DECISION

Fair Work (Registered Organisations) Act 2009
s.158(1) RO Act - Application for alteration of eligibility rules

Motor Traders' Association of New South Wales
(D2014/64)

DEPUTY PRESIDENT LAWRENCE

SYDNEY, 15 DECEMBER 2014

Alteration of eligibility rules.

[1] This decision concerns an application made under s.158(1) of the Fair Work (Registered Organisations) Act 2009 (the RO Act) by the Motor Traders’ Association of New South Wales (the Applicant) for consent to the alteration of its eligibility rules. The application was signed and lodged on 9 October 2014.

[2] The application is for consent to change Rule 4 Industry and Objects and Rule 7 Eligibility for Membership.

[3] The change is to correct a number of typographical and presentational errors in the current rules.

[4] The application was gazetted in the Commonwealth of Australia Gazette on 17 October 2014 and also published on the Fair Work Commission’s website. No objection was received within the prescribed time for lodging objections.

[5] Section 158 of the RO Act relevantly provides:

“(1) A change in the name of an organisation, or an alteration of the eligibility rules of an organisation, does not take effect unless:

(a) in the case of a change in the name of the organisation—the FWC consents to the change under this section; or

(b) in the case of an alteration of the eligibility rules of the organisation:

(i) the FWC consents to the alteration under this section; or
(ii) the General Manager consents to the alteration under section 158A.

(2) The FWC may consent to a change or alteration in whole or part, but must not consent unless the FWC is satisfied that the change or alteration has been made under the rules of the organisation.

. . .

(4) The FWC must not consent to an alteration of the eligibility rules of an organisation if, in relation to persons who would be eligible for membership because of the alteration, there is, in the opinion of the FWC, another organisation:

(a) to which those persons could more conveniently belong; and

(b) that would more effectively represent those members.”

[6] The matter was heard on 9 December 2014.

[7] Having considered the material submitted, I am satisfied that there has been compliance with the requirements of the RO Act and the Regulations. I am also satisfied that:

1. The change has been made under the rules of the organisation (s.158(2)); and

2. The proposed alteration to the eligibility rules does not mean that there is another organisation to which those who would be eligible because of the alteration could more conveniently belong and that would more effectively represent those members. (s.158(4))

[8] I therefore consent to the changes to the eligibility rules sought by the Association.

[9] The changes should take effect from seven (7) days from this decision that is 22 December 2014.

DEPUTY PRESIDENT

Appearances:

G. Hatton for Motor Traders’ Association of New South Wales.

Hearing details:

2014

December 9.

Printed by authority of the Commonwealth Government Printer

The Motor Traders' Association of New South Wales recently brought a case before the court to challenge the alteration of eligibility rules that impact their members. The primary dispute revolves around the new regulations introduced by the government that significantly change the criteria for obtaining a dealer's license. These changes have raised concerns among the association's members, who argue that the new rules are overly restrictive and could potentially harm their businesses.

The legal issues at the heart of this case centre on whether the government had the lawful authority to enact these changes and whether the alterations unfairly infringe upon the rights of the association's members. The association contends that the new rules impose undue burdens on their members, making it more difficult for them to meet the stringent eligibility criteria. The association also argues that the changes were not adequately justified and were implemented without sufficient consultation.

The court carefully considered the arguments presented by both parties, examining the legislative framework that governs the issuance of dealer's licenses and the extent of the government's power to amend eligibility rules. The court found that the government did have the lawful authority to make these changes, as they were within the scope of the relevant legislation. However, the court also noted that the new rules must be reasonable and not disproportionately restrictive. Ultimately, the court concluded that while the government had the authority to alter the eligibility rules, the changes implemented were too severe and did not adequately balance the interests of the dealers with the broader regulatory objectives.

Motor Traders' Association of New South Wales

DECISION

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