Carsales to take Carsguide to court
Carsales.com will take smaller rival Carsguide.com.au to court over alleged misleading and deceptive conduct with relation to a new advertising campaign launched earlier in June.
Documents filed with the Supreme Court of Victoria on Thursday state that Carsales believes that One Way, through Carsguide, made seven representations in its new marketing campaign which it says are false.
Among the representations that Carsales has taken issue with is that the business provides users contact details to car dealers without them knowing or being informed, as well as details being sold to multiple dealers – not just for the car being enquired about -, and users of Carsales, without passing on their contact details, cannot contact sellers.
The television, radio, print and outdoor advertisement campaign has been across at least Queensland, New South Wales and Victoria, Carsales alleges.
In one particular outdoor advertisement near Carsales headquarters in Melbourne a billboard stating “Let lightning strike those who sell your contact details to dealers” with Carsales alleges “a likeness of a lightning strike pointing to the nearby premises of Carsales.com”.
Carsales claims that all seven representations, outlined in the court documents, are false.
The court documents reveal that lawyers of Carsales twice contacted those for Oneway, Carsguide to put an end to the campaign – which Carsales said was refused on both occasions. However there was a small amendment made to a particular radio advertisement.
Carsales is seeking to have the court stop the campaign and, at the expense of Carsguide, undertake a new advertising campaign “correcting” the alleged misrepresentations.
Carsales is also seeking damages, although the amount is not defined, and legal costs.
The first hearing will take place on July 10.
Carsales and Carsguide have been contacted for comment.
Carsales is a listed Australian company with a market capitalisation of $2.4 billion.
source:- http://www.smh.com.au
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