Coles and Woolworths are set to face a joint class action next year, following allegations that they misled customers regarding their discount pricing strategies. The Federal Court has approved a class action spearheaded by law firm Gerard Malouf & Partners that will run in conjunction with the Australian Competition and Consumer Commission’s (ACCC) case against the supermarket chains.
To minimise legal expenses and enhance protections for affected shoppers, the class action proceedings will be paused until the ACCC’s liability ruling is delivered. The court will first examine the ACCC’s claims assessing whether Coles and Woolworths made false or misleading representations in their respective discount promotions. If the court finds these claims valid, the conclusions will also be pertinent to the class action, which would then shift focus to determining compensation for the affected customers.
Gerard Malouf, the founder and chairman of GMP Law, expressed that this alignment is a significant development for those involved, as it simplifies the legal process, lowers costs, and bolsters the chance of equitable compensation if liability is proven. A case management hearing is scheduled for next Wednesday in Melbourne, marking the next step in these ongoing proceedings.