Product safety compliance with the ACCC under the ACL
Suppliers of consumer goods in Australia must comply with mandatory product safety standards, bans, and reporting obligations under the Australian Consumer Law in Schedule 2 of the Competition and Consumer Act 2010 (Cth). The ACCC leads national product safety regulation and enforces recalls. This guide covers the 10 core obligations.
Coverage
Manufacturers, importers, wholesalers and retailers of consumer goods in Australia, including online marketplaces, direct-to-consumer brands and private-label retailers.
Legal basis
Australian Consumer Law (Schedule 2 of the Competition and Consumer Act 2010 (Cth)), particularly Part 3-3. Consumer Goods (Product Safety) Standards, bans and information standards. State Fair Trading Acts for state-level enforcement.
The obligations
Meet mandatory safety standards
Supply only consumer goods that comply with applicable mandatory safety standards declared under the ACL — for example, children's toys, button batteries, prams and bicycles.
Do not supply banned goods
Do not supply goods subject to a permanent or interim ban under the ACL. Banned goods must be removed from sale, including unsold stock and online listings.
Comply with information standards
Provide the information required by applicable information standards — for example, tobacco, cosmetics and yellow-tongued parasite warnings on specific products.
Mandatory report serious injuries
Submit a mandatory report to the ACCC within two days of becoming aware that a consumer good has caused, may have caused or could cause a serious injury, illness or death.
Run compliant recalls
When a safety issue arises, conduct a voluntary recall under the ACCC's Product Safety Australia recall system or comply with a compulsory recall issued under s 122.
Monitor button battery and infant sleep rules
Specifically meet the button and coin battery mandatory standards and infant sleep product standards, including secure compartments and warning labels.
Meet the ACL consumer guarantees
Supply consumer goods that meet guarantees of acceptable quality and fitness for purpose so defective products also trigger remedies under Part 3-2.
Control supply chain compliance
Obtain supplier compliance certificates and test reports for imported and private-label goods, and include flow-down warranties and indemnities in supply agreements.
Manage online marketplace obligations
Online marketplaces must remove banned or non-compliant goods on notice, maintain seller verification and support recall communications.
Keep product safety records
Keep safety test results, compliance certificates, incident logs and recall records for the life of the product plus the applicable limitation period.
What happens if you do not comply
Civil penalties for breaches of mandatory standards, bans and information standards can reach the greater of $50 million, three times the benefit or 30% of adjusted turnover for corporations. Criminal offences and injunctions also apply.
Reporting requirements
Suppliers must lodge mandatory injury reports to the ACCC within two business days, notify recalls under s 128, and respond to substantiation notices, product safety investigations and compulsory recalls.
What firms should do today
- Maintain a living register of applicable standards, bans and information standards
- Run a pre-launch safety compliance check for every new SKU
- Set a 48-hour mandatory injury reporting SLA
- Keep supplier audit and test report evidence for every product line
- Rehearse voluntary recall communications with retailers and marketplaces
Compliance with Quillio
Quillio reviews supply, distribution and marketplace agreements to align product safety warranties, recall triggers and indemnity flow-downs with ACL obligations. See /resources/security.
This guide is general information about product safety compliance in Australia — not legal advice. Suppliers should confirm specific standards and recall obligations with a lawyer or ACCC specialist.
Build compliance into your stack.
Quillio is built around AU compliance from the ground up — SOC 2 Type II + ISO 27001 + Australian data sovereignty. The free trial requires no sales call.
Start your free trial