Adelaide-based electronics and homewares retailer Harris Scarfe is getting its hand slapped by government watchdog ACCC (Australian Competition and Consumer Commission) for mis-advertising a 20 per cent storewide sale.ACCC has instituted proceedings in the Adelaide Federal Court alleging that the retailer has engaged in ‘misleading conduct in promoting a storewide sale’ when it was offering neither a discount of all goods in the stores nor a minimum of 20 per cent of all goods in the stores.
In October 2006 the retailer instituted a television campaign in Victoria which claimed a ‘20%-60% OFF STOREWIDE’ sale and distributed catalogues in South Australia, Victoria and Tasmania to promote the sale.
Further, the ACCC also alleged that the distributed catalogues included photographic images of various products under banners stating a specific discount when some of those goods were not discounted by the percentage that appeared alongside them.
The ACCC is therefore seeking:
– declarations that Harris Scarfe contravened sections 52 and 53(e) of the Trade Practices Act 1974
– corrective advertising
– review and revision of Harris Scarfe’s internal business operations
– maintenance of Harris Scarfe’s compliance program, and costs.
A directions hearing will take place in the Adelaide Federal Court on 26 November before Justice Mansfield, according to a notice from the ACCC.