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ARTICLE · 28 AUGUST 2008

Doctrine Of Derivative Crown Immunity

DLA Piper Australia
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August 2007, the High Court decided, in ACCC v Baxter Health Care Pty Ltd [2007] HCA 38, that the doctrine of derivative Crown immunity did not protect Baxter Health Care from Part IV of the Trade Practices Act 1974.

AustraliaAntitrust/Competition Law
Geoff Taperell
Geoff Taperell

Contracting with government purchasing authorities and the Trade Practices Act.

In August 2007, the High Court decided, in ACCC v Baxter Health Care Pty Ltd [2007] HCA 38, that the doctrine of derivative Crown immunity did not protect Baxter Health Care from Part IV of the Trade Practices Act 1974 (Cth) (TPA) in its dealings with State purchasing authorities. The case received a lot of publicity at the time, but its impact is still not well understood across the health and aged care sector. This article provides a succinct summary.

Crown immunity and derivative Crown immunity

Because of Crown immunity, legislation does not apply to the Crown, whether in the right of the Commonwealth, the States or the Territories, unless the legislation expressly or by implication indicates an intention to bind the Crown. 'Derivative Crown immunity' refers to a doctrine under which parties dealing with the Crown

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