Australian Competition and Consumer Commission v ABB Transmission and Distribution Limited [2001] FCA 1343

Australian Competition and Consumer Commission v ABB Transmission and Distribution Limited [2001] FCA 1343

The court accepted the joint submission that Alstom Australia Ltd contravened s 45 of the Trade Practices Act 1974 by being party to and giving effect to arrangements with exclusionary provisions and with the effect of substantially lessening competition, and that Paul Grabham and Colin James were knowingly concerned in these contraventions, and therefore imposed pecuniary penalties, injunctions, and costs accordingly.

Parties
Applicant: Australian Competition and Consumer Commission; First Respondent: ABB Transmission and Distribution Limited; Second Respondent: ABB Power Transmission Pty Ltd (in liquidation); Third Respondent: Wilson Transformer Company Pty Ltd; Fourth Respondent: Schneider Electric (Australia) Pty Ltd; Fifth Respondent: AW Tyree Transformers Pty Ltd; Sixth Respondent: Alstom Australia Ltd; Seventh Respondent: Douglas Pitt; Eighth Respondent: Graham Jones; Ninth Respondent: Russell Ellen; Tenth Respondent: Robert Wilson; Eleventh Respondent: Russell Stocker; Twelfth Respondent: Ashley Smout; Thirteenth Respondent: Wendy Minne; Fourteenth Respondent: Raymond Boyce; Fifteenth Respondent: Paul Grabham; Sixteenth Respondent: Colin James
Jurisdiction
Australia
Judgment Date
05 April 2001
Procedural Posture
Civil / Judgment and Orders on Penalty Application
Outcome
Consent judgment imposing pecuniary penalty, injunctions, and costs; declaration of contraventions
Legal Topics
Exclusionary Provisions, Price Fixing, Cartels, Pecuniary Penalties, Injunctions
Competition Law Consumer Law Exclusionary Provisions Price Fixing Cartels Pecuniary Penalties Injunctions

Case Brief

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Parties

Australian Competition and Consumer Commission

Applicant

ABB Transmission and Distribution Limited

First Respondent

ABB Power Transmission Pty Ltd (in liquidation)

Second Respondent

Wilson Transformer Company Pty Ltd

Third Respondent

Schneider Electric (Australia) Pty Ltd

Fourth Respondent

AW Tyree Transformers Pty Ltd

Fifth Respondent

Alstom Australia Ltd

Sixth Respondent

Douglas Pitt

Seventh Respondent

Graham Jones

Eighth Respondent

Russell Ellen

Ninth Respondent

Robert Wilson

Tenth Respondent

Russell Stocker

Eleventh Respondent

Ashley Smout

Twelfth Respondent

Wendy Minne

Thirteenth Respondent

Raymond Boyce

Fourteenth Respondent

Paul Grabham

Fifteenth Respondent

Colin James

Sixteenth Respondent

Procedural Posture

Civil / Judgment and Orders on Penalty Application

Legal Issues

  1. 1 Whether the sixth respondent contravened s 45 of the Trade Practices Act 1974 by making and giving effect to exclusionary provisions and arrangements lessening competition
  2. 2 Whether the fifteenth and sixteenth respondents were knowingly concerned in or party to those contraventions

Ratio Decidendi

The court accepted the joint submission that Alstom Australia Ltd contravened s 45 of the Trade Practices Act 1974 by being party to and giving effect to arrangements with exclusionary provisions and with the effect of substantially lessening competition, and that Paul Grabham and Colin James were knowingly concerned in these contraventions, and therefore imposed pecuniary penalties, injunctions, and costs accordingly.

Court Disposition

Consent judgment imposing pecuniary penalty, injunctions, and costs; declaration of contraventions

Orders

  • The sixth respondent (Alstom Australia Ltd) pay a pecuniary penalty of $1,500,000 within thirty days.
  • The sixth respondent be restrained for four years from engaging in similar contravening conduct relating to distribution transformers.