Misleading & Deceptive Conduct in Australia (2026)
About this article
Sourced from Commonwealth Acts of Parliament, federal regulations, and official government guidance. State-level information reflects each state's own Acts and court decisions. Written in plain language for general understanding — this is educational content, not legal advice. Our editorial standards
Compare by state
Statute citations are verified per state. Select a state to jump to its full section below.
| Primary statute | |
|---|---|
| New South Wales | Fair Trading Act 1987 (NSW) |
| Queensland | Australian Consumer Law (Cth), ss 18, 29-37 — misleading conduct |
| South Australia | Competition and Consumer Act 2010 (Cth), s 18 — misleading conduct |
| Tasmania | Competition and Consumer Act 2010 (Cth), Schedule 2, s 18 — misleading conduct |
| Victoria | Australian Consumer Law and Fair Trading Act 2012 (Vic) |
| Western Australia | Australian Consumer Law (Cth), ss 18, 29-37 — misleading conduct |
What is this right?
Section 18 of the ACL — "misleading or deceptive conduct" — is one of the broadest consumer protections in any common-law jurisdiction. A business must not engage in conduct that is misleading or deceptive, or likely to mislead or deceive. The provision is so wide that it does most of the work in modern Australian consumer litigation.
- What it covers: advertising, product labelling, sales pitches, websites, social-media posts, and even silence — failing to disclose information you'd reasonably need to know.
- No intent required: the business doesn't have to mean to mislead. If a reasonable person would be misled, the conduct breaches s. 18.
- Specific prohibitions (ss 29–37): false claims about quality, price, origin, sponsorship, testimonials, or "was/now" pricing. Bait advertising — advertising a product at a low price without reasonable stock — is also prohibited.
- Penalties: individuals face fines up to $2.5 million; companies face up to $50 million, three times the benefit gained, or 30% of adjusted turnover (whichever is greatest).
The ACCC has been increasingly aggressive on s. 18, including against online businesses, app stores, and social-media influencers — anyone whose "reach" counts as conduct in trade or commerce.
When does it apply?
- A business made a false or misleading claim in connection with the supply of goods or services.
- You relied on the claim and suffered loss or damage as a result (e.g., you bought a product you would not have otherwise purchased).
- Applies to all businesses operating in Australia, including online-only and overseas businesses selling to Australian consumers.
What to Do If an Australian Business Misled or Deceived You
- Gather evidence — save screenshots, advertisements, emails, receipts, and any written claims the business made.
- Contact the business and ask for a remedy (refund, compensation, or correction).
- If the business does not cooperate, report the conduct to the ACCC online at accc.gov.au or call 1300 302 502.
- You may also be able to take private legal action to recover your losses through a court or tribunal.
What should you NOT do?
- Don’t delete evidence — keep all misleading material, even if the business later corrects it.
- Don’t assume “puffery” is always allowed — vague claims like “best ever” may be acceptable, but specific factual claims must be true.
- Don’t assume only big companies are covered — the law applies to sole traders, small businesses, and individuals in trade or commerce.
About Consumer Rights in Australia
If a product fails or a business misled you, the Australian Consumer Law (Schedule 2 of the Competition and Consumer Act 2010) gives you automatic guarantees on most purchases up to $100,000 — repair, replacement, or refund. No contract or "no refunds" sign overrides them. The ACCC enforces bans on misleading conduct, unconscionable conduct, and unfair contract terms. For disputes, your state tribunal — NCAT, VCAT, or QCAT — is built for self-represented consumers.
Worked Examples
ScenarioAn ad shouts 'FREE phone with any plan' but the fine print requires you to commit to a 36-month contract worth thousands of dollars to actually get it.
OutcomeThe dominant message — 'free' — gives the overall impression you can get the phone at no cost, which the small print contradicts. Under s18 of the ACL the test is the overall impression on a reasonable consumer, regardless of intent. The conduct is likely misleading and exposes the business to ACCC action and customer remedies.
Verified against ACCC guidance on s18 of the ACL (Schedule 2 of the Competition and Consumer Act 2010) — overall impression test. Educational information, not legal advice.
Common Questions
Does the business have to mean to mislead?
No. Section 18 of the ACL doesn't require any intention to mislead. The test is whether the conduct misleads or is likely to mislead a reasonable member of the intended audience — an honest mistake can still breach the law.
Can silence be misleading?
Yes. Where the circumstances reasonably called for disclosure — for example, a major defect known to the seller — staying silent can itself be misleading conduct under the ACL. Half-truths can also mislead where what's left out changes the overall impression.
What remedies can I get?
You can seek compensation for loss caused by the misleading conduct, rescission of the contract, injunctions to stop the conduct, corrective advertising orders, and other orders the court considers just. The ACCC can also seek significant pecuniary penalties for serious or systematic breaches.
What about online reviews and influencer posts?
Fake reviews and undisclosed paid endorsements can themselves be misleading or deceptive conduct under s18. Businesses and influencers are responsible — clear disclosure of paid or incentivised relationships and a ban on fabricated testimonials are core ACL expectations.
What is the misleading and deceptive conduct right in Australia?
Section 18 of the ACL — "misleading or deceptive conduct" — is one of the broadest consumer protections in any common-law jurisdiction. A business must not engage in conduct that is misleading or deceptive, or likely to mislead or deceive. The provision is so wide that it does most of the work in modern Australian consumer litigation.What it covers: advertising, product labelling, sales pitches, websites, social-media posts, and even silence — failing to disclose information you'd reasonably need to know.No intent required: the business doesn't have to mean to mislead. If a...
When does misleading and deceptive conduct apply?
A business made a false or misleading claim in connection with the supply of goods or services.You relied on the claim and suffered loss or damage as a result (e.g., you bought a product you would not have otherwise purchased).Applies to all businesses operating in Australia, including online-only and overseas businesses selling to Australian consumers.
What should I do if a business in Australia made false or misleading claims that caused me loss?
Gather evidence — save screenshots, advertisements, emails, receipts, and any written claims the business made.Contact the business and ask for a remedy (refund, compensation, or correction).If the business does not cooperate, report the conduct to the ACCC online at accc.gov.au or call 1300 302 502.You may also be able to take private legal action to recover your losses through a court or tribunal.
What mistakes should I avoid with misleading and deceptive conduct?
Don’t delete evidence — keep all misleading material, even if the business later corrects it.Don’t assume “puffery” is always allowed — vague claims like “best ever” may be acceptable, but specific factual claims must be true.Don’t assume only big companies are covered — the law applies to sole traders, small businesses, and individuals in trade or commerce.
State-by-state details
New South Wales
Primary statute: Fair Trading Act 1987 (NSW)
The prohibition on misleading or deceptive conduct under section 18 of the ACL is enforced in NSW by both NSW Fair Trading and the ACCC. It is the most commonly litigated consumer protection provision in Australia.
- A business must not engage in conduct that is misleading or deceptive, or is likely to mislead or deceive. This covers advertising, sales practices, product labelling, online representations, and silence (failing to disclose important information).
- NSW Fair Trading regularly takes enforcement action against misleading conduct, particularly in real estate, motor vehicles, health products, and online retail.
- In NSW, misleading conduct claims can be brought in NCAT (for smaller claims), the NSW Supreme Court, or the Federal Court. Remedies include injunctions, compensation, and orders to correct misleading conduct.
- The ACL also prohibits specific forms of misleading conduct including false representations about goods and services (s 29), bait advertising (s 35), and testimonials by persons who do not hold the claimed views (s 34).
Queensland
Primary statute: Australian Consumer Law (Cth), ss 18, 29-37 — misleading conduct
The prohibition on misleading or deceptive conduct under section 18 of the ACL is enforced in Queensland by both the OFT and the ACCC.
- The OFT regularly investigates and prosecutes misleading conduct in Queensland, with a focus on real estate, motor vehicles, tourism, and online retail.
- Queensland's tourism industry is a particular focus area — the OFT monitors misleading advertising of tours, accommodation, and activities (especially in reef and rainforest tourism).
- Claims can be brought in QCAT (for smaller claims), the District Court or Supreme Court of Queensland, or the Federal Court.
- The OFT also regulates real estate agents and motor dealers through industry-specific licensing and conduct requirements, which supplement the ACL's misleading conduct provisions.
South Australia
Primary statute: Competition and Consumer Act 2010 (Cth), s 18 — misleading conduct
Misleading or deceptive conduct is prohibited under section 18 of the Australian Consumer Law, which applies nationally and in SA through the Fair Trading Act 1987 (SA).
- A business must not engage in conduct that is misleading or deceptive, or likely to mislead or deceive. This covers false representations about goods, services, prices, and business identity.
- In SA, both CBS and the ACCC can take enforcement action. CBS has a dedicated team handling complaints about misleading conduct by SA businesses.
- SA consumers who suffer loss due to misleading conduct can claim compensation through SACAT or the courts. The ACL provides for damages, injunctions, and orders to publicise corrective information.
- Common issues in SA include misleading claims about wine provenance (e.g., falsely claiming wines are from a specific SA region), misleading real estate advertising, and deceptive conduct by used car dealers.
Tasmania
Primary statute: Competition and Consumer Act 2010 (Cth), Schedule 2, s 18 — misleading conduct
Misleading or deceptive conduct is prohibited under section 18 of the Australian Consumer Law, which applies nationally and in Tasmania through the Australian Consumer Law (Tasmania) Act 2010.
- A business must not engage in conduct that is misleading or deceptive, or likely to mislead or deceive. This covers false representations about goods, services, prices, and business identity.
- In Tasmania, both CBOS and the ACCC can take enforcement action against misleading conduct.
- Tasmanian consumers who suffer loss due to misleading conduct can claim compensation through the Magistrates Court or higher courts.
- Common issues in Tasmania include misleading claims about tourism services (e.g., misrepresenting accommodation standards or tour experiences), misleading real estate advertising, and deceptive conduct in used car sales.
Victoria
Primary statute: Australian Consumer Law and Fair Trading Act 2012 (Vic)
Full Victoria guide →Western Australia
Primary statute: Australian Consumer Law (Cth), ss 18, 29-37 — misleading conduct
Full Western Australia guide →Misleading and Deceptive Conduct in other states
Same topic, different jurisdiction. Pick the one that applies to you.