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Legislation

Trade Practices Amendment Act 1978

 

Summary

The Amendment re-defines the joint venture defence to price fixing, removes the related corporation exclusion from third line forcing and makes amendments to the authorisation and notification provisions.

The Act also made changes to a number of the consumer protection provisions.

 

Key competition law amendments

Section 8
Contracts, arrangements or understandings in relation to prices

(1) Section 45A of the Principal Act is amended by omitting paragraph (b) of sub-section (2) and substituting the following paragraph: ''(b) the joint supply by the parties to the joint venture of services in pursuance of the joint venture, or the supply by the parties to the joint venture in proportion to their respective interests in the joint venture of services in pursuance of, and made available as a result of, the joint venture; or''.

(2) The amendment made by sub-section (1) shall be deemed to have come into operation on 1 July 1977.

Section 9
Exclusive dealing

Section 47 of the Principal Act is amended by omitting from sub-sections (6) and (7) ''not being a body corporate related to the corporation''.

Section 15
Heading

The heading to Part VII of the Principal Act is amended by omitting '', NOTIFICATIONS AND CLEARANCES'' and substituting ''AND NOTIFICATIONS''.

Section 16
Power of Commission to grant authorizations

Section 88 of the Principal Act is amended by inserting after sub-section (2) the following sub-section:

''(2A) The reference in paragraph (2) (a) to the supply or acquisition of goods by persons in competition with each other includes a reference to the supply or acquisition of goods by persons who, but for a provision of any contract, arrangement or understanding or of any proposed contract, arrangement or understanding, would be, or would be likely to be, in competition with each other in relation to the supply or acquisition of the goods.''.

Section 17
Determination of applications for authorizations

Section 90 of the Principal Act is amended-

(a) by inserting in sub-section (6) ''(other than conduct to which sub-section 47 (6) or (7) applies)'' after ''conduct'' (first occurring);

(b) by omitting ''or'' at the end of sub-paragraph (i) of paragraph (a) of sub-section (8);

(c) by adding ''; or'' at the end of sub-paragraph (ii) of paragraph (a) of sub-section (8); and

(d) by inserting after sub-paragraph (ii) of paragraph (a) of sub-section (8) the following sub-paragraph: ''(iii) an authorization under sub-section 88 (8) in respect of proposed conduct to which sub-section 47 (6) or (7) applies,''.

Section 18
Heading

The heading to Division 2 of Part VII is amended by omitting the words ''and Clearances''.

Section 19
Notification of exclusive dealing

Section 93 of the Principal Act is amended by inserting in sub-section (3) ''has or would have the purpose or'' before ''has or is likely to have, or would have or be likely to have, the effect''.