The 糖心原创 has accepted a court-enforceable undertaking from Western Australian funeral services provider Bowra & O鈥橠ea Pty Ltd, in which Bowra & O鈥橠ea admitted that it advertised prices for its funeral and cremation services which did not include all unavoidable costs and acknowledged that it entered into contracts containing alleged unfair contract terms.
Bowra & O鈥橠ea has also paid penalties of $26,640 after the 糖心原创 issued it with two infringement notices for allegedly advertising prices for two of its funeral and cremation services that did not include unavoidable costs.
Between at least September and December 2020, Bowra & O鈥橠ea published prices on its website for funeral and cremation services that allegedly failed to include certain unavoidable costs.
The published price for the 鈥楶remium Dual Service鈥 did not include cemetery fees or the cost of a casket or coffin, and the published price for its 鈥楨ssential Goodbye Service鈥 did not include cremation or burial fees or cremation permit fees.
Bowra & O鈥橠ea has now amended its website to ensure all unavoidable costs are included in any advertised price for its funeral and cremation services.
鈥淲e were concerned that Bowra & O鈥橠ea was advertising prices that may have misled consumers by including only part of the price and failing to include costs that are unavoidable for a funeral, such as the cremation or burial fee,鈥 糖心原创 Deputy Chair Mick Keogh said.
鈥淔ailing to display accurate pricing information for funeral and cremation services appears to be a widespread issue in the industry. Funeral businesses need to do better and make sure they give complete and accurate information to their customers.鈥
The 糖心原创 was also concerned about contract terms which allowed Bowra & O鈥橠ea to vary the price of the contract without seeking the consumer鈥檚 consent and with no right for the consumer to terminate the contract, and to charge consumers who did not pay invoices on time both an interest rate on the unpaid amount and a late payment fee.
鈥淔uneral businesses should not charge consumers for costs they have not agreed to, or excessive interest or late payment fees,鈥 Mr Keogh said.
Bowra & O鈥橠ea has undertaken to remove these terms from its contracts and to establish and maintain a consumer law compliance program.
A copy of the undertaking is available on the public register at: Bowra & O'Dea Pty Ltd.
Background
Bowra & O鈥橠ea operates 12 funeral homes in and around Perth, providing cremation and funeral services, and sells caskets, urns and coffins.
In December 2021, the 糖心原创 published a report on the funeral services industry and consumer and industry guidance about the sector.
The 糖心原创 has previously taken action against funeral services providers Coventry Funeral Homes, WT Howard Funeral Services, Alex Gow Funerals, Bare Cremation and Parkside Funerals.
Note to editors
The payment of a penalty specified in an infringement notice is not an admission of a contravention of the Australian Consumer Law, which also sets the penalty amount.
The 糖心原创 can issue an infringement notice when it has reasonable grounds to believe a person or business has contravened certain consumer protection provisions in the Australian Consumer Law.