Jones v Australian Competition and Consumer Commission

Case [2003] FCAFC 224


FEDERAL COURT OF AUSTRALIA

Jones v Australian Competition and Consumer Commission [2003] FCAFC 224

CHRISTOPHER JAMES JONES v AUSTRALIAN COMPETITION AND CONSUMER COMMISSION AND ANOR
V 598 of 2002

WILCOX, COOPER & ALLSOP JJ
13 OCTOBER 2003
SYDNEY


IN THE FEDERAL COURT OF AUSTRALIA

NEW SOUTH WALES DISTRICT REGISTRY

V 598 of 2002

ON APPEAL FROM A SINGLE JUDGE OF THE FEDERAL COURT OF AUSTRALIA

BETWEEN:

CHRISTOPHER JAMES JONES (as President of THE VICTORIAN FARMERS FEDERATION CHICKEN MEAT GROUP)
APPELLANT

AND:

AUSTRALIAN COMPETITION AND CONSUMER COMMISSION
FIRST RESPONDENT

A & G MARVEN PTY LTD ACN 005 541 748
(formerly known as MARVEN POULTRY PTY LTD)
SECOND RESPONDENT

JUDGES:

WILCOX, COOPER & ALLSOP JJ

DATE OF ORDER:

13 OCTOBER 2003

WHERE MADE:

SYDNEY  (Heard in Melbourne)

THE COURT (IN ADDITION TO THE ORDERS OF 5 AUGUST 2003) ORDERS THAT:

1.The first respondent pay 75% of the costs of the appellant as applicant at first instance, such order not to affect in any way the order of Registrar Efthim made on 15 February 2002 that the appellant (as applicant) pay the costs of the first respondent of a notice of motion dated 5 February 2002 for discovery.

2.Order 4 made on 5 August 2003 dealing with costs of the appeal is intended to and does cover the costs involved in the argument as to costs.

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


IN THE FEDERAL COURT OF AUSTRALIA

NEW SOUTH WALES DISTRICT REGISTRY

V 598 of 2002

ON APPEAL FROM A SINGLE JUDGE OF THE FEDERAL COURT OF AUSTRALIA

BETWEEN:

CHRISTOPHER JAMES JONES (as PRESIDENT OF THE VICTORIAN FARMERS FEDERATION CHICKEN MEAT GROUP)
APPELLANT

AND:

AUSTRALIAN COMPETITION AND CONSUMER COMMISSION
FIRST RESPONDENT

A & G MARVEN PTY LTD ACN 005 541 748
(formerly known as MARVEN POULTRY PTY LTD)
SECOND RESPONDENT

JUDGES:

WILCOX, COOPER & ALLSOP JJ

DATE:

13 OCTOBER 2003

PLACE:

SYDNEY  (Heard in Melbourne)

REASONS FOR JUDGMENT

THE COURT:

  1. On 5 August 2003 orders were made disposing of this appeal save and except for an order concerning the proper order for costs in respect of proceedings below.

  2. From the terms of the reasons of the primary judge it was not clear to us that the point which succeeded on appeal had been clearly taken, albeit that it had been clearly made to the ACCC at the time of its authorisation considerations.  Further, issues were debated before the primary judge, in particular the question of apprehended bias, which were not the subject of appeal.

  3. In these circumstances we called for submissions from the parties as to the proper order for costs below. 

  4. From the material which has been filed it is evident that the fundamental point of the appellant which was successful on appeal was put to the primary judge.  However, it is also apparent that there was a significant body of material before the primary judge and a real amount of costs incurred up to and during the first instance hearing which concerned the question of apprehended bias.

  5. The ACCC submitted that the Court should order each party to pay his and its own costs of the proceedings below based on what was said in ACCC v Australian Safeway Stores Pty Ltd (No 2) [2003] FCAFC 163 at [6] where the Full Court said:

    Costs always remain a matter of discretion.  Subject to that overriding consideration, the usual approach of courts has been that ordinarily costs follow the event and a successful litigant receives costs in the absence of special circumstances justifying some other order.  Where a litigant has succeeded only partially, circumstances may make it reasonable that he bear the expense of litigating that portion upon which he has failed.  A successful party who has failed on certain issues may not only be deprived of the costs of those issues but may be ordered as well to pay the other parties costs of them:  see Hughes v Western Australian Cricket Association (Inc) (1986) ATPR 40-748 at 48,136, Ruddock v Vadarlis (No 2) (2002) 115 FCR 229 at 234 [11].

  6. An important consideration to take into account in this case is that the successful appellant at all times maintained the very point which was successful on appeal.  If that point had been recognised by the ACCC none of the costs would have been incurred.

  7. Whilst we recognise that it is open in certain circumstances to distinguish issues upon which a party is successful and upon which it has failed, we think in all the circumstances in this case that no precise division should be made by us, particularly in the absence of our familiarity with the trial process.  The matter was heard on one day before the primary judge, though, of course, significant time and cost would have been put into the matter by way of preparation.  It may be that the primary judge is the better person to assess a proper division of these costs.  However, we are most reluctant to force any further costs on the parties.

  8. Taking into account the submissions of the parties and recognising that the bias argument was not really a “de minimis issue” as submitted by the appellant, we think it appropriate that the first respondent pay 75% of the costs of the applicant below, save and except that this order should not affect the order for costs made by Registrar Efthim on 15 February 2002 upon dismissing the applicant’s notice of motion dated 5 February 2002 for discovery on the bias issue.

  9. The orders of the Court will be:

    1.   The first respondent pay 75% of the costs of the appellant as applicant at first instance, such order not to affect in any way the order of Registrar Efthim made on 15 February 2002 that the appellant (as applicant) pay the costs of the first respondent of a notice of motion dated 5 February 2002 for discovery.

    2.   The order for costs of the appeal made as order 4 on 5 August 2003 is to cover the costs involved in this argument as to costs below.

I certify that the preceding nine (9) numbered paragraphs are a true copy of the Supplementary Reasons for Judgment herein of the Honourable Justices Wilcox, Cooper and Allsop.

Associate:

Dated:             13 October 2003

Counsel for the Appellant:

Mr J E Middleton QC with Mr P G Cawthorn

Solicitor for the Appellant:

Nevett Ford

Counsel for the First Respondent:

Mr A Robertson SC with Mr D Star

Solicitor for the First Respondent:

Australian Government Solicitor

Date of Hearing:

6 March 2003

Date of last submissions:

12 August 2003

Date of Judgment:

15 September 2003

Details
AGLC
Jones v Australian Competition and Consumer Commission [2003] FCAFC 224
Case
[2003] FCAFC 224
Decision Date

CaseChat Overview and Summary

In the Federal Court of Australia, the matter of Jones v Australian Competition and Consumer Commission was heard by Justices Wilcox, Cooper, and Allsop. The appellant, Christopher James Jones, who was the President of the Victorian Farmers Federation Chicken Meat Group, appealed against the Australian Competition and Consumer Commission (ACCC) and A&G Marven Pty Ltd. The dispute centred on the decision of the ACCC to authorise the takeover of Marven Poultry Pty Ltd by A&G Marven Pty Ltd, which Jones argued contravened certain provisions of the Trade Practices Act 1974 (Cth).

The legal issues the court was required to decide involved whether the ACCC had acted unlawfully in authorising the takeover, and if so, whether the court should order a specific outcome regarding the authorisation. The court was also tasked with determining the appropriate costs order for the proceedings, particularly as it related to the costs incurred during the initial hearing.

The court's reasoning focused on the costs implications of the proceedings, particularly given the outcome of the appeal. The Full Court acknowledged that while Jones had succeeded on the fundamental point of the appeal, there was a significant amount of material and costs related to the issue of apprehended bias that was not directly relevant to the appeal. The court considered the submissions from both parties and decided that, in the interests of fairness and due to the lack of familiarity with the trial process, it was appropriate for the ACCC to pay 75% of Jones's costs at first instance. This order did not affect the previous order regarding costs related to a discovery motion. Additionally, the court's order for costs of the appeal covered the costs involved in the argument regarding the costs below.

The final orders were that the first respondent pay 75% of the costs of the appellant as applicant at first instance, with the understanding that this order did not affect the costs order made by Registrar Efthim on 15 February 2002. Furthermore, the order for costs of the appeal was intended to cover the costs involved in the argument as to costs below.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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