One Tree Community Services Inc v United Workers' Union

In the case of One Tree Community Services Inc v United Workers' Union, the Fair Work Commission was challenged on the grounds that it was exercising judicial power by resolving a dispute under an enterprise agreement that involved the employer. The dispute centred around the interpretation and application of the "transfer of business" provisions in the Fair Work Act 2009 (Cth) and the binding arbitration clause in the enterprise agreement, which was made between Mission Australia and the United Workers' Union. The central issue was whether the Fair Work Commission, in resolving a dispute involving One Tree, which was not a party to the enterprise agreement but became bound by it through the transfer of business provisions, was exercising judicial power or acting under a consensual arbitration agreement.

The Fair Work Commission held that One Tree, by voluntarily entering into the transfer of business and making employment offers to Mission Australia's former employees, implicitly agreed to be bound by the enterprise agreement, including the arbitration clause. The Commission rejected One Tree's argument that it was not subject to the arbitration power because it had not expressly agreed to arbitrate disputes with the Union. The Commission found that One Tree's voluntary actions constituted an agreement to arbitrate disputes as per the enterprise agreement, thus preventing the exercise of judicial power.

The court concluded that the Commission did not exercise judicial power but rather acted under a consensual arbitration agreement. The Commission's decision was upheld, and the appeal was dismissed. There was no order as to costs.