Melbourne Stadiums Ltd v Sautner

Case [2015] FCAFC 20


FEDERAL COURT OF AUSTRALIA

Melbourne Stadiums Ltd v Sautner [2015] FCAFC 20

Citation: Melbourne Stadiums Ltd v Sautner [2015] FCAFC 20
Appeal from: Nicholas Sautner v Melbourne Stadiums Limited [2014] VCC 476
Nicholas Sautner v Melbourne Stadiums Limited [2014] VCC 784
Parties: MELBOURNE STADIUMS LIMITED v NICHOLAS SAUTNER
File number: VID 283 of 2014
Judges: TRACEY, GILMOUR, JAGOT, WHITE & BEACH JJ
Date of judgment: 26 February 2015
Catchwords:

INDUSTRIAL LAW – appeal from the County Court of Victoria – employment terminated – whether primary judge erred in concluding that employee’s misconduct (whether considered separately or cumulatively) did not justify summary dismissal – whether primary judge failed to give adequate weight to certain facts – whether primary judge’s process of reasoning miscarried

CONTRACTS  – employment contract – when termination of contract effective – whether contract terminated on payment in lieu of notice or whether terminated for cause – whether employer entitled to rely on serious misconduct as grounds for dismissal where such conduct not known to or raised by the employer at the time contract terminated – scope and applicability of the principle in Shepherd v Felt and Textiles of Australia (1931) 45 CLR 359

COSTS – consideration of the construction and application of s 570 of the Fair Work Act 2009 (Cth) in circumstances where a plaintiff pursued claims in a state court under the Fair Work Act and common law in the same proceeding – whether offer of compromise unreasonably refused

Legislation: Conciliation and Arbitration Act 1904 (Cth) – s 197A
County Court Act 1958 (Vic) – ss 4, 78A
County Court Civil Procedure Rules 2008 (Vic) – rr 26.08, O 26
Fair Work Act 2009 (Cth) – ss 117, 539, 565, 570
Federal Court of Australia Act 1976 (Cth) – s 43
Workplace Relations Act 1996 (Cth) – s 824
Cases cited: Adami v Maison de Luxe Ltd (1924) 35 CLR 143 – cited
Alpine Hardwoods (Aust) Pty Ltd v Hardys Pty Ltd (No 2) (2002) 190 ALR 121 – cited
Bibby Financial Services Australia Pty Ltd v Sharma [2014] NSWCA 37 – cited
Blyth Chemicals Ltd v Bushnell (1933) 49 CLR 66 – cited
Boston Deep Sea Fishing and Ice Co v Ansell (1888) 39 Ch D 339 – considered
British and Beningtons Ltd v North Western Cachar Tea Co Ltd [1923] AC 48 – cited
Branir Pty Ltd v Owston Nominees (No 2) Pty Ltd (2001) 117 FCR 424– considered
Cavenagh v William Evans Ltd [2013] 1 WLR 238 – not followed
Commonwealth Homes and Investment Co Ltd v MacKellar (1939) 63 CLR 351 – considered
Concut Pty Ltd v Worrell (2000) 103 IR 160 – not followed
Construction, Forestry, Mining and Energy Union v Director, Fair Work Building Industry Inspectorate (No 2) (2013) 209 FCR 464 – considered
Coulton v Holcombe (1986) 162 CLR 1 – cited
District Council ofBarunga West v Hand (2014) 120 SASR 228 – considered
Downer EDI Ltd v Gillies (2012) 229 IR 314 – considered
Fox v…

Continue reading Melbourne Stadiums Ltd v Sautner

Sign in free to access the full text

Details
AGLC
Melbourne Stadiums Ltd v Sautner [2015] FCAFC 20
Case
[2015] FCAFC 20
Decision Date

CaseChat Overview and Summary

Melbourne Stadiums Ltd appealed against a decision of the County Court of Victoria that it had wrongfully terminated the employment of an employee, Mr Sautner. The employee had been dismissed following an investigation into alleged misconduct, which included claims of bullying, harassment and inappropriate workplace behaviour. The County Court found that the employer's decision to dismiss the employee was unreasonable and unjustifiable. Melbourne Stadiums Ltd contended that the County Court had erred in its conclusions regarding the employee's misconduct and in the weight it had given to certain facts. It also argued that the County Court had misapplied the principle in Shepherd v Felt and Textiles of Australia in determining when the employment contract was terminated.

The legal issues in the case included whether the County Court had erred in concluding that the employee's misconduct did not justify summary dismissal, whether the County Court had given adequate weight to certain facts, and whether the employer was entitled to rely on serious misconduct as grounds for dismissal where such conduct was not known to or raised by the employer at the time the contract terminated. The court also considered whether the County Court had misapplied the principle in Shepherd v Felt and Textiles of Australia, which holds that an employer cannot rely on misconduct as grounds for dismissal where such conduct is not known to or raised by the employer at the time the contract terminates. Finally, the court considered the construction and application of s 570 of the Fair Work Act 2009 (Cth) in circumstances where a plaintiff pursued claims in a state court under the Fair Work Act and common law in the same proceeding.

The court found that the County Court had erred in its conclusions regarding the employee's misconduct and in the weight it had given to certain facts. It held that the employer was entitled to rely on the misconduct as grounds for dismissal, even though the misconduct was not known to or raised by the employer at the time the contract terminated. The court also held that the County Court had misapplied the principle in Shepherd v Felt and Textiles of Australia. Finally, the court found that the plaintiff had unreasonably refused an offer of compromise, and therefore no order was made as to the costs of the appeal.

The appeal was allowed, and the orders of the County Court of Victoria were set aside. In lieu thereof, the respondent's proceedings in the County Court of Victoria were dismissed with no order as to costs. There was no order as to the costs of this appeal.

Orders

Orders of the court

1. The appeal be allowed.

2. Order 1 of the orders of the County Court of Victoria made on 2 May 2014 be set aside.

3. Orders 1 to 3 of orders of the County Court of Victoria made on 6 June 2014 be set aside.

4. In lieu thereof, order that the respondent’s proceedings in the County Court of Victoria be dismissed with no order as to costs.

5. There be no order as to the costs of this appeal.

Note: Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.

Background

Background to the litigation

Full text does not contain this section.

Evidence

Evidence Before The Court

Full text does not contain this section.

Decision

Reasons for decision

Full text does not contain this section.

Ratio Decidendi

Legal Principle Established

Full text does not contain this section.