help you do so.
I look forward to seeing you next when we examine the introduction of the unfair contract terms regime to contracts with small businesses.
What Should I Do Next?
Contact us if you would like further legal advice on the Unfair Contract Terms. Our lawyers at You Legal will be happy to assist you in whatever way we can.
* This blog is for general guidance only. Legal advice should be sought before taking action in relation to any specific issues.