On 13 October 2022, Page Seager Lawyers published an article that discussed the Treasury Laws Amendment (More Competition, Better Prices) Bill 2022 (Cth) (Bill) – click here.
As previously outlined, the Bill sought to prohibit unfair contract terms in standard form contracts and introduce penalties for contravention of unfair contract term provisions of the Competition and Consumer Act 2010 (Cth) (Act). The Bill also sought to increase maximum penalties for other contraventions of the Act.
The Bill was passed without amendment on 27 October 2022 and was given Royal Assent on 9 November 2022.
The increased penalties came into effect on 10 November 2022. However, the changes concerning unfair contract terms will not apply for another 12 months, which will allow businesses time to review and amend their standard form contracts.
What you need to do
Businesses now have less than 12 months to ensure their standard form contracts do not breach the updated unfair contract terms provisions. We recommend that businesses obtain legal advice with respect to all standard form contracts given the broader application of the unfair contract terms provisions and the severity of the new penalties.
More information
If you have any queries or would like further information about this article, please contact:
Kathryn Speed
Principal
M: 0408 446 013
E: kspeed@pageseager.com.au
Luke Phillips
Lawyer
T: (03) 6235 5184
E: lphillips@pageseager.com.au
Published: 17 November 2022
