Australian Consumer Law and its provisions on consumer guarantees

Running head: COMPANY LAW
Company Law
Name of the Student
Name of the University
Author Note

1COMPANY LAW
Answer 1
In order to ensure that the consumers in Australia are provided with goods and services of
acceptable quality and as per its description, the Australian Consumer law has been incorporated
under (schedule 2) of the Competition and Consumer Act 2010 (Cth). The statute stipulates
consumer guarantees provisions under [Part 3-2, Division 1] that ensures quality and safety of
goods and services that is provided by suppliers, manufacturers and the importer in Australia to
the consumers. The legislative provisions governing consumer guarantees are set out under
sections [51-59] of the ACL.
The provisions require that goods sold, it must be of:
 acceptable quality;
 safe and durable;
 same description as asked by the consumer;
The provisions stipulate that every services provided by the supplier shall
 be provided within reasonable time in case no particular time is mentioned;
 exercise due care, diligence and skill;
 be appropriate for its purpose;
Under sections [260] and [261] of the ACL, the consumers are entitled to reject the services
and the products apart as well as seek damages for the loss suffered due to contravention of
consumer guarantees. The consumer is also entitled to claim for replacement, refund and
repairing of the damaged or defaulted goods and services. In ACCC v Hewlett-Packard [2013]
FCA 653, the court upheld the rights of the consumers to seek remedies against breach of
consumer guarantees under the ACL. However, such loss or damage must have resulted from the
fault in the use of such goods or services supplied to the consumers. The consumers may also
seek compensation for consequential loss that was reasonably anticipated.
In the given case, Jocelyn directly purchased the melons from the R’Us melon and was
hospitalized after its consumption. Later, upon testing, it was discovered that the disease was
caused from listeria bacteria that was present in melons she purchased. Section 54 and under Part