Question 1

The Financial Services Reform Act 2001 (Cth)only applies to financial advisers.

Accepted Answer

A) True 
 B)False

Question 2

Section 82 of the Australian Consumer Law gives customers a 30-day cool off period during which a consumer may terminate an unsolicited agreement.

Accepted Answer

A) True 
 B)False

Question 3

The consumer protection provisions of the Australian Consumer Law can only be enforced by the Commonwealth.

Accepted Answer

A) True 
 B)False

Question 4

In relation to 'conduct' under s 18 of the ACL,Clark Equipment Australia Ltd v Covcat Pty Ltd (1987)71 ALR 367 is authority for the principle that:

Accepted Answer

A) pre-contractual representations can constitute misleading and deceptive conduct. 
B) an advertisement which compared a competitor's products unfavourably with the advertiser's products can constitute misleading and deceptive conduct. 
C) silence can constitute misleading and deceptive conduct where there is a duty to disclose relevant facts. 
D) the act of making a contract containing a false warranty is sufficient to constitute misleading and deceptive conduct. 
A) pre-contractual representations can constitute misleading and deceptive conduct. 
B) an advertisement which compared a competitor's products unfavourably with the advertiser's products can constitute misleading and deceptive conduct. 
C) silence can constitute misleading and deceptive conduct where there is a duty to disclose relevant facts. 
D) the act of making a contract containing a false warranty is sufficient to constitute misleading and deceptive conduct.

Question 5

Under Section 50 of the Australian Consumer Law,a corporation banned from engaging in the 'unfair practice' of:

Accepted Answer

A) making false representations in relation to employment. 
B) dispatching unsolicited credit cards unless requested in writing. 
C) offering gifts or prizes when it does not intend to provide them. 
D) using physical force at a place of residence in connection with the supply of goods or services. 
A) making false representations in relation to employment. 
B) dispatching unsolicited credit cards unless requested in writing. 
C) offering gifts or prizes when it does not intend to provide them. 
D) using physical force at a place of residence in connection with the supply of goods or services.

Question 6

What is an unfair contract under s 23 of the Australian Consumer Law?

Accepted Answer

In addition to prohibiting unconscionabl

Question 7

Conduct by a corporation or person in trade or commerce that is misleading or deceptive may also result in a finding of unconscionable conduct.

Accepted Answer

A) True 
 B)False

Question 8

Section 18 is not only available to consumers,but it can also be used by competitors or suppliers against other competitors.

Accepted Answer

A) True 
 B)False

Question 9

If a purchaser acts as a seller's 'agent' and is paid a commission for introducing new customers to the seller,the parties have engaged in:

Accepted Answer

A) bait advertising. 
B) unsolicited goods. 
C) referral selling. 
D) pyramid selling. 
A) bait advertising. 
B) unsolicited goods. 
C) referral selling. 
D) pyramid selling.

Question 10

Which of the following does NOT need to be established in order for a manufacturer to be liable for defective goods?

Accepted Answer

A) A person is injured. 
B) The goods have a safety defect. 
C) The injury was foreseeable. 
D) The manufacturer supplies goods in trade or commerce. 
A) A person is injured. 
B) The goods have a safety defect. 
C) The injury was foreseeable. 
D) The manufacturer supplies goods in trade or commerce.

Question 11

Section 29(1)of the Australian Consumer Law prohibits false representations regarding goods relating to:

Accepted Answer

A) whether the goods are new. 
B) the standard or quality of the goods. 
C) the price of the goods. 
D) all of the above. 
A) whether the goods are new. 
B) the standard or quality of the goods. 
C) the price of the goods. 
D) all of the above.

Question 12

What was the issue addressed in Grant v Australian Knitting Mills [1936} HCA 49?

Accepted Answer

A) Whether an injured consumer was partially liable for their own negligence 
B) Whether a duty of care was owed to retailers of defective goods 
C) Whether a manufacturer owed a duty of care to the ultimate consumer of the manufacturer's products 
D) Whether a manufacturer owed a duty of care to a consumer of used manufacturer's products 
A) Whether an injured consumer was partially liable for their own negligence 
B) Whether a duty of care was owed to retailers of defective goods 
C) Whether a manufacturer owed a duty of care to the ultimate consumer of the manufacturer's products 
D) Whether a manufacturer owed a duty of care to a consumer of used manufacturer's products

Question 13

Accepting payment without intending to supply is not an offence under the ACL but rather an offence under the Crimes Act 1901.

Accepted Answer

A) True 
 B)False

Question 14

Consumer actions for breach of the Australian Consumer Law will be heard in specialist consumer tribunals or small claims courts.

Accepted Answer

A) True 
 B)False

Question 15

The Australian Consumer Law in ss 20 to 22 provides remedies for:

Accepted Answer

A) unconscionable conduct when supplying goods or services to a person (other than a listed public company). 
B) unconscionable conduct at common law by a person in the course of trade or commerce. 
C) unconscionable conduct when acquiring goods or services from a person (other than a listed public company). 
D) all of the above. 
A) unconscionable conduct when supplying goods or services to a person (other than a listed public company). 
B) unconscionable conduct at common law by a person in the course of trade or commerce. 
C) unconscionable conduct when acquiring goods or services from a person (other than a listed public company). 
D) all of the above.

Question 16

A consumer can take action against both the retailer and the manufacturer for breach of the consumer guarantees.

Accepted Answer

A) True 
 B)False

Question 17

Under the Australian Consumer Law definition,a 'consumer' is not:

Accepted Answer

A) someone who acquires a commercial road vehicle valued at less than $40,000. 
B) someone who acquires goods or services valued at less than $40,000. 
C) someone who acquires goods or services of a kind ordinarily acquired for personal,domestic or household use (of any value). 
D) someone who acquires goods for resupply,or for use or transformation in trade or commerce. 
A) someone who acquires a commercial road vehicle valued at less than $40,000. 
B) someone who acquires goods or services valued at less than $40,000. 
C) someone who acquires goods or services of a kind ordinarily acquired for personal,domestic or household use (of any value). 
D) someone who acquires goods for resupply,or for use or transformation in trade or commerce.

Question 18

In relation to 'conduct' under s 18 of the ACL,Accounting Systems 2000 v CCH Australia Ltd (1993)42 FCR 470 is authority for the principle that:

Accepted Answer

A) pre-contractual representations can constitute misleading and deceptive conduct. 
B) silence can constitute misleading and deceptive conduct where there is a duty to disclose relevant facts. 
C) the act of making a contract containing a false warranty is sufficient to constitute misleading and deceptive conduct. 
D) an advertisement which compared a competitor's products unfavourably with the advertiser's products can constitute misleading and deceptive conduct. 
A) pre-contractual representations can constitute misleading and deceptive conduct. 
B) silence can constitute misleading and deceptive conduct where there is a duty to disclose relevant facts. 
C) the act of making a contract containing a false warranty is sufficient to constitute misleading and deceptive conduct. 
D) an advertisement which compared a competitor's products unfavourably with the advertiser's products can constitute misleading and deceptive conduct.

Question 19

In Nationwide News Pty Ltd v ACCC [1997] ATPR 41-543 an advertisement offering a 'free mobile for every reader' was found to be a false or misleading representation because:

Accepted Answer

A) the advertisement contained conditions which required readers to enter into a service contract at a substantial cost. 
B) the conditions were in smaller print than the offer itself and therefore less likely to be noticed. 
C) in fact the offer of the mobile was not free. 
D) all of the above. 
A) the advertisement contained conditions which required readers to enter into a service contract at a substantial cost. 
B) the conditions were in smaller print than the offer itself and therefore less likely to be noticed. 
C) in fact the offer of the mobile was not free. 
D) all of the above.

Question 20

The onus of proving that a transaction is a consumer sale is always on the consumer.

Accepted Answer

A) True 
 B)False

Exam 17: General and Specific Consumer Protections Under the Acl

The Financial Services Reform Act 2001 (Cth)only applies to financial advisers.

Section 82 of the Australian Consumer Law gives customers a 30-day cool off period during which a consumer may terminate an unsolicited agreement.

The consumer protection provisions of the Australian Consumer Law can only be enforced by the Commonwealth.

In relation to 'conduct' under s 18 of the ACL,Clark Equipment Australia Ltd v Covcat Pty Ltd (1987)71 ALR 367 is authority for the principle that:

Under Section 50 of the Australian Consumer Law,a corporation banned from engaging in the 'unfair practice' of:

What is an unfair contract under s 23 of the Australian Consumer Law?

Conduct by a corporation or person in trade or commerce that is misleading or deceptive may also result in a finding of unconscionable conduct.

Section 18 is not only available to consumers,but it can also be used by competitors or suppliers against other competitors.

If a purchaser acts as a seller's 'agent' and is paid a commission for introducing new customers to the seller,the parties have engaged in:

Which of the following does NOT need to be established in order for a manufacturer to be liable for defective goods?

Section 29(1)of the Australian Consumer Law prohibits false representations regarding goods relating to:

What was the issue addressed in Grant v Australian Knitting Mills [1936} HCA 49?

Accepting payment without intending to supply is not an offence under the ACL but rather an offence under the Crimes Act 1901.

Consumer actions for breach of the Australian Consumer Law will be heard in specialist consumer tribunals or small claims courts.

The Australian Consumer Law in ss 20 to 22 provides remedies for:

A consumer can take action against both the retailer and the manufacturer for breach of the consumer guarantees.

Under the Australian Consumer Law definition,a 'consumer' is not:

In relation to 'conduct' under s 18 of the ACL,Accounting Systems 2000 v CCH Australia Ltd (1993)42 FCR 470 is authority for the principle that:

In Nationwide News Pty Ltd v ACCC [1997] ATPR 41-543 an advertisement offering a 'free mobile for every reader' was found to be a false or misleading representation because:

The onus of proving that a transaction is a consumer sale is always on the consumer.

Legal Foundations

Legal Systems

How Law Is Made: Precedentstatute Law

Civil Liability: the Law of Torts and Negligence

Applications of Negligence to Business

Introduction to Contracts

Agreement Between the Parties

Intention to Create Legal Relations

Consideration

Capacity of the Parties

Genuine Consent

Is the Contract Legal

Terms of the Contract

Rights and Liabilities of the Parties,discharge and Remedies

Remedies in Contract

Statutory Consumer Guarantees and the Australian Consumer Law

Introduction to Companies and Incorporated Associations

Agency

Partnerships

Choosing a Business Entity

Other Business-Related Torts

Insurance

Sale of Goodsbusiness to Business

Property and Mortgages

Intellectual Property

Ethics and Business Practice

Criminal Law in a Business Context

Competition Law

Insolvency and Debt Recovery

The Work Environment and the Employment Relationship

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