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Australia: ACCC fights Federal Court to preserve airline price-fixing suit

 |  December 17, 2014

The Australian Competition and Consumer Commission reportedly filed an appeal against the Federal Court’s dismissal of a law suit filed against Air New Zealand and Garuda Indonesia by the ACCC for price-fixing.

Reports say the regulator issued a notice of appeal on Wednesday, two months after the Federal Court tossed out proceedings against the airlines after the ACCC found they had colluded to fix fuel, insurance and security fees on their air cargo operations. The Court dismissed the case on grounds that the alleged anticompetitive conduct did not take place within the Australian market, despite agreeing that some of the price-fixing behavior may have affected prices in the nation.

But the ACCC disagrees, and announced Wednesday that it would appeal the Court’s dismissal on the grounds that the alleged collusion did not take place within an Australian market. “It is important that we seek clarity on whether the [Competition[ Act applies to the collusive arrangements identified by the Court,” ACCC chairman Rod Sims said.

Australia is in the midst of potential competition regulatory overhauls as it continues to debate the Harper Review Panel’s recommendations to amendments to federal competition law.

Full content: Daily Telegraph

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