The Australian Competition and Consumer Commission (ACCC) has launched legal action against Optus for an alleged violation of the Trade Practices Act 1974 through the telco's use of the word “unlimited.”
The ACCC’s claims are based on recent television, radio and print advertisements by Optus that advertise “unlimited” calls on its $70 pre-paid Turbo Max plan and "unlimited" broadband and "unlimited" calls on their broadband and home telephone plan.
The competition regulator is arguing that the advertisements are deceptive due to both limitations and restrictions that the plans are subjected to and are in breach of section 52 of the Act.
The ACCC is seeking declarations that Optus contravened the Act, injunctions and costs and will see them face court in Melbourne on 25 June.
As previously reported by Computerworld Australia, the ACCC has been an advocate for consumers in its recent backing for increased use of social media tools and supply chain technologies in a bid to improve the effectiveness of product recalls.
According to the competition regulator, there have been more than 10,000 products recalled in Australia in the last 23 years. The overall average return rate of recalled goods was 56.75 per cent, and varied between 36 per cent and 80 per cent.