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Australian regulator imposes six-figure fine for missing unsubscribe mechanisms

On March 11, 2026, the Australian Communications and Media Authority ("ACMA") announced that it had fined Lululemon Athletica Australia Pty Ltd ("Lululemon") AUD 702,900 (approximately USD $503,146) for violations of the Spam Act, following an investigation.  

Violations of the Spam Act

The Spam Act ("Act") of Australia regulates the sending of marketing and electronic communications from businesses to consumers in Australia. The Act specifies that an organization must not send a commercial electronic message unless the message contains a functional unsubscribe mechanism (Section 18(1) of the Spam Act). For more information and details on direct marketing and privacy issues in Australia, see our previous post.

The ACMA alleged that Lululemon sent commercial electronic messages to consumers that did not contain a legally compliant opt-out statement and functional unsubscribe mechanism. The ACMA restated that if any electronic message contains any promotional or sales content, even if there is a secondary purpose to the message, it is a message that is regulated under the Act and requires an unsubscribe statement and mechanism.

Consequences and recommendations

As noted, the ACMA found there were over 30,000 violations of the Act and imposed a fine of just over AUD $700,000 (approximately USD $500,000). Companies with an Australian presence, including American businesses operating in the region, should review their marketing communication practices to ensure compliance with the Spam Act, particularly by confirming that all commercial electronic messages include a clear unsubscribe statement and a functional opt-out mechanism. This enforcement action demonstrates that the ACMA actively pursues violations regardless of the company's country of origin, and penalties can be substantial. Organizations should audit their email and SMS marketing systems, train relevant personnel on Australian requirements, and implement processes to promptly honor unsubscribe requests.