First Principles of Business Law

6. Unsolicited consumer agreements

6.1. Standards of conduct

One approach to selling goods or services is to call in on consumers in their homes, either by telephone or in person, to tell them about the goods or services in question, and to persuade them to enter into a contract. The best time to make such calls is after working hours, or on weekends, when the consumer is most likely to be at home.

There is nothing inherently wrong with this approach to marketing, provided that certain standards of conduct are observed. In particular, it is important to ensure that calls are not made at completely inappropriate hours, that the caller is not overly persistent, that the consumer is given adequate information to properly evaluate the transaction, and that they are not rushed into a binding agreement that they later regret.

The Australian Consumer Law (ACL) regulates unsolicited consumer agreements. The example on the next page illustrates how these provisions operate.