HANNA v Australia and New Zealand Banking Group Limited

This matter concerned a dispute between Ms. Hanna and Australia and New Zealand Banking Group Limited (ANZ). Ms. Hanna alleged that ANZ had engaged in misleading and deceptive conduct in contravention of section 18 of the Australian Consumer Law (ACL) and had breached its duty of care. The proceedings were heard in the Federal Court of Australia before Judge Riley.

The central legal issues before the Court were whether ANZ had engaged in misleading or deceptive conduct by representing that it would not charge Ms. Hanna interest on a particular loan facility, and whether ANZ had breached its duty of care to Ms. Hanna by failing to adequately advise her regarding the loan facility and its associated risks.

Judge Riley found that ANZ had not engaged in misleading or deceptive conduct. The Court determined that the communications between ANZ and Ms. Hanna did not create a representation that interest would not be charged. Instead, the evidence indicated that Ms. Hanna understood, or ought to have understood, that interest would be payable. Furthermore, the Court held that ANZ had not breached its duty of care. The evidence did not establish that ANZ owed Ms. Hanna a duty to provide comprehensive financial advice beyond the specific terms of the loan facility, nor that it failed to meet the standard of care expected in the circumstances.

The Court ordered that judgment be entered for the defendant, Australia and New Zealand Banking Group Limited, with costs.