In ACCC v Coles [2014] FCA 1405, Gordon J at [102] observed (emphasis added):
Coles’ misconduct was serious. I reject Coles’ submission that these contraventions are somehow distinguishable, or of a less serious nature, because they did not involve vulnerable consumers. Coles’ conduct did not involve vulnerable consumers. Coles’ conduct did involve vulnerable suppliers – some of Coles’ smaller suppliers…. Indeed, their lack of size was one of the reasons why they were classified as Tier 3 Suppliers and targeted by Coles. These vulnerable suppliers were up against Coles – the second largest retailer of grocery products in Australia. It is unsurprising that Coles admits that it had substantially stronger bargaining power. It is difficult to envisage circumstances involving a larger disparity in bargaining power.
In their press release advising that they were bringing action against Woolworths for breach of s21, the ACCC noted(emphasis added):
The ACCC also alleges that these requests were made in circumstances where Woolworths was in a substantially stronger bargaining position than the suppliers, did not have a pre-existing contractual entitlement to seek the payments, and either knew it did not have or was indifferent to whether it had a legitimate basis for requesting a Mind the Gap payment from every targeted Tier B supplier.
1. What is meant by ‘bargaining power’? In what way is this the same or different to ‘market power’ in the context of s46? Could these actions against Coles and Woolworths been run using s46 instead of s21? If this is the case, then do any changes to s46 also have to consider s21?
Support your discussion by reference to case law and the discussion surrounding the Harper Review.
Currently 2 writers are viewing this order
Are you looking for a similar paper or any other quality academic essay? Then look no further. Our research paper writing service is what you require. Our team of experienced writers is on standby to deliver to you an original paper as per your specified instructions with zero plagiarism guaranteed. This is the perfect way you can prepare your own unique academic paper and score the grades you deserve.
Use the order calculator below and get started! Contact our live support team for any assistance or inquiry.
[order_calculator]