Sportsbet Pty Ltd v New South Wales

Sportsbet Pty Ltd challenged New South Wales legislation that imposed a licensing fee on wagering operators. The case was heard in the High Court of Australia, where the central issue was the constitutionality of the New South Wales legislation under the Australian Constitution's provisions on interstate trade and the Northern Territory (Self-Government) Act 1978 (Cth). The primary question before the court was whether the New South Wales law, which required a fee to be paid to racing control bodies, effectively imposed a burden only on interstate traders, thereby contravening the Constitution's protection of interstate trade.

The court examined whether the fee condition, along with the exemptions and subsidies provided by the racing control bodies, constituted an inseverable aspect of a single measure that disproportionately affected interstate traders. It was also necessary to determine if the imposition of the fee by racing control bodies contravened section 49 of the Northern Territory (Self-Government) Act 1978 (Cth), which mandates that trade, commerce, and intercourse between the Northern Territory and a State must be free. The court found that the fee, when considered in conjunction with the exemptions and subsidies, effectively placed a burden only on interstate traders, thus contravening the Constitution's protection of interstate trade.

Consequently, the High Court ruled that the approvals granted to Sportsbet Pty Ltd by the New South Wales racing control bodies were invalid. The court ordered that the licences be declared invalid and awarded damages to Sportsbet Pty Ltd. Additionally, the court varied existing orders to allow the publication of the reasons for its decision and provided further directions for the case.