Carsales takes rival to court

carsalesOnline car classified business, Carsguide.com.au, says it is prepared to defend itself against legal action launched by larger rival, Carsales.com.

Carsales is suing Carsguide for allegedly making false claims about its business practices.

It has filed documents in the Supreme Court of Victoria against One Way, the owner of the carsguide website for allegedly running advertisements that accuse Carsales of selling users’ details and of passing users’ contact details to dealers without their knowledge.

In a statement, Carsales said the broadcast, print and billboard advertisements launched earlier this month were “grossly misleading and deceptive”.

Carsales CEO, Greg Roebuck, said the company was seeking court orders to stop Carsguide from making the false claims and for it to publish corrective advertisements.

“We have sent a cease and desist letter to carsguide.com.au but they have thus far refused to remove the ads,” he said.

Carsguide CEO, Lauren Williams, said the company was prepared to go to court.

“We are standing by our claims and we are going to defend them,” she told AAP.

“We believe there is a clear distinction between us and them.

“We don’t sell consumers’ contact details and we believe the consumer needs to be aware of the choices they have when it comes to selling and buying cars.”

AAP

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