Nail Palace loses appeal against court order to publicise how they misled customers in S'pore newspapers

Nail Palace was also ordered to inform prospective clients about the matter.

Matthias Ang| July 28, 2023, 06:31 PM

Nail Palace's appeal against a court order that requires the nail salon chain to inform the public about its unfair practices has been dismissed by the High Court on Jul. 28, 2023.

According to a press release by the Competition & Consumer Association of Singapore (CCCS), the order against Nail Palace was given by a district court in relation to unfair practices by the nail salon chain.

It was part of the conclusion of a legal proceeding that had been launched by CCCS on Dec. 17, 2021, against Nail Palace for for having engaged in unfair practices under the Consumer Protection (Fair Trading) Act 2003 (CPFTA).

What was the order about?

According to CCCS, two branches of Nail Palace, at Bukit Panjang Plaza and Eastpoint Mall in Simei, had made a misleading representation on the need for either fungal treatment or a fungal treatment package to a consumer.

In addition, Nail Palace's Eastpoint branch misled a consumer into taking several lipsticks and lip balms on the basis that they were provided free of charge as part of the anti-fungal treatment package, when the consumer was in fact charged for them.

Subsequently on Aug. 8, 2022, and Sep. 2, 2022, the district court declared that these two branches had engaged in unfair practices.

Nail Palace told to stop selling fungal treatment packages, publish details of the entire case

It issued an injunction for both branches to stop engaging in such practices.

In addition, the district court ordered the two branches to publish details of the declarations and injunctions ordered against them in the major newspapers in Singapore, namely The Straits Times, Lianhe Zaobao, Berita Harian, and Tamil Murasu.

That is not all.

For a period of two years, both Nail Palace branches have to inform prospective customers of the declarations and injunctions ordered against them.

These potential customers have to acknowledge, in writing, that they are aware of these before they enter into a contract with either branch.

Nail Palace was also instructed to inform CCCS of any changes to their business structures.

Appeal filed by Nail Palace on Sep. 14, 2022

Apart from the appeal against the court order to publish the matter in newspapers, Nail Palace also appealed against the order to inform potential customers and obtain their written acknowledgement.

This appeal was also dismissed.

Judicial Commissioner Goh Yihan said in his judgement that the accompanying orders are meant to inform consumers, enhance monitoring, and deter errant suppliers.

Both branches of Nail Palace must comply with the orders with immediate effect.

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Left image by Nail Palace, right photo by Mothership