Australian Competition and Consumer Commission v Audi Australia Pty Ltd

The Australian Competition and Consumer Commission (ACCC) brought an action against Audi Australia Pty Ltd for misleading and deceptive conduct under the Australian Consumer Law. The ACCC alleged that Audi made several representations in its advertising material which were false, misleading or deceptive. These representations included claims about the standard seating capacity of the Audi Q7 3.6 SE and the standard price for purchasing the vehicle. Audi admitted to the allegations and proposed consent orders with the ACCC. The court was required to determine if it was appropriate to make orders in terms of the proposed consent orders.

The court examined the advertising material and found that the representations made by Audi were indeed false, misleading or deceptive. The court accepted that the advertising conveyed that the Audi Q7 3.6 SE had 7 seats as a standard feature and was available for purchase at $79,900. However, the court found that the Audi Q7 3.6 SE only had 5 seats as a standard feature and an additional fee was required to purchase an option for 7 seats. The court also found that there were additional fees required for statutory charges and dealer delivery, which were not included in the $79,900 price.

The court accepted that Audi’s conduct was misleading and deceptive and made orders in terms of the proposed consent orders. The orders required Audi to publish advertisements and notices correcting the misleading representations and to pay the ACCC’s costs of the proceeding. The court found that the proposed orders were appropriate and made orders accordingly.

Audi is required to publish advertisements in The Age and Sydney Morning Herald newspapers and on its website correcting the misleading representations. Audi must also pay the ACCC’s costs of the proceeding.