Ignorance no excuse label told

MELBOURNE: The owner of children's clothing and accessories label Oobi Baby has learnt the hard way that ignorance of the law is no defense, after being fined $40,000 by the Federal Court. Government watchdog the Australian Competiton and Consumer Commission (ACCC) took Alexandra Riggs to court in July alleging she had engaged in resale price maintenance by contacting internet-based retailers and informing them products would not be supplied unless they agreed not to sell them at a discount.

While Riggs admitted knowing the alleged offences, she claimed she was unaware her actions were illegal.

In a statement released this morning (September 3), ACCC chairman Graeme Samuel said the case demonstrated that traders needed to be aware of what the law states or risk getting themselves into "serious trouble".

"The internet has given many more people the opportunity to get into business, but they have to realise that all the same laws apply online," Samuel said.

The court ordered Oobi Baby to pay a pecuniary penalty of $40,000, pay $10,000 towards the ACCC's costs and publish a corrective notice on its website.