No formal solutions to these questions will be provided to students.
Revision Questions
No formal solutions to these questions will be provided to students.
Students are encouraged to attend the Week 12 Revision Workshops having drafted their answers so that they can discuss the answer and gain further feedback on their answers.
Short answer questions Do not use ILAC. Answer all four questions. Total : 20 marks
Read each of the following situations and explain whether the supplier or manufacturer of goods /services has breached any provisions of the Competition & Consumer Act 2010 (Cth) Schedule 2 Australian Consumer Law (ACL). Provide your answer including your reasoning and the specific sections and sub-sections that apply under the ACL.
Question 1
The Hair Straightening machine that Susans sister gave her as a birthday present failed to work. When Susan took the machine to the store Sewing is Bliss with her sisters purchase receipt, the customer service representative advised her that the store displayed No Refunds signs and in addition the sales docket stated, We do not give refunds. The customer service representative also claimed that the goods could not be returned even if they were not of Acceptable Quality or Not Fit for any Disclosed purpose.
Question 2
Used Car Galore Pty Ltd regularly rolled back the odometer of cars the company was offering for sale so that the cars appeared to have travelled less kilometres than they had in fact travelled.
Question 3
Meredith is an active sports player. She has recently started a new plant-based diet. Meredith buys a brand new stick mixer (handheld immersion blender) for making smoothies and soups from the local department store which also manufactures the stick mixer under its Home Brand label. After five or so uses within a two week period the mixer appears to vibrate quite strongly while being used and the blades occasionally dislodge. On one occasion, one of the blades shot upwards out of the pot of soup Meredith was blending. She also notices that the mixer doesnt actually do a very good job of blending foods, even those that are quite soft. Meredith contacts the department store, but they say the unit is fine and refuse to offer a refund.
Question 4
A farmer, poorly educated and unable to read or write, purchased a tractor for use in his farming business on credit terms, involving an oppressive interest rate from a local tractor agent of a national distribution company. The interest payments are crippling the farmers business financially. The agent did not recommend the farmer get independent advice before entering into the agreement.
Question 5
Please answer the following question using ILAC. Discuss your answer fully, making reference to appropriate case law and legislation.
Nigel Kelly a business adviser, approached the Brisbane City Council on behalf of his client Beverley Hills, who was interested in buying a commercial property on the outskirts of Brisbane. Beverley had heard rumours that the City Council was proposing to build a highway near the site and was worried that the front access to the property might be blocked. The City Council clerk checked the proposed highway plans and assured Nigel that any new roads would not affect the site in question.
Based on this information, Beverley bought the property. The Council clerk had unfortunately misread the plans and the following year a highway was built that did block the front access to the property. Consequently, the value of the property declined, and Beverley suffered financial losses.
Discuss fully the rights and liabilities of Nigel and the Brisbane City Council if Beverley brings an action for damages.
Would it make any difference to your answer if Nigel had not requested advice from the Brisbane City Council officer but had obtained an old copy of the Councils planning document for the region which had been issued two years previously?