The Australian Competition and Consumer Commission has instituted proceedings in the Federal Court against a Perth based company, Australian Industries Group, trading as Half Price Shutters, and Mr Anthony Gullotti, National Manager, alleging breaches of the Trade Practices Act 1974.
The ACCC alleges that HPS:
- published an advertisement for employment when no employment was being offered;
- breached the mandatory Franchising Code of Conduct in relation to its licence agreements with installers;
- made false representations to prospective licensees about the potential profitability of the installation businesses; and
- acted in an unconscionable manner towards its licensees and that its National Manager, Mr Gullotti, was a party to that conduct.
The ACCC is seeking court orders including declarations, injunctions, orders requiring the payment of compensation, institution of a trade practices compliance program and costs.
A directions hearing is listed for 8 September 2000 at the Federal Court in Perth.