Global One Mobile Entertainment (trading as Mobile Active) faces Federal Court action for alleged breaches of the Trade Practices Act 1974, with the Australian Competition and Consumer Commission instituted proceedings against it and 6G Pty Ltd yesterday.
Mobile Active sells a range of “premium mobile services” and the ACCC has alleged that from February 2010, 6G and Global One made false or misleading representations, while advertising mobile premium services on television, in breach of the Trade Practices Act 1974.
The relevant television advertisements were promoting subscription services including:
- mobile phone ringtones including “One Time” by Justin Bieber
- entry to a quiz with a prize of $100,000
- a mobile phone game called Space Invaders, and
- a mobile phone game called Doodle Jump.
The ACCC alleges that, in promoting each of these services, 6G or Global One represented that a consumer could buy the service at a one-off cost when in fact the consumer was actually requesting access to a subscription service.
The ACCC is seeking relief from the court which includes the payment of pecuniary penalties, the publication of corrective television advertisements, declarations, the implementation of a trade practices compliance program and costs.
The matter has been set down for a scheduling conference before Justice Bennett on 7 December 2010.
