On 1 June 2005, the Australian Competition and Consumer Commission instituted legal proceedings against StoresOnline International Inc, Galaxy Mall Inc and a Gold Coast resident, Mr Brett Perkins, alleging misleading or deceptive conduct and other contraventions of the Trade Practices Act 1974 concerning the sale and promotion of home business e-commerce software packages.
On 1 June 2005, the ACCC obtained the following orders on an ex-parte basis:
- an injunction preventing StoresOnline and Mr Perkins from transferring funds outside the jurisdiction of Australian courts, pending further hearings on the case
- an order that, prior to the commencement of all remaining seminars or workshops to be conducted by StoresOnline in Australia, StoresOnline inform participants that the ACCC has commenced proceedings in the Federal Court of Australia seeking orders restraining StoresOnline from making misleading or deceptive representations.
On 8 June 2005, Justice Moore continued the orders outlined above with the consent of StoresOnline until 25 July 2005. The ACCC did not seek a continuation of the order against Mr Perkins in relation to the transfer of funds outside the jurisdiction.
The matter has been listed for a directions hearing on 25 July 2005 at the Federal Court, Sydney.
The ACCC is currently preparing its case for final hearing.