The Federal Court has found against the ACCC in considering changes to Medibank’s coverage for certain out-of-pocket expenses and related representations made in various Medibank documents. In rejecting the ACCC’s contentions, the Court undertook a detailed and careful analysis of Medibank’s materials. While the Court rejected an artificial reading of materials, the case highlights the compliance risk for companies where documents, or portions thereof, may be read out of context. Also, and again while the ACCC was not successful, the proceedings highlight the willingness of the ACCC to allege that conduct is unconscionable. This is an area where the law is still developing and we would expect that the ACCC will continue to test the boundaries of whether a claim for unconscionability may
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The Australian Federal Court rules against the Competition Authority in considering alleged misleading and deceptive conduct of a private hospital (Medibank)
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