LAWS20058: Consumer Rights and False Advertising in Commercial Law

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Added on  2023/04/21

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Case Study
AI Summary
This assignment provides legal advice concerning false advertising by jjNet under Australian Commercial Law. It identifies the key problem as jjNet's misleading statements about its products and services, adversely affecting consumer rights. The analysis references Section 29 of the Competition and Consumer Act 2010 (Cth), which prohibits misleading or deceptive conduct. The case ACCC v TPG Internet Pty Ltd is cited as precedent, where TPG was penalized for false advertising. The advice suggests filing a suit against jjNet for violating Section 29 and claiming damages for losses suffered due to the misleading advertisement, arguing that the contract formed is void due to the false advertisement. Desklib provides access to similar solved assignments and study resources for students.
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Australian
Commercial
Law
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Problem
Dear Sandra, in order to give you legal
advice, it is important to understand the
key problem and your legal rights.
The main problem in this case is that
jjNet has posted a false advertisement
regarding its products and services.
These false statements have adversely
affected your legal rights.
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Legal Rights
Australian Consumer Law (ACL) focuses on
protecting the rights of customers.
Section 29 of the Competition and Consumer
Act 2010 (Cth) restricts entities from making
a misleading or deceptive claim or statement
which is likely to mislead or deceive
(Legislation, 2018).
Customers have right to receive remedies if
the form a contract with companies based on
false advertisements.
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Legal Rights
In ACCC v TPG Internet Pty Ltd [2010] FCA 1478
case, the court provided a judgement based on
misleading advertisement.
In this case, TPG posted a false advertisement
regarding its services which was bundled with a
home line which increases the price for customers
(Corones, 2013).
The court hold TPG liable for violating section 29
and imposed a penalty on the company.
The contract formed based on the false
advertisement was considered as void.
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Advice
It is advised that you should file a suit against
jjNet for violation section 29.
The argument can be supported by the
judgement of ACCC v TPG Internet Pty Ltd case.
You should claim damages for the loss suffered
by you based on the misleading advertisement
of the company.
You are not bound by the contract formed with
jjNet since it was formed based on a false
advertisement.
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References
Legislation, Competition and Consumer
Act 2010 (2019) <
https://www.legislation.gov.au/Details/C20
11C00003>.
Stephen G. Corones, ‘Misleading conduct
arising from public statements:
establishing the knowledge base of the
target audience,’ (2014) 38 (1) Melbourne
University Law Review 281-315.
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