Australian Competition & Consumer Commission v Boral Ltd [1999] FCA 1318

FEDERAL COURT OF AUSTRALIA

Australian Competition and Consumer Commission v Boral Ltd [1999]

FCA 1318 TRADE AND COMMERCE – restrictive trade practices – misuse of market power – concrete masonry manufacturer – selling below avoidable cost of production – offering to buy plant of competitor – increasing capacity – market definition – whether market for concrete masonry or for walling and paving products – substitutability of other products – whether substantial degree of market power – barriers to entry – relevance of financial resources – whether taking advantage of market power – predatory pricing – whether intention to recoup supra-competitive profits – whether proscribed purpose WORDS AND PHRASES – "market" "substantial degree of power" "take advantage of power" "predatory pricing" "avoidable cost" Trade Practices Act 1974 (Cth) ss 4E, 4F, 46 Re Queensland Co-operative Milling Association Ltd (1976) 25 FLR 169 applied Queensland Wire Industries Pty Ltd v BHP Co Ltd (1989) 167 CLR 177 applied Arnotts Ltd v Trade Practices Commission (1990) 24 FCR 313 applied United Brands v European Communities Commission [1978] 1 CMLR 429 applied Eastern Express Pty Ltd v General Newspapers Ltd (1992) 35 FCR 43 applied National Australia Bank Limited v Boral Gerrard Strapping System Pty Ltd (1992) ATPR 41-196 followed Cargill, Inc v Monfort of Colorado, Inc 479 US 104 (1986) applied Indiana Grocery Inc v Super-Value Stores 684 F Supp 566 (1988) applied Barry Wright Corporation v ITT Grinnell Corporation 724 F 2d 227 (1983) applied Eastern Express Pty Ltd v General Newspapers Ltd (1991) ATPR 41-128 applied Trade Practices Commission v The Gillette Company (1993) 45 FCR 366 applied Adams v Cape Industries Plc [1991] 1 All ER 929 applied Jones v Dunkel (1959) 101 CLR 298 applied

AUSTRALIAN COMPETITION AND CONSUMER COMMISSION v BORAL LIMITED & ANOR NO. V 79 of 1998 HEEREY J 22 SEPTEMBER 1999 MELBOURNE