E-tailer to cease supply of ‘unsafe’ products

Screen Shot 2015-04-01 at 10.17.46 amACCC has obtained Federal Court undertakings to restrain supply of potentially unsafe baby cots and strollers by Online Dealz and its director and sole shareholder, Janet Lucas.

The undertakings given to the Court by Online Dealz and Lucas are given without prejudice to their rights to contest the ACCC’s proceedings on an interlocutory and final basis, and that they make no admissions by giving the undertakings.

The ACCC commenced these proceedings because testing commissioned by the ACCC indicates the following products are non-compliant with the relevant safety standard:

  • A household cot identified as ‘3 in 1 Wooden Sleigh Cot (white)’;
  • A portable cot identified as ‘Frank Masons Portable Cot PL5007 (in Pink) Ref: 2012203PL5007’; and
  • A baby stroller identified as ‘‘Frank Masons’ brand stroller ‘Multifunctional Luxury Baby Stroller’’.

“The tests commissioned by the ACCC indicate that these baby cots and stroller posed various entrapment hazards, which could result in a child’s head or limb becoming stuck causing serious injuries such as fractures, as well as strangulation or suffocation,” ACCC commissioner, Sarah Court, said.

“The tests also indicate that the products do not comply with labelling requirements, which provide information to consumers about the correct way to use the products. For example, the cots do not contain the required labelling stating the recommended mattress size. Using an incorrectly sized mattress may result in suffocation or the child falling from the cot.”

“Based on the test results obtained, the ACCC is concerned that these products do not comply with the applicable safety standards and pose a safety risk to babies and children. In view of these test results, the ACCC strongly encourages parents and carers who have purchased these products to immediately cease using them,” Court said.

The Respondents have provided undertakings to the Court that they will provide details to the ACCC of all consumers who have purchased the products by Wednesday April 1, 2015. This will enable the ACCC to urgently contact consumers who have purchased the products.

In the proceedings it has commenced in the Federal Court, the ACCC alleges that Online Dealz and Lucas have contravened the Australian Consumer Law (ACL) by supplying products that do not comply with the relevant safety standard.

The ACCC also alleges that Online Dealz and Lucas misled consumers as to the characteristics and suitability for purpose of the baby cots and stroller by representing that the products were safe, and that they complied with the relevant safety standard. The ACCC will now prepare for the further hearing of these proceedings.

The ACCC is seeking a range of final relief, including declarations, permanent injunctions, pecuniary penalties and costs, as well as a disqualification order against Lucas. The ACCC is also seeking to have the non-compliant products recalled and destroyed, and refunds issued to consumers.

The matter is next before the Federal Court in Sydney on April 8, 2015.

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