ss. 52, 53(c), 53(f) and 53(g). Misleading or deceptive conduct
1 January 2005: corrective notices were placed in the West Australian after the ACCC accepted court enforceable undertakings from Leon Enterprises Pty Ltd on 17 December 2004 over misleading claims about its termite protection warranty.
An investigation by the ACCC found that before January 2004 Leon Enterprises Pty Ltd, trading as Envirotechnics Pest Management, represented in various documents to new homeowners that:
its ‘New Home Termite Protection Warranty’ or ‘Complete Timber Replacement Warranty’ lasted for 10 years when, in fact, it was an annual warranty that could be renewed on payment of a fee
failure by the homeowner to arrange an annual termite inspection of their home and renewal of the Warranty would void the builders’ statutory obligations, and the homeowner would bear all liability in the event of damage caused by termite attack when, in fact, that was not the case
its spider treatment did not carry a warranty when, in fact, provision of the treatment was subject to statutory warranties.
Envirotechnics has also provided court enforceable undertakings that it will write to warranty holders to explain the effect of its conduct and that it will not make the same representations in future.
