Citymove Pty Ltd - s.87B undertaking

Company or individual details

  • Citymove Pty Ltd
    109 359 800

Undertaking

The ACCC has accepted a section 87B undertaking from Citymove Pty Ltd (Citymove) following an investigation relating to breaches of the Trade Practices Act 1974 and the Australian Consumer Law, comprising Schedule 2 to the Competition and Consumer Act 2010.

Citymove admits that it contravened section 52 of the Trade Practices Act 1974 and sections 18, 29(1)(e) and 29(1)(f) of the Australian Consumer Law by causing the construction of a website at www.movingreview.com.au and:

  • making representations on that website which purported to be testimonials prepared by genuine consumers when they were not; and
  • making a representation that the testimonials appearing on that website were prepared by genuine consumers when they were not.

The ACCC was particularly concerned about this conduct because testimonials are powerful representations which may inflate consumers' confidence regarding a particular product or service and influence their purchases and choices.

To address the ACCC's concerns, Citymove Pty Ltd has provided the ACCC with a court-enforceable undertaking which requires Citymove to:

  • refrain from making false or misleading representations that purport to be testimonials and false or misleading representations concerning testimonials by any person; and
  • establish and implement a trade practice compliance program, which includes director training and a complaints handling system.

Citymove has also paid one infringement notice penalty to the ACCC in the amount of $6,600.

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