ss. 65C, 75AZS(1), 75AZC(1)(a) and 75AZC(1)(k). Alleged supply of goods in breach of mandatory product safety standards; false representations that goods were of a particular standard and false representations as to the existence or exclusion of rights.
20 April 2006: Criminal proceedings were instituted against Skippy Australia Pty Ltd, in the Federal Court Melbourne. The ACCC alleges that Skippy Australia failed to comply with mandatory consumer product safety standards prescribed under ss. 65C and 75AZS(1) of the Trade Practices Act 1974 (Act) for Baby walkers (Regulations 2002). It is also alleged that false representations were made as to the particular standard of one model of cot supplied by Skippy Australia and the availability of refunds in contravention of sections 75AZS(1), 75AZC(1)(a) and 75AZC(1)(k) of the Act respectively.
29 May 2006: At the initial directions hearing the Federal Court made orders for the filing and service of documents in the matter and ordered the matter be adjourned for hearing on a date to be fixed.
August 2006: The matter is listed for trial hearing on 3 October 2006.
On 18 October 2006: The Federal Court in Melbourne convicted Skippy Australia of breaching a mandatory consumer product safety standard for baby walkers and of misrepresenting the cot's compliance with the Australian standard. The company was also convicted of misrepresenting consumer rights through display of a no refund sign. The company was fined a total of $860 000.
Skippy Australia's Brand New Baby Walker with Push Bar and Brand New Baby Walker and Rocker 2 in 1 did not have the required automatic braking mechanism to prevent the baby walkers from falling down steps or stairs.
The walkers also lacked any of the prescribed warning labels which serve to inform parents of the dangers of using such products. Both safety features are prescribed in the Australian Standard for Baby Walkers which has been mandatory since November 2002.
Skippy Australia was also convicted of having misrepresented to consumers that its Mahogany Finish Baby Cot model TZC–512 complied with the Australian Standard for cots.
