The provisions of the Trade Practices Act
1974 and the operations of the Australian Competition and
Consumer Commission (ACCC) are also matters of interest to the
Shopping Centre Council of Australia. In 1992 the unconscionable
conduct provisions of the Trade Practices Act were extended to
businesses (section 51AA) and in 1998 the unconscionable conduct
provisions were specifically tailored to retail property with
the introduction of section 51AC. These provisions have since
been mirrored in retail tenancy legislation in Queensland, NSW,
Victoria and the Northern Territory.
In response to recommendations of the Senate
Committee inquiry into ‘the effectiveness of the Trade Practices
Act 1974 in protecting small business’ the Federal Government
announced in June 2004 a number of proposed changes to section
51AC. These are still to be considered by the Federal
Parliament.
Some retailer associations have argued that
the relatively few cases which the ACCC has pursued under
section 51AC is evidence that these provisions are not working
and should be expanded. SCCA has pointed out that this is
actually a reflection of the very small number of complaints of
unconscionable conduct which the ACCC receives. Last year,
according to the ACCC’s own statistics, fewer than two in every
1,000 retail leases results in a complaint of unconscionable
conduct. A complaint, of course, is not evidence that such
conduct has occurred.
Amendments to the Trade Practices Act to
facilitate collective bargaining by small businesses in response
to recommendations by the Dawson Inquiry into the Trade
Practices Act in 2003 are still before the Federal Parliament.
In the last few years the ACCC has
increasingly taken an interest in shopping centre matters. It
has advocated a national code, under Part IVB of the Trade
Practices Act, as a means of ensuring greater national
consistency in retail tenancy regulation. The SCCA has opposed
this because of our concern that, in the absence of a commitment
by State and Territory Governments that they would repeal their
own retail tenancy legislation, a national code would simply
mean an additional layer of regulation.
SCCA
submissions on aspects of the Trade Practices Act are
available here.