Bradford Exchange is being sued by Australia’s competition regulator for allegedly making false or misleading promises in its promotion of collectable coins and ingots, which violated Australian consumer law.

Bradford, a global supplier of coins and memorabilia, is accused by the Australian Competition & Consumer Commission (ACCC) of making deceptive statements to consumers in more than 300 newspaper and magazine advertisements for collectible coins and ingots in Australia.

The retailer is accused of misleading consumers by claiming to send them a single advertised item when, in fact, Bradford shipped them many products subject to a subscription (in some cases up to 24 items) and charged them for those items.

Bradford further allegedly stated that if consumers reacted to the relevant adverts, they would be viewed as agreeing to purchase only the single item identified in the campaign, which was not the case.

“We are alleging Bradford’s actions amounted to a ‘subscription trap’ for consumers who thought they were buying one coin or ingot but were treated as if they had agreed to subscribe to receive an entire series and be charged accordingly,” said ACCC commissioner Liza Carver. 

The ACCC also claims Bradford’s marketing prominently indicated a single price for that item while not stating the total cost of all pieces in each collection.

The ACCC is seeking penalties, declarations, injunctions, costs, and other measures in response to Bradford’s alleged breaches.

“Businesses must be open and transparent when signing consumers up to subscriptions, including by stating the total price of goods or services being purchased,” Carver added.

“There have been a large number of complaints about this company from consumers who purchased a single item from Bradford but were then sent and charged for additional items.”

Last year, the ACCC sued appliance retailer The Good Guys over promotions that misled consumers.