[DNS] ACCC Alleges Internet Business Directory Misled Small Businesses Regarding Internet Domain Name Registration

[DNS] ACCC Alleges Internet Business Directory Misled Small Businesses Regarding Internet Domain Name Registration

From: Neale Banks <neale§lowendale.com.au>
Date: Thu, 5 Apr 2001 16:46:38 +1000 (EST)
http://203.6.251.7/accc.internet/digest/view_media.cfm?RecordID=306

The Australian Competition and Consumer Commission has instituted
proceedings in the Federal Court of Australia in Brisbane alleging
    misleading and deceptive conduct by Mr Stephen Henry Wayt, the
proprietor of COM. AU. REGISTER in breach of the fair trading
    provisions of the Trade Practices Act 1974. 

    The ACCC has alleged that between January and March this year, COM.
AU. REGISTER sent businesses and organisations throughout
    Australia a facsimile that stated: 

    "The registration of your Internet Address&#167;reg.com.au is now due.
Please check the current company information listed within our database
    as detailed below and where applicable advise any additions or
alterations as necessary. Registration for 12 months $330.00 inc GST." 

    After receiving a number of complaints, the ACCC has taken legal
action against Mr Wayt alleging that the fax was likely to mislead or
    deceive recipients into believing that COM. AU. REGISTER was
responsible for registering Internet domain address registration and that
it
    had dealt with those businesses and organisations previously. 

    The ACCC has alleged that COM. AU. REGISTER is not able to provide
Internet domain address registration and is simply a directory of
    business names with details of Internet addresses. The ACCC also
alleges that COM. AU. REGISTER had no significant prior dealings with
    the businesses or organisations that it sent the faxes to. 

    The ACCC has also alleged that some of COM. AU. REGISTER's Internet
site representations were likely to mislead or deceive businesses
    and organisations. For example the ACCC alleges the site represented
that COM. AU. REGISTER had 750,000 listings when in fact less than
    200 businesses had agreed to be listed and the remaining listings were
provided free of charge and without reference to the listed businesses.
    The Internet site also contained a representation that a benefit of
obtaining the services of COM. AU. REGISTER was that inquiring parties
    could verify registration details through the site to ensure
compliance with applicable taxation and statutory authorities whereas the
ACCC
    alleges COM. AU. REGISTER could not provide that service. 

    By engaging in such conduct the ACCC alleges that Mr Stephen Wayt
acted in breach of section 52 and 53 of the Act.

    The ACCC is seeking Court Orders including declarations that Mr Wayt
breached the Act, injunctions to prevent Mr Wayt from making
    similar representations in the future and to implement a Trade
Practices Compliance Program in any future business of which he has
    managerial control. The ACCC is also seeking an order for costs. 

    At this stage, COM. AU. REGISTER has closed down its website and
advised the ACCC that all money paid to COM. AU. REGISTER has
    been refunded to customers. 

    The first directions hearing is listed for 12 April 2001 in the
Federal Court of Australia, Brisbane. 

    MR 74/01 

    5 April 2001 
Received on Thu Apr 05 2001 - 14:37:19 UTC

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