The Full Federal Court has reduced a $2 million fine imposed on David Teoh’s TPG group – for allegedly misleading advertisements for “unlimited” broadband Internet access – to $50,000.
TPG had earlier succeeded with part of an appeal against a judgment of Justice Murphy in favour of the Australian Competition and Consumer Commission.
Murphy had found that TPG’s TV, radio, newspaper and Internet ads were indeed misleading because they conveyed the impression that its “Unlimited ADSL2+” service could be acquired for $29.99 a month, when in fact it could only be acquired with a bundled home telephone line for an additional $30 a month.
The Full Court in December found that only the TV ads were misleading, and the phone requirement had been adequately disclosed in the other ads.
In its latest finding reducing the fine, the Full Court also set aside certain injunctions imposed by the trial judge as well as his order that TPG implement a compliance program. The court ordered that the ACCC pay 75 per cent of TPG’s costs.
