Coochey v Commonwealth

Case [2005] FCA 1165


FEDERAL COURT OF AUSTRALIA

Coochey v Commonwealth of Australia [2005] FCA 1165

INDUSTRIAL LAW - certified agreements – provisions as to redeployment and retrenchment – breaches established.

INDUSTRIAL LAW – whether Commonwealth ‘body corporate’ for purpose of penalty provisions to Workplace Relations Act 1996.

Acts Interpretation Act 1901 (Cth)
Judiciary Act 1903  (Cth)
Trade Practices Act 1974 (Cth)
Workplace Relations Act 1996 (Cth)

CFMEU v Coal & Allied Operations Pty Ltd (No. 2) [1999] FCA 1714; (2000) 47 AILR 4-215
CIC Insurance Ltd v Bankstown Football Club Ltd (1997) 187 CLR 384
Community and Public Sector Union v Telstra Corp Ltd [2001] FCA 1364; (2001) 108 IR 228
Newcastle City Council v GIO General Ltd (1997) 191 CLR 85

Workcover NSW v Police Services of NSW (2000) 50 NSWLR 333

JOHN COOCHEY v COMMONWEALTH OF AUSTRALIA

A 30 OF 2002

MADGWICK J
24 AUGUST 2005
SYDNEY (HEARD IN CANBERRA)


IN THE FEDERAL COURT OF AUSTRALIA

AUSTRALIAN CAPITAL TERRITORY

DISTRICT REGISTRY

A 30 OF 2002

BETWEEN:

JOHN COOCHEY
APPLICANT

AND:

COMMONWEALTH OF AUSTRALIA
RESPONDENT

JUDGE:

MADGWICK J.

DATE OF ORDER:

 24 AUGUST 2005

WHERE MADE:

SYDNEY (HEARD IN CANBERRA)

THE COURT ORDERS THAT:

1.A penalty of $8,000 be imposed on the respondent in respect of the first breach.

2.A penalty of $100 be imposed on the respondent in respect of the second breach.

3.In each case the penalties are to be paid to the applicant within twenty-one days.

Note:    Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.


IN THE FEDERAL COURT OF AUSTRALIA

AUSTRALIAN CAPITAL TERRITORY DISTRICT REGISTRY

A 30 OF 2002

BETWEEN:

JOHN COOCHEY
APPLICANT

AND:

COMMONWEALTH OF AUSTRALIA
RESPONDENT

JUDGE:

MADGWICK J.

DATE:

24 AUGUST 2005

PLACE:

SYDNEY (HEARD IN CANBERRA)

REASONS FOR JUDGMENT

MADGWICK J:

  1. This is an application seeking the imposition of penalties for alleged breaches of a certified agreement registered under s 170LJ of the Workplace Relations Act 1996 (Cth) (‘the Act’).

  2. The applicant was a career public servant.  He was born on 9 May 1950.  He commenced service in the Australian Public Service (‘the APS’) on 8 November 1976.  By 1986 he had gained promotion to Senior Officer Grade B (‘SOGB’) level, later known as Executive Level 2 (‘EL2’), in the Department of Defence (‘the Department’).

  3. Due to governmental rationalisation and internal re-structuring of the Department, Mr Coochey was first regarded as ‘surplus’ (in later terminology, ‘potentially excess’) from about 1992.  To maintain his employment, he took a number of lengthy placements elsewhere in Commonwealth public employment, on secondment from the Department.  He returned to the Department in late 1998.  His employment with the Department ceased on 9 September 1999 in circumstances explained below.

  4. By the time the applicant returned to the Department the subject certified agreement (‘the Agreement’) was in force.  It commenced to operate and was certified by the Australian Industrial Relations Commission (‘the AIRC’) on 6 May 1998 and was in force at all material times.

  5. To understand the alleged breaches…

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Details
AGLC
Coochey v Commonwealth [2005] FCA 1165
Case
[2005] FCA 1165
Decision Date

CaseChat Overview and Summary

The case of Coochey v Commonwealth was heard before the Federal Court of Australia. The applicant, Coochey, brought proceedings against the Commonwealth regarding alleged breaches of a contractual agreement. The central issue was whether the Commonwealth had breached the contract and, if so, what the appropriate penalties should be. The court was tasked with interpreting the terms of the contract, determining if breaches had occurred, and if so, quantifying the penalties due under the terms of the agreement.

The legal issues before the court were multifaceted. Firstly, the court had to ascertain whether the Commonwealth had indeed breached the contract as alleged by the applicant. Secondly, the court needed to interpret the contractual terms to determine the extent of the breaches and the penalties that should be imposed for each breach. The Commonwealth argued that the breaches, if any, were minor and did not warrant significant penalties. Conversely, the applicant contended that the breaches were substantial and warranted higher penalties.

In delivering the judgment, the court found that the Commonwealth had indeed breached the contract on two separate occasions. The court meticulously examined the contract terms and found that the breaches were significant enough to warrant penalties. For the first breach, the court imposed a penalty of $8,000, considering the severity and impact of the breach. For the second breach, the penalty was set at $100, reflecting a lesser impact. The court ordered that these penalties be paid to the applicant within twenty-one days from the date of the judgment. The decision was based on a detailed analysis of the contractual obligations and the consequences of the breaches as outlined in the agreement.

Orders

Orders of the court

1. A penalty of $8,000 be imposed on the respondent in respect of the first breach.

2. A penalty of $100 be imposed on the respondent in respect of the second breach.

3. In each case the penalties are to be paid to the applicant within twenty-one days.

Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

MADGWICK J

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Ratio Decidendi

Legal Principle Established

Established by: MADGWICK J

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