The Federal government recently passed changes to the Australian Consumer Law (ACL), which broaden the scope of the Consumer Guarantees. The Consumer Guarantees are automatic rights applicable to ‘consumers’ as defined in the Competition and Consumer Act 2010 (Cth). From July 2021 a ‘consumer’ will be any person or business who acquires goods or services for an amount up to $100,000, increased from the current threshold of $40,000. A ‘consumer’ also includes any person or business who acquire goods or services ordinarily acquired for personal, domestic or household use or who acquire vehicles or trailers used mainly to transport goods on public roads. The increased threshold will provide greater protection for small businesses. The Consumer Guarantees require that goods be of acceptable quality, match their description and be fit for any disclosed purpose. Services must be fit for any disclosed purpose and provided with due care and skill and within a reasonable time. As a result of the legislative changes, more suppliers will be subject to the consumer guarantees from July next year. It is important for those businesses to review their terms and conditions to ensure compliance with the ACL. Contact M+E for further information about how the new provisions affect you as a supplier or consumer.

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