Qantas and Alpha Flight Services have been fined for product safety breaches.

 

Last month the Federal Court in Melbourne headed by Justice Tony Pagone ruled that magnets being sold via Qantas’ ‘In Sky Shopping’ website operated by Qantas Airways and Alpha Flight Services contravened product safety law as a risk to children.

 

Consumer Affairs Victoria says it commenced proceedings after becoming aware that Qantas was offering to supply small, high-powered magnets – that were subject to a permanent ban – through its duty free programme operated by Alpha Flight Services.

 

The magnets, known as ‘Nano Magnetics Nanodots Onyx/Gold’ were available for purchase via Qantas’ ‘In Sky Shopping’ website between August and September 2013. However, seemingly unknown to Qantas and Alpha these magnets had already been deemed to be a health risk to children from choking or suffocation.

 

[It has apparently been claimed that if children swallow a number of these magnets they can lock together through the intestine walls and cause perforations and blockages – and/or lead to serious infections of worse-Ed].

 

The court ordered Qantas Airways to pay a fine of A$200,000 ($161,502) and its inflight duty free programme operator Alpha Flight Services another A$50,000 ($40,397) for contravening product safety provisions under Australian Consumer Law.

 

PRODUCT SAFETY NOTICES

In the case entitled ‘Director of Consumer Affairs Victoria v Alpha Flight Services Pty Ltd’ (where Qantas was the second respondent) Justice Tony Pagone was critical. He said that at the time of the goods being offered, neither Qantas nor Alpha had ‘the necessary mechanisms’ to ensure that a prohibited product could not be offered for sale.

 

In addition to the penalties, he also ordered in his judgment late last month that Qantas and Alpha must publish public product safety notices on their respective websites and also in the next available ‘In Sky Shopping’ catalogue; and also in The Australian and Financial Review newspapers.

 

Pagone also ordered both companies to refund monies to consumers returning the Nanodots and pay a fixed sum of A$60,000 ($48,572) in legal costs, plus the costs associated with Consumer Affairs Victoria destroying and disposing of the goods.

 

The full case evidence, arguments and judgments can be viewed here: http://www.austlii.edu.au/au/cases/cth/FCA/2014/1434.html