IRACS Q. A farmer, poorly educated and unable to read or write, purchased a tractor for use on his own farm on credit terms involving an oppressive interest rate from a local tractor agent on behalf of a national distribution company. The interest payments are crippling the farmer financially and he wishes to avoid the agreement on the basis that the salesperson took unfair advantage of his inability to read and write and failed to explain the harsh credit terms. His best friend Joel told him that he may seek assistance under Australian Consumer Law. Advise the farmer under Consumer Law.

Q. Recently, a corporation has been advertising an electronic muscle stimulation product known as "Slender tone" in women's magazines, stating that the product can: "tone and firm any part of the body with no effort by the user", "provide the user with the benefit of a workout without exercise", "reduce the user's body measurements by 4 cm or more" and "give the user, in 40 minutes per day, the equivalent of 300 general exercises". Jeanette was so convinced that she bought a machine 3 months ago, but the product in fact does none of these things. Advise Jeanette under Consumer Law.

Q. To promote the integrity of its welding machines, Power Machines Pty Ltd intends advertising that its machines have been endorsed and approved for use by the State Electricity Commission. In fact, they have not. The company believes sales will take off once the advertising has commenced, but unfortunately their senior technical engineer, who can answer the expected inquiries, is going on leave. The company advertised the position in the Canberra Times and Lorraine applied for the job. The job advertisement stated that the position was "permanent" and "ongoing" when in fact it was a maternity leave position available for 12 months only. Lorraine quit her current job after receiving the job offer and is now distressed that the position is not permanent. Advise Power Machines Pty Ltd and its directors under Australian Consumer Law, as to their likely liability for all the above advertising activities.

Q. To promote the integrity of its welding machines, Power Machines Pty Ltd intends advertising that its machines have been endorsed and approved for use by the State Electricity Commission. In fact, they have not. The company believes sales will take off once the advertising has commenced, but unfortunately their senior technical engineer, who can answer the expected inquiries, is going on leave. The company advertised the position in the Canberra Times and Lorraine applied for the job. The job advertisement stated that the position was "permanent" and "ongoing" when in fact it was a maternity leave position available for 12 months only. Lorraine quit her current job after receiving the job offer and is now distressed that the position is not permanent. Advise Power Machines Pty Ltd and its directors under Australian Consumer Law, as to their likely liability for all the above advertising activities.

Q. Smart-attire is a prestige men's clothing manufacturer, wholesaler and importer. Smart-attire entered or attempted to enter into agreements with retailers specifying minimum prices below which certain lines of suits could not be resold or advertised for sale. Smart-attire also expanded into footwear and accessory items such as neckties, and for some of the retailers, who are new to the industry, Smart-attire plans to include a condition in the agreement that these retailers are to exclusively sell only the clothing, footwear and accessories from Smart-attire's range. Advise Smart attire of their conduct in accordance with competition law.