Court rules poultry producer's 'free to roam' claims misleading

Poultry producer Baiada has been found to have deceived customers by advertising Steggles chickens raised in high-density barns as "free to roam in large barns".

The court decision follows an 18-month court battle between Baiada and the Australian Competition and Consumer Commission (ACCC), which alleged that due to the crowded conditions in the poultry company's sheds, it was misleading consumers by saying its chickens were "free to roam" on packaging and print advertising.

According to the ACCC, individual chickens were living in an area equivalent to an A4 sheet of paper.

The judge, who toured a number of chicken sheds during the trial, found in favour of the ACCC. The judge also agreed the company and peak industry body Australian Chicken Meat Federation also misled consumers by using the term "free to roam".

The case is not isolated. In January, poultry producer La Ionica settled with the ACCC on the grounds that it withdraw its "free to roam" claim and pay a $100,000 penalty.

Victorian company, Luv-a-Duck is also preparing for a court stoush with the competition regulator over allegations it engaged in deceptive conduct by promoting its ducks as being "grown and grain fed in the spacious Wimmera wheatlands".

The regulator alleges Luv-a-Duck's products were processed from animals which had no substantial access to the outdoors. However, Luv-a-Duck says it stopped using those statements in its promotional material last year.

Penalties for Baiada have yet to be determined.