Australian Competition and Consumer Commission v Harrison

In the case of Australian Competition and Consumer Commission v Harrison, the Australian Competition and Consumer Commission (ACCC) sought to establish that the Harrison Companies had engaged in unconscionable conduct under the Australian Consumer Law, particularly concerning the transfer of customer contracts without consent. The dispute centered on whether these transfers were lawful and whether the subsequent demands for early termination fees and recourse to debt collectors constituted unconscionable conduct.

The central legal issues revolved around the validity of the customer contract transfers, whether the conduct amounted to unconscionable behaviour, and if a director was implicated in these contraventions. The court had to determine if the transfers were effectively executed under an implied novation and whether the Harrison Companies used undue harassment or coercion in their dealings with customers.

The court found that the transfers were not validly executed due to the lack of customer consent and notification, dismissing the respondents' argument of implied novation. The court concluded that the conduct of the Harrison Companies constituted unconscionable behaviour, particularly in how they handled contract transfers and enforced fees. However, the evidence did not sufficiently show that the director was aware of the specific conduct in relation to certain customers, thus absolving him from personal involvement in the contraventions.

The court ordered that submissions on relief, form of orders, and costs be filed and served by specified dates, with liberty to apply for further orders as necessary.