Unconscionable conduct is a statement or action so unreasonable it defies good conscience.

A business must not act unconscionably when:

• selling or supplying goods and services to a consumer; or 
• supplying or acquiring goods and services to or from a small business.

Examples of unconscionable conduct by a trader can, depending on the circumstances, include:

• not properly explaining the conditions of a contract to a person they know does not speak English or has a learning disability; 
• not allowing sufficient time to read an agreement, ask questions or get advice; 
• using a friend or relative of the customer to influence the customer’s decision; 
• inducing a person to sign a blank or one-sided contract; 
• taking advantage of a low-income consumer by making false statements about the real cost of a loan; 
• failing to disclose key contractual terms; and
• using high pressure tactics, such as refusing to take ‘no’ for an answer.

Penalties

There is a maximum civil penalty of $500,000 for an individual and $10 million for a body corporate.