ACCC cracks down in first unfair contract terms case

According to an article in smartcompany.com.au, a telecommunications business is the first to come under fire from the Australian Competition and Consumer Commission (ACCC), as the watchdog cracks down on the use of unfair contract terms.

Canberra-based company ByteCard, also known as Netspeed Internet Communications, allegedly had three terms in its contract which the ACCC considers unfair. The ACCC is now seeking for those contracts to be voided.

ACCC chairman Rod Sims said in a statement it's the first time the ACCC has taken a business to court over unfair contract terms.

The ACCC alleges unfair contract terms allowed ByteCard to unilaterally vary prices in existing contracts without providing the customer with the right to terminate the contract, required consumers to indemnify ByteCard in every circumstance and unilaterally terminate the contract at any time without cause or reason.

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