OzSale in hot water with ACCC

OzSale IROThe ACCC has instituted proceedings in the Federal Court against OzSale for allegedly selling children’s nightwear between July 2014 and October 2015 which did not comply with the mandatory Australian safety standard.

The alleged defects on five products ranged from having fire hazard warning labels that did not comply with the standard, to having no fire hazard warning labels at all.

The ACCC also alleges that OzSale made a false or misleading representation about the fire risk of one garment.

In addition, the ACCC alleges that one garment’s composition and design was non-compliant with the mandatory Australian standard because it had a trim or attachment of excessive length, made from dense cotton material, which increased the risk of the garment catching on fire.

“Australian consumers are entitled to expect that children’s nightwear purchased in Australia is safe, fit-for-purpose and compliant with the mandatory Australian standard,” ACCC deputy chair, Delia Rickard said.

“This requirement extends to all children’s nightwear, irrespective of the retailer’s business model.

“Businesses such as OzSale which purchase goods not originally intended for sale in Australian markets from overseas suppliers must have adequate procedures in place to ensure that those goods comply with applicable mandatory Australian standards before they are offered for sale to Australian consumers,” Rickard said.

The ACCC is seeking pecuniary penalties, declarations, injunctions, costs and an order that OzSale implement a product safety compliance program.

The matter is listed for a case management hearing in Sydney on February 3, 2016 before Justice Robertson.

The five garments subject to these allegations have been recalled by OzSale. The ACCC said if consumers still have any of these garments, they should immediately contact OzSale to return the garment and obtain a full refund. More information available here.

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