In the Federal Court on Tuesday Justice Emmett found that MHG Plastic Industries Pty Limited, manufacturer of motor cycle helmets had manufactured and offered for sale, motor cycle helmets which had failed one of the three required tests for compliance with the mandatory Australian Standard.

The helmets manufactured by MHG are sold under the Eldorado brand of helmets in the open face, full face and motorcross styles.

The mandatory Australian Standard (AS 1698-1988) relating to Protective Helmets for Vehicle Users sets a minimum safety requirement for helmets sold in Australia. Failure to comply with a mandatory Australian Standard is a breach section 65C of the Trade Practices Act 1974.

The ACCC alleged that the MHG helmets did not comply with AS 1698 in two respects. Namely resistance to penetration and strength of the retention system. MHG adduced evidence that it carried out tests in accordance with AS 1698 and the helmets tested passed all tests.

Justice Emmett found that the helmets did not comply with AS 1698 so far as the resistance to penetration performance requirements were concerned. However, Justice Emmett was not satisfied that the retention system did not comply with AS 1698.

Final orders have not yet been made. Further hearing has been scheduled for 28 June 1999 for submissions on the appropriate form of the remedies. The ACCC is seeking a recall of all helmets manufactured after 1 July 1996.