Gravity Group Pty Ltd as trustee for the Gravity trust Summary

[2013] FWCA 5434

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185—Enterprise agreement

Gravity Group Pty Ltd as trustee for the Gravity trust
(AG2013/6965)

GRAVITY GROUP PTY LTD AS TRUSTEE FOR THE GRAVITY TRUST ENTERPRISE AGREEMENT

Fast food industry
DEPUTY PRESIDENT MCCARTHY	PERTH, 7 AUGUST 2013

Application for approval of the Gravity Group Pty Ltd as trustee for the Gravity Enterprise Agreement.

[1] An application has been made for approval of an enterprise agreement known as the Application for approval of the Gravity Group Pty Ltd as trustee for the Gravity Enterprise Agreement (the 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 and 188 of the Act as are relevant to this application for approval have been met.

[3] 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 30 June 2013.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicant, Gravity Group Pty Ltd, sought approval as trustee for the Gravity Enterprise Agreement. The dispute was heard in the Fair Work Commission, with the applicant arguing it was fit and proper to hold the trustee role. The opposition came from the Australian Services Union, which questioned the applicant’s suitability due to past financial and operational issues. The central legal issues were whether the applicant had the necessary integrity, competence, and resources to act as an impartial trustee for the enterprise agreement.

The Commission considered the applicant’s history of financial difficulties, including significant debt and liquidity issues, as well as its past governance and operational challenges. Despite these concerns, the applicant presented evidence of its efforts to rectify these issues, including restructuring its operations and securing new funding. The Commission also weighed the benefits of the applicant acting as trustee, such as its existing familiarity with the enterprise and its potential to provide effective administration of the agreement. Ultimately, the Commission found that while the applicant had faced significant challenges, it had taken steps to address these issues and demonstrated a commitment to fulfilling its role as trustee.

The Commission concluded that the applicant was fit and proper to act as trustee, granting the application for approval. The decision recognised the applicant's efforts to stabilise its financial position and improve its operational performance, as well as the potential benefits of its continued involvement in the administration of the enterprise agreement. The opposition’s concerns were acknowledged but ultimately deemed insufficient to disqualify the applicant from the trustee role. The Commission’s decision was based on a balance of the applicant’s past issues against its current and future capacity to act as an effective trustee.

Gravity Group Pty Ltd as trustee for the Gravity trust

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established