The consumer watchdog’s long-running fight with an Australian company over six contentious Google Ads is set to rumble on.
And at stake could be millions of dollars.
The Federal Court in November slapped workplace relations advisor Employsure with a $1 million fine for making misleading representations on a series of Google Ads.
But the Australian Competition and Consumer Commission (ACCC) is now appealing that fine as it seeks an even tougher penalty.
During a years-long court battle, dating back to 2018, the ACCC had initially sought a penalty of $5 million.
In October 2020, Employsure seemed to have emerged the victor, with the Federal Court dismissing the ACCC’s case.
But the ACCC appealed the ruling and won, with the court then handing down the $1 million fine.
The Google Ads in question appeared in response to search terms such as “fair work ombudsman” and were published between August 2016 and August 2018, with headlines such as “Fair Work Ombudsman Help – Free 24/7 Employer Advice” and “Fair Work Commission Advice – Free Employer Advice”.
Employsure were found to have made misleading representations that it was, or was affiliated with, a government agency.
The ACCC said it had received over 100 complaints about the ads and Employsure, which operates in Australia and New Zealand.
The Employsure website states the company is “one of the largest providers of workplace relations, and health and safety services in Australia”, and works with more than 30,000 businesses.
“We were concerned Employsure’s Google ads potentially misled thousands of Australian businesses over a two-year period into contacting Employsure, thinking they were dealing with a government agency, or one affiliated with the government,” ACCC Deputy Chair Mick Keogh said in a statement today.
“We believe a higher penalty is necessary and appropriate having regard to the nature of the conduct and size of Employsure, to ensure that internet advertisers are sufficiently deterred from misleading consumers about who they are dealing with.”
9news.com.au has contacted Employsure for comment.
No date has been set for a Federal Court appeal.
Source: 9News