Optus guilty of running misleading ads
- 02 November, 2010 12:57
The Federal Court of Australia has found that Optus’ advertisements for its Supersonic plans were misleading.
The case was brought by the Australian Competition and Consumers Commission (ACCC) concerning Optus running ads in print, online and on television which claimed the Supersonic plans would deliver high-speed broadband.
But according to the consumer watchdog, Optus failed to disclose a capped download speed of up to 64kbps would be enforced if the monthly download quota was exceeded.
Last week, ACCC barrister, Neil Williams, said 64kbps was “well below broadband, let alone 'supersonic'”.
Presiding Judge, Justice Perram, sided with the ACCC and found Optus had indeed failed to disclose the capped broadband speeds and properly pulling the misleading advertisements.
Justice Perram placed an injunction on the telco running similar ads in the future. The length of the injunction will be decided later today.
He will elaborate on what could be done to correct the misleading advertising and any civil penalties on November 5.