The Australian Competition and Consumer Commission has instituted legal proceedings against Cadbury Schweppes Proprietary Limited, the manufacturer of Cottee's Cordial products, alleging false, misleading and deceptive conduct in its labelling of 'Banana Mango Flavoured Cordial' and 'Apple Kiwi Flavoured Cordial Concentrate'.
The labelling on the Cottee's Banana Mango Flavoured Cordial uses pictures of real bananas and mangos and a 'Go Bananas' motif. The ACCC alleges this labelling represents that the cordial contains real banana and mango fruit, however, it understands the cordial does not contain and/or is not made from bananas and mangos.
The labelling on the Cottee's Apple Kiwi Flavoured Cordial Concentrate uses pictures of real apples and kiwi fruit. The ACCC alleges this labelling represents that the product contains real kiwi fruit, however, it understands the concentrate does not contain and/or is not made from kiwi fruit.
As a result the ACCC alleges Cadbury Schweppes, in relation to the labelling of these products, has engaged in misleading or deceptive conduct and has made false or misleading representations in contravention of the Trade Practices Act 1974.
The ACCC is seeking court orders including:
- declarations that the labelling breached the relevant provisions of the Act
- an injunction restraining Cadbury Schweppes from supplying these and other drink products labelled with pictures of real fruit where such products are not made from and/or do not contain the fruit pictured
- orders requiring Cadbury Schweppes to issue instore public disclosure notices and corrective advertising in newspapers
- Orders requiring Cadbury Schweppes to implement a corporate compliance program.
The ACCC notes it first raised its concerns about the Banana Mango Flavoured Cordial with Cadbury Schweppes in December 2001. The ACCC further notes prior to it making its decision to institute proceedings in the matter it provided Cadbury Schweppes with the opportunity to respond in writing to the ACCC's specific concerns in relation to this product and with regard to the labelling of such drink products generally. The ACCC also notes that Cadbury Schweppes has voluntarily decided to cease supply of the products to retailers pending the outcome of this matter.
A directions hearing for the matter is listed for 22 April 2002 in the Federal Court in Melbourne.