Indigenous Community Bans Door-to-Door Salespeople
Tuesday 26 April 2016 @ 10.17 a.m. | Legal Research | Trade & Commerce
According to a recent ACCC Media Release, an Australia-first community partnership was launched in Wujal Wujal with the unveiling of roadside signage designed to minimise consumer harm from unlawful door-to-door trading.
The Wujal Wujal Community is three hours north of Cairns in Far North Queensland (FNQ), and signs have been put up on the roads into in the community to warn salespeople that it is illegal to approach houses with "do not knock" notices.
Background
The signage, placed on both entrances into the FNQ Indigenous community, reminds door-to-door traders they have legal obligations to consumers and can’t approach houses displaying do-not-knock notices. It is also hoped that the signage helps to empower Wujal Wujal residents to understand and assert their rights under the Australian Consumer Law (ACL) [the ACL is contained in Schedule 2 to the Competition and Consumer Act 2010 (Cth)].
Speaking from the launch, Wujal Wujal Aboriginal Shire Council Mayor Desmond Tayley welcomed the initiative and said it was expected to provide a powerful reminder to door-to-door traders, who might seek to target the community, of their legal obligations.
Mayor Tayley said salespeople targeting his community for years:
"Basically they're selling white goods, there was a company that came through renting stuff, funeral funds, the other one was water coolers. With the water coolers, Cape York is pretty warm at certain times of the year and they took advantage of it and came up and unbeknownst to customers, they weren't aware of what the actual cost was involved with it. They couldn't afford the payments, they would have been up around about $200 per payment and it would have amounted to roughly $1,000. Hopefully it just sends them a message that they're not welcome here in the community. Community members have experienced the worst of this kind of trade in the past and the strong message from the community is that it won’t be tolerated.”
Support from Government Departments
The signage is a joint initiative between the Australian Competition and Consumer Commission (ACCC), Queensland Office of Fair Trading (QOFT) and the Indigenous Consumer Assistance Network (ICAN).
ACCC Deputy Chair Delia Rickard, who was in Wujal Wujal for the official launch, said the community partnership was an example of the ACCC’s commitment to prioritise Indigenous consumer protection:
“Indigenous consumers, particularly those in remote locations, can face challenges in enforcing their consumer rights, and it is hoped that new initiatives like this will help improve outcomes for Indigenous consumers.”
Fair Trading Executive Director Brian Bauer said door-to-door traders had been a focus of regulator enforcement action in recent years, particularly in Indigenous communities:
“Some disturbing recent matters have involved marketers approaching consumers at home or in public places and using a variety of dodgy tactics to push unnecessary training courses.”
ICAN works closely with Indigenous consumers, providing free consumer advice and financial counselling services to communities across FNQ. ICAN CEO Aaron Davis reinforced the importance of targeted consumer protection initiatives in at-risk Indigenous communities:
“Being on the front-line and seeing the damage shonky door-to-door traders can do – it’s really important that consumers are aware of their rights and are confident help is available when needed.”
Consumers are reminded that they have a choice as to whether to allow door-to-door traders to approach their homes. By placing a ‘do-not-knock’ sticker in a visible and prominent place on the home, door-to-door traders must not approach.
Potential Changes to Consumer Leases
A Federal Government review of small account credit contracts recommended "rent to buy" companies that sign people up to payment plans for things like televisions and washing machines be required to disclose the total cost of their contract up-front.
Purpose of the Review
The review is required to examine and report on the effectiveness of the law relating to small amount credit contracts (SACCs) in accordance with s 335A of the National Consumer Credit Protection Act 2009 (Cth) (the Credit Act).
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Sources:
Wujal Wujal community puts door-to-door traders on notice – ACCC Release MR 60/16
Remote Indigenous community becomes first town to ban door-to-door salespeople - abc.net.au
