Scoopon allegedly mislead consumers about vouchers

ONLINE voucher and coupon dealer Scoopon is facing misleading conduct charges in the Federal Court.

The Australian Competition and Consumer Commission filed papers with the Brisbane court this week against one of the nation's largest online group buying sites which makes deals with business to sell heavily discounted goods or services, often marketed through social media.

The ACCC has alleged the company misled consumers regarding their ability to redeem vouchers, refund rights and the price of some goods advertised.

It was also alleged Scoopon had misled businesses by claiming between 20% and 30% of vouchers would not be redeemed, when there was "no reasonably basis for this representation".

Chairman Rod Sims said the commission had made online issues a "compliance and enforcement priority", in an effort to ensure digital sales delivered competition benefits to consumers.

"Businesses must have reasonable grounds when making representations to consumers and to other businesses," he said.

"The ACCC is working to ensure that consumers making purchases online are not misled and that online traders take adequate steps to meet their obligations under the Australian Consumer Law."

Topics:  australian competition and consumer commission federal court

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