Australian Competition and Consumer Commission v Pirovic Enterprises Pty Ltd (No 2)

The Australian Competition and Consumer Commission (ACCC) brought proceedings against Pirovic Enterprises Pty Ltd for engaging in misleading or deceptive conduct in contravention of the Australian Consumer Law (ACL). The court considered the parties' agreement on the relief to be granted, including the quantum of the penalty and the implementation of a compliance program. The court also examined the need for caution in drafting declaratory relief. The court found that Pirovic Enterprises had engaged in misleading or deceptive conduct by representing that its eggs were produced by hens that were able to move freely on an open range, when in fact the hens were kept in barns with restricted access to the open range. The court concluded that the declaratory relief should be revised to ensure it was not overly broad and that the agreed penalty and compliance measures were appropriate. The court ordered Pirovic Enterprises to pay a penalty of $300,000, establish and maintain a compliance program, and pay the ACCC's costs of $25,000. The court dismissed the ACCC's application for further relief. The court's decision highlights the importance of accurate representation of product characteristics and the potential consequences for businesses that engage in misleading or deceptive conduct.