Do not read the new ban as replacing or narrowing misleading conduct, unconscionable conduct, false representations or the other Part 3-1 prohibitions. A compliance review should test both.
Who it binds. Suppliers, advisers and reviewers who scope a consumer law assessment.
Operative term. limits by implication
What this means in practice
A common mistake after a new prohibition is to retire the old checklist. This section prevents that. A price claim can still be misleading under Part 3-1 even if it does not meet the new two-limb test. A contract term can still be unfair under the unfair contract terms regime. The practical effect is that a review has two passes: the new conduct test and the existing prohibitions. Keep the evidence for both in one file so a later challenge does not split the story.
How to test it
For each consumer-facing change, run the existing Part 3-1 questions first, because they are familiar: is the claim true, is the term fair, is the conduct unconscionable? Then run the new two-limb test. If either pass raises a question, escalate. Record the result of both passes on the same release record. The section does not create a new cause of action; it stops a supplier arguing that the new Part somehow displaces the old one.
Evidence to keep
The Act does not prescribe these records. They are the artefacts our reading says a regulator or auditor may ask for; keep the ones that fit your business and the provision.
- Dual review recordOne release record showing the Part 3-1 check and the Part 2-4 check, both signed.
- Claims substantiationThe proof behind each price, benefit or comparison claim, dated.
- Contract terms reviewThe unfair contract terms assessment for the standard form contract.
- Legal registerThe register that lists both regimes and the owner for each.
- Incident logAny matter assessed under both regimes, with the outcome and the lesson.
What to do first
- Add the new Part to the existing consumer law checklist rather than creating a separate silo.
- Keep one release record with both passes and the reviewer names.
- Brief the marketing team that a true statement can still fail the new test.