For misleading consumers.
The Federal Court of Australia ordered Thermomix to pay penalties totalling $4.6 million for making false or misleading representations, and misleading the public in relation to its kitchen appliances. The Court held that Thermomix breached the Australian Consumer Law through its silence about a safety issue affecting its TM31 appliance, which the company knew about.
The company knew from 7 July 2014 there was a potential risk of injury to users caused by the lid lifting and hot food and/or liquid escaping from the mixing bowl before that food and/or liquid had settled.
Thermomix continued to supply and promote its product until 6 September 2014 and didn’t notify consumers until 23 September 2014 that there was a known safety issue.
“By failing to act swiftly and alert consumers about the potential safety hazard with the TM31 appliance, Thermomix misled a number of consumers and placed their safety at risk,” ACCC Commissioner Sarah Court said.
In delivering judgment, Justice Murphy stated that this contravention was serious and exposed a large number of consumers to the risk. Thermomix was also found by the Court to have made false or misleading representations to certain consumers about their consumer guarantee rights.