ACCC Franchise Information

Latest News:

Businesses must report unsafe products

 

As a franchisee or franchisor, did you know that if a product you supplied causes serious injury, illness or death you have to report this to the Commonwealth minister responsible for consumer protection and fair trading?

 

Since 1 January 2011 businesses (large and small) are required to report any unsafe products they have sold that have caused serious injury, illness or death. Reporting is simple and can be done by completing an online form on the ACCC’s product safety website – www.productsafety.gov.au/mandatoryreporting

 

The new law applies to all participants in the supply chain. This includes retailers, dealers, hirers, distributors, installers, repairers, importers, exporters and manufacturers.

 

The mandatory reporting laws also apply if you provide a service that is related to a product. For example if you service washing machines and a client tells you that it has caused them an injury that required medical attention, by law you need to report this.

 

Mandatory reporting is not an admission of liability. It is there to protect Australian consumers from unsafe products and also identifies which products are risks to the public. Reports may lead to safety warnings or education campaigns or products being pulled from shelves or recalled. 

 

Since the introduction of this law reports received by the ACCC covered a range of products from toys, toiletries and motor vehicles. Mandatory reporting has triggered 40 recalls in the first six months of 2011. Some of the products that were recalled had reports that associated them with anaphylactic and allergic reactions, burns, electrocution, choking hazards, cuts and lacerations.

 

Further information

 

For more information on your reporting obligations and guidelines to help you understand what you need to do please visit the ACCC’s Product Safety Australia website: www.productsafety.gov.au/mandatoryreporting.

 

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The amendments to the Franchising Code of Conduct came into effect on 1 July 2010. In light of this, the ACCC has released both new and updated franchising publications. These include:

1. Franchising Compliance Manual for franchisors and master franchisees
2. The franchisee manual
3. Franchisee start–up checklist
4. Franchising Code of Conduct Amendments
5. Fact Sheet: Overview of the Franchising Code of Conduct
6. Fact Sheet: Disclosure under the Franchising Code of Conduct
7. Fact Sheet: Resolving franchising disputes

The Australian Government has also provided a consolidated version of the code which incorporates the amendments.

More information about the amendments and the publications can be found on the ACCC's franchising webpage

or by contacting the ACCC Infocentre on 1300 302 502

 

 

Would you like more information from the ACCC about franchising?

Be sure to visit the Small business access point on their website.

You will also find publications regarding franchising and small business on their website.

We have listed some helpful links below.

'Running your business'

- The best site for ACCC information for small businesses.

http://intranet.accc.gov.au/content/index.phtml/itemId/888212

Franchising complaints, investigations and outcomes
www.accc.gov.au/franchisinginvestigations

Small Business Easy Access Point

http://www.accc.gov.au/ForBusinesses

 

ACCC's publications on franchising:

'Franchisee Start-up checklist' which provides potential franchisees with TPA information to consider when looking at a prospective business opportunity. 

Click here for ACCC Franchising Code information page

Click here for the ACCC Franchising Code Update Overview