October 22nd 2024.
Two of Australia's biggest supermarket chains, Coles and Woolworths, are facing legal action for allegedly deceiving their customers with fake discounts. This will be their first appearance in court since the accusations were made.
The Federal Court will hear the case on Wednesday, as the Australian Competition and Consumer Commission (ACCC) claims that the supermarkets violated consumer law. According to the ACCC, both Coles and Woolworths misled shoppers with their popular "Down Down" and "Prices Dropped" campaigns, which offered discounts on a variety of products.
Among the items that were allegedly falsely discounted were dairy products, pet food, personal care items, coffee, medicine, sweets, cereal, and household cleaning products. The ACCC has expressed concern over the extent of these fake discounts, and has launched separate proceedings against the two supermarket chains.
ACCC chair Gina Cass-Gottlieb stated that both Coles and Woolworths used similar tactics to increase the prices of hundreds of products before lowering them again during their campaigns. This resulted in customers paying less than the inflated prices, but still more than the original regular price.
The ACCC has also stated that if the case is successful, it will seek a significant penalty for the alleged breaches of consumer law. Coles has announced that it will defend the court proceedings, while Woolworths has claimed that their "Prices Dropped" program was introduced to offer customers great value on their everyday purchases.
This legal action has sparked concerns over the pricing strategies of these supermarket giants, and the impact it has on consumers. Many customers have questioned whether they can trust the discounts offered by Coles and Woolworths, and whether they are truly getting a good deal. The outcome of this case will have significant implications for the future of consumer protection in Australia.
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