Bedding retailer Bedshed Franchising Pty Ltd has paid $39,600 in penalties after the Australian Competition and Consumer Commission issued it with two infringement notices for allegedly making false or misleading representations to consumers regarding endorsement by the National Disability Insurance Scheme (NDIS).
This action comes after the ACCC put businesses on notice of its focus on problematic advertising practices targeting NDIS participants in November 2024.
The ACCC alleges that Bedshed advertised on its website and Google Ads that some of its mattresses, furniture and bedding accessories were ‘NDIS approved’ and ‘NDIS permitted’.
ACCC Chair Gina Cass-Gottlieb said “The NDIS does not approve any specific goods or services and to suggest otherwise is misleading and risks taking advantage of vulnerable consumers.
“Each NDIS participant has unique needs, and what’s funded under their plan is determined individually, not through a list of approved products. Targeting consumers experiencing vulnerability or disadvantage with misleading advertising is particularly concerning, and we are continuing to investigate companies making similar claims,” Cass-Gottlieb said.
The ACCC chair said these infringement notices be a caution to all businesses that they must reflect the facts when advertising products or services to NDIS participants.
In December 2023, the Australian Government established the NDIS (Fair Price and Australian Consumer Law) Taskforce, which comprises of the ACCC, the NDIS Quality and Safeguards Commission and the National Disability Insurance Agency (NDIA). The taskforce was established to address concerns that NDIS participants were being charged more for goods and services than other consumers, and to address potential breaches of Australian Consumer Law.
