The Australian Competition and Consumer Commission (ACCC) has initiated legal proceedings against Jayco Corporation Pty Ltd, the largest manufacturer of caravans and recreational vehicles in Australia. The ACCC claims that since January 2020, Jayco has engaged in misleading conduct by advertising certain models of its RVs as suitable for off-road use, despite evidence suggesting otherwise.

According to the ACCC, Jayco misled consumers by showcasing its Outback, All Terrain, and CrossTrak RVs in off-road conditions that they were not designed to handle. The advertisements depicted these vehicles in challenging terrains, such as unsealed roads, beaches, and water crossings, which are not covered by the warranty provided by Jayco. ACCC Deputy Chair Mick Keogh emphasized that consumers expect advertisements to accurately reflect the intended use of products.

The ACCC's allegations extend to claims made by Jayco that its 'All Terrain' RVs were suitable for all types of terrain. However, the commission asserts that these vehicles were not designed for use on rugged terrains or 4WD tracks, contradicting the promotional messages. The misleading advertisements were disseminated through various channels, including Jayco's website, social media, brochures, and trade shows.

Keogh expressed concern that consumers may have made uninformed purchasing decisions, potentially paying a premium for RVs that did not meet their needs. The ACCC is seeking legal remedies, including declarations, penalties, and compliance orders, to address the alleged misleading conduct.

Jayco, which operates 29 dealerships across Australia, has previously faced legal challenges, including a $75,000 penalty in 2021 for misleading representations regarding consumer guarantee rights. The ACCC's ongoing scrutiny of the caravan industry highlights the importance of accurate advertising in consumer protection.