Australian Competition and Consumer Commission v Geowash Pty Ltd (Subject to a Deed of Company Arrangement) (No 4)

The case of Australian Competition and Consumer Commission v Geowash Pty Ltd (Subject to a Deed of Company Arrangement) (No 4) involved a dispute between the Australian Competition and Consumer Commission (ACCC) and Geowash Pty Ltd, its sole director Ms Ali, and its 'national franchising manager' Mr Cameron. The ACCC sought relief orders and pecuniary penalties against the company and its directors for breaches of the Australian Consumer Law (ACL) and the Competition and Consumer Act 2010 (CCA). The court had to decide on the appropriate relief orders, including declarations, pecuniary penalties, injunctions, disqualification orders, and a consumer redress fund, in light of the findings of unconscionable conduct and breaches of the good faith obligation.

The court determined that there should be declarations of contravention by Geowash, Ms Ali, and Mr Cameron. It was found that Ms Ali and Mr Cameron were knowingly concerned in the unconscionable conduct, and the declaratory relief should reflect the specific factual context. The court also ruled for substantial pecuniary penalties to be paid by Geowash, Ms Ali, and Mr Cameron, with amounts well above those proposed by the respondents. Injunctive relief was granted to the extent that it would have utility, and disqualification orders were made for a period of five years for Ms Ali and four years for Mr Cameron. Furthermore, Ms Ali and Mr Cameron were each ordered to contribute $500,000 to a redress scheme for non-party consumers. Lastly, orders were made to facilitate proof in other proceedings of the findings made in the Liability Judgment.

The court considered the totality principle and the course of conduct principle in assessing penalties, as well as the relativity of penalties between individuals and corporations. The court also examined the nature and extent of the power conferred by s 239 of the ACL in establishing the form of the consumer redress fund. Ultimately, the court made orders for declarations, pecuniary penalties, injunctions, disqualification, and redress, as well as orders to facilitate proof in other proceedings of the findings made in the Liability Judgment. The question of costs was to be determined on the papers unless the parties reached an agreement.