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Coles: Australian Supermarket Giant Misled Consumers with Fake Discounts, Court Rules

  • On Thursday, Federal Court Justice Michael O'Bryan ruled that Coles misled customers through its 'Down Down' pricing campaign, upholding allegations from the Australian Competition and Consumer Commission .
  • The ACCC alleged Coles briefly spiked prices for four weeks before advertising them as discounts, misleading consumers about genuine value on common household products.
  • Of the 14 sample products, Justice O'Bryan found 13 had been sold in a misleading manner, with Nature's Gift Wet Dog Food priced at $4 before being raised and discounted.
  • Coles faces potential significant penalties following the decision, which establishes precedent for similar pending litigation against rival supermarket chain Woolworths.
  • Legal proceedings return to court on June 10 to determine penalties after Justice O'Bryan rejected Coles' defense that price increases were commercially justifiable.
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Michael West broke the news in Australia on Wednesday, May 13, 2026.
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