V & A Liangos Pty Ltd - s.87B undertaking

The ACCC has accepted a section 87B undertaking from V. & A. Liangos Pty Ltd (ACN 006 914 478), in respect of alleged breaches of the Horticulture Code of Conduct (the Code), a mandatory industry code prescribed under the Competition and Consumer Act 2010 (Cth) (the Act).

The ACCC considers that since the commencement of the Code on 14 May 2007, VAL has contravened the Code and section 51AD of the Act by:

• trading in horticulture produce with growers without entering into horticulture produce agreements (HPAs) with those growers; and
• not preparing, publishing or making publically available a document that sets out the general terms and conditions under which it will trade with growers of horticulture product (Terms of Trade).

VAL has undertaken for the purposes of section 87B of the Act that it will:

• not, within 3 years of the commencement of the undertaking, trade in horticulture produce that is subject to the Code with any grower unless it has entered into a Code compliant HPA with the relevant grower; 
• prepare, publish and make publically available a document that sets out its Terms of Trade;
• send a letter to each grower with whom it has traded with since 14 May 2007 enclosing a copy of its Terms of Trade and a proposed HPA; and 
• arrange for all VAL employees to attend trade practices compliance training.