Australian Competition and Consumer Commission v Seven Network Limited

The Australian Competition and Consumer Commission brought an action against Seven Network Limited and several of its licensees for allegedly engaging in misleading or deceptive conduct under the Trade Practices Act 1974 (Cth). The Commission's claims related to representations made by two women, Ms Boholt and Ms Forster, on the "Today Tonight" television program, which was broadcast by the Seven Network licensees. The case hinged on whether the Seven Network and its licensees were liable under the Act for the misleading representations made by Ms Boholt and Ms Forster, and whether injunctive relief should be granted to prevent future occurrences.

The legal issues before the court included the application of section 65A of the Act, which provides an exemption from liability for certain broadcasting activities, and whether this exemption applied to the circumstances of the case. The court also had to determine if the injunctions sought by the Commission were appropriately framed and whether such relief was warranted against the Seven Network itself or only against the licensees.

The court found that section 65A did not provide a defence to the Commission's claim because the misleading representations fell within the exceptions to the exemption. Specifically, the statutory exception applied to the publication of matter made on behalf of or pursuant to the arrangement with the women who supplied or promoted goods or services. The terms of the injunctions sought by the Commission were considered excessively broad and uncertain, making them inappropriate for the court to grant. Furthermore, the court held that there were no grounds to impose an injunction against the Seven Network itself, as there were no allegations that it had contravened the Act or was accessorially liable for any contravention by the licensees.

The court made several orders against the Seven Network licensees, permanently restraining them from making the misleading representations in question and declaring that their conduct was misleading or deceptive in contravention of section 52 of the Act. The application against the Seven Network was dismissed, and no orders were made against it.