The Australian Competition and Consumer Commission has instituted court proceedings against Quality Bakers Australia Limited (Buttercup) in relation to it promotion 'Help Buttercup to Help Our Babies' which is running from 17 March 2001 until 1 June 2001.

The ACCC has alleged that Buttercup's promotion is misleading and deceptive, or likely to mislead and deceive, in breach of section 52 of the Trade Practices Act 1974.

Buttercup's promotional advertisements represent that 'for each additional Buttercup product* purchased between March 17th and June 1st 2001, 30c will be donated to helping the babies at The Canberra Hospital'. The fine print qualification, which is set in less than six point type-size on the labels attached to the bread, states that '*means each product sold (excluding hot cross buns) above the average number of products sold in the Canberra Buttercup bakery area over the 11 week period from 30th December 2000 to 16th March 2001'.

The ACCC is concerned that the advertising does not adequately draw the consumer's attention to the qualification.

The ACCC is seeking the following court orders:

  • a declaration that Buttercup engaged in conduct that was misleading or deceptive or likely to mislead or deceive in contravention of section 52(1) of the Act
  • that Buttercup increase the size of the fine print qualification to a size that is similar to the size of the font in which the representation is made
  • that Buttercup place corrective advertisements in newspapers circulating within the distribution area that the promotion runs, in all stores that receive Buttercup products within this distribution area
  • that Buttercup donate 30 cents to the Canberra Hospital for each Buttercup loaf of bread that is sold from 17 March to 1 June 2001
  • that Buttercup implement a trade practices compliance program

A hearing, seeking interim orders, has been listed for 9.30 a.m. at the Federal Court, Canberra before Justice Paul Finn.