Australian Consumer Law and Product Images: Avoiding Misleading Listings

Section 18 says a person must not, in trade or commerce, engage in conduct that is misleading or deceptive or is likely to mislead or deceive. ACCC guidance says the key question is whether the overall impression created is false or inaccurate, that intent to mislead does not matter, and that fine print will not excuse a misleading claim in the main material.

Section 224, which sets pecuniary penalties, does not list Part 2-1, so a breach of section 18 alone carries no pecuniary penalty. The more specific sections in the table do.

Section 29(1)(a) prohibits false or misleading representations that goods are of a particular standard, quality, value, grade, composition, style or model. Section 29(1)(g) covers false or misleading representations that goods have sponsorship, approval, performance characteristics, accessories, uses or benefits. Section 33 prohibits conduct liable to mislead the public as to the nature, manufacturing process, characteristics, suitability for purpose or quantity of any goods.

An image can mislead on size, on what is in the box, or on how many units you get. Our working recommendations: include a frame with measured dimensions, use a familiar object for scale, avoid composites that change apparent size, and keep unincluded props out of the main image.

Section 56 guarantees that goods supplied by description correspond with the description. Section 57 guarantees that goods supplied by reference to a sample or demonstration model correspond with it in quality, state or condition. A listing photo can form part of how goods are described.

Under section 260, a failure is major if the goods depart in a significant respect from the description or sample. ACCC guidance says the consumer can then reject the goods and choose a refund or replacement, or ask for compensation for any drop in value. Under section 263 the consumer returns rejected goods, but if that would cost the consumer significantly because of the failure or the goods' size, the supplier must collect them at its own expense.

The TGA says the Therapeutic Goods Act 1989 creates offences and civil penalties for advertising therapeutic goods to the public, and that the Therapeutic Goods Advertising Code sets the standards advertising must meet. Advertising a therapeutic good for an indication or purpose not included in its entry in the Australian Register of Therapeutic Goods (ARTG) is an offence. The TGA also says advertising by retailers, including online retailers, is subject to the same rules as advertising by sponsors.

The label number tells you how far the TGA assessed a medicine. AUST L means a listed, lower-risk medicine whose evidence for its claims the TGA has not assessed. AUST L(A) means a listed medicine individually assessed as effective for its purpose. AUST R means a registered medicine assessed for quality, safety and effectiveness before sale.

For a breach of Part 3-1, which includes sections 29 and 33, section 224 caps a company's penalty for each act or omission at the greatest of $100 million, three times the benefit reasonably attributable to the conduct, or, if that cannot be determined, 30% of adjusted turnover during the breach turnover period. For an individual the cap is $2,500,000. The $100 million figure took effect on 28 March 2026, so check which cap applies to earlier conduct. These are maximums; the court sets the amount after weighing the conduct, the loss and any prior similar conduct.

The ACL looks at the overall impression a listing gives a buyer, whichever tool made the image. A generated lifestyle scene is only as safe as its match with the product the buyer receives.

Picmato does not check images against the ACL, and AI renderers can change a product's color, proportions or packaging text. Compare every generated image with the product a buyer will receive, keep scale and included accessories accurate, and never use a generated image to show something the product does not do.