Australian Competition and Consumer Commission v FChem (Aust) Limited [2008] FCA 344

Australian Competition and Consumer Commission v FChem (Aust) Limited [2008] FCA 344

Each respondent contravened the Trade Practices Act 1974 by entering into, and/or giving effect to, price fixing arrangements and understandings with competitors relating to the supply of CCA and LOSP. The agreed penalties and injunctive relief are appropriate given the cooperation of the respondents, the seriousness of the breaches, parity with penalties in similar cases, and the principles of deterrence and totality.

Parties
Applicant: Australian Competition and Consumer Commission; First Respondent: FChem (Aust) Limited ACN 008 433 010; Second Respondent: Osmose Australia Pty Ltd ACN 088 260 675; Third Respondent: Edward Mark Greenacre
Jurisdiction
Australia
Judgment Date
20 March 2008
Procedural Posture
Civil / Judgment on Penalty and Declarations Following Agreement/admissions
Outcome
Declarations made; pecuniary penalties imposed on all respondents; injunctive relief granted; costs awarded as agreed.
Legal Topics
Price Fixing, Cartel Conduct, Penalty Assessment, Consent Orders
Competition Law Trade Practices Price Fixing Cartel Conduct Penalty Assessment Consent Orders

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Parties

Australian Competition and Consumer Commission

Applicant

FChem (Aust) Limited ACN 008 433 010

First Respondent

Osmose Australia Pty Ltd ACN 088 260 675

Second Respondent

Edward Mark Greenacre

Third Respondent

Procedural Posture

Civil / Judgment on Penalty and Declarations Following Agreement/admissions

Legal Issues

  1. 1 Whether the respondents contravened s 45(2)(a)(ii) and related sections of the Trade Practices Act 1974 by entering into, giving effect to, or attempting to induce price-fixing arrangements for CCA and LOSP chemicals.
  2. 2 Whether the agreed penalties and injunctive relief are appropriate and within the Court’s power.

Ratio Decidendi

Each respondent contravened the Trade Practices Act 1974 by entering into, and/or giving effect to, price fixing arrangements and understandings with competitors relating to the supply of CCA and LOSP. The agreed penalties and injunctive relief are appropriate given the cooperation of the respondents, the seriousness of the breaches, parity with penalties in similar cases, and the principles of deterrence and totality.

Court Disposition

Declarations made; pecuniary penalties imposed on all respondents; injunctive relief granted; costs awarded as agreed.

Orders

  • First respondent to pay $1.25 million penalty to the Commonwealth within 28 days for specified contraventions.
  • First respondent restrained for 3 years from further price fixing arrangements and must pay ACCC's costs as agreed or assessed.