Customers could claim up to $5,000 over sneaky pricing tactics at Coles and Woolworths—are you eligible?
By
Seia Ibanez
- Replies 49
As savvy shoppers, we all love a good bargain, especially about our weekly grocery haul.
But what happens when those 'bargains' are not quite what they seem?
This is the question at the heart of a potential class action suit that could see Coles and Woolworths customers claiming up to $5,000 in compensation.
Carter Capner Law, a leading Australian law firm, is investigating the viability of a class action alongside the Australian Competition and Consumer Commission's (ACCC) legal action against the supermarket giants.
The allegations? That Coles and Woolworths may have deceived shoppers with misleading discount pricing claims on hundreds of products through their 'Prices Dropped' and 'Down Down' campaigns.
‘Early estimates suggest that households could claim between $2,000 and $5,000, depending on the amount spent and the impact of the deceptive pricing,’ Peter Carter, the Law Director at Carter Capner Law, said.
This comes after the firm received an 'avalanche of calls from outraged customers' who felt betrayed by the supermarkets, particularly when many are grappling with the cost of living crisis.
The class action was prompted by customer outrage, with Carter stating that the firm had no initial plans to commence a class action until they were inundated with calls from customers 'demanding action and compensation.'
The potential class action does not depend on the outcome of the ACCC's case but will draw upon the evidence collected by the consumer watchdog.
‘The evidence the ACCC has collected would be useful, but the claim relies on their breaches of the Australian Consumer Law sections 18 (misleading/deceptive conduct), 20, 21 (unconscionable conduct) and 29 (misleading representation re price of goods),’ Carter said.
Dr Joel Lisk, a research fellow in law at Flinders University, has called the class action 'a positive' for shoppers.
‘The ACCC proceedings aren't about getting refunds for customers,’ Lisk said.
‘But if they are successful, it would mean customers have, in theory, been misled and deceived and could be entitled to damages.’
According to Dr Lisk, when it comes to compensation, the numbers 'start to add up' for consumers.
However, he also noted that it was 'hard to say' whether financial penalties will deter businesses from engaging in misleading conduct in the future.
‘If [fines are] seen as just the cost of doing business, it doesn't really dissuade businesses from engaging in misleading and deceptive conduct,’ he said.
‘Seeking damages from business for the losses that individuals like us have incurred is one way of doing that. But of course, we're talking probably about dollars and cents in transactions when businesses like Coles and Woolworths deal in the billions.’
Have you noticed any questionable pricing tactics during your shopping trips? If the class action goes ahead, do you plan to join it? Share your experiences and opinions in the comments below!
But what happens when those 'bargains' are not quite what they seem?
This is the question at the heart of a potential class action suit that could see Coles and Woolworths customers claiming up to $5,000 in compensation.
Carter Capner Law, a leading Australian law firm, is investigating the viability of a class action alongside the Australian Competition and Consumer Commission's (ACCC) legal action against the supermarket giants.
The allegations? That Coles and Woolworths may have deceived shoppers with misleading discount pricing claims on hundreds of products through their 'Prices Dropped' and 'Down Down' campaigns.
‘Early estimates suggest that households could claim between $2,000 and $5,000, depending on the amount spent and the impact of the deceptive pricing,’ Peter Carter, the Law Director at Carter Capner Law, said.
This comes after the firm received an 'avalanche of calls from outraged customers' who felt betrayed by the supermarkets, particularly when many are grappling with the cost of living crisis.
The class action was prompted by customer outrage, with Carter stating that the firm had no initial plans to commence a class action until they were inundated with calls from customers 'demanding action and compensation.'
The potential class action does not depend on the outcome of the ACCC's case but will draw upon the evidence collected by the consumer watchdog.
‘The evidence the ACCC has collected would be useful, but the claim relies on their breaches of the Australian Consumer Law sections 18 (misleading/deceptive conduct), 20, 21 (unconscionable conduct) and 29 (misleading representation re price of goods),’ Carter said.
Dr Joel Lisk, a research fellow in law at Flinders University, has called the class action 'a positive' for shoppers.
‘The ACCC proceedings aren't about getting refunds for customers,’ Lisk said.
‘But if they are successful, it would mean customers have, in theory, been misled and deceived and could be entitled to damages.’
According to Dr Lisk, when it comes to compensation, the numbers 'start to add up' for consumers.
However, he also noted that it was 'hard to say' whether financial penalties will deter businesses from engaging in misleading conduct in the future.
‘If [fines are] seen as just the cost of doing business, it doesn't really dissuade businesses from engaging in misleading and deceptive conduct,’ he said.
‘Seeking damages from business for the losses that individuals like us have incurred is one way of doing that. But of course, we're talking probably about dollars and cents in transactions when businesses like Coles and Woolworths deal in the billions.’
Key Takeaways
- Shoppers at Coles and Woolworths could potentially claim compensation ranging between $2,000 and $5,000 if the supermarkets are found to have used deceptive pricing tactics.
- Carter Capner Law is considering a class action lawsuit on behalf of customers, with claims ignited by the ACCC's legal action against Coles and Woolworths for misleading discount claims.
- The potential class action is fuelled by customer outrage and does not depend on the outcome of the ACCC's case but on breaches of specific sections of the Australian Consumer Law.
- The ACCC alleged that the supermarkets' misconduct involved hundreds of products with misleading price representations over several months, which could result in significant financial compensation for affected consumers.