Digital duty of care proposal signals new dispute risks for Australian online services
Danny Jovica
September 23, 2026
For Australian mediators and commercial parties, online safety is becoming more than a compliance issue. The Federal Government’s proposed digital duty of care may also reshape how technology, platform, privacy and consumer disputes are framed, negotiated and resolved.
Baker McKenzie reports that on 8 September 2026 the Australian Government released an exposure draft of the Online Safety Amendment (Digital Duty of Care) Bill 2026. If passed, the Bill would significantly amend the Online Safety Act 2021 and change the regulatory landscape for online services in Australia.
The central proposal is a new digital duty of care. According to the alert, this would replace both the Basic Online Safety Expectations and the existing Industry Codes and Standards. The proposal would also introduce transparency-related obligations, expand the powers of the eSafety Commissioner, and significantly increase penalties for non-compliance. Consultation is open until 12pm on Tuesday, 22 September 2026.
For Australian commercial mediation, the significance lies in the likely intersection between regulation, contract and reputation. Online service providers, technology vendors, advertisers, enterprise customers and users may all face sharper questions about who was responsible for managing online safety risks, what was disclosed, and whether systems or contractual arrangements were adequate.
Mediators handling technology and digital platform disputes should expect parties to arrive with both legal and operational concerns. A useful process may need to accommodate regulatory exposure, internal governance, customer communications, remediation steps and future contractual controls, not just money.
The forward-looking lesson for Australian organisations is to treat the proposed duty as a prompt to review dispute pathways now. Clearer contracts, escalation processes and early mediation clauses may help parties resolve digital safety issues before they become entrenched regulatory or commercial disputes.
For help resolving technology, platform or online safety disputes, contact Mediator Life at https://mediator.life/contact
Sources:
- Baker McKenzie, Australia: Digital Duty of Care to Redefine Online Safety
Baker McKenzie reports that on 8 September 2026 the Australian Government released an exposure draft of the Online Safety Amendment (Digital Duty of Care) Bill 2026. If passed, the Bill would significantly amend the Online Safety Act 2021 and change the regulatory landscape for online services in Australia.
The central proposal is a new digital duty of care. According to the alert, this would replace both the Basic Online Safety Expectations and the existing Industry Codes and Standards. The proposal would also introduce transparency-related obligations, expand the powers of the eSafety Commissioner, and significantly increase penalties for non-compliance. Consultation is open until 12pm on Tuesday, 22 September 2026.
For Australian commercial mediation, the significance lies in the likely intersection between regulation, contract and reputation. Online service providers, technology vendors, advertisers, enterprise customers and users may all face sharper questions about who was responsible for managing online safety risks, what was disclosed, and whether systems or contractual arrangements were adequate.
Mediators handling technology and digital platform disputes should expect parties to arrive with both legal and operational concerns. A useful process may need to accommodate regulatory exposure, internal governance, customer communications, remediation steps and future contractual controls, not just money.
The forward-looking lesson for Australian organisations is to treat the proposed duty as a prompt to review dispute pathways now. Clearer contracts, escalation processes and early mediation clauses may help parties resolve digital safety issues before they become entrenched regulatory or commercial disputes.
For help resolving technology, platform or online safety disputes, contact Mediator Life at https://mediator.life/contact
Sources:
- Baker McKenzie, Australia: Digital Duty of Care to Redefine Online Safety