Radio 2UE Sydney Pty Ltd v Stereo FM Pty Ltd & Anor [1983] FCA 131

Radio 2UE Sydney Pty Ltd v Stereo FM Pty Ltd & Anor [1983] FCA 131

The respondents' combined ratecard did not constitute a price-fixing arrangement within s.45A because it offered an additional combined advertising service at a price equal to the sum of rates separately set in a competitive market, while advertisers remained free to acquire the same coverage by dealing separately with each station. The arrangement lacked the necessary element of intention or likelihood to affect price competition, so it did not breach s.45 on the price-fixing basis advanced by the appellant.

Jurisdiction
Australia
Judgment Date
12 July 1983
Procedural Posture
Trade Practices Appeal / Appeal From a Single Judge of the Federal Court of Australia
Outcome
Appeal dismissed with costs.
Legal Topics
['price Fixing' 'substantial Lessening of Competition' 'joint Advertising Rates' 'trade Practices Act 1974 (cth) Ss.45, 45 A']
['trade Practices' 'competition Law'] ['price Fixing' 'substantial Lessening of Competition' 'joint Advertising Rates' 'trade Practices Act 1974 (cth) Ss.45, 45 A']

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Procedural Posture

Trade Practices Appeal / Appeal From a Single Judge of the Federal Court of Australia

Legal Issues

  1. 1 ['Whether the evidence disclosed a price-fixing arrangement between competitors within the meaning of s.45A of the Trade Practices Act 1974 (Cth).' "Whether the respondents' arrangement to offer joint advertising time at combined rates involved a breach of s.45 of the Trade Practices Act 1974 (Cth)."]

Ratio Decidendi

The respondents' combined ratecard did not constitute a price-fixing arrangement within s.45A because it offered an additional combined advertising service at a price equal to the sum of rates separately set in a competitive market, while advertisers remained free to acquire the same coverage by dealing separately with each station. The arrangement lacked the necessary element of intention or likelihood to affect price competition, so it did not breach s.45 on the price-fixing basis advanced by the appellant.

Court Disposition

Appeal dismissed with costs.

Orders

  • ['The appeal be dismissed with costs.']