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ARTICLE · 19 SEPTEMBER 2006

ACCC v Liquorland (Australia) Pty Ltd & Woolworths Limited

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Recent judgment of the Federal Court exposes some important points to consider when objecting to new competitor developments.

AustraliaAntitrust/Competition Law
Jane Hutchison
Jane Hutchison

The case

Recent judgment of the Federal Court exposes some important points to consider when objecting to new competitor developments.

Context

ACCC proceedings against Liquorland and Woolworths alleging that between 1997 and 2000 they entered and gave effect to anticompetitive agreements with liquor licence applicants. ACCC alleged 8 episodes contravened the Trade Practices Act 1974 (‘the Act’) – all involving Liquorland and 4 involving Woolworths. Liquorland settled in 2005. The judgment concerned the ACCC’s claims against Woolworths.

Relevant law

The Court had to decide whether the agreements entered into between Woolworths and pending new entrants:

  • had the purpose of substantially lessening competition (in contravention of s45 of the Act); or

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