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Menopause Institute of Australia

s 52. Alleged misleading or deceptive conduct

31 July 2006: The ACCC instituted legal proceedings against Menopause Institute of Australia Pty Ltd and its managing director, Dr Gary Aaron, alleging misleading and deceptive conduct in the advertising and promotion of its Natural Hormone Replacement Therapy Program for the treatment of menopause. The ACCC is seeking court orders including:

  • a declaration that Menopause Institute has breached s. 52 of the Trade Practices Act 1974 (Act)
  • an injunction preventing Menopause Institute from engaging in such misleading or deceptive conduct in the future
    declaration that Dr Gary Aaron breached s. 52 of the Act
  • an injunction preventing Dr Gary Aaron from engaging in such misleading or deceptive conduct in the future
    corrective notices in newspapers and on the Menopause Institute's website
  • an order that Menopause Institute write a letter to its customers regarding the ACCC proceedings, and
    costs.

A directions hearing for this matter is listed before Justice Branson for 31 August 2006 in the Federal Court, Sydney.

31 August 2006: Directions hearing held.

September 2006: This matter is listed to return for a further directions hearing on 24 October 2006.

24 October 2006: At the directions hearing Justice Branson ordered that:

  • the matter be referred to a case conference before a registrar of the court
  • the registrar have the power to order the respondents to file a defence
  • the date for a further directions hearing be fixed in consultation with the parties once the report from the case conference is received from the registrar.

23 November 2006: Justice Branson ordered, by consent, injunctions against the first and second respondents. The first respondent was also ordered to contact all customers who received treatment during the period September 2003 to September 2006 and to publish corrective notices. This matter is listed to return for a further directions hearing in the week commencing 5 February 2007.

18 December 2006: The Menopause Institute of Australia admitted misleading and deceiving its patients and potential customers about the safety and effectiveness of its Natural Hormone Replacement Therapy Program for the treatment of menopause, as part of a court settlement. The Menopause Institute and its managing director at the time of the relevant conduct, Dr Gary Aaron, have also consented to a range of other remedies as part of the settlement.

The Menopause Institute and Dr Aaron also consented to wide ranging injunctions to prevent a repetition of these representations for a period of three years.

The ACCC also required the Menopause Institute to undertake corrective measures to alert its former and current patients about the potentially misleading representations which the Menopause Institute made about the safety and effectiveness of its menopause treatments.
The Menopause Institute was also ordered to pay the ACCC's costs of $50,000.

Media release

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