Are you a small business owner that has been subject to unfair terms in business contracts? The legal protections for small business against unfair and unconscionable conduct are being considered as part of the Federal Government’s Competition Policy Review. In particular, the government is looking at standard form (or pre-prepared) contracts, which are usually offered to a customer on a ‘take it or leave it’ basis with little opportunity for the customer to vary the terms. These contracts are used for a wide range of transactions including office equipment purchases, leasing of office space and supply agreements. To better protect small businesses from unfair contract terms, the government is looking to provide them with the same protection that is available for consumers. This would mean the courts could cancel out terms it finds unfair in standard form or pre-prepared business contracts offered to small businesses. The Government has asked The Treasury to undertake the review and is seeking your feedback on unfair contract terms, including:
- Any experience you’ve had with unfair contract terms
- What types of businesses or contracts you think needs to be covered by the proposed protection measures
- Your experiences with negotiating business contracts.
You can have your say by either:
- Making a formal submission on the consultation paper
- Submitting a brief comment on your experience with unfair contract terms
- Completing a 10-15 minute survey on your experience with business contracts.
More information about the review can be found, here. The closing date for completing the survey and for submissions is Friday, 1 August 2014.
