Infringement Notice: Your Rights and Obligations

This information sheet will help you understand:
  • the effect of compliance with an infringement notice
  • the effect of failure to comply with an infringement notice
  • the infringement notice compliance period
  • how to seek withdrawal of the infringement notice.

Effect of compliance with an infringement notice

If you pay the infringement notice penalty by the due date and in accordance with the notice, the Commonwealth may not take proceedings against you for:

  • the alleged contravention of the infringement notice provision, or
  • the offence constituted by the same conduct that constituted the alleged contravention.

You will not be regarded, merely because of payment, as having contravened the infringement notice provision or having been convicted of an offence constituted by the conduct that formed the alleged contravention.

Public register of payments

The ACCC maintains a public register of paid infringement notices on its website with information including:

  • the name of the company or individual
  • the infringement notice number
  • the date that the infringement notice was paid, and
  • the infringement notice provision that is alleged to have been contravened.

Effect of failure to comply with an infringement notice

You may choose not to pay the infringement notice penalty. However, should you choose not to pay the infringement notice penalty you may be subject to ACCC initiated proceedings.

Should the ACCC commence proceedings and be successful in those proceedings, you may be liable to pay a penalty and legal costs. The penalty amount varies depending on the alleged contravention up to a maximum of $1.1 million for each contravention.

Infringement notice compliance period

The date for payment of the infringement notice penalty (the compliance period) is 28 days beginning on the day after the day on which the infringement notice is issued by the ACCC.

For example, if an infringement notice is issued on 1 March, payment must be made on or before 29 March.

Seeking an extension

If it is satisfied that it is appropriate to do so, the ACCC is able to extend the penalty payment due date. The ACCC is only able to grant one extension and the extension may not be for a period longer than 28 days. Should you wish to request an extension you should contact the ACCC prior to the payment due date on the details listed above.

The ACCC will notify you in writing of its decision whether or not to grant an extension of the payment due date.

Withdrawal of an infringement notice

You may request the ACCC withdraw the infringement notice. Any request for withdrawal of the infringement notice:

  • must be prior to the payment due date
  • must be in writing, and
  • should provide evidence or information that may inform the ACCC in deciding whether or not to withdraw the notice.

To be effective, the withdrawal of the infringement notice by the ACCC must be done by the due date. You should allow sufficient time for consideration and possible withdrawal of the infringement notice when submitting a request for withdrawal.

Any information or evidence you provide the ACCC within your written request for withdrawal of the infringement notice cannot be used in evidence against you in proceedings. However, if you provide false or misleading information or evidence this may be used in proceedings against you.

Important notice

The information in this information sheet is for general guidance only. It does not constitute legal or other professional advice and should not be relied on as a statement of the law, as it may contain generalisations. You should obtain professional legal advice if you have specific concerns.

Infringement Notice Provisions

Competition and Consumer Act 2010

Act No. 51 of 1974 as amended

This compilation was prepared on 20 April 2011 taking into account amendments up to Act No. 23 of 2011.

The text of any of those amendments not in force on that date is appended in the Notes section.

The operation of amendments that have been incorporated may be affected by application provisions that are set out in the Notes section.

Division 5—Infringement notices

134 Purpose and effect of this Division

  1. The purpose of this Division is to provide for the issue of an infringement notice to a person for an alleged contravention of an infringement notice provision as an alternative to proceedings for an order under section 224 of the Australian Consumer Law.
  2. This Division does not:
    1. require an infringement notice to be issued to a person for an alleged contravention of an infringement notice provision, or
    2. affect the liability of a person to proceedings under Chapter 4 or Part 5-2 of the Australian Consumer Law in relation to an alleged contravention of an infringement notice provision if:
      1. an infringement notice is not issued to the person for the alleged contravention, or
      2. an infringement notice issued to a person for the alleged contravention is withdrawn under section 134G, or
    3. prevent a court from imposing a higher penalty than the penalty specified in the infringement notice if the person does not comply with the notice.

134A Issuing an infringement notice

  1. If the Commission has reasonable grounds to believe that a person has contravened an infringement notice provision, the Commission may issue an infringement notice to the person.
  2. Each of the following provisions of the Australian Consumer Law is an infringement notice provision:
    1. a provision of Part 2-2
    2. a provision of Part 3-1 (other than subsection 32(1), 35(1) or 36(1), (2) or (3) or section 40 or 43)
    3. subsection 66(2)
    4. a provision of Division 2 of Part 3-2 (other than section 85)
    5. a provision of Division 3 of Part 3-2 (other than subsection 96(2))
    6. subsection 100(1) or (3), 101(3) or (4), 102(2) or 103(2)
    7. subsection 106(1), (2), (3) or (5), 107(1) or (2), 118(1), (2), (3) or (5), 119(1) or (2), 125(4), 127(1) or (2), 128(2) or (6), 131(1), 132(1), 136(1), (2) or (3) or 137(1) or (2)
    8. subsection 221(1) or 222(1).
  3. The Commission must not issue more than one infringement notice to the person for the same alleged contravention of the infringement notice provision.
  4. The infringement notice does not have any effect if the notice:
    1. is issued more than 12 months after the day on which the contravention of the infringement notice provision is alleged to have occurred, or
    2. relates to more than one alleged contravention of an infringement notice provision by the person.

134B Matters to be included in an infringement notice

An infringement notice must:

  1. be identified by a unique number, and
  2. state the day on which it is issued, and
  3. state the name and address of the person to whom it is issued, and
  4. identify the Commission, and
  5. state how the Commission may be contacted, and
  6. give details of the alleged contravention by the person, including:
    1. the date of the alleged contravention, and
    2. the particular infringement notice provision that was allegedly contravened, and
  7. state the maximum pecuniary penalty that the court could order the person to pay under section 224 of the Australian Consumer Law for the alleged contravention, and
  8. specify the penalty that is payable in relation to the alleged contravention, and
  9. state that the penalty is payable within the infringement notice compliance period for the notice, and
  10. state that the penalty is payable to the Commission on behalf of the Commonwealth, and
  11. explain how payment of the penalty is to be made, and
  12. explain the effect of sections 134D, 134E, 134F and 134G.

134C Amount of penalty

The penalty to be specified in an infringement notice that is to be issued to a person, in relation to an alleged contravention of a provision of the Australian Consumer Law, must be a penalty equal to the amount worked out using the following table:

Amount of penalty

Item

If the infringement notice is for an alleged contravention of one of the following provisions of the Australian Consumer Law ...

the amount is ...

1

a provision of Part 22

(a) if the person is a listed corporation— 600 penalty units, or

(b) if the person is a body corporate other than a listed corporation— 60 penalty units, or

(c) if the person is not a body corporate— 12 penalty units.

2

a provision of Part 31 (other than subsection 32(1), 35(1), 36(1), (2) or (3), section 40 or 43 or subsection 47(1))

(a) if the person is a listed corporation— 600 penalty units, or

(b) if the person is a body corporate other than a listed corporation— 60 penalty units, or

(c) if the person is not a body corporate— 12 penalty units.

3

subsection 47(1)

(a) if the person is a body corporate— 10 penalty units, or

(b) if the person is not a body corporate— 2 penalty units.

4

subsection 66(2)

(a) if the person is a body corporate— 55 penalty units, or

(b) if the person is not a body corporate— 11 penalty units.

5

a provision of Division 2 of Part 32 (other than section 85)

(a) if the person is a body corporate— 60 penalty units, or

(b) if the person is not a body corporate— 12 penalty units.

6

a provision of Division 3 of Part 32 (other than subsection 96(2))

(a) if the person is a body corporate— 55 penalty units, or

(b) if the person is not a body corporate— 11 penalty units.

7

subsection 100(1) or (3) or 101(3) or (4)

(a) if the person is a body corporate— 20 penalty units, or

(b) if the person is not a body corporate— 4 penalty units.

8

subsection 102(2) or 103(2)

(a) if the person is a body corporate— 60 penalty units, or

(b) if the person is not a body corporate— 12 penalty units.

9

subsection 106(1), (2), (3) or (5), 107(1) or (2), 118(1), (2), (3) or (5), 119(1) or (2)

(a) if the person is a listed corporation— 600 penalty units, or

(b) if the person is a body corporate other than a listed corporation— 60 penalty units, or

(c) if the person is not a body corporate— 12 penalty units.

10

subsection 125(4)

(a) if the person is a body corporate— 30 penalty units, or

(b) if the person is not a body corporate— 6 penalty units.

11

subsection 127(1) or (2)

(a) if the person is a listed corporation— 600 penalty units, or

(b) if the person is a body corporate other than a listed corporation— 60 penalty units, or

(c) if the person is not a body corporate— 12 penalty units.

12

subsection 128(2) or (6), 131(1) or 132(1)

(a) if the person is a body corporate— 30 penalty units, or

(b) if the person is not a body corporate— 6 penalty units.

13

subsection 136(1), (2) or (3) or 137(1) or (2)

(a) if the person is a listed corporation— 600 penalty units, or

(b) if the person is a body corporate other than a listed corporation— 60 penalty units, or

(c) if the person is not a body corporate— 12 penalty units.

14

subsection 221(1)

(a) if the person is a body corporate— 30 penalty units, or

(b) if the person is not a body corporate— 6 penalty units.

15

subsection 222(1)

(a) if the person is a body corporate— 50 penalty units, or

(b) if the person is not a body corporate— 10 penalty units.

 134D Effect of compliance with an infringement notice

  1. This section applies if:
    1. an infringement notice for an alleged contravention of an infringement notice provision is issued to a person, and
    2. the person pays the penalty specified in the infringement notice within the infringement notice compliance period and in accordance with the notice, and
    3. the infringement notice is not withdrawn under section 134G.
  2. The person is not, merely because of the payment, regarded as:
    1. having contravened the infringement notice provision, or
    2. having been convicted of an offence constituted by the same conduct that constituted the alleged contravention of the infringement notice provision.
  3. No proceedings (whether criminal or civil) may be started or continued against the person, by or on behalf of the Commonwealth, in relation to:
    1. the alleged contravention of the infringement notice provision, or
    2. an offence constituted by the same conduct that constituted the alleged contravention.

134E Effect of failure to comply with an infringement notice

If:

  1. an infringement notice for an alleged contravention of an infringement notice provision is issued to a person, and
  2. the person fails to pay the penalty specified in the infringement notice within the infringement notice compliance period and in accordance with the notice, and
  3. the infringement notice is not withdrawn under section 134G

the person is liable to proceedings under Chapter 4 or Part 5-2 of the Australian Consumer Law in relation to the alleged contravention of the infringement notice provision.

134F Infringement notice compliance period for infringement notice

  1. Subject to this section, the infringement notice compliance period for an infringement notice is the period of 28 days beginning on the day after the day on which the infringement notice is issued by the Commission.
  2. The Commission may extend, by notice in writing, the infringement notice compliance period for the notice if the Commission is satisfied that it is appropriate to do so.
  3. Only one extension may be given and the extension must not be for longer than 28 days.
  4. Notice of the extension must be given to the person who was issued the infringement notice.
  5. A failure to comply with subsection (4) does not affect the validity of the extension.
  6. If the Commission extends the infringement notice compliance period for an infringement notice, a reference in this Division to the infringement notice compliance period for an infringement notice is taken to be a reference to the infringement notice compliance period as so extended.

134G Withdrawal of an infringement notice

Representations to the Commission

  1. The person to whom an infringement notice has been issued for an alleged contravention of an infringement notice provision may make written representations to the Commission seeking the withdrawal of the infringement notice.
  2. Evidence or information that the person, or a representative of the person, gives to the Commission in the course of making representations under subsection (1) is not admissible in evidence against the person or representative in any proceedings (other than proceedings for an offence based on the evidence or information given being false or misleading).

  3. Withdrawal by the Commission

    The Commission may, by written notice (the withdrawal notice) given to the person to whom an infringement notice was issued, withdraw the infringement notice if the Commission is satisfied that it is appropriate to do so.

  4. Subsection (3) applies whether or not the person has made representations seeking the withdrawal.

    Content of withdrawal notices

  5. The withdrawal notice must state:
    1. (a) the name and address of the person, and
    2. (b) the day on which the infringement notice was issued to the person, and
    3. (c) that the infringement notice is withdrawn, and
    4. (d) that proceedings under Chapter 4 or Part 5-2 of the Australian Consumer Law may be started or continued against the person in relation to:
      1. (i) the alleged contravention of the infringement notice provision, or
      2. (ii) an offence constituted by the same conduct that constituted the alleged contravention.

    Time limit for giving withdrawal notices

  6. To be effective, the withdrawal notice must be given to the person within the infringement notice compliance period for the infringement notice.

    Refunds

  7. If the infringement notice is withdrawn after the person has paid the penalty specified in the infringement notice, the Commission must refund to the person an amount equal to the amount paid.