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HomeminewsLegal Stoush to Test New Advertising Laws

Legal Stoush to Test New Advertising Laws

Specsavers has launched legal action against the Melbourne-based retail chain the Optical Superstore, claiming its competitor had engaged in misleading advertising regarding the prices of its products.

The legal action by Specsavers was taken in the Federal Court under new Trade Practices amendments known as ‘clarity in pricing’.

Specsavers claims its competitor had engaged in “misleading and deceptive conduct” in connection with frames it advertised at 70 per cent off or 40 per cent of its normal price.

Specsavers claims that this was not true and the frames were not heavily discounted. It also claims that the Optical Superstore advertised a price for a full set of glasses, when it was only for the frames.

New pricing laws introduced recently require businesses to be clear about prices in their advertising and marketing material.

The Melbourne Age recently reported the story with the headline “Retailer calls for clarity” and said in part: “The amendments to the [Trade Practices] act require that if businesses choose to advertise a part of the price of a particular product or service, they must also provide a single figure that reflects the total price.”

“Specsavers is claiming a breach of three sections of the Trades Practices Act and seeks a range of injunctions against the Optical Superstore’s advertising and promotion, as well as damages and costs.”