s. 65C, alleged mandatory product safety standards
14 January 2005 undertaking requiring Floline International Pty Ltd to rectify bunk beds that the ACCC considered did not comply with the mandatory safety standard (the Australian/New Zealand Bunk Bed Standard AS/NZ 4220:1994).
The company has undertaken to:
rectify the bunk beds sold, the bunk beds it has in stock and all bunk beds to be sold in the future, to ensure compliance with the mandatory standard
write to all the current owners of the bunk beds notifying them of the ACCC’s concerns and Floline's intention to modify the bunk beds to achieve compliance with the standard
provide the ACCC with a progress report on the rectifications
provide the ACCC with a final report detailing the completion of all the rectifications
implement a corporate trade practices compliance program
only supply bunk beds that comply with the requirements of the mandatory standard.
You Can Bake-It Franchising Pty Ltd
s. 52, alleged misleading or deceptive conduct
18 January 2005 undertaking addressing the ACCC’s concerns that certain sections of the company’s disclosure document were ambiguous and open to misinterpretation and, in the absence of any specific clarification or qualification, had the potential to mislead both existing and prospective franchisees in breach of the Trade Practices Act.
You Can Bake-It Franchising Pty Ltd is incorporated in Western Australia and carries on a business in Australia as a franchisor owning and operating retail stores supplying branded bread mixtures and associated home baking products. The company also provides licences under a franchise agreement to franchisees that operate franchisee-owned and operated retail stores supplying branded bread mixtures and associated home baking products. The company has offered You Can Bake It franchises since September 1999.
The company also acknowledges the ACCC’s concerns and has undertaken to ensure that its disclosure document is updated. Further, the company has agreed to upgrade its corporate trade practices compliance program, with a focus on ensuring the disclosure document meets the requirements under the mandatory Franchising Code of Conduct and the Act generally.
Fonterra Co-operative Group Ltd
s. 50, alleged lessening of competition
18 January 2005 undertaking by Fonterra to address competition concerns raised by the ACCC.
In November 2004 Fonterra approached the ACCC seeking informal clearance of its proposed acquisition of National Foods Limited. The ACCC identified a number of competition concerns associated with the proposal.
Fonterra's undertaking included certain arrangements with an approved purchaser.
Those arrangements include:
the sale of the ‘Brownes’ brand
the sale of elements of the distribution system in Western Australia as is required by the approved purchaser to service the sale of ‘Brownes’ milk products
providing for toll manufacturing or the sale of either the Balcatta or Bentley processing plant in Western Australia
using its best endeavours to transfer a private label contract with a major supermarket to the approved purchaser
using its best endeavours to transfer a number of existing raw milk contracts with Western Australian dairy farmers to the approved purchaser.
Flight Centre Ltd
ss. 52, 53, alleged misleading or deceptive conduct
27 January 2005 undertaking by Flight Centre Ltd relating to its ‘Lowest Airfares Guaranteed’ slogan and its ‘Global Buying Power’ representations. Flight Centre has undertaken to:
stop using its ‘Lowest Airfares Guaranteed’ slogan for five years
stop using the ‘Global Buying Power’ representation in the future without giving prior notice to the ACCC
publish a total of 44 corrective notices in 11 major newspapers
display A3-sized corrective notices in the front window of each of its retail outlets continuously for four weeks.
