The Australian Consumer Law and your business

Simpler regulation for your business

From 1 January 2011, every Australian business will have the same rights and responsibilities under the Australian Consumer Law. By knowing your rights and responsibilities, you can look after your business and your customers.

Good business behaviour

You are entitled to expect every business you deal with to honour its obligations under the Australian Consumer Law (ACL). Businesses must not make false, misleading or deceptive claims about a product or service. All businesses are entitled not to be treated in an unconscionable way by other businesses.

Know your rights when purchasing goods and services

When making business purchases, the ACL provides businesses with guaranteed rights. When a business purchases a good or service of a value of $100,000* or less, for use within the business, the law guarantees the product must be safe, durable, free from defects, fi t for purpose, acceptable in appearance, match its description and match any sample or demonstration model. This does not prevent extra warranties being offered to you. You also have these guaranteed rights when buying road vehicles or trailers for use principally in the transport of goods on public roads. All services must be delivered with care, skill and within a reasonable time.

*post 1 July 2021 or $40,000 pre 1 July 2021

Be aware of your customers’ rights

Every business has a responsibility to respect a customer’s rights under the ACL, and to honour its legal obligations. Almost all business comply with the law, but all businesses should remember they are required to meet general standards of business conduct, as well as comply with specific protections for consumers against unfair business practices. These include:

  • using standard form contracts that do not have unfair terms;
  • honouring consumer guarantees;
  • ensuring the safety of products and services; and
  • complying with rules on sales practices, including those on prices, consumer information, lay-by agreements and unsolicited consumer agreements.

Further information

For further information and guidance contact Consumer Protection on:

Consumer Protection
Last updated 06 Jul 2021

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