Lenan Corporation Pty Ltd - s.87B undertaking

The ACCC has accepted a section 87B undertaking from Lenan Corporation Pty Ltd ACN 054 854 027, in respect of misleading or deceptive conduct in representations made to consumers that its 'Organix Ever Straight Brazilian Keratin Therapy' range of products did not contain any formaldehyde, sodium or sulphates when that was not the case.

Lenan admits that in making the representations the conduct is likely to have contravened the Competition and Consumer Act 2010 (CCA) by:

- engaging in conduct that was misleading or deceptive in contravention of section 18 of the Australian Consumer Law (ACL), contained in Schedule 2 to the CCA; and

- making false or misleading representations concerning the composition of a  product in contravention of section 29(1)(a) of the ACL.

To address the ACCC's concerns Lenan provided the ACCC with a court-enforceable undertaking which requires it to publish corrective notices, establish a consumer refund and exchange program and implement a trade practices compliance program.