Australian Competition and Consumer Act †MyAssignmenthelp.com

Question: Discuss about the Australian Competition and Consumer Act. Answer: Consumer guarantees TheAustralian Consumer Law provided through Schedule 2 of the Australian Competition and Consumer Act 2010 (Cth) gives provisions in relation to consumer guarantees. The consumer guarantees are applicable on any product which is of a value of less than $400000. The guarantees are also applicable on products such which are of a value more than $400000 but are used to for the purpose of household and domestic use. Through the consumer guarantees thelaw provides for the provisions of repair, replace or refund. When the goods are not of an acceptable quality and cause damages the consumer can also clam compensation for such damages. Negligence The concept of negligence has been introduced so that individuals in the society can exercise their civil rights freely. The provisions in relation to negligence were officially brought to the legal world through the case of Donoghue v Stevenson 1932 AC 522. When a party commits negligence and the other party is hurt or injured the other party can claim compensation for the injury. There are four elements which are required for constitute negligence namely duty of care, breach of duty of care, causation and remoteness of damages. The civil liability acts of different states deal with negligence. Contract termination A contract is a agreement which has legal effects on the parties which gets into it. A contract can be terminated through various processes such frustration, breach of contract, discharge of contract, prior agreements and rescission. Frustration is a situation where the contract cannot be completed due to impossibilities such as act of God or natural disasters. Recession can be done by the parties when there is misrepresentation duress or fraud or a mistake. Discharge is done when the contract is completed. When the terms are violated to accounts to breach of contract and When there is another prior agreement contract can end based on its terms. Contract terms A contract may contains various types of terms such as expressed terms and implied terms. Terms can be further classified into conditions and warranties. Express terms are those which are mentioned in a written or oral contract which the parties agree. Implied terms are usually determined by the court on the basis of president. They have to be obvious and necessary to be present. Conditions are dominant terms which when breached results in contract termination. The breach of warranties only results in damages. Restrictive trade practices Competition is a necessity for the proper development of the market place and the promotion of free trade. However few organization in the pursuit of profit maximization indulge in unfair and restrictive trade practices. In Australia Anti-competitive activities are governed by the Competition and Consumer Act 2010 (Cth). Restrictive trade practices include activities like multiple pricing, insiders trading, hoarding, price fixing, market sharing and bid rigging. The government has taken measures to protect the consumer from deceptive or unfair treatment. The legislation has also laid down provisions through division 1 part iv against cartel conduct. The legalizations provides strict penalties for non compliance.