Hungry Jack’s Pty Ltd (Hungry Jack’s) has recently paid penalties totalling $150,240 after being issued with eight infringement notices from the ACCC for alleged breaches of the Australian Consumer Law (ACL) for its failure to apply warning labels/messages in compliance with the mandatory button battery information standard (Information Standard).
The ACCC also accepted a court-enforceable undertaking from Hungry Jack’s in which it admitted that it ‘likely’ contravened the labelling/warning information requirements set out in the standard. A copy of the undertaking can be found here.
The penalty paid by Hungry Jack’s underscores the ACCC’s ongoing enforcement focus on consumer product safety issues impacting young children (particularly compliance with the button battery standards), which is a 2025-26 ACCC compliance and enforcement priority.
This outcome also follows the ACCC’s move in April 2025 to commence its first court case alleging non-compliance with the mandatory button safety standard against City Beach (see KWM’s separate article here). This totals 6 public outcomes since 2023.
Key takeaways for businesses
To avoid serious harm to children, breaches of the ACCC’s safety and information standards and reputational damage, businesses should:
- (Take active steps to ensure compliance) All products sold containing button batteries must comply with the mandatory safety and information standards. This includes (as Hungry Jack’s did not) ensuring that packaging includes all mandatory warnings and emergency advice and instructions.
- (Double check which products contain button batteries) Sometimes it is not obvious that products contain a button battery and third party suppliers may not proactively advise retailers their products contain button batteries. Pay close attention to children’s products, which often contain light up components.
- (Use reputable testers) It is important to use reputable providers to conduct testing of samples to ensure products have secure battery compartments and review test reports for accuracy. The ACCC considers it ‘may be preferable’ to use an accredited test laboratory: see here. Also check the test report to confirm the product(s) ‘passed’ and confirm the conclusions are reasonable/consistent with test results.
- (Implement mandatory training) Implement training programs, policies and procedures about the importance of complying with the ACCC’s product safety standards, including the risk that businesses may be liable for death or serious injury of customers if products do not comply.
- (Review processes and contracting processes with third parties) Businesses will not be able to rely on assurances from third parties (such as brand owners or manufacturers) that their products comply with product safety standards.
More details about Hungry Jack’s
Between 20 May 2024 and 30 May 2024, Hungry Jack’s supplied 27,850 Garfield toys nationwide with its children’s meals which were powered by button batteries, e.g.:
While the Garfield toys complied with the button battery safety standard, the ACCC considered that the Garfield toy did not comply with section 8 of the Information Standard (and that as a consequence, Hungry Jack’s was likely to have contravened section 136(1) of the ACL in supplying the Toy) because:
- the Garfield toy’s packaging was not marked with an internationally recognised warning symbol on the front panel that was clearly visible, prominent and legible (as required by s 8(3) of the Information Standard), and
- a warning about the button battery that included the substance of all of the matters outlined in s 8(7) was not attached to, or included with, the Toy (as required by s 8(4) of the Information Standard).
The ACCC issued Hungry Jack’s with eight infringement notices with penalties totalling $150,240 ($18,780 each) for eight separate alleged contraventions of section 136(1) of the ACL. The ACCC also accepted a court-enforceable undertaking from Hungry Jack’s in which it:
- admitted the Garfield toy is likely to have failed to comply with the Information Standard, and
- undertook to establish and implement a compliance program designed to minimise its risk of future breaches of the ACL.
In June 2024, Hungry Jack’s recalled the Garfield toys and customers were advised to return them for a free replacement for a non-battery toy. Further information about the recall can be found here.
Image credit: https://commons.wikimedia.org/wiki/File:Hungry_Jack%27s_Melbourne_Airport.jpg / Wikimedia Commons / Remixed to B&W and resized
