Australian Competition and Consumer Commission v ACN 117 372 915 Pty Ltd (in liq) (formerly Advanced Medical Institute Pty Limited)

The case of Australian Competition and Consumer Commission v ACN 117 372 915 Pty Ltd (in liq) (formerly Advanced Medical Institute Pty Limited) involved the ACCC bringing contempt proceedings against the respondents, NRM, for breaches of injunctions. The injunctions, included in the April 2015 orders made by North J, prohibited NRM from making certain statements about the efficacy of their treatments to patients or prospective patients unless made by a qualified medical practitioner during a consultation. NRM was notified of the injunctions and the need to comply, yet continued to make statements in breach of the orders. The ACCC sought penalties and costs for the breaches.

The primary legal issue the court had to decide was the appropriate penalty for NRM's contemptuous conduct, having been on notice of the injunctions and continuing the breaches despite warnings. The court had to consider the seriousness of the breaches, the intent behind the actions, and the effectiveness of the penalties in deterring future breaches. The court also needed to determine whether the penalty should be punitive or deterrent, and whether NRM's conduct warranted a fine or another form of penalty.

In determining the penalty, the court considered the seriousness of the breaches, the duration of the contemptuous conduct, and the failure of NRM to provide any explanation for its actions. The court found that the breaches were deliberate and continued despite warnings, indicating a lack of respect for the court's orders. The court decided that a fine was appropriate, and based on the circumstances, imposed fines totalling $250,000 for the breaches. Additionally, NRM was ordered to pay the ACCC's costs on an indemnity basis.

The court's decision highlights the importance of adhering to court orders and the potential consequences of contemptuous conduct. The significant fines imposed reflect the court's stance on the seriousness of breaching injunctions and the need to uphold the integrity of court processes.