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Misleading and deceptive conduct is behaviour that misleads or deceives or is likely to mislead or deceive. In other words, if your business activities aren’t truthful and accurate or give an impression that leads customers into error, you may be facing legal consequences.

Depending on the context, the misleading and deceptive conduct may be targeted at other businesses (in a B2B setting) or individual consumers (in a B-2-C setting).

In this article, we explain what it means to engage in misleading and deceptive conduct in Australia.

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Author: Farrah Motley, Legal Principal of Prosper Law and an eCommerce lawyer.

An overview of topics covered by this article

This article will explain what misleading and deceptive conduct is. You can skip ahead by clicking the links below.

  • Basic principles of misleading and deceptive conduct
  • Competition and Consumer Act
  • ASIC Act
  • How can Prosper Law Help

Basic principles of misleading and deceptive conduct

Misleading and deceptive conduct is behaviour that misleads or deceives or is likely to mislead or deceive. In other words, if your business activities aren’t truthful and accurate or give an impression that leads customers into error, you may be facing legal consequences.

Depending on the context, the misleading and deceptive conduct may be targeted at other businesses (in a B-2-B setting) or individual consumers (in a B-2-C setting).

In this article, we explain what it means to engage in misleading and deceptive conduct in Australia.

misleading and deceptive conduct

Competition and Consumer Act

Schedule 2 of the CCA contains the Australian Consumer Law (also known as the “ACL”). Section 18 of the ACL aims to protect consumers by preventing businesses from misleading customers. Section 18 of the ACL states:

“A person must not, in trade or commerce, engage in conduct that is misleading or deceptive or likely to mislead or deceive.”

A breach of section 18 of the ACL requires that:

  • The relevant conduct must occur in the course of “trade or commerce”; and
  • The relevant conduct must be misleading or deceptive or likely to mislead or deceive.

Each of these two requirements is explained above.

ASIC Act

Click here to access the link to the Australian Competition and Consumer Commission’s Advertising and Selling Guide.

How can Prosper Law help?

Prosper Law is Australia’s online law firm. We provide legal advice to businesses and individuals across Australia. Our areas of legal practice include contracts, eCommerce, publishing, legal counsel and employment law.

If you need to talk to an eCommerce lawyer, get in touch today.

Contact the team at Prosper Law today to discuss how we can provide you with eCommerce legal advice for a fixed fee or at affordable hourly rates.

Enjoyed this article? Check out What is a Deed?

Farrah Motley | Legal Principal

PROSPER LAW – Australia’s Online Law Firm

M: 0422 721 121

E: farrah@prosperlaw.com.au

W: www.prosperlaw.com.au

A: Suite No. 99, Level 54, 111 Eagle Street, Brisbane, Queensland Australia 4000

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