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You are a Regulatory Compliance Officer at Enverno Group, a manufacturer of kitchen goods. Enverno Group is about to release a new range of reusable

You are a Regulatory Compliance Officer at Enverno Group, a manufacturer of kitchen goods. Enverno Group is about to release a new range of reusable metal straws, depicted below. [Image depicts a left hand holding a number of reusable metal straws.] On 14 February 2024, Shahla (Chief Marketing Officer at Enverno Group) uses ChatGPT version 3.5 (available at https://chat.openai.com/) to draft a script for a Spotify advertisement that will be used to promote these reusable metal straws. Shahla inputs the following prompt: 'I want a transcript for a Spotify ad for reusable metal straws. I want it to talk about "saying goodbye to plastic" and I want to include an endorsement from a celebrity who supports environmental causes.' ChatGPT returns the following script:1 [Background music playing softly] Narrator: "Are you ready to make a change? Say goodbye to plastic and hello to sustainability with our eco-friendly reusable metal straws." [Sound of metal clinking] Narrator: "It's time to take a stand against single-use plastics that harm our environment. Our stainless steel straws are durable, stylish, and perfect for sipping on your favorite beverages." [Sound of sipping] 1 Note to students: This hypothetical scenario involves a genuine use of ChatGPT version 3.5, where on 14 February 2024, Associate Professor Benjamin Hayward of the unit team used the exact prompt quoted here and generated the exact script reproduced here. Narrator: "But don't just take our word for it. Listen to environmental advocate and celebrity, Emma Watson, as she shares her thoughts on our reusable metal straws." [Sound of Emma Watson speaking] Emma Watson: "As someone deeply passionate about protecting our planet, I believe in the power of small changes to make a big difference. Replacing disposable plastic straws with reusable alternatives is a simple yet impactful step towards a greener future. That's why I fully endorse these metal straws. Let's sip responsibly and together, let's save our oceans." [Sound of applause] Narrator: "Join Emma and countless others in the fight against plastic pollution. Make the switch to reusable metal straws today and sip with a clear conscience." [Sound of metal clinking and gentle music fades out] Narrator: "Available now on Spotify and at your nearest retailers. Together, let's make every sip count." In April 2024 you meet with Shahla to review her proposed advertising campaign. She brings with her the script set out above, and also a sample of the actual product as it will be presented to consumers (depicted below). [Image depicts a set of reusable metal straws which are each individually wrapped in soft plastic, with an additional larger soft plastic bag that those individually bagged straws will then be packaged in, and a black fabric bag that will contain the larger soft plastic bag for display on store shelves.] You and Shahla have the following conversation: You: Wow, the straws are great but ... Isn't the packaging a bit over the top? Shahla: Ah, it's pretty standard for this kind of thing. All of our competitors package their reusable straws like this. Don't worry about it. Hey, I've prepared a script for our Spotify advertisements - it was really easy, I used ChatGPT and it put the whole thing together in an instant! [Shahla passes the script to you and you read it.] You: Hmmmm, have you thought this through? I mean, some of our customers might be concerned about all this plastic packaging, particularly given the script's references to saying goodbye to plastic and standing against single-use plastics. Shahla: Even with that packaging, though, the straws are still more environmentally friendly than using a lot of single-use plastic straws. I'm sure our customers would understand that. You: Well, maybe, but maybe not. Anyway ... I'm blown away that Emma Watson is providing us with an endorsement though. The Harry Potter movies are my favourite films of all time! How did we manage to arrange that? Shahla: Well, we technically didn't - and with technology these days, we don't even need to! We'll have an AI generated deepfake voice that sounds just like the real Emma Watson to read that quote in the Spotify ad. We're also working on a YouTube version that will be slightly different - the narrator's voice will make all the same points, and we'll show a picture of Emma Watson instead. We won't have any trouble finding a good picture on Google Images! Amaaaaazing, isn't it? You: Well ... Kind of amazing, I guess. What about the price, by the way? Shahla: Oh! Forgot to tell you. We'll also have the price displayed on screen in the YouTube version. Delivery will be extra, of course, but there's no way to convey that effectively in the YouTube ad since delivery costs will vary across different parts of Australia, so we'll leave that out. Who doesn't know that delivery fees apply all the time, ah? You: Mhhh ... I'm not quite sure about that either. I think this script is really borderline so far, Shahla. Have you tried the straws by the way? Shahla: Yes, they are fantastic! You: But isn't there at least some risk (even if slight) of damage to our customers' teeth? Shahla: Well I guess, in theory, but you can be hurt by anything if it's used in the wrong way. Just ask my sister when her young daughter throws her toys around! You: This is a lot to take in, but perhaps I can summarise what I'm thinking right now in this way. There's an old saying about dry cleaning - it can be fast, good, and cheap, but you have to pick just two. The script we have here was free, and was produced in an instant, but I'm not sure it's good in terms of its compliance with the Australian Consumer Law's rules on misleading or deceptive conduct and false or misleading representations. Shahla: Well, if it does need to be changed, then we haven't really lost anything - it was less than a minute's work, and after all, we're still a while away from the product launch. If you think there are issues, can you put your legal analysis into a memorandum by the end of the week? We can still re-work the campaign in time for endorsement by the Board. That would be really helpful. You: Sure thing. No worries. You start working on your memorandum. The best outcome here is to make sure that the straws are a commercial success and that there are no misleading conduct (or false or misleading representation) issues, after all! Your task: make a written memorandum, , that is between 1,000 and 1,500 words. Your memorandum must be addressed to the Marketing Group, and must address the following questions: What conduct or representations exist in the proposed Spotify advertisement and in the proposed YouTube advertisement that you consider might be problematic under the Australian Consumer Law? Providing full legal explanations, and references to sources of law, does that conduct and do those representations contravene relevant provisions? Assuming that there are risks linked to metal straws that are known to Enverno Group, does Enverno Group need to disclose those risks, according to the Australian Consumer Law? What are the legal consequences that might follow should Enverno Group's advertising still contravene the Australian Consumer Law?

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