PROVING JUST HOW DANGEROUS incautious advertising can be, Australia’s largest manufacturer of caravans and recreational vehicles, Jayco Corporation, is facing legal proceedings brought by the ACCC for making allegedly misleading representations when advertising certain models of its RVs in ‘off-road’ conditions.
Jayco says it will “vigorously defend the claims brought by the ACCC and thereby seek to vindicate its reputation as a manufacturer of high-quality Australian products”.
The problem arises because many caravan manufacturers and importers, including Jayco, have been found to be advertising off road-capable caravans which would, in fact, invalidate the product’s warranty, especially in using them away from unsealed roads.
The ACCC alleges that since January 2020, Jayco engaged in misleading or deceptive conduct and made false or misleading representations to consumers by representing that its Outback, All Terrain and CrossTrak RVs were designed for use off-road and/or on four-wheel drive (4WD) only tracks when, in fact, they are not.
“We allege Jayco misled consumers by advertising the RVs in terrain in which they were not designed to be used and were not covered by its warranty,” said an ACCC spokesperson. “When a product is depicted in advertisements in a particular setting, or claims are made about it, consumers have a right to expect such images and words reflect the intended use of the product.”
A Jayco spokesperson said the company had been engaging with the ACCC for almost two years prior to the watchdog launching legal action. “After nearly 20 months of engagement with the Australian Competition and Consumer Commission (ACCC), and despite the ACCC seeking and being provided with detailed submissions and documentation from Jayco Corporation Pty Ltd (Jayco), the ACCC has decided to commence proceedings in the Federal Court of Australia alleging contraventions of the Australian Consumer Law.” They continued, “Jayco categorically denies that any of its advertising or promotional materials misrepresented or misled consumers about the off-road capabilities of its Outback, CrossTrak and All Terrain recreational vehicles.”
“Jayco will vigorously defend the claims brought by the ACCC and thereby seek to vindicate its reputation as a manufacturer of high-quality Australian products. Jayco has a proud legacy spanning over 50 years as Australia’s leading manufacturer of over 275,000 RVs and caravans, with an unwavering commitment to quality, safety, and customer support. Jayco will continue to stand behind its products, its warranty, its people and its customers as it defends the claims through the legal process.”