Dell fronts court over ACCC charges

The Australian Competition and Consumer Commission (ACCC) is seeking court orders against Dell Computer, alleging the computer manufacturer has breached the Trade Practices Act.

The ACCC has started court proceedings against Dell claiming false, misleading and deceptive conduct and failure to state the cash price of goods advertised in newspapers, magazines, and on the Internet. A directions hearing is scheduled for February 7 next year, at the Federal Court in Sydney.

The ACCC claims Dell has breached section 52, section 53(e), and 53(c) of the Trade Practices Act.

In a statement, the ACCC alleges Dell's advertising misled consumers by not indicating how much the delivery charge was; failed to state the cash price of its goods by not stating the delivery inclusive price of the goods in situations where the delivery charge didn't vary, regardless of where the consumer was located.

Among the remedies the ACCC is seeking are declarations that Dell Computer breached the relevant provisions of the Act; injunctions restraining Dell from advertising in the same way in the future; orders requiring Dell to publish corrective advertisements in the publications where the original advertisements appeared; refunds of the delivery charges for affected consumers; community service orders; and costs.

A Dell spokesperson said it would be defending the action, and that it had never knowingly misled a customer. Both the Dell spokesperson and an ACCC representative said they were unable to comment further because the matter was now before the courts.

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