Misleading claims about permanent hair removal made by a Perth beauty company have been stopped by the Australian Competition and Consumer Commission
Beautician's Laser Clinic Pty Ltd had claimed that its laser service could achieve permanent hair removal. It also advertised that its laser had US Food and Drug Administration certification for permanent laser hair removal.
The company and a former director, Ms Linda Tait, who approved the advertising, have provided separate court-enforceable undertakings to the ACCC.
The ACCC considers the claims to be false and misleading as the laser does not permanently remove hair in all cases and the FDA had certified the laser for permanent hair reduction rather than removal. BLC has published corrective advertisements apologising to consumers and competitors and also offering a refund to consumers who were misled by the claims.
In advertisements published in the West Australian newspaper between March and July 1999, BLC claimed its laser hair removal service:
- was guaranteed progressively permanent;
- resulted in permanent laser hair removal;
- was efficient,
- cost effective and resulted in genuine, permanent hair removal;
- was FDA certified for permanent laser hair removal;
- was scientifically shown to be progressively permanent; and
- was a LightSheer EP Permanent Laser Hair Removal System.
In framed client advice signs distributed to beauticians in the Perth area in March 1999, BLC also claimed its laser service offered permanent laser hair removal.
BLC acknowledges the claims may have breached the Trade Practices Act 1974. In addition to corrective advertising BLC has undertaken not to make similar claims in the future, withdraw the client advice signs and implement a trade practices compliance program.
"The action taken by the ACCC serves as a warning to all cosmetic services providers of the obligations imposed on them by the Act, and the potential consequences of non-compliance" Acting ACCC Chairman, Mr Allan Asher, said. "Advertisers of health and medical services should be aware that some breaches of the consumer protection provisions of Part V of the Act could lead to criminal prosecutions. Maximum fines for such offences are $200,000 for corporations and $40,000 for individuals. The ACCC will not hesitate to take action against any party it considers to have been involved in a contravention of the Act.
"There is a marked imbalance in knowledge and information between health and medical service providers and consumers of such services, the ACCC regards consumer protection issues in this sector as an important priority."
"Advertising can help to address the imbalance - but it must be advertising that is honest and accurate. "
"The ACCC is seeking to educate health and medical sector participants by teaming up with the NSW Health Care Complaints Commission to present a joint conference in Sydney on 14 October called Advertising Medical Services - in whose interests? One of the key aims is to inform relevant parties of their legal obligations regarding the promotion (by advertising or otherwise) of medical/health sector services".
Those interested in attending the conference should contact Ms Monica Cutmore on (02) 6243 1067 or fax (02) 6243 1078 to request details.