Laboratoire Garnier & Cie v Neutrogena Corporation

Laboratoire Garnier & Cie and Neutrogena Corporation were parties to proceedings before the Federal Court of Australia concerning allegations of misleading and deceptive conduct under the Trade Practices Act 1974 (Cth). Laboratoire Garnier, the applicant, sought to restrain Neutrogena from using certain packaging for its sunscreen products, alleging that the packaging was likely to mislead consumers into believing that the products possessed a higher sun protection factor (SPF) than they actually did.

The central legal issue before the court was whether Neutrogena's packaging for its "Neutrogena Ultra Sheer Dry-Touch Sunscreen SPF 30+" and "Neutrogena Ultra Sheer Dry-Touch Sunscreen SPF 50+" products constituted misleading or deceptive conduct, or conduct likely to mislead or deceive, in contravention of section 52 of the Trade Practices Act. This involved determining whether the overall impression conveyed by the packaging, including its colour, design, and prominent display of the SPF rating, was likely to lead a reasonable consumer to believe the products offered a superior level of protection than that indicated by the stated SPF.

Justice Terry Williams considered the evidence presented, including consumer surveys and expert testimony, regarding the likely impact of the packaging on consumers. The court applied the principles established in cases concerning misleading and deceptive conduct, focusing on the likely effect of the representations on the ordinary or reasonable consumer. The court found that while the SPF ratings were clearly stated, the overall visual presentation of the packaging, particularly the use of a bright, almost fluorescent orange colour and the emphasis on "Ultra Sheer Dry-Touch," could create an impression of enhanced protection beyond the stated SPF. The court concluded that this overall impression was likely to mislead or deceive consumers as to the level of sun protection offered by the products.

The court ordered that Neutrogena be restrained from using the packaging in its current form for the specified sunscreen products.