ACCC alleges unconscionable conduct by vacuum cleaner retailer

10 May 2012

The Australian Competition and Consumer Commission has filed proceedings in the Federal Court against Lux Distributors Pty Ltd, alleging unconscionable conduct in relation to the sale of vacuum cleaners.

Lux is the sole distributor in Australia of Lux domestic vacuum cleaners and primarily markets these products through in-house demonstrations across Australia.

The ACCC alleges that between 2009 and 2011, Lux engaged in unconscionable conduct in relation to the sale of vacuum cleaners to five elderly consumers in contravention of section 51AB of the Trade Practices Act 1974 and section 21 of the Australian Consumer Law.

It is alleged that a Lux sales representative called upon each consumer under the premise of a free vacuum cleaner maintenance check. The consumers, some of whom were aged over 90, were then allegedly subjected to unfair and pressuring sales tactics to induce them into purchasing a vacuum cleaner for a price of up to $2280.

The ACCC is seeking:

  • declarations;
  • injunctions;
  • pecuniary penalties;
  • implementation of a trade practices compliance program; and
  • costs

The matter has been filed in the Federal Court’s Fast Track List and is listed for a scheduling conference before Justice Dodds-Streeton in Melbourne on 6 July 2012 at 10:00am.

Release number: 
NR 092/12
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