Costco Australia slapped with $33,000 fine over ‘misleading’ lobster labels

In the bustling world of retail, it's not unheard of for some companies to cut corners or stretch the truth to make a quick buck.

This largely competitive market has had its fair share of controversies.

Recently, Costco Australia, a known name in households across the country, was entangled in a rather fishy (or crustacean-y?) situation involving lobsters.



Imagine this. You're an avid seafood lover who prides on contributing to the local economy by purchasing homegrown products rather than imported ones.

You enter Costco, drawn in by the promise of lobsters caught off the coast of Western Australia.


compressed-lobsterrr.jpeg
False claims can mislead consumers into purchasing products or services that do not deliver as promised, leading to disappointment and financial losses. Image by Kindel Media from pexels



You pick up a package labelled 'Kirkland Signature PREVIOUSLY FROZEN WHOLE COOKED WA LOBSTER' and 'Australian Lobster', thinking you're purchasing the freshest produce the shores of Aussie land have to offer.

Unfortunately, in this case, all that glitters is not gold.

The Australian Competition & Consumer Commission (ACCC) has slapped Costco Australia with a hefty $33,000 fine after it was found that these said lobsters were not as 'homegrown' as they claimed to be.



It turns out; these sea-dwelling delicacies were actually imports from Canada. A shocking revelation, isn't it?

What's more, the mislabelled products cleverly sported the Australian-made kangaroo logo and a full bar chart indicating exclusivity.

'Many shoppers pay a premium to purchase Australian seafood rather than imported products, which makes the accuracy of the labelling a crucial part of enabling consumers to make an informed choice,' ACCC Deputy Chair Mick Keogh said in a statement.



If you feel deceived, you aren't alone.

Despite being a global retail giant, operating in 13 countries with 15 warehouses in Australia, Keogh said Costco dropped the ball with their ‘local lobster’ claim. They sold two packages of lobster under false pretence.

As a result, Costco is in hot water, receiving two infringement notices for false or misleading labelling and failure to comply with the Country of Origin Food Labelling Information Standard.


compressed-lobster.jpeg
False claims can result in legal repercussions for businesses and individuals involved in deceptive marketing practices, as they violate consumer protection laws and regulations. Image by Toa Heftiba Şinca from pexels



This, in a nutshell, is a blatant breach of Australian Consumer Law.

'While a small number of consumers were impacted in this instance, this conduct involved a large and sophisticated business,' said Mr Keogh.



Key Takeaways
  • Costco Australia paid penalties totalling $33,000 for misleading labelling on lobster products which falsely claimed to be caught locally.
  • The mislabelled seafood was actually imported from Canada, a fact flagged by the Australian Competition & Consumer Commission (ACCC).
  • The products were sold in Costco's Casuarina warehouse in Western Australia using the Australian-made kangaroo logo and other misleading labels implying the lobsters were Australian.
  • ACCC Deputy Chair Mick Keogh emphasised the importance of accurate labelling, stating that misleading labelling breaches Australian Consumer Law.

If you're out there reading this cautionary tale, remember this: education and vigilance are key.

Always stay up-to-date with consumer rights knowledge, and don't hesitate to question 'too good to be true' claims, especially when they involve your hard-earned money and taste buds.

There's a lesson to be learnt at the end of this crustacean saga: Stay informed, stay sceptical, and most of all, remain committed to supporting genuine local producers.

So, next time you're in the mood for seafood, double-check those labels before diving in. Happy shopping!

Members, what are your thoughts on the situation involving Costco Australia and their mislabeling of lobster products?
 
Sponsored
In the bustling world of retail, it's not unheard of for some companies to cut corners or stretch the truth to make a quick buck.

This largely competitive market has had its fair share of controversies.

Recently, Costco Australia, a known name in households across the country, was entangled in a rather fishy (or crustacean-y?) situation involving lobsters.



Imagine this. You're an avid seafood lover who prides on contributing to the local economy by purchasing homegrown products rather than imported ones.

You enter Costco, drawn in by the promise of lobsters caught off the coast of Western Australia.


View attachment 25881
False claims can mislead consumers into purchasing products or services that do not deliver as promised, leading to disappointment and financial losses. Image by Kindel Media from pexels



You pick up a package labelled 'Kirkland Signature PREVIOUSLY FROZEN WHOLE COOKED WA LOBSTER' and 'Australian Lobster', thinking you're purchasing the freshest produce the shores of Aussie land have to offer.

Unfortunately, in this case, all that glitters is not gold.

The Australian Competition & Consumer Commission (ACCC) has slapped Costco Australia with a hefty $33,000 fine after it was found that these said lobsters were not as 'homegrown' as they claimed to be.



It turns out; these sea-dwelling delicacies were actually imports from Canada. A shocking revelation, isn't it?

What's more, the mislabelled products cleverly sported the Australian-made kangaroo logo and a full bar chart indicating exclusivity.

'Many shoppers pay a premium to purchase Australian seafood rather than imported products, which makes the accuracy of the labelling a crucial part of enabling consumers to make an informed choice,' ACCC Deputy Chair Mick Keogh said in a statement.



If you feel deceived, you aren't alone.

Despite being a global retail giant, operating in 13 countries with 15 warehouses in Australia, Keogh said Costco dropped the ball with their ‘local lobster’ claim. They sold two packages of lobster under false pretence.

As a result, Costco is in hot water, receiving two infringement notices for false or misleading labelling and failure to comply with the Country of Origin Food Labelling Information Standard.


View attachment 25882
False claims can result in legal repercussions for businesses and individuals involved in deceptive marketing practices, as they violate consumer protection laws and regulations. Image by Toa Heftiba Şinca from pexels



This, in a nutshell, is a blatant breach of Australian Consumer Law.

'While a small number of consumers were impacted in this instance, this conduct involved a large and sophisticated business,' said Mr Keogh.



Key Takeaways

  • Costco Australia paid penalties totalling $33,000 for misleading labelling on lobster products which falsely claimed to be caught locally.
  • The mislabelled seafood was actually imported from Canada, a fact flagged by the Australian Competition & Consumer Commission (ACCC).
  • The products were sold in Costco's Casuarina warehouse in Western Australia using the Australian-made kangaroo logo and other misleading labels implying the lobsters were Australian.
  • ACCC Deputy Chair Mick Keogh emphasised the importance of accurate labelling, stating that misleading labelling breaches Australian Consumer Law.

If you're out there reading this cautionary tale, remember this: education and vigilance are key.

Always stay up-to-date with consumer rights knowledge, and don't hesitate to question 'too good to be true' claims, especially when they involve your hard-earned money and taste buds.

There's a lesson to be learnt at the end of this crustacean saga: Stay informed, stay sceptical, and most of all, remain committed to supporting genuine local producers.

So, next time you're in the mood for seafood, double-check those labels before diving in. Happy shopping!

Members, what are your thoughts on the situation involving Costco Australia and their mislabeling of lobster products?
Bloody ACCC the Australian toothless tiger 🐅 what a piss poor fine for misleading customers a global giant group and they get $33,000 fine get real ACCC grow some balls and give them a fine to remember for fraudulent advertising 🤬🤬🤬🤬🤬🤬
 
In the bustling world of retail, it's not unheard of for some companies to cut corners or stretch the truth to make a quick buck.

This largely competitive market has had its fair share of controversies.

Recently, Costco Australia, a known name in households across the country, was entangled in a rather fishy (or crustacean-y?) situation involving lobsters.



Imagine this. You're an avid seafood lover who prides on contributing to the local economy by purchasing homegrown products rather than imported ones.

You enter Costco, drawn in by the promise of lobsters caught off the coast of Western Australia.


View attachment 25881
False claims can mislead consumers into purchasing products or services that do not deliver as promised, leading to disappointment and financial losses. Image by Kindel Media from pexels



You pick up a package labelled 'Kirkland Signature PREVIOUSLY FROZEN WHOLE COOKED WA LOBSTER' and 'Australian Lobster', thinking you're purchasing the freshest produce the shores of Aussie land have to offer.

Unfortunately, in this case, all that glitters is not gold.

The Australian Competition & Consumer Commission (ACCC) has slapped Costco Australia with a hefty $33,000 fine after it was found that these said lobsters were not as 'homegrown' as they claimed to be.



It turns out; these sea-dwelling delicacies were actually imports from Canada. A shocking revelation, isn't it?

What's more, the mislabelled products cleverly sported the Australian-made kangaroo logo and a full bar chart indicating exclusivity.

'Many shoppers pay a premium to purchase Australian seafood rather than imported products, which makes the accuracy of the labelling a crucial part of enabling consumers to make an informed choice,' ACCC Deputy Chair Mick Keogh said in a statement.



If you feel deceived, you aren't alone.

Despite being a global retail giant, operating in 13 countries with 15 warehouses in Australia, Keogh said Costco dropped the ball with their ‘local lobster’ claim. They sold two packages of lobster under false pretence.

As a result, Costco is in hot water, receiving two infringement notices for false or misleading labelling and failure to comply with the Country of Origin Food Labelling Information Standard.


View attachment 25882
False claims can result in legal repercussions for businesses and individuals involved in deceptive marketing practices, as they violate consumer protection laws and regulations. Image by Toa Heftiba Şinca from pexels



This, in a nutshell, is a blatant breach of Australian Consumer Law.

'While a small number of consumers were impacted in this instance, this conduct involved a large and sophisticated business,' said Mr Keogh.



Key Takeaways

  • Costco Australia paid penalties totalling $33,000 for misleading labelling on lobster products which falsely claimed to be caught locally.
  • The mislabelled seafood was actually imported from Canada, a fact flagged by the Australian Competition & Consumer Commission (ACCC).
  • The products were sold in Costco's Casuarina warehouse in Western Australia using the Australian-made kangaroo logo and other misleading labels implying the lobsters were Australian.
  • ACCC Deputy Chair Mick Keogh emphasised the importance of accurate labelling, stating that misleading labelling breaches Australian Consumer Law.

If you're out there reading this cautionary tale, remember this: education and vigilance are key.

Always stay up-to-date with consumer rights knowledge, and don't hesitate to question 'too good to be true' claims, especially when they involve your hard-earned money and taste buds.

There's a lesson to be learnt at the end of this crustacean saga: Stay informed, stay sceptical, and most of all, remain committed to supporting genuine local producers.

So, next time you're in the mood for seafood, double-check those labels before diving in. Happy shopping!

Members, what are your thoughts on the situation involving Costco Australia and their mislabeling of lobster products?
 
Its appalling that we have to pay an over-inflated price rise in membership fees ($10.00) to Costco, and to find that they are up to illegal activity in order to obtain our hard earned $$$.
I wish this report had come out before I paid my latest membership renewal fee.
I'm devastated.
What else have they faked???
 
In the bustling world of retail, it's not unheard of for some companies to cut corners or stretch the truth to make a quick buck.

This largely competitive market has had its fair share of controversies.

Recently, Costco Australia, a known name in households across the country, was entangled in a rather fishy (or crustacean-y?) situation involving lobsters.



Imagine this. You're an avid seafood lover who prides on contributing to the local economy by purchasing homegrown products rather than imported ones.

You enter Costco, drawn in by the promise of lobsters caught off the coast of Western Australia.


View attachment 25881
False claims can mislead consumers into purchasing products or services that do not deliver as promised, leading to disappointment and financial losses. Image by Kindel Media from pexels



You pick up a package labelled 'Kirkland Signature PREVIOUSLY FROZEN WHOLE COOKED WA LOBSTER' and 'Australian Lobster', thinking you're purchasing the freshest produce the shores of Aussie land have to offer.

Unfortunately, in this case, all that glitters is not gold.

The Australian Competition & Consumer Commission (ACCC) has slapped Costco Australia with a hefty $33,000 fine after it was found that these said lobsters were not as 'homegrown' as they claimed to be.



It turns out; these sea-dwelling delicacies were actually imports from Canada. A shocking revelation, isn't it?

What's more, the mislabelled products cleverly sported the Australian-made kangaroo logo and a full bar chart indicating exclusivity.

'Many shoppers pay a premium to purchase Australian seafood rather than imported products, which makes the accuracy of the labelling a crucial part of enabling consumers to make an informed choice,' ACCC Deputy Chair Mick Keogh said in a statement.



If you feel deceived, you aren't alone.

Despite being a global retail giant, operating in 13 countries with 15 warehouses in Australia, Keogh said Costco dropped the ball with their ‘local lobster’ claim. They sold two packages of lobster under false pretence.

As a result, Costco is in hot water, receiving two infringement notices for false or misleading labelling and failure to comply with the Country of Origin Food Labelling Information Standard.


View attachment 25882
False claims can result in legal repercussions for businesses and individuals involved in deceptive marketing practices, as they violate consumer protection laws and regulations. Image by Toa Heftiba Şinca from pexels



This, in a nutshell, is a blatant breach of Australian Consumer Law.

'While a small number of consumers were impacted in this instance, this conduct involved a large and sophisticated business,' said Mr Keogh.



Key Takeaways

  • Costco Australia paid penalties totalling $33,000 for misleading labelling on lobster products which falsely claimed to be caught locally.
  • The mislabelled seafood was actually imported from Canada, a fact flagged by the Australian Competition & Consumer Commission (ACCC).
  • The products were sold in Costco's Casuarina warehouse in Western Australia using the Australian-made kangaroo logo and other misleading labels implying the lobsters were Australian.
  • ACCC Deputy Chair Mick Keogh emphasised the importance of accurate labelling, stating that misleading labelling breaches Australian Consumer Law.

If you're out there reading this cautionary tale, remember this: education and vigilance are key.

Always stay up-to-date with consumer rights knowledge, and don't hesitate to question 'too good to be true' claims, especially when they involve your hard-earned money and taste buds.
So Costco got caught but what about the stuff Neww Zealand send us labeled product of NewZealand, when it’s imported from China. Accc don’t care, as it’s been going on for years. Also honey, some from China, diluted with sugar, Accc? Not interested. That is being pure lazy
There's a lesson to be learnt at the end of this crustacean saga: Stay informed, stay sceptical, and most of all, remain committed to supporting genuine local producers.

So, next time you're in the mood for seafood, double-check those labels before diving in. Happy shopping!

Members, what are your thoughts on the situation involving Costco Australia and their mislabeling of lobster products?
 
In the bustling world of retail, it's not unheard of for some companies to cut corners or stretch the truth to make a quick buck.

This largely competitive market has had its fair share of controversies.

Recently, Costco Australia, a known name in households across the country, was entangled in a rather fishy (or crustacean-y?) situation involving lobsters.



Imagine this. You're an avid seafood lover who prides on contributing to the local economy by purchasing homegrown products rather than imported ones.

You enter Costco, drawn in by the promise of lobsters caught off the coast of Western Australia.


View attachment 25881
False claims can mislead consumers into purchasing products or services that do not deliver as promised, leading to disappointment and financial losses. Image by Kindel Media from pexels



You pick up a package labelled 'Kirkland Signature PREVIOUSLY FROZEN WHOLE COOKED WA LOBSTER' and 'Australian Lobster', thinking you're purchasing the freshest produce the shores of Aussie land have to offer.

Unfortunately, in this case, all that glitters is not gold.

The Australian Competition & Consumer Commission (ACCC) has slapped Costco Australia with a hefty $33,000 fine after it was found that these said lobsters were not as 'homegrown' as they claimed to be.



It turns out; these sea-dwelling delicacies were actually imports from Canada. A shocking revelation, isn't it?

What's more, the mislabelled products cleverly sported the Australian-made kangaroo logo and a full bar chart indicating exclusivity.

'Many shoppers pay a premium to purchase Australian seafood rather than imported products, which makes the accuracy of the labelling a crucial part of enabling consumers to make an informed choice,' ACCC Deputy Chair Mick Keogh said in a statement.



If you feel deceived, you aren't alone.

Despite being a global retail giant, operating in 13 countries with 15 warehouses in Australia, Keogh said Costco dropped the ball with their ‘local lobster’ claim. They sold two packages of lobster under false pretence.

As a result, Costco is in hot water, receiving two infringement notices for false or misleading labelling and failure to comply with the Country of Origin Food Labelling Information Standard.


View attachment 25882
False claims can result in legal repercussions for businesses and individuals involved in deceptive marketing practices, as they violate consumer protection laws and regulations. Image by Toa Heftiba Şinca from pexels



This, in a nutshell, is a blatant breach of Australian Consumer Law.

'While a small number of consumers were impacted in this instance, this conduct involved a large and sophisticated business,' said Mr Keogh.



Key Takeaways

  • Costco Australia paid penalties totalling $33,000 for misleading labelling on lobster products which falsely claimed to be caught locally.
  • The mislabelled seafood was actually imported from Canada, a fact flagged by the Australian Competition & Consumer Commission (ACCC).
  • The products were sold in Costco's Casuarina warehouse in Western Australia using the Australian-made kangaroo logo and other misleading labels implying the lobsters were Australian.
  • ACCC Deputy Chair Mick Keogh emphasised the importance of accurate labelling, stating that misleading labelling breaches Australian Consumer Law.

If you're out there reading this cautionary tale, remember this: education and vigilance are key.

Always stay up-to-date with consumer rights knowledge, and don't hesitate to question 'too good to be true' claims, especially when they involve your hard-earned money and taste buds.

There's a lesson to be learnt at the end of this crustacean saga: Stay informed, stay sceptical, and most of all, remain committed to supporting genuine local producers.

So, next time you're in the mood for seafood, double-check those labels before diving in. Happy shopping!

Members, what are your thoughts on the situation involving Costco Australia and their mislabeling of lobster products?
 
Lobsters are not grown in Australia. The crustaceans here are Crayfish. Lobsters have two large claws similar to Yabbies or Marron.
 
Why they can not write made in Canada it would be more preferable option than hide country of origin of the product.
 
"a hefty $33,000 fine" I'm sure Cosco would be soooo upset. A piddling amount compared to HUGE amount of money they rake in from "membership" fees.
 

Join the conversation

News, deals, games, and bargains for Aussies over 60. From everyday expenses like groceries and eating out, to electronics, fashion and travel, the club is all about helping you make your money go further.

Seniors Discount Club

The SDC searches for the best deals, discounts, and bargains for Aussies over 60. From everyday expenses like groceries and eating out, to electronics, fashion and travel, the club is all about helping you make your money go further.
  1. New members
  2. Jokes & fun
  3. Photography
  4. Nostalgia / Yesterday's Australia
  5. Food and Lifestyle
  6. Money Saving Hacks
  7. Offtopic / Everything else

Latest Articles

  • We believe that retirement should be a time to relax and enjoy life, not worry about money. That's why we're here to help our members make the most of their retirement years. If you're over 60 and looking for ways to save money, connect with others, and have a laugh, we’d love to have you aboard.
  • Advertise with us

User Menu

Enjoyed Reading our Story?

  • Share this forum to your loved ones.
Change Weather Postcode×
Change Petrol Postcode×