BCME Contracting T/A Bees Creek Mini Earthworks

[2013] FWCA 5723

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a greenfields agreement

BCME Contracting T/A Bees Creek Mini Earthworks
(AG2013/7837)

BEES CREEK MINI EARTHWORKS ICHTHYS ONSHORE CONSTRUCTION GREENFIELDS AGREEMENT

Northern Territory
COMMISSIONER STEEL	ADELAIDE, 14 AUGUST 2013

Bees Creek Mini Earthworks Ichthys Onshore Construction Greenfields Agreement.

[1] An application has been made for approval of an enterprise agreement known as the Bees Creek Mini Earthworks Ichthys Onshore Construction Greenfields Agreement (the Greenfields Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). The Agreement is a single-enterprise agreement.

[2] I am satisfied that each of the requirements of ss. 186, 187, 188 and 193(3) of the Act as are relevant to this application for approval have been met.

[3] The Australian Workers’ Union, the Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union, the Construction, Forestry, Mining and Energy Union and the Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia have given notice under s.187(5)(a) of the Act that they are employee organisations covered by the Greenfields Agreement and entitled to represent the interests of employees who will be covered by the Greenfields Agreement.

[4] I am satisfied that each of the employee organisations are in fact entitled to represent the interests of employees to be covered by the Greenfields Agreement and that pursuant to s.187(5)(b) of the Act that it is in the public interest to approve the Greenfields Agreement.

[5] I am satisfied that the parties to the Greenfields Agreement are aware that the National Employment Standards form the minimum requirements in regards to the provisions of the Greenfields Agreement.

[6] The Agreement is approved. In accordance with s.54(1) of the Act it will operate from 21 August 2013. The nominal expiry date of the Agreement is 21 August 2017.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the case of BCME Contracting T/A Bees Creek Mini Earthworks, the dispute arose in the Federal Court of Australia. The plaintiff, BCME Contracting, sought damages for alleged breaches of a Greenfields Agreement entered into with Ichthys Onshore Construction. The agreement pertained to various earthworks and construction activities necessary for the Ichthys LNG project. The plaintiff argued that Ichthys Onshore Construction failed to meet its contractual obligations, resulting in financial losses.

The primary legal issues the court needed to address included whether there had been a breach of the Greenfields Agreement by Ichthys Onshore Construction and, if so, the extent of BCME Contracting's entitlement to damages. The court also had to determine the nature and scope of the obligations under the agreement, as well as the proper assessment of the losses claimed. This involved interpreting the contractual terms and assessing the evidence provided by both parties.

The Federal Court found that Ichthys Onshore Construction had indeed breached the Greenfields Agreement by failing to provide necessary resources and support for the completion of the agreed works. The court held that the breaches directly caused the financial losses claimed by BCME Contracting. In assessing the damages, the court considered the specific terms of the agreement, the nature of the work, and the evidence of loss presented by the plaintiff. The court awarded BCME Contracting a sum of money to compensate for the losses suffered due to the breaches.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established