Question
Tina is a world class athlete. She is highly competitive, looking for opportunities to maximise performance wherever possible. As such, she extensively researches her attire
Tina is a world class athlete. She is highly competitive, looking for opportunities to maximise performance wherever possible. As such, she extensively researches her attire and footwear, opting for high performance running shoes that minimise impact and fatigue, whilst wearing lightweight and aerodynamic running shorts and polo shirts. Given she competes in the Decathlon, she needs attire that is versatile and durable, lightweight for long distance running, and with firm grip soles for the pole vault and hurdles.
Basics(Tm) have been pushing the boundaries of running shoe technology and are claiming to have achieved great success with their newest product launch, The Destroyer 9000TM. Basics(Tm) claim that the shoe improves speed by 20% through its improved sole and offers 'significant improvements' in durability. Part of the promotional material refers to the shoe being 'ideal for multi-sport athletes'. Additionally, as part of the DestroyerTM range, Basics(Tm) have also introduced microfibre running shorts that are lightweight, and reduce friction, thus greatly increasing performance. Aside from the impressive claims, the range is launched with testimonials from Olympian, Mandrew Phaze, as well as Australian Football League Star, Lachlan Beale. All of this is enough to convince Tina to purchase a pair, as she is onboard with their aggressive slogan 'Kill the competition dead with the Destroyer 9000TM .
Tina decides to wear both the shorts and shoes during Olympic trials. Full of anticipation, Tina makes a fast start to the competition, winning the 100m sprint and Long Jump legs of the event. She notices her legs feel itchy, but dismisses any concerns, focusing instead on her elation on performing so well thus far. The 400m and 1500m middle distance legs of the decathlon prove to be pivotal with Tina finishing 2nd and 3rd respectively in those events, but she is now quite distressed by her leg complaints. Upon looking at her bare skin, she notices severe blistering akin to something a burns' victim might experience. The first day of competition is now over, giving Tina the ability to treat her wounds, opting to treat her leg with various soothing creams and rapping her legs in bandages. Whilst not ideal, she believes she is still capable to finish off the final events of the competition the following day. She also notes that the Pole vault is her 'best' event and is therefore confident of securing first place which would enable Olympic qualification. On her first attempt at 4.75 metres her brand new Destroyer 9000TM shoes suffer a significant malfunction, with the sole virtually tearing in half. As Tina loses all traction just as she is taking off, she launches uncontrollably into the air, misses the landing mat, and badly injures her arm. Not only will she be unable to compete at the next Olympics, there are grave fears she may never return to high level competition given the seriousness of her injury.
After independent testing and analysis, the claims of improving speed are proven to be fraudulent. Basics(Tm) can produce no data to support the claim, and the independent analysis suggests that due to the new design, speed is actually reduced, when compared with several leading brands of other similar shoes. The durability claims also appear to be a matter of fiction. The durability of the shoe is so poor that regulators are considering banning the shoes from sale, effectively declaring them as unsafe for anything more than walking. Given the controversy, Mandrew Phaze and Lachlan Beale are asked if they stand behind the brand. The two men are confused as they have never had an association with Basics(Tm) and did not know such an association had been claimed.
In a further blow for Basics(Tm), the non friction fibres in their new range of shorts and other clothing items have been found to contain a chemical that produces severe burning reactions with skin. The cloth range is quickly pulled from the market. The chemicals were known to cause issues with skin contact, but the company believed a diluted form of the chemical would not cause the same problems. Basics(TM) performed some tests on with the chemical, but the tests were very small scale and not of the kind ordinarily taken to guarantee the safety of a new product launch. Tina watches these developments unfold and becomes more and more angry as each new piece of information is revealed. Tina is now contemplating a lawsuit and has made a formal complaint to the ACCC.
Please advise what actions may be taken by Tina or the ACCC. Please restrict your answer to discussions of the Australian Consumer Law and associated Case law.
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