> Business advice  > Selling to customers  > Fair trading laws

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• Actions and remedies
• Courts can make orders

South Australian fair trading laws are based on the principles of equity, fairness and honesty. These laws aim to create a fair and informed marketplace.

The fair trading laws state that misleading or deceptive conduct is unacceptable, regardless of whether your business supplies consumer goods or deals commercially with other businesses.

Legislators have recognised that traders as well as consumers can suffer loss through the actions of unfair or unscrupulous operators.

Conduct is considered misleading if it creates a false overall impression leading to consumers not getting what they bargained for.

Actions and remedies

Both consumers and traders can seek various remedies if they believe they have been unfairly treated, misled or treated in a way that is illegal.

The Fair Trading Act 1987 provides a general right to damages or compensation where a breach of the Act occurs. This right applies to both consumers and traders.

Courts can make orders

Courts can make orders:

• to void or vary contracts
  
• for payment, refund of money or return of property
  
• to repair goods, supply parts for goods or supply specified services.

As a trader, you have the right to take action in the courts, including recovery of the amount of loss or damage. You also may apply for an injunction to prevent further, or potential, breaches of the Act. You may seek damages at the same time as making this application.

In very serious matters, the Commissioner for Consumer Affairs or Minister for Consumer Affairs may apply to the Supreme or District Court to:

• have the advertising corrected
  
• remedy any adverse
  
• consequences of conduct
  
• in contravention of the Act
  
• seize money or other property.

Where traders have contravened the Act, the Commissioner may seek from those traders a written assurance that they will refrain from such conduct.

Some offences also can be expiated.

Further, the Commissioner can take criminal action where offences against the Act have been committed. The Courts can impose a maximum penalty of $100,000 on a body corporate and $20,000 in other cases.

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