Australian Competition and Consumer Commission v ACM Group Ltd (No 2)

The Australian Competition and Consumer Commission (ACCC) and the Australian Securities and Investments Commission (ASIC) brought proceedings against ACM Group Ltd, a debt collecting agency, alleging it engaged in misleading or deceptive conduct, undue harassment, and unconscionable conduct under the Australian Consumer Law (ACL). The case was heard by the Federal Court of Australia. The legal issues before the court were whether ACM's conduct amounted to misleading or deceptive conduct, undue harassment or coercion, and unconscionable conduct, and whether these alleged contraventions fell under the ACL or the Australian Securities and Investments Commission Act 2001 (Cth).

The court found that ACM had indeed engaged in misleading or deceptive conduct by making representations about the likelihood and imminence of legal proceedings to recover debts, which were not in accordance with internal policies. Additionally, the court concluded that ACM's conduct towards certain debtors was unduly harassing and coercive, particularly in light of the debtors' vulnerable financial circumstances. The court also found that ACM's conduct could be characterised as unconscionable, particularly in relation to the handling of a debtor who had suffered a stroke and was in a care facility. The court determined that the alleged contraventions fell under the ACL, rather than the ASIC Act, as ACM did not provide a "financial service" as defined in the latter Act.

The court ordered that within 21 days, the parties should seek to agree on orders that reflect these findings. If agreement could not be reached, each party was to file proposed orders and brief submissions. The parties were also directed to propose draft directions for the further conduct of the proceeding relating to relief.