🧾 Product Certification & Safety

Q: What is product certification?

A: Documented assurance that goods/services have passed performance and quality tests before being marketed.

Q: Why is product certification important?

A: Confirms products meet minimum safety standards before sale to Australian consumers.

Q: Which Act governs product safety and certification?

A: Competition and Consumer Act 2010 (Cth) → up to $50 million penalties.

Q: Key regulators enforcing safety standards?

A: ACCC (federal) & NSW Fair Trading (state).

Q: Two types of mandatory product standards?

A: Safety standards & information standards.

Q: What do certification marks/logos guarantee?

A: Tested to national standards, regular audits, identical to sold item, legal assurance.

Q: Penalties for false or misleading certification?

A: Breach of ACL s.18 – illegal under Fair Trading Act & ACL; includes deceptive conduct or false claims.

Q: Which law unified consumer protection in Australia?

A: Australian Consumer Law (ACL) under the Competition & Consumer Act 2010.

Q: Key safety powers governments hold?

A: Issue warnings, ban unsafe goods, set mandatory standards, order recalls.

Q: Supplier obligations under the ACL?

A: Comply with bans, conduct recalls, report incidents, accept liability for defective goods.

Q: Maximum penalties (current, 2022 update)?

A: $50 M or 1/3 of profit (business) | $2.5 M (individual).

Q: Takata Airbags significance?

A: Global recall; airbags exploded on deployment → deaths/injuries → showed need for strict safety regulation.

Q: Allowrie Honey case?

A: Misleading “Australian made/pure” labelling → raised food-origin and certification accuracy issues.

Q: Nanna’s Frozen Berries 2015?

A: Imported fruit caused Hepatitis A → exposed weak food-labelling laws → led to reforms.

Q: Gaia Skin Naturals case?

A: $38 k fine for false “organic” claim → breach of ACL s.29 (false representation).

Q: Skippy (2006) outcome?

A: $860 k fine – baby walkers/cots failed safety standards → first major mandatory-standard enforcement.

Q: Qantas Ghost Flights 2024?

A: Sold tickets for cancelled flights → $100 M fine + $20 M compensation → shows stronger penalties & deterrence.

Q: Role of CHOICE?

A: Independent consumer advocate (1959); publishes tests & “Shonky Awards”; pressures law reform.

Q: Weakness of CHOICE?

A: Relies on donations/subscriptions → limited accessibility & funding.