Macquarie Media Holdings Limited (ACN 116 024 536) v Australian Communications and Media Authority [2009] FCAFC 1

Macquarie Media Holdings Limited (ACN 116 024 536) v Australian Communications and Media Authority [2009] FCAFC 1

Section 73A of the Broadcasting Services Act 1992 (Cth), when construed contextually and purposively, requires that an additional licence allocated under section 38B is to be disregarded, for the purposes of Divisions 2 and 3 (ownership and control rules), in relation to any person who was in a position to exercise control at allocation and along the control chain. This construction means that subsequent controllers in such a chain do benefit from the exemption; the exemption is not limited only to incumbents at the time of allocation. Therefore, the appellants were not in breach of the 'one licence' rule by reason of their positions in the corporate structure controlling both licences.

Parties
First Appellant: Macquarie Media Holdings Limited (ACN 116 024 536); Second Appellant: Macquarie Media Group Pty Limited (ACN 110 357 036); Third Appellant: Macquarie Media Management Limited (ACN 115 524 019); Fourth Appellant: Macquarie Media International Limited (ARBN 118 577 423); Fifth Appellant: Regional Media No 1 Pty Limited (ACN 124 719 400); Sixth Appellant: Regional Media No 2 Pty Limited (ACN 124 720 289); Respondent: Australian Communications and Media Authority
Jurisdiction
Australia
Judgment Date
12 January 2009
Procedural Posture
Appeal / On Appeal From a Single Judge of the Federal Court of Australia
Outcome
Appeal allowed.
Legal Topics
Control of Commercial Television Broadcasting Licences, Exemptions in Underserved Markets, Legislative History and Purpose, Transfer and Ownership Limits, Construction of Broadcasting Services Act Provisions

Case Brief

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Parties

Macquarie Media Holdings Limited (ACN 116 024 536)

First Appellant

Macquarie Media Group Pty Limited (ACN 110 357 036)

Second Appellant

Macquarie Media Management Limited (ACN 115 524 019)

Third Appellant

Macquarie Media International Limited (ARBN 118 577 423)

Fourth Appellant

Regional Media No 1 Pty Limited (ACN 124 719 400)

Fifth Appellant

Regional Media No 2 Pty Limited (ACN 124 720 289)

Sixth Appellant

Australian Communications and Media Authority

Respondent

Procedural Posture

Appeal / On Appeal From a Single Judge of the Federal Court of Australia

  1. 1 Whether the exemption from the one-licence rule under s 73A of the Broadcasting Services Act 1992 (Cth) applies when an existing licensee is taken over by a third party after joint venture allocation of an additional licence.
  2. 2 Proper construction and application of s 73A in relation to control, ownership limits, and exempted licence transfers in underserved markets.
  3. 3 Effect of legislative intent and history on the scope of exemption under s 73A.

Ratio Decidendi

Section 73A of the Broadcasting Services Act 1992 (Cth), when construed contextually and purposively, requires that an additional licence allocated under section 38B is to be disregarded, for the purposes of Divisions 2 and 3 (ownership and control rules), in relation to any person who was in a position to exercise control at allocation and along the control chain. This construction means that subsequent controllers in such a chain do benefit from the exemption; the exemption is not limited only to incumbents at the time of allocation. Therefore, the appellants were not in breach of the 'one licence' rule by reason of their positions in the corporate structure controlling both licences.

Court Disposition

Appeal allowed.

Orders

  • The appeal be allowed.
  • The orders made on 14 November 2008 be set aside.