Direct Marketing
a Model Code of Practice

A model code prepared
by the
Ministerial Council on
Consumer Affairs

September 2003

© Australian Government 2003

ISBN 0 642 74205 7

This work is copyright. Apart from any use as permitted under the Copyright Act 1968, no part may be reproduced by any process without prior written permission from the Commonwealth available from the Department of Communications, Information Technology and the Art. Requests and inquiries concerning reproduction and rights should be addressed to:

The Commonwealth Copyright Administration
Intellectual Property Branch
Department of Communications, Information Technology and the Arts
GPO Box 2154
CANBERRA ACT 2601

Or posted at:

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Printed by Pirion Pty Limited

Foreword

The Ministerial Council of Consumer Affairs is pleased to release this revised edition of the Direct Marketing Model Code of Practice (‘the Model Code’).

The Model Code represents a best practice model of conduct between direct marketers and consumers. Industry Associations whose members are involved in direct marketing are encouraged to establish their own codes based upon the provisions contained in this Model Code. Individual companies are also encouraged to adopt the standards set out in this Model Code.

The Ministerial Council of Consumer Affairs encourages businesses to regulate themselves rather than rely on the government to do it for them. Effective self-regulation has the potential to achieve greater and lasting improvements in business practices by using negotiation and consultation rather than prescriptive legislation and enforcement. Consumers can benefit from a greater focus by business on customer service and on being responsible and accountable for regulating its own behaviour.

Where self-regulation is not an effective tool in addressing inappropriate direct marketing practices increased involvement by regulators may be necessary.

The Ministerial Council of Consumer Affairs will continue to monitor and review the Model Code on a two yearly basis. This regular review will ensure that the standards established in the Model Code remain relevant and effective in building consumer confidence in direct marketing in the context of a growing global market place.

Signed

MINISTERIAL COUNCIL OF CONSUMER AFFAIRS

Contents

Foreword

Part 1: Introduction

Background and objectives
Status of code
Application
Exemptions
Conflicting legislation
Adopting the code
Citation
Interpretation

Part 2: Fair trading requirements

Marketing claims
Unfair conduct
Information prior to the formation of the    contract
Information at the time of delivery
Incentives
Pyramid sales
Minors
Delivery
Payment
Right of cancellation
Unordered goods and services
Substitute goods or services
Cost of returning goods

Part 3: Privacy requirements

Part 4: Marketing conduct

Identification information
Information to be provided on request
Third party marketers
Removal from lists
Commercial e-mail
Telemarketing

Permissible hours of calling
Line disconnection times
Calling line identity
Frequency of calling

Part 5: Complaint and dispute handling procedures

Internal complaint handling procedures
Referral to external dispute resolution processes

Part 6: Administration of the code

Review of the direct marketing model code of practice

Appendix 1: Summary of the statutory warranty scheme

Contacts

State and Territory
Australian Government

Next: Part 1: Introduction
Return to: Code of Practice Contents