Australian Competition & Consumer Commission v Dell Computer Pty Limited [2002] FCAFC 434

Australian Competition & Consumer Commission v Dell Computer Pty Limited [2002] FCAFC 434

By majority, Dell's relevant obligation was to supply a delivered computer to the customer's nominated place of delivery, not to sell an undelivered computer plus a separate optional service. The compulsory delivery amount was therefore part of the price of the goods for the purposes of s 53(e). The first and second categories of advertisements gave prominence to a price that did not include the compulsory delivery amount and did not disclose the compulsory nature of that amount, thereby making a false or misleading representation with respect to price. Section 53C was not contravened: the first and second categories were not representations explicitly concerning part-payments, and the...

Jurisdiction
Australia
Judgment Date
20 December 2002
Procedural Posture
Trade Practices Appeal / Full Court Appeal From a Judge of the Federal Court of Australia; Cross Appeal on Costs
Outcome
The majority held that the Commission was entitled to a declaration that publication of the first and second categories of advertisements contravened s 53(e) of the Trade Practices Act 1974 (Cth), that the s 53C allegations failed, and that Dell's cross-appeal should fail. The appeal was stood over for the making of...
Legal Topics
['false or Misleading Representations With Respect to Price' 'cash Price to Be Stated' 'compulsory Delivery Charge' 'computer Product Advertisements' 'costs Cross Appeal']
['trade Practices' 'consumer Protection' 'advertising Law'] ['false or Misleading Representations With Respect to Price' 'cash Price to Be Stated' 'compulsory Delivery Charge' 'computer Product Advertisements' 'costs Cross Appeal']

Case Brief

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Procedural Posture

Trade Practices Appeal / Full Court Appeal From a Judge of the Federal Court of Australia; Cross Appeal on Costs

Legal Issues

  1. 1 ["Whether Dell's advertisements in the first and second categories made false or misleading representations with respect to the price of goods contrary to s 53(e) of the Trade Practices Act 1974 (Cth)." 'Whether a compulsory delivery fee was part of the price or consideration for the supply of Dell computer products.' "Whether Dell's advertisements contravened s 53C of the Trade Practices Act 1974 (Cth) by failing to specify the cash price." "Whether Dell's cross-appeal against the primary judge's costs order should succeed."]

Ratio Decidendi

By majority, Dell's relevant obligation was to supply a delivered computer to the customer's nominated place of delivery, not to sell an undelivered computer plus a separate optional service. The compulsory delivery amount was therefore part of the price of the goods for the purposes of s 53(e). The first and second categories of advertisements gave prominence to a price that did not include the compulsory delivery amount and did not disclose the compulsory nature of that amount, thereby making a false or misleading representation with respect to price. Section 53C was not contravened: the first and second categories were not representations explicitly concerning part-payments, and the...

Court Disposition

The majority held that the Commission was entitled to a declaration that publication of the first and second categories of advertisements contravened s 53(e) of the Trade Practices Act 1974 (Cth), that the s 53C allegations failed, and that Dell's cross-appeal should fail. The appeal was stood over for the making of...

Orders

  • ['The appeal be stood over to a date to be fixed for the purpose of making orders, including an order or orders as to costs.' 'The parties to provide to the Associate of Branson J by 12 February 2003 an agreed minute of the orders to be made (including the order or orders to be made as to costs) and if agreement has...