Real Estate Agency Breaches Spam Act

A Wollongong real estate company is under investigation by the ACMA for sending out spam

The Australian Communications and Media Authority has issued a formal warning to Danielou Pty Ltd, trading as Elders Real Estate Wollongong, following an investigation that found the real estate agency breached the Spam Act 2003 by sending commercial electronic messages without an unsubscribe facility.

‘This is the first enforcement measure taken against a real estate agent since an ACMA awareness campaign about unsolicited communications targeted at the real estate sector,’ said Chris Cheah, acting Chairman of the ACMA.

The campaign was held in response to the ACMA’s concerns about widespread non-compliance with marketing obligations by members of the real estate sector. The ACMA wrote to more than forty head offices of leading real estate franchisors and companies in 2009, informing them of key obligations and providing links to online training and resources to increase awareness of legal obligations and of the consequences of non-compliance.

‘Real estate agents should consider themselves to be on notice,’ Cheah said. ‘Members of the industry need to understand that, even when they are dealing with potential buyers on a one-to-one basis, these interactions are commercial and they need to comply with spam and telemarketing laws.’

Commercial electronic messages must be sent with the recipient’s consent and include a statement that the recipient can use an electronic address, provided in the message, to send an unsubscribe request. During the course of this investigation, the ACMA identified messages sent by Elders Real Estate Wollongong that did not contain unsubscribe wording to this effect.

The ACMA has taken a wide range of enforcement action against non-compliant ‘spammers’ in the last twelve months, including recent action in the Federal Court which resulted in significant penalties being imposed on both individuals and companies.
Under the Spam Act, potential penalties of up to $1.1 million per day may be imposed by the Federal Court for repeat offenders.

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