The Minister for Financial Services & Regulation, Joe Hockey, today unveiled a world-class code of conduct for Australian businesses operating over the Internet.
The code is called Building Consumer Sovereignty in Electronic Commerce: A Best Practice Model for Business.
"This model reinforces the Government's objective of establishing a world-class consumer sovereignty environment in Australia. It translates best practice in consumer protection and industry self-regulation to the online marketplace," the Minister said.
The Best Practice Model spells out the responsibilities of businesses that trade online. It also gives consumers added confidence about shopping on the Internet.
'The aim is to build consumer confidence in Australian e-commerce vendors and subsequently, Australia's reputation as a place to do business."
Key recommendations are:
A qualified 'opt in' arrangement for commercial e-mail whereby businesses can only forward e-mail to existing customers and those who have requested it;
A requirement that businesses clearly identify themselves to match the off-line environment. This will occur through physical address, phone and fax numbers, and the ACN/ABN;
Businesses have to use secure payment methods and inform consumers about those methods in clear, easy to understand language;
Businesses must respect consumers' privacy when handling personal information, including adherence to the Privacy Commissioner's National Principles for the Fair Handling of Personal Information; and
Businesses must provide to consumers all relevant terms and conditions.
The Best Practice Model has been the subject of extensive public consultation with business, consumers and Government agencies. National workshops were held in late 1999, as well as two rounds of written submissions.
The Minister's Expert Group on Electronic Commerce has played a key role in the development of the Best Practice Model. The Group, chaired by Mark Bouris of Wizard Financial Services, was responsible for the final recommendations to the Minister on the Model.
The Best Practice Model is available at http://www.treasury.gov.au/ecommerce