Century Impact Pty Ltd v Chief Cmr Business Franchise Licences (Tobacco)

Century Impact Pty Ltd (the applicant) sought judicial review of a decision by the Chief Commissioner of Business Franchise Licences (Tobacco) (the respondent) to refuse its application for a business franchise licence (tobacco). The applicant had previously held such a licence but it had expired. The Commissioner's refusal was based on the applicant's failure to pay outstanding business franchise licence fees and penalties from a previous period. The matter came before the High Court of Australia.

The central legal issue before the High Court was whether the Commissioner had a discretion to grant a licence to an applicant who had failed to discharge their prior financial obligations to the Commissioner, or whether the Commissioner was bound to refuse the licence in such circumstances. This involved an interpretation of the relevant provisions of the *Business Franchise Licences (Tobacco) Act 1987* (NSW) and the principles of administrative law concerning the exercise of statutory discretions.

The High Court held that the Commissioner did not possess an unfettered discretion to grant a licence. The Court reasoned that the Act imposed a clear obligation on applicants to pay all outstanding fees and penalties before a licence could be granted. While the Commissioner had a discretion in considering applications, this discretion was circumscribed by the statutory requirement for compliance with financial obligations. To grant a licence to an applicant in default would undermine the purpose of the legislation, which was to ensure revenue collection. The Court emphasised that statutory discretions must be exercised in accordance with the purpose and scheme of the relevant legislation.

The High Court dismissed the applicant's application for judicial review.