Trade Practices Essay Example for Free

Trade Practices Essay On the material date of 19th December 1997, the Australian Rugby League (ARL) disclosed its intention to enter into partnership with News Ltd to run rugby league that unites their respective leagues on condition that the conglomeration of teams under the ARL news would be reduced to fourteen teams. As a result, souths, which was excluded from participating in the National Rugby league in the year 2000 brought a claim on grounds that the action taken by ARL, News, NRLI and NRL was unlawful as it contravened the provisions of section 45 as read with section 52 of the Trade Practices Act (1974). These provision stipulate the general rules. In section 52 corporations are not entitled in the course of transacting in trade to engage in conduct that is misleading or deceptive.   In echoing this principle, section 45 prohibits the making of contract arrangements that are discriminatory on the basis that they exclude certain persons or corporations. Issues in Question Whether ARL and News were competitive partners at the time they entered into the contract and made exclusionary provisions. Whether the inclusion of the 14-team term was to the effect of restricting, limiting and/or preventing trade. Whether the victim was a specific person or class of persons. It was established in both courts that the souths fell under the description of particular persons under section 4D Tests used to resolve the case ARL and News were not competitive partners at the time of establishing the 14 team term as they had merged to form National Rugby League therefore section 45 and 4D did not apply Souths had failed to establish the respondent’s intention to prevent or restrict their trade, as the 14- team was part of a selection process due to their successful performance. Holding: Partners who are competitors and enter into a contract that intends to provide less services or goods would have contravened section 45 at the time the exclusion is made Reference South Sydney District, Rugby Football Club Ltd V. News Ltd (2002) Appeal Case