ss. 51AD, 52. Alleged contravention of industry codes and misleading or deceptive conduct
The ACCC has accepted court enforceable undertakings from JV Mobile after concerns that the company may have breached the Franchising Code of Conduct, and so be in breach of Trade Practices Act 1974.
JV Mobile provides licences to JV Mobile retailers to own and operate stores using the name 'JV Mobile' in Melbourne, Sydney, Adelaide and Brisbane. The JV Mobile retailers supply mobile phone airtime and retail mobile phones and accessories obtained through JV Mobile.
The ACCC was concerned that JV Mobile had promoted and advertised its business network as a franchise, including in the Vietnamese language media, and sought and/or received payments pertaining to a franchise business from JV Mobile retailers without giving them all the safeguards available under the Franchising Code.
JV Mobile provided the ACCC with court-enforceable undertakings to:
in accordance with the Franchising Code, formally structure all new agreements with JV Mobile retailers as franchise agreements and provide the opportunity for existing JV Mobile retailers to structure their existing agreements as franchise agreements including, particularly, the provision of:
disclosure documents
dispute resolution and termination procedures
a cooling off period
implement a trade practices law compliance program that includes complaints handling procedures and practical trade practices training focusing on the Franchising Code
place an article in a national Vietnamese newspaper, Nhan Quyen, outlining key rights and obligations under the Franchising Code
mediate, or attempt to mediate, any current disputes with former JV Mobile Retailers in good faith.
In October 2006 the ACCC raised concerns with Jaggad Pty Ltd (Jaggad) that some of its pricing terms in its premium dealer agreements (PDA) may have amounted to resale price maintenance in contravention of s. 48 of the Trade Practices Act.
Jaggad removed the specific pricing terms in each PDA upon the ACCC raising its concerns and subsequently offered undertakings pursuant to s. 87B of the Act with the terms that Jaggad will:
not enter into supply agreements containing one or more terms that sets a minimum price below which the goods cannot be sold or advertised
not otherwise set a minimum price, or make a minimum price known to resellers, below which resellers must not sell or advertise the goods
publish a public disclosure notice in the Bicycling Trade magazine to promote general Trade Practices Act compliance
send letters to its premium dealers and other Jaggad resellers advising of the ACCC's concerns and resellers' rights to sell stock at any price
cause Jaggad's director and national sales and marketing manager to undertake training on Part IV of the Trade Practices Act.
See related court enforceable undertaking: Jaggad Pty Ltd
U Games Australia Pty Ltd
s. 65C. Alleged supply of goods in breach of mandatory consumer product safety standards
U Games Australia Pty Ltd is an importer and distributor of toys, games and puzzles, including Thomas & Friends swimming armbands which did not comply with Australian Standard 1900–1991: Flotation toys and swimming aids for children.
U Games Australia Pty Ltd has provided court enforceable undertakings to the ACCC that it will:
refrain from supplying any flotation toys or swimming aids that do not comply with the relevant mandatory consumer product safety and information standards that may apply to such products
post in-store recall notices in all retail stores that received the Thomas & Friends armbands and on the U Games Australia Pty Ltd website
implement a trade practices compliance program for their employees and other persons involved in its business.
