Online Retailer Fined for Selling Unsafe Products
Friday 27 May 2016 @ 9.25 a.m. | Trade & Commerce
It has been revealed in a recent ACCC Media Release that online retailer Update Technology Pty Ltd (Update Technology) has paid a $10,200 penalty after the issue of an infringement notice by the Australian Competition and Consumer Commission (ACCC).
The ACCC issued the infringement notice because it had reasonable grounds to believe that Update Technology had supplied high lift jacks that did not comply with the applicable mandatory safety standard, in contravention of the Australian Consumer Law [Sch 2 to the Competition and Consumer Act 2010 (Cth)].
Background
Update Technology is the fourth high lift jack retailer to pay an infringement notice penalty following an ACCC product safety surveillance campaign. The ACCC purchased high lift jacks from a number of online retailers including Update Technology. The jacks were tested by a National Association of Testing Authorities (NATA) approved facility to assess whether the jacks complied with the mandatory safety standard.
This testing indicated that the high lift jack model sold by Update Technology did not meet the current safety performance requirements, including overload capacity, and did not have the required labelling.
Response from the ACCC
ACCC Deputy Chairperson Delia Rickard said:
“Since 2000, five Australians (on average) have been killed each year while working under a vehicle in a DIY maintenance setting with jacks being commonly involved. The performance and labelling requirements in the applicable mandatory standard are designed to ensure high lift jacks sustain a vehicle’s weight and that the jacks are used safely, reducing the risk of serious injury and death. Given these serious risks, suppliers of high lift jacks are on notice that they must ensure that the jacks they supply comply with the current mandatory standard, or else they could face enforcement action by the ACCC. Mandatory standards can change over time, and it is important that suppliers have processes in place to monitor and comply with the applicable standard.”
Issuing of the Penalty
The payment of a penalty specified in an infringement notice is not an admission of a contravention of the ACL. The ACCC can issue an infringement notice where it has reasonable grounds to believe a person has contravened certain consumer protection laws.
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Sources:
High lift jacks suppliers pay penalties following ACCC infringement notices – ACCC Release MR 51/16
Update Technology pays $10,200 high lift jack penalty – ACCC Release MR 76/16
