Jun 22 / Watchdog Compliance

$14M penalty for misleading advertising

Samsung Australia has been ordered by the Federal Court to pay $14 million in penalties after it admitted that it mislead consumers about the water resistance of its phones with advertising showing images of people using their phones in pools and seawater. Samsung Australia acknowledged that if the Galaxy phones were submerged in pool or sea water there was potential for the charging port to become corroded and stop working if the phone was charged while still wet.

This case is a timely reminder about the risks of making product claims that may not be able to be substantiated.

If you would like to update the awareness of your marketing teams, get in touch!