By James Wells
MELBOURNE: Teac Australia national sales manager, Warren Allison, has been personally fined for his role in the resale price maintenance of Teac branded products including televisions, digital set top boxes and portable music players.
Justice Kenny in the Federal Court of Australia has ordered Allison to pay $15,000 for being knowingly concerned in the conduct which resulted in Teac Australia being fined a further $175,000.
In July this year, the Australian Competition and Consumer Commission (ACCC) instituted legal proceedings against Teac after allegations of resale price maintenance in relation to series of Teac branded electronics goods including televisions, digital set top boxes and portable music players.
The ACCC alleged that Teac contravened section 48 of the Trade Practices Act of 1974 by attempting to induce a certain retailer not to advertise certain Teac products below the ‘go price’ specified by Teac.
At the time, the ACCC sought:
– Declarations that Teac contravened section 48 of the Act and that Mr Allison was knowingly concerned in the alleged contraventions by the company.
– Injunctions restraining Teac and Mr Allison from engaging in similar conduct in the future.
– Pecuniary penalties against Teac and Mr Allison.
– An order that Teac implements a trade practices compliance program.
– An order that Teac write to its customers to inform them of Teac’s resale price maintenance conduct, and costs.
The ACCC was yesterday successful in obtaining these outcomes.