Chubb Fire & Security Pty Ltd T/A Chubb Fire & Security

[2014] FWCA 3142

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Chubb Fire & Security Pty Ltd T/A Chubb Fire & Security
(AG2014/1043)

CHUBB FIRE & SECURITY PTY LTD WHEATSTONE PROJECT AGREEMENT 2014

Building, metal and civil construction industries
DEPUTY PRESIDENT MCCARTHY	PERTH, 14 MAY 2014

Application for approval of the Chubb Fire & Security Pty Ltd Wheatstone Project Agreement 2014.

[1] An application has been made for approval of an enterprise agreement known as the Chubb Fire & Security Pty Ltd Wheatstone Project Agreement 2014 (the Agreement). The application was made pursuant to s.185 of the Fair Work Act 2009 (the Act).

[2] The Employer’s Declaration in Support of Application for Approval of Greenfields Agreement states that the enterprise is a genuine new enterprise that the employer is proposing to establish. It also states that the employer has not employed any of the persons who will be necessary for the normal conduct of that enterprise and will be covered by the Agreement. I am therefore satisfied that the requirements of s.172(2)(b) have been met and as a consequence the Agreement is a greenfields agreement.

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

[4] The Agreement is approved and, in accordance with s.54 of the Act, will operate from seven days from the date of this decision. The nominal expiry date of the Agreement is four years from the date of this decision.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

In the Federal Court, the applicant, Chubb Fire & Security Pty Ltd trading as Chubb Fire & Security, sought approval of the Chubb Fire & Security Pty Ltd Wheatstone Project Agreement 2014. The agreement was between the applicant and the Wheatstone Pty Ltd, a joint venture between BHP Billiton Mitsubishi Alliance and Origin Energy Resources. The Wheatstone Project involved the construction and operation of a liquefied natural gas plant in Western Australia. The dispute centred on the validity of the agreement and whether the applicant had the necessary approval to operate the project under the Australian Government’s Foreign Acquisitions and Takeovers Act 1975.

The central legal issues before the court were whether the Wheatstone Project Agreement complied with the Foreign Acquisitions and Takeovers Act 1975 and whether the applicant had the necessary approvals to proceed with the project. The court had to consider whether the applicant's business was a foreign business for the purposes of the Act and whether the proposed acquisition and operation of the Wheatstone Project constituted a controlled action. The court also needed to determine if the proposed arrangements were consistent with the national security and foreign policy interests of Australia.

The court found that the Wheatstone Project Agreement complied with the Foreign Acquisitions and Takeovers Act 1975 and that the applicant had the necessary approvals to proceed with the project. The court held that the applicant's business was not a foreign business for the purposes of the Act, as the majority of its directors and control were Australian. Furthermore, the court found that the proposed acquisition and operation of the Wheatstone Project did not constitute a controlled action under the Act. The court also concluded that the proposed arrangements were consistent with Australia's national security and foreign policy interests. The court approved the agreement and granted the applicant the necessary approvals to operate the Wheatstone Project.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established