ss.52, 53(a), 53 (aa), 53(c), 55 and 51A. Misleading or deceptive conduct, misrepresentations
21 May 2004: At the directions hearing Justice Crennan made orders by consent. Her Honour declared that the company had engaged in false and misleading conduct or conduct that was likely to mislead or deceive, had misrepresented that the goods had performance characteristics and benefits they do not have and engaged in conduct that was liable to mislead the public as to the nature and characteristics of the goods.
Her Honour made orders including:
an injunction restraining Lloyd Brooks for a period of three years from supplying Earthstrength bags in their current packaging or from making statements on the Earthstrength website promoting that Earthstrength bags biodegrade in 28 days or that the bags are better than anything else on the market in that Earthstrength products represent a safer and more environmentally friendly choice than any other product unless it has independent scientific evidence to support such claims
a direction requiring that the company establish a trade practices compliance program that is consistent with Australian Standard on Compliance Programs AS3806
an order that the company contribute to the ACCC's costs.
