The Australian Competition and Consumer Aviation[ACCC] has alleged Samsung to mislead customers over the water resistance of the phone. ACCC alleges that Samsung has been depicting the phones in unsuitable environments such as swimming pool and oceans when it does not have the basis to make this representation.
The organization has already instituted the federal court proceedings against Samsung Electronics Australia alleging that it has misled the customers with its representation and deceived the customers to buy the phones. The claims involve 300 advertisements for Samsung Galaxy phone which represents that phone can be water resistant up to 1.5 meters for 30 minutes.
ACCC released an article on their site involving the case. “The ACCC alleges Samsung’s advertisements falsely and misleadingly represented Galaxy phones would be suitable for use in, or for exposure to, all types of water, including in ocean water and swimming pools, and would not be affected by such exposure to water for the life of the phone, when this was not the case,” ACCC Chair Rod Sims said.
The ACCC also claims that phones were not water resistance for types of water as Samsung website advise to not use the phone near the beach or pool. “Samsung itself has acknowledged that water resistance is an important factor influencing Australian consumer decisions when they choose what mobile phone to purchase,” Mr. Sims said.
According to the reports, Samsung has sold over 4 million Galaxy phones in Australia While ACCC clearly says “Under the Australian Consumer Law, businesses cannot mislead consumers about their products’ capabilities. Any attempt to do so will risk court action from the ACCC.”
Samsung is in hot water and it can lead to a multi-billion dollar for the company. While the company said it will stand by its advertisement as it has compiled the law.