Tertiary education program

Multiple pricing

Businesses are prohibited under the ACL from displaying two or more prices for an item and then selling that item for more than the lowest price. This could occur if a business:

  • publishes a price in a sales catalogue and then informs a consumer that the goods are only available at a higher price displayed in the store
  • displays a price on a shelf but encodes a higher price on the individual item so that at the check-out the consumer is asked to pay the higher price.

Multiple pricing can occur accidently. For example, if a printing error occurs and a catalogue shows a lower price than intended. In such cases, the business can avoid liability by:

  • retracting the incorrectly displayed price and publishing a retraction at least as prominently as the original advertisement
  • withdrawing the goods from sale until a correction is made. This avoids the goods being sold at the higher price, so the law is not broken.