A Brief Guide to Australian Consumer Protection Law

Since 1 January 2011, the Competition and Consumer Act 2010 (Cth) (CCA) has been Australia’s paramount consumer protection legislation. As the name would suggest, this legislative regime sets out a number of rights a person acquiring goods or services as a “consumer” can rely on. Schedule 2 of the CCA, also known as the Australian Consumer Law (ACL), provides a legal definition of “consumer” that applies nationally. Whether someone is a “consumer” in a given situation is important in determining what rights they have.

As of 1 July 2021, a “consumer” is someone who acquires goods that:

1. Are of a kind ordinarily acquired for personal, domestic or household use or consumption; or
2. Are a trailer or vehicle, whose main use is to be the transport of goods on public roads; or
3. Cost less than $100,000. This criterion is also the only one to apply when a “consumer” acquires services.

Therefore, if you buy any product or service from an Australian business for less than $100,000, you are a “consumer” for the purposes of the ACL. Your purchase is then automatically protected by certain legal guarantees. If those guarantees are not met by the business you purchased from, you have the right to make a legal claim for recovery.

The business who sells to you will likely be a supplier or manufacturer. A supplier is anyone who sells or leases goods or services in trade or commerce to you; for example, a car yard who sell you a car. A manufacturer is usually the entity that creates or imports the goods; for example, the car manufacturer.

What are the consumer guarantees?

There are quite a few consumer guarantees that apply to products, services, or both. From experience there are a select few that arise often. They can therefore provide a helpful picture of how these consumer protections work.

When you buy goods from a supplier as a consumer, the main protections require the supplier and manufacturer to guarantee that the goods are of acceptable quality, will match any description provided, and are fit for any purpose you have told them about.

There are certain things you must prove in order to claim a guarantee has been breached. As an example, the test for whether or not the goods are of acceptable quality is whether a reasonable consumer, who is fully aware of the product’s condition, would consider that product is fit for purpose, acceptable in appearance, free from defects, safe, and durable.

When can I make a claim?

You have a right to claim recovery if there is a minor or major failure to fulfil any of the guarantees.

A major failure may occur when, for example:

1. You would not have bought the goods or services if you had known about the problem;

2. The goods are significantly different from the description, sample or demonstration model shown to you;

3. The goods or services are substantially unfit for their normal purpose and cannot easily be rectified within a reasonable time;

4. The goods or services are substantially unfit for a purpose or result that you told the supplier about, and cannot easily be made fit within a reasonable time; or

5. The goods or services are unsafe, or have created an unsafe situation.

A minor failure is a failure to meet a consumer guarantee that is not a major failure, with some exceptions.

What remedies can I seek?

If the failure is minor, usually the supplier gets to choose the remedy, which may be the repair, replacement, or refund of the goods or service.

If the failure is major, you may get to choose the remedy. You can reject the goods for a refund or replacement, or request compensation to cover the drop in value of the goods.

There are additional remedies that can be sought in specific situations.

How do I make a claim?

It should be noted that making a claim under the ACL may be considered legal action. If you are unsure about anything presented in this article but would like to pursue a claim, it would be worth contacting an expert, such as a lawyer, who can assist you with the process.

Before making a claim, you first want to answer these three questions:

1. Am I a “consumer” for the purposes of the ACL?

2. Has the business failed to fulfil a guarantee under the ACL?

3. Can I, and do I want to, seek a remedy?

Once you have established “yes” to the above three questions, there are three possible steps in pursuing a remedy.

(1) Make Direct Contact with the Supplier or Manufacturer

This step is generally advised first. It may involve sending an email or letter to the supplier or manufacturer directly, providing an explanation of your three ‘yes’ answers above. This option allows you to pursue a remedy cheaply and informally.

(2) Seek Further Advice

If you do not receive a desired response from the supplier or manufacturer by contacting them directly, seek advice on your next steps. A suitable first point of contact is Consumer Affairs Victoria, as they are Victoria’s consumer regulator. Consumer Affairs have certain tools on their website that may help you navigate your individual circumstances. If you have not already done so, it may also be worth contacting a lawyer.

(3) Issue Proceedings

If nothing has been achieved from the first two steps, it may be worth issuing proceedings against the business in a tribunal or court. At this point, however, it may become a question of expense. In other words, will your legal fees, stress, and time investments outweigh the potential benefit of success in a claim? We strongly suggest contacting a lawyer before filing proceedings to receive advice on this question.

If you were to file proceedings, the Victorian Civil and Administrative Tribunal is generally cheaper, less formal than a court, and well-equipped to deal with consumer matters. However, there is currently a constitutional question as to whether the Tribunal has power to determine consumer claims that we consider is worth avoiding.

Therefore, we consider issuing a claim in the Magistrates’ Court directly is appropriate for consumer disputes. This is usually not an issue, as the Magistrates’ Court has a $100,000 claim cap.

If you have purchased goods for more than $100,000 and you meet one of the other criteria for “consumer” above, you still have the option to file proceedings in the County or Supreme Court – though they will be more expensive and onerous.

Conclusion

You have considerable protections as a “consumer” thanks to the ACL. Although it may end up taking considerable time and money to utilise those protections, they are there to be accessed if the circumstances call for it.

Nevetts Lawyers can provide you with further advice or assistance with consumer matters. Please call reception on 03 5331 4444 to speak to us. We look forward to assisting you with any queries you may have.

Author: Jarrah Staley

Published: 10 April 2026

The information in this article is general in nature and is not to be relied upon as legal advice. As always, we recommend you seek thorough legal advice to consider your own circumstances and determine whether the information contained in this article is applicable to you. This article is current as at the date of publishing but will not be updated as circumstances change.