ABC Developmental Learning Centres v Wallace

ABC Developmental Learning Centres Pty Ltd (the applicant) sought special leave to appeal from a decision of the Full Federal Court of Australia, which had dismissed its appeal from a judgment of a single judge of that court. The dispute concerned the applicant's liability for alleged contraventions of the *Sex Discrimination Act 1984* (Cth) (the Act) by its employees, who were alleged to have sexually harassed the respondent, Ms Wallace, during her employment.

The primary legal issue before the Full Federal Court, and subsequently before the High Court on the special leave application, was whether the applicant could rely on the defence provided by section 109 of the Act. This defence is available if the employer proves that they took all reasonable steps to prevent the conduct constituting the contravention. The Full Federal Court had found that the applicant had failed to establish this defence.

The Full Federal Court's reasoning focused on the adequacy of the applicant's policies and training in preventing sexual harassment. It held that the mere existence of policies was insufficient; the employer must demonstrate that these policies were effectively implemented and that employees were adequately trained to understand and comply with them. The court considered the specific circumstances of the harassment and found that the applicant's actions, or lack thereof, did not meet the standard of "all reasonable steps." The High Court ultimately refused special leave to appeal, finding no error of law in the Full Federal Court's determination.