Oddbins Pty Ltd v Liquor Administration Board of NSW

Oddbins Pty Ltd (the applicant) sought judicial review of a decision by the Liquor Administration Board of New South Wales (the respondent) to refuse its application for a hotel licence. The matter came before the Supreme Court of New South Wales, Court of Appeal.

The central legal issue before the Court of Appeal was whether the Board had erred in law by failing to consider, or adequately consider, the applicant's submissions regarding the suitability of the proposed premises for a hotel licence, particularly in light of the fact that the premises were located within a residential zone. The applicant contended that the Board had improperly fettered its discretion by applying a rigid policy that prohibited the granting of hotel licences in residential zones, irrespective of the specific circumstances.

The Court of Appeal found that the Board had indeed erred in law. It held that while the Board was entitled to have policies, it was not entitled to apply them so rigidly as to preclude itself from considering all relevant factors placed before it by the applicant. The Court emphasised that the Board's discretion under the relevant legislation required an individual assessment of each application, taking into account all material circumstances, including the applicant's submissions. The principle applied was that a decision-maker must not fetter its discretion by an inflexible adherence to policy, but must remain open to considering all relevant evidence and arguments presented.

The Court of Appeal ordered that the decision of the Board be set aside and remitted the matter back to the Board for reconsideration according to law.