The Federal Court has ordered Reckitt Benckiser Australia to pay a penalty of $6 million for its on-pack Nurofen claims, instead of the original $1.7 million ordered.
The products in Reckitt Benckiser's Nurofen specific-pain range were advertised on packaging as being specially formulated to treat either back pain, period pain, migraines, or tension headaches.
The ACCC took the manufacturer to the Federal Court in March 2015, arguing that, in reality, each of the products had the same active ingredient – 342 milligrams of ibuprofen lysine – and that none were any better at treating one type of pain than other products in the range.
This month, the Full Court ordered Reckitt Benckiser to pay a revised penalty of $6 million (up from $1.7 million) for making misleading representations about its Nurofen Specific Pain products.
“This is the highest corporate penalty awarded for misleading conduct under Australian Consumer Law,” ACCC chairman Rod Sims said.
The Full Court found that the initial penalty of $1.7 million was inadequate given the need for deterrence and the substantial consumer loss suffered.