Mathews v Telstra Corporation

Mathews (the applicant) brought proceedings against Telstra Corporation (the respondent) in the Federal Court of Australia, alleging that Telstra had breached its obligations under the *Telecommunications Act 1997* (Cth) and the *Trade Practices Act 1974* (Cth) (now the *Competition and Consumer Act 2010* (Cth)). The dispute concerned Telstra's conduct in relation to the provision of telecommunications services and the alleged misleading and deceptive conduct associated with those services.

The primary legal issues before the High Court of Australia were whether Telstra had engaged in conduct that contravened the *Trade Practices Act 1974* (Cth) and whether the applicant had suffered loss or damage as a result of that conduct. Specifically, the court considered the nature of Telstra's obligations under the *Telecommunications Act 1997* (Cth) and how those obligations interacted with the prohibitions against misleading and deceptive conduct under the *Trade Practices Act 1974* (Cth).

The High Court, comprising Gummow and Callinan JJ, examined the evidence and submissions concerning Telstra's representations and the applicant's reliance on those representations. The court applied established principles of statutory interpretation and the law of misleading and deceptive conduct, considering the objective meaning of Telstra's statements and the likely effect they would have on consumers. The court's reasoning focused on whether Telstra's conduct created a false impression or was likely to mislead or deceive the applicant in relation to the telecommunications services provided.

The High Court allowed the appeal in part, finding that Telstra had engaged in misleading and deceptive conduct. The matter was remitted to the Federal Court for determination of the extent of the applicant's loss or damage.