Trade Practices Amendment (Australian Consumer Law) Bill 2009 — In Committee

The majority voted against an amendment introduced by Independent Senator Nick Xenophon, which means that it was unsuccessful.

Senator Xenophon explained that: "Currently, data, including credit card numbers, passport details, PINs, licence numbers, marital status, home address and employment details can be, and are, sent to offshore locations without a customer’s consent". This amendment, he said, "will require banking institutions to obtain written, informed consent from customers before their personal information can be transferred to a person outside Australia".(Read Senator Xenophon's full explanation of the amendment and the associated debate here, after 6:48 pm. )

Background to the bill

The bill was introduced in response to an inquiry by the Productivity Commission into the consumer policy framework and a subsequent government consultation.(Read about that inquiry and the subsequent government consultation in the bills digest. ) It is the first of two bills to implement a national consumer law regime, to be called the Australian Consumer Law. This first bill will set the ground work for the regime and will only introduce the provisions about unfair contract terms, which are terms "that disadvantage one party but that are not reasonably necessary to protect the legitimate interests of the other".(More information about this bill and its soon-to-be-introduced counterpart can be found in the bills digest.)

The second bill, which has not yet been introduced, will implement the bulk of the Australian Consumer Law reforms.