Transfield Pty Ltd v Arlo International Ltd [1980] HCA 15

Transfield Pty Ltd v Arlo International Ltd [1980] HCA 15

Clause 7 of the sub-licence does not, on its proper construction, amount to a contractual prohibition or restriction on using articles or processes other than the Arlo pole, and therefore is not void under s. 112(1) of the Patents Act; nor does it substantially lessen competition so as to be unenforceable under s. 45 of the Trade Practices Act. The appeal is dismissed.

Jurisdiction
Australia
Procedural Posture
Appeal / High Court of Australia (final Appeal From NSW Court of Appeal)
Outcome
Appeal dismissed with costs
Legal Topics
['patent Licensing' 'breach of Contract' 'anticompetitive Contracts' 'best Endeavours Obligation']

Case Brief

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Procedural Posture

Appeal / High Court of Australia (final Appeal From NSW Court of Appeal)

  1. 1 ['Whether clause 7 of the sub-licence agreement is void under s. 112(1) of the Patents Act 1952 (Cth)' 'Whether clause 7 is unenforceable under s. 45 of the Trade Practices Act 1974 (Cth)' "Construction of 'best endeavours' obligation in patent sub-licence"]

Ratio Decidendi

Clause 7 of the sub-licence does not, on its proper construction, amount to a contractual prohibition or restriction on using articles or processes other than the Arlo pole, and therefore is not void under s. 112(1) of the Patents Act; nor does it substantially lessen competition so as to be unenforceable under s. 45 of the Trade Practices Act. The appeal is dismissed.

Court Disposition

Appeal dismissed with costs

Orders

  • ['Appeal dismissed with costs']