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On 16 June 2006, the ACCC issued a media release announcing that it has accepted section 87B undertakings offered by AGL pursuant to section 87B of the TPA in relation to AGL’s proposed acquisition of Alinta.
Target Australia Pty Ltd, trading as Target, has provided a court enforceable undertaking to the ACCC in respect to representations concerning its own-brand ‘Target Four Seasons’ goose down quilts.
Target has represented to consumers that its down sleeping bags contain 100% goose down or 100% duck down or 100% pure down. It is widely acknowledged in the down products industry that it is highly unlikely that 100% down content could be achieved under normal commercial manufacturing processes.
ACCC testing of a ‘Target Four Seasons’ double quilt represented as containing 100% goose down showed that the Target quilt contained significantly less goose down than the represented 100%. The Target double quilt was calculated to contain respectively 68.9% goose down (with no additional duck down) and 69.5% goose down (with no additional duck down).
Target advised the ACCC that its 100% down content claims were made in reliance on its supplier’s test reports and on labelling percentage ‘tolerances’ allowed under the Australian Standard 2479-1987 (Down and/or feather filling materials and filled products), and that it had not intended to mislead or deceive consumers.
Target has undertaken to:
not promote that any of its own-brand products contain 100% down, unless it can be verified that this percentage of down content has been achieved;
not make any other down content percentage representations which include any percentage tolerance or allowance;
not make any down content percentage representations that it cannot substantiate by way of testing of its finished down products by International Down & Feather Bureau (IDFB) approved testing methods;
place a corrective notice on its web-site for 3 months;
place corrective newspaper advertisements in each State and Territory in which ‘Target Four Seasons’ quilts have been sold, offering refunds to consumers who purchased the quilts; and
revise its existing trade practices compliance program to include annual independent audits.
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